Company remains focused on larger, higher margin commercial solar projects and targeting full year profitability
TORONTO and KNOXVILLE, Tenn., Aug. 29, 2024 (GLOBE NEWSWIRE) -- Solar Alliance Energy Inc. (‘Solar Alliance’ or the ‘Company’) (TSX-V: SOLR, OTC: SAENF), a leading solar energy solutions provider focused on the commercial and utility solar sectors, announces it has filed its unaudited financial results for the for the three- and six-month period ended June 30, 2024. The Company’s Financial Statements and related Management’s Discussion and Analysis are available under the Company’s profile at www.sedarplus.ca and on the Solar Alliance website at www.solaralliance.com.
“The Solar Alliance team experienced a busy second quarter as we worked through the installation of several larger projects in our pipeline. Our purposeful transition to larger commercial and utility solar projects has resulted in a profitable first half of 2024, the first ever in the Company’s commercial solar history. Solar Alliance has been clear in our signalling to the market that our key focus was targeting profitability, and we are pleased to have achieved this milestone in the first half of 2024. We remain committed to accelerating our growth on a profitable basis for the full year 2024, based on growing sales opportunities, diligent cost control and operational efficiencies.”
Key financial highlights for H1 and Q2, 2024
Revenue for the first six months of 2024 of $2,376,389 compared to $2,428,790 in the comparative period in 2023.
Net income for the first six months of 2024 of $1,495 compared to a loss of $1,731,135 in the comparative period in 2023.
Gross profit for the first six months of 2024 of $853,695 and gross margin of 36% compared to a gross profit of $237,963 and gross margin of 10% in the comparative period in 2023.
Revenue for the three months ended June 30, 2024, was $711,532 (Q2, 2023 - $1,454,213).
Net loss for the three months ended June 30, 2024 of $200,339 (Q2, 2023 – net loss of $240,522).
Cost of sales for the three months ended June 30, 2024 of $504,300 (Q2, 2023 - $951,052) resulting in a gross profit of $207,232 and a gross margin of 29% (Q2, 2023: gross profit of $503,161 and gross margin of 34%).
“A natural by-product of the shift to larger projects is fluctuating revenue based on project milestones. For the second quarter, the Solar Alliance team executed on several larger projects that completed post-quarter end and that revenue is expected to be recognized in future quarters. Our business development efforts now include assessing specific regional requests for proposals for solar projects in the multi-megawatt range, where Solar Alliance believes it has a competitive advantage as a result of our installation experience and regional brand awareness. Solar Alliance provides a unique product offering that fills a need in the commercial solar industry in the Southeast U.S. and represents an attractive investment opportunity based on our recent results and future opportunities,” concluded Clark.
About Solar Alliance Energy Inc. (www.solaralliance.com) Solar Alliance is an energy solutions provider focused on the commercial, utility and community solar sectors. Our experienced team of solar professionals reduces or eliminates customers' vulnerability to rising energy costs, offers an environmentally friendly source of electricity generation, and provides affordable, turnkey clean energy solutions. Solar Alliance’s strategy is to build, own and operate our own solar assets while also generating stable revenue through the sale and installation of solar projects to commercial and utility customers. The technical and operational synergies from this combined business model supports sustained growth across the solar project value chain from design, engineering, installation, ownership and operations/maintenance.
Statements in this news release, other than purely historical information, including statements relating to the Company's future plans and objectives or expected results, constitute Forward-looking statements. The words “would”, “will”, “expected” and “estimated” or other similar words and phrases are intended to identify forward-looking information. Forward-looking information in this press release include, but is not limited to focus on larger, higher margin commercial solar projects, the assessment of acquisition opportunities and pursuit of corporate opportunities, the ability to scale, increasing project margins, targeting profitability, the expectation that the completion of several larger projects post-quarter end will result in revenue to be recognized in future quarters and the Company offering a unique investment opportunity in the renewables sector space. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the Company’s actual results, level of activity, performance or achievements to be materially different than those expressed or implied by such forward-looking information. Such factors include but are not limited to: uncertainties related to the ability to raise sufficient capital, changes in economic conditions or financial markets, litigation, legislative or other judicial, regulatory, legislative and political competitive developments, technological or operational difficulties, the ability to maintain revenue growth, the ability to execute on the Company’s strategies, the ability to complete the Company’s current and backlog of solar projects, the ability to grow the Company’s market share, the high growth US solar industry, the ability to convert the backlog of projects into revenue, the expected timing of the construction and completion of the Company’s solar projects, the targeting of larger customers, potential corporate growth opportunities and the ability to execute on the key objectives in 2024. Consequently, actual results may vary materially from those described in the forward-looking statements.
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