WALTHAM, Mass., March 24, 2015 /PRNewswire/ --
Tecogen® Inc. (NASDAQ: TGEN), a manufacturer and
installer of high efficiency, Ultra clean combined heat
and power products including natural gas engine-driven
cogeneration, air conditioning systems, and high-efficiency water
heaters for industrial and commercial use, reported revenues of
$19,342,664 for the year ended
December 2014 compared to
$15,849,869 for the same period in
2013, an increase of 22%. Gross profit increased to
$6,399,064 for 2014 compared to
$5,030,128, an increase of 27%.
Major Highlights:
Financial
- Tecogen Inc. turned a net profit of $40,000 in the fourth quarter when excluding the
$71,000 loss in our subsidiary
Ilios.
- Gross margin in the fourth quarter of 2014 rose to 40% from 26%
in the third quarter of 2014. Gross margin also increased
from 33% in the fourth quarter in 2013.
- Sales backlog of equipment and installations was $12.2 million as of March
21, 2015, compared to $9.9
million at the end of the fourth quarter of 2014.
- Gross profit for the fourth quarter of 2014 was $2,534,694 compared to $2,011,659, for the same period in 2013.
- Consolidated net loss for the three months ended
December 31, 2014 was $30,263
compared to $110,937 for the same
period in 2013.
- Net loss per share was $0.00 and
$0.01 for the three months ended
December 31, 2014 and 2013, respectively.
Sales & Operations
- Tecogen shipped 7 chillers in the fourth quarter. Chiller
sales for the year increased by 184% to $3,260,000.
- Installation revenues for 2014 increased by 35% to $3,280,000.
- Sold Ultra emissions retrofit kits for new applications.
- First biofuel application of an emission retrofit kit as a
replacement to a decommissioned fuel cell.
- Gage Canal Company, Riverside,
California purchased a retrofit to their natural gas water
pumping facility.
- Successful demonstration of retrofit to commercial 130kW
standby natural gas generator.
- Established a sales office in Florida to serve the southeastern United States and the Caribbean.
- Large Ilios order of 7 water source units to a biotechnology
laboratory in Florida in early
2015.
Conference Call Scheduled for Today at 10:00 am ET
Tecogen will host a conference
call today to discuss the fourth quarter and year end results
beginning at 10:00 am ET. To
listen to the call dial (888) 349 0103 within the U.S., (855)
669-9657 from Canada,
or (412) 902-0129 from other international locations.
Participants should ask to be joined to the Tecogen Inc.
call. Please begin dialing at least 10 minutes before the
scheduled starting time. The earnings press release will be
available on the Company website at www.Tecogen.com in the "News
and Events" section under "About Us." The conference call
will be recorded and available for playback one hour after the end
of the call. The earnings conference call will also be
webcast live. To register for and listen to the webcast, go to
http://investors.tecogen.com/webcast. Following the call, the
webcast will be archived for 30 days.
About Tecogen
Tecogen manufactures, installs, and maintains high efficiency,
ultra-clean combined heat and power products including natural gas
engine-driven cogeneration, air conditioning systems, and
high-efficiency water heaters for residential, commercial,
recreational and industrial use. The company is known for cost
efficient, environmentally friendly and reliable products for
energy production that, through patented technology, nearly
eliminate criteria pollutants and significantly reduce a building's
carbon footprint.
In business for over 20 years, Tecogen has shipped more than
2,000 units, supported by an established network of engineering,
sales, and service personnel across the
United States. For more information, please visit
www.tecogen.com.
FORWARD-LOOKING STATEMENTS This press release contains
forward-looking statements under the Private Securities Litigation
Reform Act of 1995 that involve a number of risks and
uncertainties. Important factors could cause actual results
to differ materially from those indicated by such forward-looking
statements, as disclosed on the Company's website and in Securities
and Exchange Commission filings. The statements in this press
release are made as of the date of this press release, even if
subsequently made available by the Company on its website or
otherwise. The Company does not assume any obligation to
update the forward-looking statements provided to reflect events
that occur or circumstances that exist after the date on which they
were made.
Tecogen Media Contact Information:
David A. Garrison
Tecogen Inc.
