Tecogen Q2 revenue misses estimates on lower chiller, cogeneration sales
TGEN•Outlook and analyst view
Tecogen expects third-quarter product revenue to be higher than in the first and second quarters.
The company cited increased engagement with large data centers as a potential growth driver.
The current average analyst rating on the shares is "buy," with 3 "strong buy" or "buy" ratings, no "hold" ratings and no "sell" or "strong sell" ratings. The median 12-month price target is $9.00, about 121.7% above the August 11 closing price of $4.06.
Loss widens on higher expenses
The net loss for the quarter widened, driven by decreased gross profit and higher operating expenses.
Tecogen attributed the higher expenses to increased payroll, benefits, depreciation, stock-based compensation and business insurance.
Service revenue rises on acquired contracts
Service revenue for the quarter rose 10% year over year, supported by acquired Aegis maintenance contracts and growth in existing contracts.
The company said its service revenue is currently 10% higher than the same period last year.
Q2 results miss estimates as product revenue falls
Tecogen said second-quarter revenue fell 21% year over year, missing analyst expectations, as lower chiller and cogeneration sales weighed on results.
| Metric | Beat/Miss | Actual | Consensus Estimate |
|---|---|---|---|
| Q2 Revenue | Miss | $5.75 mln |
