Thank you, Erica. Good afternoon and thank you all for joining us on our conference call. Starting with highlights of our first quarter results; we concluded the quarter with revenues of approximately $405 million just above the top end of our guidance. Revenues from our Solar business were $376 million, while revenue from our non-Solar business was $29 million.
This quarter we shipped 3.7 million power optimizers and 182,000 inverters.
Our Solar business grew this quarter across all segments and geographies, including record quarterly revenues in Australia, Italy and France. In North America, we saw a 23% growth in revenues from Q4 to Q1, representing increased demand for both residential and commercial products. Business in Europe is continuing to grow led by sales in the Netherlands where we had a record quarter of residential revenues as well as revenues from Germany, Italy and Poland. Also noteworthy is our continued growth in France, where we had record quarter both in residential and commercial sales. In the region outside Europe and the U.S. which includes Australia, Asia-Pacific, Japan, Brazil, Israel and several other countries we had our third consecutive quarter of growth and record shipments. Noteworthy among these countries is Australia where we delivered close to 100 megawatts of products representing more than 50% of quarter-over-quarter growth. A big part of this momentum was due to the volume shipments of our new three phase residential inverter optimized for the Australian market. When it comes to new market opportunities, we see Korea as a particularly interesting one. We recently completed certification of our three-phase commercial inverter for installation on commercial rooftops in Korea.
As the C&I market in Korea is more than 2 gigawatt in size and considering our strong local presence, we are optimistic about the growth potential there. And indeed, already installed in the first quarter, more than 10 megawatts of rooftops in a conditional certification setup.
As we projected in recent calls, this quarter we began to see meaningful signs of recovery in our commercial business across all regions.
Our megawatts shipments of commercial products grew by 35% from last quarter.
As we had anticipated and discussed in our last earning calls, the commercial sector has been slower to recover from the economic downturn during the pandemic, but inventory in our distribution channel is now back to healthier levels. And we are seeing a pickup in commercial installations and opportunity pipeline.
We expect revenues from the commercial segments to continue and grow back to the pre-pandemic levels in the second and third quarter of 2021.
On the product side, demand for our battery-ready Energy Hub inverter continues to grow and it is now more than 20% of our residential shipments to the U.S. At the same time we see growing interest in our self consumption devices such as our EV charger and water heating product.
Our plan to launch our residential battery remains on track.
We have active test sites already in the U.S. and will begin initial shipments this quarter. These batteries will be shipped to the U.S., Europe and later to Australia. The test period is aimed to validate the battery performance in the field and sharpen installation practices with the help of some of our select installers.
Additionally, the goal is to confirm the system level battery plus Energy Hub inverter self consumption and backup scenarios. In a recent study of our global installed base of more than 30,000 systems of SolarEdge backup inverters installed with third-party inverter we analyzed consumer behavior patterns and system performance through more than 75,000 blackout events lasting more than 5 minutes. We characterized in detail typical blackout frequencies, duration, the power and energy capacity needs as well as practices to prevent depletion of batteries and extended blackout events.
We will be incorporating these learnings into our system in conjunction with the maximization of self-consumption and financial decision-making algorithms in order to enable smart automated system decisions and provide a flexible, easy to manage system for the consumer.
As we have said in the past, we don't plan for meaningful battery revenues until Q3 of this year.
Given the growing demand for energy consumption and storage, which I referred to earlier, we are confident that our storage-ready inverters fitted with our DC coupled battery represent a significant milestone in progressing our vision of a home system that is flexible to provide both maximization of self-consumption and economic value where relevant and backup capability where and when needed. In the Commercial segment, we see good adoption of our 120 kilowatt Synergy inverter including a dedicated version for ground mount installations in the U.S. This new high-power inverter is designed to support bigger commercial fields and improved economics as well as simplify installation, and commissioning.
Our customers can now set up and test the entire installation before even connecting to the AC grid.
As the C&I market continues to improve our new high-power inverter combined with our recently released 1,100 watt optimizer offer a means to reduce the cost per watt for installers and increase adoption of our solution in larger ground mount and rooftop installation. I would like now to elaborate on our operational status. Cycles of component shortages are common in our industry and we have experienced such cycles before. Based on our past experience, we have adopted a methodology to closely monitor the procurement of components by our contract manufacturers and at times, manage the supply and demand of components directly from their suppliers. This allows us to identify relatively early cycles of shortages.
We also typically hold high levels of safety stock and finished goods inventory that allow us to overcome temporary fluctuations of component availability.
In addition, we have developed alternate sources for critical components.
As a result at this time based on the current alignment and delivery schedules with our contract manufacturers and suppliers, we are comfortable in our ability to support the increased demand we are seeing and our projections for further demand increases later in the year. Though at times, this may come at a higher cost due to expedited shipments and cost increase as is reflected in our gross margin guidance for the forthcoming quarter. On a related note, our Sella 1 factory in Israel is continuing to ramp.
We are now employing over 480 workers and manufacturing inverters and optimizers from our own facility, which is on track to reach full capacity by end of this quarter. The fruits of this investment are already being borne as thanks to a joint project of our R&D and operational teams in Israel we have been able to increase the output of our power optimizer automated assembly lines and copied this improved process to our contract manufacturers in other locations. In our non-Solar business our e-Mobility Division began delivering full powertrain units and batteries for the Fiat E-Ducato in Europe. The ramp of the production line will be gradual and several months will pass until we reach full capacity. In our Energy Storage division the Sella 2 factory for lithium-ion cells and batteries in Korea is now well under way with the groundbreaking work behind us and building establishment in process. The factory is expected to start pilot production in the first half of 2022 and will enable us to supply our own cells and reduce our dependency on third-party manufacturers. In summary, we are happy with the results of the first quarter and with the progress our teams are making across our regions and business units. With this, I hand it over to Ronen, who will review our financial results.