P: 781-466-6403
E: david.garrison@tecogen.com
Tecogen Investor Contact Information:
John N. Hatsopoulos
P: 781-622-1120
E: jhatsopoulos@tecogen.com
TECOGEN
INC.
|
CONSOLIDATED BALANCE
SHEETS
|
As of December 31,
2014 and 2013
|
|
|
|
|
|
2014
|
|
2013
|
ASSETS
|
|
|
|
Current
assets:
|
|
|
|
Cash and cash
equivalents
|
$
|
1,186,033
|
|
|
$
|
7,713,899
|
|
Short-term
investments, restricted
|
585,702
|
|
|
—
|
|
Accounts receivable,
net
|
4,750,437
|
|
|
3,740,885
|
|
Unbilled
revenue
|
696,912
|
|
|
646,398
|
|
Inventory,
net
|
4,090,221
|
|
|
3,343,793
|
|
Due from related
party
|
600,251
|
|
|
—
|
|
Deferred financing
costs
|
50,201
|
|
|
140,433
|
|
Prepaid and other
current assets
|
348,868
|
|
|
340,013
|
|
Total current
assets
|
12,308,625
|
|
|
15,925,421
|
|
|
|
|
|
Property, plant and
equipment, net
|
658,421
|
|
|
638,026
|
|
Deferred financing
costs, net of current portion
|
48,990
|
|
|
—
|
|
Intangible assets,
net
|
1,011,300
|
|
|
953,327
|
|
Goodwill
|
40,870
|
|
|
40,870
|
|
Other
assets
|
53,325
|
|
|
72,425
|
|
TOTAL
ASSETS
|
$
|
14,121,531
|
|
|
$
|
17,630,069
|
|
|
|
|
|
LIABILITIES AND
STOCKHOLDERS' EQUITY
|
|
|
|
Current
liabilities:
|
|
|
|
Demand notes payable
and line of credit, related party
|
$
|
—
|
|
|
$
|
2,950,000
|
|
Senior convertible
promissory note, related party
|
—
|
|
|
3,000,000
|
|
Accounts
payable
|
2,416,313
|
|
|
2,338,046
|
|
Accrued
expenses
|
1,008,153
|
|
|
1,139,554
|
|
Deferred
revenue
|
1,666,576
|
|
|
613,915
|
|
Due to related
party
|
—
|
|
|
119,667
|
|
Interest payable,
related party
|
—
|
|
|
198,450
|
|
Total current
liabilities
|
5,091,042
|
|
|
10,359,632
|
|
|
|
|
|
Long-term
liabilities:
|
|
|
|
Deferred revenue, net
of current portion
|
207,153
|
|
|
204,544
|
|
Senior convertible
promissory note, related party
|
3,000,000
|
|
|
—
|
|
Total
liabilities
|
8,298,195
|
|
|
10,564,176
|
|
|
|
|
|
Commitments and
contingencies (Note 8)
|
—
|
|
|
—
|
|
|
|
|
|
Stockholders'
equity:
|
|
|
|
Tecogen Inc.
stockholders' equity:
|
|
|
|
Common stock, $0.001
par value; 100,000,000 shares authorized; 15,905,881 and 15,155,200
issued and outstanding at December 31, 2014 and 2013,
respectively
|
15,906
|
|
|
15,155
|
|
Additional paid-in
capital
|
25,088,213
|
|
|
22,463,996
|
|
Accumulated
deficit
|
(18,955,023)
|
|
|
(15,209,212)
|
|
Total Tecogen Inc.
stockholders' equity
|
6,149,096
|
|
|
7,269,939
|
|
Noncontrolling
interest
|
(325,760)
|
|
|
(204,046)
|
|
Total stockholders'
equity
|
5,823,336
|
|
|
7,065,893
|
|
|
|
|
|
TOTAL LIABILITIES
AND STOCKHOLDERS' EQUITY
|
$
|
14,121,531
|
|
|
$
|
17,630,069
|
|
TECOGEN
INC.
