Tecogen’s Solid Growth Rate and Margins Expected to Keep Up in 2016 post image

Tecogen Inc. (TGEN – $3.80) designs, manufactures and sells industrial and commercial CHP (Combined Heat & Power), or cogeneration, systems that produce combinations of electricity, hot water, and air conditioning.

The fundamental economics of CHP, such as high electric rates, low gas rates, and grid resiliency concerns continue to be in the Company’s favor. These trends are already visible in the Company’s financials. In the first full year as a public company, Tecogen grew its revenues from $19.3 million in fiscal year 2014 to $21.4 million in 2015, an increase of 11%. At the same time, its sales backlog grew by 17% to $11.6 million.

We’re convinced that with the recent launch of [click to continue…]

Billion Dollar Fund Joins Forces with Azarga Uranium post image

Wintercrest Advisors, a wholly owned subsidiary of Platinum Partners, which is a New York based investment management group with assets under management in excess of US$1 billion, will soon gain control of approximately 29.6% of Azarga Uranium’s (TSX:AZZ – $0.33 CAD & Frankfurt:P8AA – $0.22 EUR) outstanding shares.

Azarga, our favorite uranium related company with projects in the United States (South Dakota, Wyoming and Colorado) and the Kyrgyz Republic, is well on its way to obtain all necessary permits for its flagship property Dewey Burdock.

The Company is confident that it will resolve the outstanding contentions on its Nuclear Regulatory Commission (NRC) license and that it will complete the Environmental Protection Agency (EPA) and South Dakota state permitting requirements through [click to continue…]

Protective Racing Gear Manufacturer Leatt Corp Aims For Double-Digit Growth post image

Leatt Corp. (LEAT – $2.90) designs and markets personal protective equipment to the extreme sports industry. Their equipment is primarily marketed to motorsport athletes and riders of motorcycles, snowmobiles, ATV’s, and race car drivers. Leatt’s products are sold worldwide to distributors and retailers.

The Company was incorporated as a shell company in 2005 under the name Treadzone. By 2006, it acquired the exclusive rights to manufacture, distribute and sell LEAT’s flagship product, the Leatt Brace. The Company is headquartered in Cape Town, South Africa.

Investment Thesis

The investment thesis in LEAT is based upon double digit top line growth, due to the release of a new product line and incremental growth from older legacy products. Furthermore, LEAT has low absolute fixed costs and higher revenues should not result in too much higher variable costs. With expected revenue growth in [click to continue…]

Acme United Starts Off Year With a Bang post image

Acme United (ACU – $17.50), the worldwide supplier of cutting devices, measuring instruments and first-aid products for school, home, office, industrial and hardware use, began the year very strong, posting an 11% increase in revenues and even a 30% rise in net income. Both revenues and earnings set a new first quarter record.

Westcott scissors and iPoint pencil sharpener sales achieved outstanding sales numbers. And DMT, a leader in sharpening tools for knives, scissors, chisels, and other cutting tools, which was acquired by Acme in February of 2016, contributed about $1 million in sales.

Also the first aid business has laid the groundwork in the first quarter for a strong 2016. The First Aid Only brand recently received an order for 40,000 SmartCompliance kits from a major retailer in the United States. The kits will be installed in the chain’s stores, trucks and warehouses. Tests with SmartCompliance kits are ongoing at other large [click to continue…]

Expanding Markets, Sales, and Margins at EuroSite Power post image

2015 established EuroSite Power (EUSP – $0.76) as a leading on-site utility solutions provider. The Company saw a solid rise in revenues (+39%) and energy production (+59%) compared with 2014, while delivering improvement in all Key Performance Indicators.

The four “pillars of growth” that the Company introduced last year are starting to bear fruit. In the fourth quarter of 2015, EuroSite’s adjusted gross margins reached 31.5%, versus 18.6% in Q4 of 2014. Moreover, the Company is adding new on-site utility agreements that it probably wouldn’t have been able to close before due to lack of available capital.

EuroSite is also expected to close its first on-site utility agreements outside the United Kingdom in 2016 with the help of the well-known equipment manufacturer TEDOM, which has a [click to continue…]

Tecogen Adds $2 Million Order to Its Already Substantial Backlog post image

Tecogen Inc. (TGEN – $3.93), was awarded an approximately $2 million contract for the sale of multiple Combined Heat and Power (CHP) units to a school district in Long Island, NY. The order includes a mix of InVerde 100 kW and CM-75 kW CHPs, as well as load modules, factory engineered accessories, and long-term service agreements.

The CHP systems will provide electrical power for the schools and supplement various onsite heating systems, resulting in significant cost savings as well as a reduced carbon footprint. The smallest two systems, both to be installed in district middle schools, will utilize a single CHP unit while the largest, a high school, will use five units.

The contract was awarded by a construction firm under subcontract by a large multi-national energy services company (ESCO) which is providing [click to continue…]

EuroSite Power Margins Expected to Rise as It Signs First Gas Resale Agreement post image

EuroSite Power (EUSP – $0.80), which sells the energy produced from onsite energy systems as an alternative to the outright sale of energy equipment, has signed its first gas resale agreement with an existing on-site utility customer.

Under the agreement the customer, Abbeycroft Leisure, will purchase natural gas from EuroSite Power for three of its sites, two of which have a Combined Heat & Power (CHP) unit installed. The agreement has an initial term of 12 months, beginning May 1, 2016.

This is the first EuroSite Power customer to take advantage of the Company’s natural gas purchase arrangement with Corona Energy. The major advantage is that EuroSite is able to purchase gas at much lower rates than most of its customers. In fact, compared with its current tariffs Abbeycroft Leisure will pay 42% [click to continue…]