Tecogen Inc. · AMEX:TGEN
Tecogen — Q1 2019 Earnings Presentation
16 slides from Tecogen's earnings presentation, May 14, 2019
Slide 1: Energy Efficiency Reimagined: First Quarter 2019 Earnings Review
Energy Efficiency Reimagined NASDAQ: TGEN First Quarter 2019 Earnings Review May 14, 2019
Slide 2: Participants
Participants Benjamin Locke Chief Executive Officer President & Chief Operating Robert Panora Officer Bonnie Brown Chief Accounting Officer 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: Earnings Call Agenda
Earnings Call Agenda Benjamin Locke Tecogen Overview Q1 ‘19 Financial Overview Strategic Achievements Bonnie Brown Financial Review Robert Panora Ultera Emissions Update Benjamin Locke Closing comments Q&A 4
Slide 5: Advanced Modular Cogeneration Systems
Advanced Modular Cogeneration Systems Heat, Power, and/or Cooling that is: Cheaper Industry leading efficiency and reduced exposure to expensive electricity Cleaner Proprietary near-zero emissions technology, GHG reductions More reliable Real-time monitoring, blackout protection, and improved grid r
Slide 6: Q1 2019 Financial Results
Q1 2019 Financial Results Working capital of $16.2 million compared to T4Q - Revenue/Gross Profit $13 million at year end 2018 $40 $35 1Q’19 revenues of $8.2 million $30 $ in $ Millions Net loss of $3.3 million includes goodwill $25 impairment loss of $3.7 million $20 Gain on sale of assets $1.1 mil
Slide 7: Q1 2019 Adjusted EBITDA of $678K
Q1 2019 Adjusted EBITDA of $678K $ in thousands 1Q'19 1Q’18 YoY Change % Chg Revenue Products $ 3,025 $ 3,674 $ (649) Service 3,911 4,719 (808) Energy Production 1,241 1,783 (542) Total Revenue 8,177 10,175 (1,999) -20% Gross Profit Consistently Strong Products $ 1,081 $ 1,264 $ (183) Service 1,437
Slide 8: Product and Installation Backlog
Product and Installation Backlog Current Backlog of $ 26.9 million Product backlog: $13.0 mm, Install backlog $13.9 mm 8
Slide 9: Strategic Achievements
Strategic Achievements Adjusted product Established ADG Forklift Emissions mix to emphasize sites as solid program with Financial Stability chiller sales investment assets Cat/Mitsubishi Less competition, Enabled selective Potential for fleet Zero debt with cash Well defined sale to strengthen forkl
Slide 10: Q1 2019 Financial Metrics: Revenues, Margins and Profitability
Q1 2019 Financial Metrics: Revenues, Margins and Profitability Quarter Ended March 31, YoY % of Total $ in thousands 2019 2018 Growth Rev Revenue of $8.2 million Revenue Cogeneration $ 1,819 $ 1,764 3% 22% Chiller 1,205 1,909 -37% 15% Maintained profitability of $413K for Total Product Revenue 3,025
Slide 11: Adjusted EBITDA Reconciliation Q1 2019 and 2018
Adjusted EBITDA* Reconciliation Q1 2019 and 2018 Comparative Net income (loss) to Adjusted EBITDA Reconciliation Non-GAAP financial disclosure Q1 2019 Q1 2018 EBITDA: Interest, taxes, depreciation & Net Income (loss) attributable to Tecogen Inc. $ (3,280,077) $ 20,759 Interest expense, net 27,494 14
Slide 12: Emissions Technology Update – MCFA Forklift
Emissions Technology Update – MCFA Forklift Received second sample set of alternative engine retuning software from MCFA Extensive forklift drive testing completed NOx emissions 20% of factory system CO emissions 12% of factory system Results consistent with program goal of near-zero certification T
Slide 13: Emissions Technology Update (2)
Emissions Technology Update (2) Southern California generator retrofit program (project footnote) Only natural gas engines permitted to current (2010) regs without operating exemption Application is noteworthy in light of recent developments in California Distributed loads in terrain of high fire ri
Slide 14: Market Outlook
Market Outlook Indoor Agriculture Growth Opportunity Proven cost/benefit of Tecochill “Chiller Market Report, published by NY/NJ recreational cannabis approval expands opportunity Allied Market Research, forecasts Expand/Upgrade chiller product portfolio that the global market was valued at Tecochil
Slide 15: Closing Comments
Closing Comments Tecogen Key Value Proposition Remains: • Use plentiful and affordable natural gas efficiently and cleanly to meet energy needs of large facilities • Tecogen cogeneration systems have necessary certifications and functionality to participate in new, revenue generating utility support
Slide 16: Q&A and Company Information
Q&A Company Information Tecogen, Inc 45 First Ave Waltham, MA 02451 www.Tecogen.com Contact information Benjamin Locke, CEO 781.466.6402 Benjamin.Locke@Tecogen.com 16