|
CONSOLIDATED
STATEMENTS OF OPERATIONS
|
For The Three Months
Ended
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
December
31,
2014
|
|
September
30,
2014
|
|
June 30,
2014
|
|
March 31,
2014
|
Revenues
|
|
|
|
|
|
|
|
Products
|
$
|
3,577,803
|
|
|
$
|
1,094,529
|
|
|
$
|
2,007,926
|
|
|
$
|
1,944,776
|
|
Services
|
2,833,384
|
|
|
3,081,334
|
|
|
2,531,931
|
|
|
2,270,981
|
|
Total
revenues
|
6,411,187
|
|
|
4,175,863
|
|
|
4,539,857
|
|
|
4,215,757
|
|
|
|
|
|
|
|
|
|
Cost of
sales
|
|
|
|
|
|
|
|
Products
|
2,303,800
|
|
|
1,052,199
|
|
|
1,587,145
|
|
|
1,404,439
|
|
Services
|
1,572,693
|
|
|
2,034,193
|
|
|
1,604,039
|
|
|
1,385,092
|
|
Total cost of
sales
|
3,876,493
|
|
|
3,086,392
|
|
|
3,191,184
|
|
|
2,789,531
|
|
|
|
|
|
|
|
|
|
Gross
profit
|
2,534,694
|
|
|
1,089,471
|
|
|
1,348,673
|
|
|
1,426,226
|
|
|
|
|
|
|
|
|
|
Operating
expenses
|
|
|
|
|
|
|
|
General and
administrative
|
1,840,487
|
|
|
1,751,080
|
|
|
1,929,071
|
|
|
1,743,992
|
|
Selling
|
492,939
|
|
|
476,601
|
|
|
405,108
|
|
|
421,620
|
|
Research and
development
|
152,243
|
|
|
329,524
|
|
|
251,582
|
|
|
308,134
|
|
Total operating
expenses
|
2,485,669
|
|
|
2,557,205
|
|
|
2,585,761
|
|
|
2,473,746
|
|
|
|
|
|
|
|
|
|
Loss from
operations
|
49,025
|
|
|
(1,467,734)
|
|
|
(1,237,088)
|
|
|
(1,047,520)
|
|
|
|
|
|
|
|
|
|
Other income
(expense)
|
|
|
|
|
|
|
|
Interest and other
income
|
831
|
|
|
17,763
|
|
|
15,079
|
|
|
3,085
|
|
Interest
expense
|
(81,576)
|
|
|
(30,666)
|
|
|
(57,382)
|
|
|
(34,770)
|
|
Total other expense,
net
|
(80,745)
|
|
|
(12,903)
|
|
|
(42,303)
|
|
|
(31,685)
|
|
|
|
|
|
|
|
|
|
Loss before income
taxes
|
(31,720)
|
|
|
(1,480,637)
|
|
|
(1,279,391)
|
|
|
(1,079,205)
|
|
Consolidated net
loss
|
(31,720)
|
|
|
(1,480,637)
|
|
|
(1,279,391)
|
|
|
(1,079,205)
|
|
|
|
|
|
|
|
|
|
Less: Loss
attributable to the noncontrolling interest
|
1,457
|
|
|
32,839
|
|
|
31,684
|
|
|
59,160
|
|
Net loss attributable
to Tecogen Inc.
|
$
|
(30,263)
|
|
|
$
|
(1,447,798)
|
|
|
$
|
(1,247,707)
|
|
|
$
|
(1,020,045)
|
|
|
|
|
|
|
|
|
|
Net loss per share -
basic and diluted
|
$
|
—
|
|
|
$
|
(0.09)
|
|
|
$
|
(0.08)
|
|
|
$
|
(0.07)
|
|
|
|
|
|
|
|
|
|
Weighted average
shares outstanding - basic and diluted
|
15,863,915
|
|
|
15,447,726
|
|
|
15,227,079
|
|
|
14,796,413
|
|
TECOGEN
INC.
|
CONSOLIDATED
STATEMENTS OF OPERATIONS
|
For the Years Ended
December 31, 2014 and 2013
|
|
|
|
|
|
2014
|
|
2013
|
Revenues
|
|
|
|
Products
|
$
|
8,625,034
|
|
|
$
|
6,346,050
|
|
Services
|
10,717,630
|
|
|
9,503,819
|
|
Total
revenues
|
19,342,664
|
|
|
15,849,869
|
|
|
|
|
|
Cost of
sales
|
|
|
|
Products
|
6,347,583
|
|
|
4,709,767
|
|
Services
|
6,596,017
|
|
|
6,109,974
|
|
Total cost of
sales
|
12,943,600
|
|
|
10,819,741
|
|
|
|
|
|
Gross
profit
|
6,399,064
|
|
|
5,030,128
|
|
|
|
|
|
Operating
expenses
|
|
|
|
General and
administrative
|
7,264,630
|
|
|
5,931,144
|
|
Selling
|
1,796,268
|
|
|
1,423,587
|
|
Research and
development
|
1,041,483
|
|
|
1,086,989
|
|
Aborted public
offering costs
|
—
|
|
|
258,512
|
|
Total operating
expenses
|
10,102,381
|
|
|
8,700,232
|
|
|
|
|
|
Loss from
operations
|
(3,703,317)
|
|
|
(3,670,104)
|
|
|
|
|
|
Other income
(expense)
|
|
|
|
Interest and other
income
|
9,710
|
|
|
3,958
|
|
Interest
expense
|
(177,345)
|
|
|
(141,065)
|
|
Total other expense,
net
|
(167,635)
|
|
|
(137,107)
|
|
|
|
|
|
Loss before income
taxes
|
(3,870,952)
|
|
|
(3,807,211)
|
|
Consolidated net
loss
|
(3,870,952)
|
|
|
(3,807,211)
|
|
|
|
|
|
Less: Loss
attributable to the noncontrolling interest
|
125,140
|
|
|
357,722
|
|
Net loss attributable
to Tecogen Inc.
