How Tecogen’s Management is Building a World Class Clean Energy Company
Tecogen Inc. (NASDAQ: TGEN – $3.25 & Fra: 2T1 – €2.66) designs, manufactures and sells industrial and commercial CHP (Combined Heat & Power), or cogeneration, systems that produce combinations of electricity, hot water, and air conditioning. It’s a well-established Company that has already shipped over 3,000 units, some of which have been operating for more than 25 years.
Tecogen’s revenues in the second quarter, ended June 30, 2018 reached $8.45 million, up more than 11% compared with sales of $7.59 million in the second quarter of 2017.
This solid result brings the Company’s trailing four quarter revenues to a record level of $37.4 million, an increase of almost 33% compared to $28.2 million for the trailing four quarters period a year ago. While Tecogen’s quarterly results may fluctuate due to the timing of shipments, the trailing data clearly shows the Company’s true progress.
The Company’s sales backlog of equipment and installations stood at $14.2 million at the end of the second quarter and a whopping $21.3 million last week. A new all-time record for Tecogen. The solid backlog is mainly driven by strong traction in the InVerde and TECOCHILL product lines and installation services.
Tecogen’s management team is step by step building a robust clean energy company. Although bottom line results still fluctuate somewhat, the trend is clearly upwards.
The core business continues to grow with ever more installations and service agreements. The Company’s technology advancements are impressive, and so is the resulting patent portfolio.
The first of several blue sky opportunities is getting closer to fruition, as the Ultera equipped fork truck offers the best of both worlds: near-zero emissions and sustained peak performance levels. Also the Ultera for the automotive market continues to progress.
We reiterate our buy recommendation for Tecogen Inc. with a target price of $9.16, which is 181% above today’s stock price.
Download the second quarter 2018 Tecogen Inc. Company Report.
|Smallcaps.us Advice: Buy||Price Target: $9.41||Latest Company Report (pdf)|
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