Use of forward-looking statements This presentation contains forward-looking statements made pursuant to the Safe each of the non-GAAP nancial measures excludes one or more of the Harbor provisions of the Private Securities Litigation Reform Act of 1995, including but following items for purposes of calculating non-GAAP nancial measures not limited to statements concerning our future nancial performance; our business to facilitate an evaluation of our current operating performance and a strategies, including our operations and anticipated trends and developments in markets comparison to our past operating performance: in which we operate and in the markets in which we plan to expand; our expectations as to the impact and evolving current geopolitical issues and macroeconomic trends; • Stock-based compensation expense. We exclude stock-based the anticipated release, shipment, and market adoption of Enphase’s new products compensation expense from our non-GAAP measures primarily and technologies; the capabilities, performance and benets of our technology because they are non-cash in nature. Moreover, the impact of this and products, including future products, features and services, and the reduction of expense is signicantly aected by our stock price at the time of an commissioning times for installers; the ability to optimize and customize products, load award over which management has limited to no control. disaggregation, monitoring and management; our performance in operations, including CEO Letter to manufacturing, product capacity, training, and customer service; and statements • Acquisition related expenses and amortization. This item represents concerning manufacturing strategies and potential for market growth. These expenses incurred related to our business acquisitions, which are statements are based upon current expectations that involve risks and uncertainties. non-recurring in nature, and amortization of acquired intangible Any statements that are not of historical fact, may be forward-looking statements. assets, which is a non-cash expense. Acquisition related expenses Shareholders Words used such as “anticipates,” “believes,” “continues,” “designed,” “estimates,” and amortization of acquired intangible assets are not reective of our “expects,” “goal,” “intends,” “likely,” “may,” “ongoing,” “plans,” “projects,” “pursuing,” ongoing nancial performance. “seeks,” “should,” “will,” “would” and similar expressions are intended to identify forward looking statements, although not all forward-looking statements contain • Restructuring and asset impairment charges. We exclude restructuring these words. All forward-looking statements are based on our current assumptions, and asset impairment charges due to the nature of the expenses 2023 expectations and beliefs, and involve substantial risks and uncertainties that may being unusual and arising outside the ordinary course of continuing cause results, performance or achievement to materially dier from those expressed operations. These costs primarily consist of fees paid for cash-based or implied by these forward-looking statements. Therefore, you should not place undue severance costs and asset write-downs of property and equipment reliance on our forward-looking statements. A detailed discussion of risk factors that and acquired intangible assets, and other contract termination costs aect our business is included in the lings we make with the Securities and Exchange resulting from restructuring initiatives. Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading “Risk Factors.” Copies of these lings • Reserve for non-recurring legal matter. This item represents a charge are available on the Enphase website at http://investor.enphase.com/sec.cfm, or on taken for the potential settlement cost related to a dispute with a the SEC website at www.sec.gov. All forward-looking statements in this presentation are based on information currently available to us, and we assume no obligation to vendor. This item is excluded as it relates to a specic matter and is not update these forward-looking statements in light of new information or future events. reective of our ongoing nancial performance. Industry Information • Non-cash interest expense. This item consists primarily of amortization of debt issuance costs and accretion of debt discount because these expenses do not represent a cash outow for us except in the period Information regarding market and industry statistics in this presentation is based on the nancing was secured and such amortization expense is not information available to us that we believe is accurate. It is generally based on publi- reective of our ongoing nancial performance. cations that are not produced for purposes of economic analysis. • Non-GAAP income tax adjustment. This item represents the amount Non-GAAP Financial Metrics adjusted to our GAAP tax provision or benet to present the non- GAAP tax amount based on cash tax expense and reserves for periods • We have presented certain non-GAAP nancial measures in this presentation. prior to 2023. Eective January 1, 2023, we updated our methodology Generally, a non-GAAP nancial measure is a numerical measure of a of computing the non-GAAP income tax adjustment from reporting company’s performance, nancial position, or cash ows that either exclude or cash tax expense and reserves to the projected non-GAAP annualized include amounts that are not normally excluded or included in the most directly eective tax rate as we utilized most of our net operating loss and comparable measure calculated and presented in accordance with generally tax credit carryforwards in the year ended December 31, 2022, and accepted accounting principles in the United States (GAAP). Reconciliation became a signicant cash taxpayer in the United States. Going forward, of each non-GAAP nancial measure to the most directly comparable GAAP we will exclude the income tax eects of GAAP adjustments such as nancial measure can be found in the accompanying tables to this presentation. stock-based compensation, amortization of purchased intangibles, Non-GAAP nancial measures presented by us include non-GAAP gross prot, and other non-recurring items that are not reective of our ongoing gross margin, operating expenses, income from operations, net income, net nancial performance. income per share (basic and diluted) and free cash ow. • Non-GAAP net income per share, diluted. We exclude the dilutive • These non-GAAP nancial measures do not reect a comprehensive system eect of in-the-money portion of convertible senior notes as they are of accounting, dier from GAAP measures with the same captions and may covered by convertible note hedge transactions that reduce potential dier from non-GAAP nancial measures with the same or similar captions dilution to our common stock upon conversion of the Notes due 2025, that are used by other companies. In addition, these non-GAAP measures have Notes due 2026 and Notes due 2028, and includes the dilutive eect of limitations in that they do not reect all of the amounts associated with our employee’s stock-based awards and the dilutive eect of warrants. We results of operations as determined in accordance with GAAP. As such, these believe these adjustments provide useful supplemental information to non-GAAP measures should be considered as a supplement to, and not as a the ongoing nancial performance. substitute for, or superior to, nancial measures calculated in accordance with GAAP. We use these non-GAAP nancial measures to analyze our operating • Net IRA benet. This item represents the advanced manufacturing performance and future prospects, develop internal budgets and nancial production tax credit (“AMPTC”) from the IRA for manufacturing goals, and to facilitate period-to-period comparisons. We believe that these microinverters in the United States, partially oset by the incremental non-GAAP nancial measures reect an additional way of viewing aspects manufacturing cost incurred in the United States relative to of our operations that, when viewed with our GAAP results, provide a more manufacturing in Mexico, India, and China. The AMPTC is accounted complete understanding of factors and trends aecting our business. for by us as an income-based government grants that reduces cost of revenues in the consolidated statements of operations. • As presented in the “Reconciliation of Non-GAAP Financial Measures” page, • Free cash ow. This item represents net cash ows from operating activities less purchases of property and equipment. Copyright and Trademark Attribution ©2024 Enphase Energy, Inc. All rights reserved. Enphase, the e logo, IQ, and certain other marks listed at enphase.com/trademark are trademarks of Enphase Energy, Inc. in the United States and other countries. 2 ENPHASE CEO LETTER TO SHAREHOLDERS 2023 3