Tecogen Q2 revenue misses estimates on lower chiller, cogeneration sales
Tecogen Q2 revenue misses estimates on lower chiller, cogeneration sales
Overview
US clean energy products maker's Q2 revenue fell 21% yr/yr, missing analyst expectations
Net loss for Q2 widened, driven by decreased gross profit and higher operating expenses
Service revenue for Q2 rose 10% yr/yr, supported by acquired maintenance contracts
Outlook
Tecogen expects Q3 product revenue to be higher than Q1 and Q2
Company says service revenue is currently 10% higher than the same period last yr
Tecogen cites increased engagement with large data centers as a potential growth driver
Result Drivers
PRODUCTS REVENUE DECLINE - Co said Q2 revenue drop was due to decreased chiller and cogeneration sales
HIGHER OPERATING EXPENSES - Co attributed increased net loss to higher payroll, benefits, depreciation, stock-based compensation and business insurance
SERVICE REVENUE GROWTH - Q2 service revenue rose 10% yr/yr, driven by acquired Aegis maintenance contracts and growth in existing contracts
Company press release: ID:nACS6R4Yta
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Revenue | Miss | $5.75 mln | $5.85 mln (3 Analysts) |
Q2 Net Loss |
| $2.15 mln |
|
Q2 Income from Operations |
| -$2.15 mln |
|
Q2 Operating Expenses |
| $4.32 mln |
|
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the electrical components & equipment peer group is "buy"
Wall Street's median 12-month price target for Tecogen Inc is $9.00, about 121.7% above its August 11 closing price of $4.06
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)