Acorn Energy reports Q1 EPS 3c vs. (3c) last year

Reports Q1 revenue $2.1M vs. $1.7M last year.Jan Loeb, Acorn’s CEO, commented, “Acorn’s Q1 results reflect the strength of our product and service offerings and the operating leverage of our business model. Acorn achieved solid growth in new monitoring hardware sales and continued to build on our base of annually recurring, high-margin monitoring service revenue. We are off to a promising start in 2024 and believe Acorn is establishing a foundation early this year to achieve our long-term goal of 20% average annual top-line growth in 2024. We have a range of business development initiatives and significant opportunities that we are currently in various stages of pursuing that support our optimism. We continue to advance the rollout of OmniMetrix Demand Response programs within the standby generator market. We secured our first DR customer enrollments late in 2023, added to that base in the first quarter of 2024 and expect the pace of enrollments to continue to build as the benefits of the program become better known to our dealer network and their customers. Our initial customers have been approved by ERCOT, the largest grid operator in Texas, in time for the peak summer season, when the grid is typically most stressed. DR programs allow generator owners to be compensated for allowing grid operators to automatically turn on their generators to help the electric grid meet peak power demands. OmniMetrix provides the critical monitoring and control links that enable DR functionality, providing a very compelling add-on to our service offerings which has the potential to double our profitability on each enrolled DR endpoint. We expect a modest revenue contribution from DR to be realized later in 2024 and believe DR has the potential to become an important, long-term revenue driver for our business. We also continue to invest in enhancing our solutions to provide increased value to our customers and to maintain our position as a leader in the markets we serve. In Q4’23, we launched our new user interface that we call OV2 for our OmniView data portal which provides a range of new efficiency features such as self-service reporting and access to air quality data to support customer compliance with state laws and regulations. We have been getting very good feedback on the access provided to air quality index data, which is required by certain states and EPA regulations for the operation of industrial power generators. We believe that our new AQI feature differentiates our service from competitors and could be a key competitive advantage due to increasing climate concerns and related regulations. Based on new leads and deal flow from our sales and marketing team, we are also very bullish about the potential to secure more significant commercial and industrial (C&I) monitoring projects in 2024.”