Dear fellow shareholders, 2023 was challenging. The solar industry suered through a period of slowdown in overall demand. This was primarily because of high interest rates in the United States, the NEM 3.0 transition in California, and macroeconomic conditions in Europe. Our installer and distributor partners faced a tough time due to the reduced demand. Many of them were forced to reorganize their Badri Kothandaraman businesses and some unfortunately had to shut down. President and CEO Our revenue for 2023 was at compared to 2022. The second half of the year was more dicult than the rst half. We collaborated closely with our installer partners to assist them as much as possible. We made several improvements to our quality and service. We released many new products into Europe and other countries. We maintained pricing discipline, free cash ow, and protability. We undertook restructuring actions to reduce our spending. We developed business processes to better forecast our business and manage our channel. “Our employees around the world We remain unfazed in our eorts to advance a sustainable future for all. Our worked tirelessly to deliver strategy is unchanged. We are more determined than ever before to create innovative products and services solar and battery systems powering energy independence for consumers to our customers as we navigated that enable them to make, use, save, and sell their own power. We view the through the macroeconomic macroeconomic slowdown as no more than a minor blip and are condent in conditions.” the solar industry’s resilience to return to sustained growth. Our employees around the world worked tirelessly to deliver innovative products and services to our customers as we navigated through the macroeconomic conditions. As a result of their collective eorts, we managed to maintain our operational excellence during 2023. Our culture playbook is a reminder of how we work together and achieve results. As is customary, this letter oers insights into our past year’s performance, reinforces our strategic priorities, and outlines our key focus areas for 2024. The IQ8P microinverter is ideal for emerging residential markets with high-power panels 4 ENPHASE CEO LETTER TO SHAREHOLDERS 2023 5