Shoals Technologies Group (SHLS) Investor Day 2024 summary

Strategic Vision, Direction, and Growth Initiatives

• Focus on growing core utility-scale solar markets while expanding into CC&I, OEM, BESS, data centers, and international segments, leveraging commercial excellence and new sales strategies.

• Diversification includes pivoting away from eMobility due to unpredictable market development and targeting new customer segments and previously unquoted projects.

• International expansion is driven by localized product development, new subsidiaries in regions like Europe, Spain, and Australia, and manufacturing partnerships.

• Announced a partnership in Saudi Arabia to develop localized solar solutions supporting Vision 2030 renewable energy goals.

• Operational excellence and customer-centricity are emphasized through automation, lean manufacturing, consultative selling, and feedback-driven product innovation.

Market Positioning and Commercial Strategy

• Maintains a leading share in the U.S. utility-scale solar market, participating in ~30% of projects and ~50% of installed capacity over the past three years.

• Deep customer relationships with major EPCs, developers, and OEMs, supported by an engineering-driven approach.

• Expanding addressable market by targeting CC&I, OEMs, and new customer segments.

• International growth includes adapting products for IEC markets and establishing subsidiaries in key regions.

• Institutionalizing standardized ways of working to drive efficiency, accountability, and sustainability.

Innovation and Product Development

• Six new products launched in the past year, including Super Jumper and 2,000-volt EBOS, with a doubling of patent applications and 12 pending in the last 12 months.

• Structured new product development process integrates Voice of Customer insights and focuses on pre-fabricated, plug-n-play, and sustainable solutions.

• Recent innovations include clustered load break disconnects and standardized BESS recombiners/disconnects.

• Investing in data center power distribution solutions to capture new market opportunities.

• Manufacturing excellence is driven by data analytics, lean initiatives, and automation, resulting in labor savings and quality improvements.