SolarEdge to Lay Off 200 Employees Globally in Fifth Round of Cuts
Translated & summarized from Now 14 by baba
Israeli solar energy firm SolarEdge is laying off approximately 200 employees globally, including 50-60 in Israel, marking its fifth round of job cuts in under three years. The company cited factors like high U.S. interest rates and European inventory issues, despite recent signs of financial recovery. This follows previous large-scale layoffs in 2024 and early 2025, as the company's market value has significantly decreased from its peak.
The story in 6 lines · by baba
- SolarEdge is laying off about 200 employees worldwide, including 50-60 in Israel.
- This is the company's fifth round of layoffs in less than three years.
- Previous layoffs in 2024 and early 2025 affected hundreds of employees.
- High U.S. interest rates and European inventory issues contributed to the company's struggles.
- SolarEdge reported improved Q2 results but issued a disappointing Q3 forecast.
- The company's market value has fallen to about $2 billion from previous highs.
Israeli solar energy company SolarEdge is implementing its fifth round of layoffs in less than three years, cutting approximately 200 jobs worldwide, with 50 to 60 of those positions located in Israel. This latest reduction represents about 10% of the company's workforce.
The current layoffs follow a series of significant workforce reductions. In January 2024, around 900 employees were let go, including about 550 in Israel. Later that year, an additional 400 employees were dismissed. In November 2024, the company closed its energy storage division in South Korea, resulting in about 500 layoffs. In January 2025, another round of approximately 400 job cuts was announced.
The company's struggles stem from a combination of factors. In the United States, high interest rates have diminished the economic viability of residential solar installations, leading to decreased demand. In Europe, the war in Ukraine initially boosted orders as countries sought alternatives to Russian gas. However, as energy prices stabilized, many distributors were left with large inventories, causing them to reduce orders from SolarEdge.
Despite these challenges, SolarEdge reported signs of recovery in the second quarter of the year, with revenues increasing by about 20% and losses significantly narrowing. The company also returned to operational profit for the first time since 2023. However, alongside this improvement, SolarEdge issued a disappointing forecast for the third quarter, which may explain the continued cost-cutting measures.
The company's stock, which had surged hundreds of percent earlier in the year, has weakened considerably since its peak in late May. Its current market valuation stands at approximately $2 billion, a sharp decline from its previous status as one of Israel's most highly valued companies. SolarEdge now faces the task of demonstrating that its recent recovery signs will translate into a stable, upward trend.