|
$
|
(3,745,812)
|
|
|
$
|
(3,449,489)
|
|
|
|
|
|
Net loss per share -
basic and diluted
|
$
|
(0.24)
|
|
|
$
|
(0.26)
|
|
|
|
|
|
Weighted average
shares outstanding - basic and diluted
|
15,607,897
|
|
|
13,385,155
|
|
TECOGEN
INC.
|
CONSOLIDATED
STATEMENTS OF CASH FLOWS
|
For the Years Ended
December 31, 2014 and 2013
|
|
|
|
|
|
2014
|
|
2013
|
CASH FLOWS FROM
OPERATING ACTIVITIES:
|
|
|
|
Net loss
|
$
|
(3,870,952)
|
|
|
$
|
(3,807,211)
|
|
Adjustments to
reconcile net loss to net cash provided by (used in) operating
activities:
|
|
|
|
Depreciation and
amortization
|
278,865
|
|
|
|
256,459
|
|
Loss on Disposal of
Asset
|
1,209
|
|
|
—
|
|
Provision for losses
on accounts receivable
|
53,800
|
|
|
50,600
|
|
Provision (recovery)
for inventory reserve
|
—
|
|
|
(32,000)
|
|
Stock-based
compensation
|
126,936
|
|
|
18,367
|
|
Non-cash interest
expense
|
50,910
|
|
|
—
|
|
Changes in
operating assets (increase) decrease in:
|
|
|
|
Short-term
investments, restricted
|
(1,303)
|
|
|
(202)
|
|
Accounts
receivable
|
(1,063,352)
|
|
|
(1,091,242)
|
|
Inventory
|
(746,428)
|
|
|
62,229
|
|
Unbilled
revenue
|
(50,514)
|
|
|
(646,398)
|
|
Due from related
party
|
(600,251)
|
|
|
55,837
|
|
Prepaid expenses and
other current assets
|
(8,855)
|
|
|
62,833
|
|
Other
assets
|
19,100
|
|
|
(33,000)
|
|
Changes in
operating liabilities increase (decrease) in:
|
|
|
|
Accounts
payable
|
78,267
|
|
|
1,187,036
|
|
Accrued
expenses
|
(131,401)
|
|
|
331,632
|
|
Deferred
revenue
|
1,055,270
|
|
|
(2,186)
|
|
Interest payable,
related party
|
(198,450)
|
|
|
83,560
|
|
Due to related
party
|
(119,667)
|
|
|
119,667
|
|
Net cash used in
operating activities
|
(5,126,816)
|
|
|
(3,384,019)
|
|
CASH FLOWS FROM
INVESTING ACTIVITIES:
|
|
|
|
Purchases of property
and equipment
|
(223,574)
|
|
|
(202,700)
|
|
Disposal of property
and equipment
|
7,092
|
|
|
—
|
|
Purchases of
intangible assets
|
(141,959)
|
|
|
(397,950)
|
|
Cash paid for asset
acquisition
|
—
|
|
|
(497,800)
|
|
Purchases of
short-term investments
|
(584,400)
|
|
|
—
|
|
Maturities of
short-term investments
|
—
|
|
|
182,061
|
|
Net cash used in
investing activities
|
(942,841)
|
|
|
(916,389)
|
|
CASH FLOWS FROM
FINANCING ACTIVITIES:
|
|
|
|
Payments made on
demand notes payable, related party
|
(2,950,000)
|
|
|
(37,500)
|
|
Proceeds from
issuance of demand notes payable and line of credit, related
party
|
—
|
|
|
1,650,000
|
|
Proceeds from sale of
common stock, net of costs
|
2,340,194
|
|
|
5,966,805
|
|
Proceeds from
exercise of stock options
|
161,265
|
|
|
3,000
|
|
Proceeds from
issuance of senior convertible promissory note
|
—
|
|
|
3,000,000
|
|
Payments for debt
issuance costs
|
(9,668)
|
|
|
(140,433)
|
|
Purchase of
restricted stock
|
—
|
|
|
(350)
|
|
Net cash (used in)
provided by financing activities
|
(458,209)
|
|
|
10,441,522
|
|
Net increase
(decrease) in cash and cash equivalents
|
(6,527,866)
|
|
|
6,141,114
|
|
Cash and cash
equivalents, beginning of the year
|
7,713,899
|
|
|
1,572,785
|
|
Cash and cash
equivalents, end of the year
|
$
|
1,186,033
|
|
|
$
|
7,713,899
|
|
|
|
|
|
|
|
|
|
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To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/tecogen-announces-fourth-quarter-and-year-end-earnings-300055035.html
SOURCE Tecogen Inc.