Q1 Revenues Exceeds Previous Best Annual Revenues
SAN DIEGO, May 16, 2018 (GLOBE NEWSWIRE) -- Envision Solar International, Inc., (OTCQB:EVSI) (“Envision Solar,” or the “Company”), the leading renewably energized EV charging, outdoor media and energy security products company, released financial results for the first quarter of 2018 on Monday.
In the first quarter of 2018, the Company achieved revenue of $2.9 million which represents the highest quarterly revenue in the Company’s history. Q1 revenues also exceeded the Company’s previous revenue record of $2.78M for an entire year and were almost ten times higher than revenues for the same period in 2017. Revenue was achieved through new and repeat customer orders of the Company’s EV ARC™ products from government and enterprise customers.
The Company achieved a gross profit during the period, a confirmation of the Company’s assertion that positive gross profits are achievable at increased sales volumes. Excluding overhead, the direct costs for labor and materials for the Company’s flagship EV ARC™ product are significantly lower than the selling price in most cases.
Current contracted backlog exceeds $2.8 million. The Company expects to convert all current backlog to revenue in 2018 and has a strong pipeline of new business that exceeds $10 million.
The Company is achieving consistently higher levels of backlog and pipeline through a combination of contributing factors including:
- Record number of units shipped YTD
- Follow-on orders from existing customers
- Improvements in the Company’s selling and marketing activities
- Increased interest from municipal, state and federal customers
- Increases in the adoption of electric vehicles (up 37% YoY)
- Increased legislation and government mandates favoring electrified transportation
- Additional value stacking on the existing products such as the introduction of emergency power panels on the EV ARC™ product and the enabling of DC fast charging for electric buses and electric passenger cars without grid connections
The Company has been able to execute on higher volumes of business since successfully closing a working capital credit line as reported in Q4 of 2017.
“Record revenues and positive gross margins are strong indicators that we are executing on our plan,” said Envision Solar CEO, Desmond Wheatley. “I believe our fundamentals to be very strong. We have excellent and growing backlog and all the macro indicators are that we are in the right place at the right time with the right products which are, as far as we know, unique.”
Operating expenses, excluding stock-based compensation expenses, were under $470,000 during the period, reflecting the Company’s continued policy of maintaining low corporate overhead.
Interest expenses during the period were $437,546 of which approximately $379,000 were non-cash expenses related to warrants.
A previous release reported unaudited results of over $3M. However, Envision was unable to record revenue on two EV ARC™ units, during the first quarter, which were delivered to a repeat, institutional customer, which did receive the units and sign delivery receipts for them during the 1st quarter. Though the customer requested delivery of multiple units during the first quarter their purchasing department was not able to release the purchase orders for two of them. GAAP requires a final purchase order for revenue recognition. Revenue for the two delivered units will be recognized in Q2 of 2018 as a result.
About Envision Solar International, Inc. Envision Solar, www.envisionsolar.com, is a sustainable technology innovation company whose unique products include the patented EV ARC™, the patented Solar Tree® and the patent pending EV-Standard™ products, with EnvisionTrak™ patented solar tracking, SunCharge™ solar Electric Vehicle Charging, ARC™ technology energy storage, and EnvisionMedia™ solar advertising displays.
Based in San Diego the company employs combat veterans, disabled workers, minorities and other fine contributors to produce Made in America products. Envision Solar is listed on the OTC Bulletin Board under the symbol [EVSI]. For more information visit www.envisionsolar.com or call (858) 799-4583.
Forward-Looking Statements
This Press Release may contain forward-looking statements regarding future events or our expected future results that are subject to inherent risks and uncertainties. All statements in this Report other than statements of historical facts are forward-looking statements. Forward-looking statements are generally accompanied by terms or phrases such as “estimate,” “project,” “predict,” “believe,” “expect,” “anticipate,” “target,” “plan,” “intend,” “seek,” “goal,” “will,” “should,” “may,” or other words and similar expressions that convey the uncertainty of future events or results. Statements contemplating or making assumptions regarding actual or potential sales, market size, and demand, prospective business contracts, customer orders, trends or operating results also constitute forward-looking statements. Our actual results may differ substantially from those indicated in forwarding looking statements because our business is subject to significant economic, competitive, regulatory, business and industry risks which are difficult to predict and many of which are beyond our control. Our operating results, financial condition, and business performance may be adversely affected by a general decline in the economy, unavailability of capital or financing for our prospective customers to purchase products and services from us, competition, changes in regulations, a decline in the demand for solar energy, a lack of profitability, a decline in our stock price, and other risks. We may not have adequate capital, financing or cash flow to sustain our business or implement our business plans. Current results and trends are not necessarily indicative of future results that we may achieve.
Lucia Asbury Envision Solar International, Inc. (858) 799-4583 gosolar@envisionsolar.com
