Slide 1: Q2 2023 Earnings Call
OTCQX: TGEN EARNINGS CALL AUGUST 10, 2023 Q2 2023 1
Slide 2: Management
MANAGEMENT Abinand Rangesh – CEO & CFO Robert Panora – COO & President Roger Deschenes – CAO Jack Whiting – General Counsel & Secretary 2
Slide 3: Safe Harbor Statement
SAFE HARBOR STATEMENT This presentation and accompanying documents contain “forward-looking statements” which may describe strategies, goals, outlooks or other non- historical matters, or projected revenues, Income, returns or other financial measures, that may include words such as "believe," "expe
Slide 4: Agenda
AGENDA Progress Update 2Q 2023 Results Q&A 4
Slide 5: Progress Update
PROGRESS UPDATE Q2 23 Revenue was 5% higher than Q2 22 and 25% higher than Q1 2023 Backlog by Customer Type Expect every subsequent quarter in 2023 to have higher revenue than the Multi-Family previous quarter Other Residential 11% 20% Generated cash from operations during the quarter Cash position
Slide 6: Power Generation, Clean Cooling and Long Term Maintenance
POWER LONG TERM GENERATION + MAINTENANCE & RESILIENCY ENERGY ASSET Modular microgrids for MANAGEMENT energy savings, Helping customers achieve greenhouse gas (GHG) predictable energy savings with reductions and resiliency comprehensive maintenance to grid outages services CLEAN COOLING Hybrid and En
Slide 7: Revenue Segments
REVENUE SEGMENTS PRODUCT SALES SERVICES Sales of combined heat and We service most purchased power, and clean cooling Tecogen equipment in operation systems to building owners. through long term maintenance Key market segments include agreements through 11 service multifamily residential, health CLE
Slide 8: 2Q 2023 Results
2Q 2023 RESULTS $ in thousands 2Q'23 2Q'22 QoQ Change % Key Points Revenues • Net loss of $0.03/share Q2 2023 Products $ 2,446 $ 3,010 $ (564) Services 3,953 3,050 903 • Net loss $0.8m Energy Production 350 354 (4) • Cash and equivalents balance of $1.87 Total Revenue 6,749 6,415 334 5.2% million Gr
Slide 9: 2Q 2023 Adjusted EBITDA Reconciliation
2Q 2023 ADJUSTED EBITDA RECONCILIATION Quarter Ended, June 30 EBITDA: Earnings Before Interest, Taxes, Non-GAAP financial disclosure (in thousands) 2023 2022 Depreciation & Amortization Net loss attributable to Tecogen Inc. $ (780) $ (856) EBITDA and adjusted EBITDA were both negative at $0.58m and
Slide 10: 2Q 2023 Performance by Segment
2Q 2023 PERFORMANCE BY SEGMENT QoQ Change 2Q Revenues ($ thousands) 2023 2022 % Products Revenues Chiller margin has recovered to >37% Cogeneration $ 428 $ 954 -55% Cogeneration margin ~32% Chiller 1,688 1,738 -3% Engineered accessories 330 318 4% Services Total Product Revenues 2,446 3,010 -19% Ser
Slide 11: Plans to Increase Margin
PLANS TO INCREASE MARGIN Product Margin Further increase in prices for some products Improve commonality of parts across products to improve purchasing power Redesign where necessary to reduce complexity Service Margin Increased prices on contract renewals Increased billable contract work to improve
Slide 12: Summary and Q&A
SUMMARY AND Q&A Priorities Company Information ✓ Cashflow Tecogen Inc. ✓ Grow revenue and backlog 45 First Ave Waltham, MA 02451 ✓ Increase margin for both Services and Products www.Tecogen.com Contact information Abinand Rangesh, CEO 781.466.6487 Abinand.rangesh@Tecogen.com 12