CAMPBELL, Calif. - Wednesday, 15. March 2023 AETOSWire
86% Increase in Revenue to Record $81 Million for Full Year 2022
Entered Into Business Combination Agreement with Roth CH Acquisition IV Co. to Become a Public Company
Ended 2022 with Strong Revenue Visibility, Including $96 Million Backlog
(BUSINESS WIRE) -- Tigo Energy, Inc. ("Tigo", or the "Company"), a leading provider of intelligent solar and energy storage solutions, today reported unaudited financial results for the year ended December 31, 2022.
Full Year 2022 Financial and Operational Highlights
Record revenue of $81.3 million, up 86% compared to $43.6 million in 2021
Gross profit of $24.8 million, up 96% compared to $12.6 million in 2021, with gross profit margin improving to 30% from 29% in 2021
Net loss of $7.0 million, up 45% compared to a net loss of $4.9 million in 2021
Adjusted EBITDA, a non-GAAP measure, totaled $2.5 million, an improvement from an Adjusted EBITDA loss of $3.1 million in 2021
Ended 2022 with backlog of $96.1 million, up from $14.5 million at the end of 2021
Entered into business combination agreement with Roth CH Acquisition IV Co. (NASDAQ: ROCG) (“Roth CH IV” or “ROCG”) on December 5, 2022
Entered into an agreement to acquire energy data analytics software company Foresight Energy Ltd., expanding Tigo’s ability to leverage energy consumption and production data for solar energy producers
Management Commentary
“Tigo had an extraordinary year by many measures,” said Zvi Alon, Chairman and CEO of Tigo. “Driven by significant growth within our MLPE solution, we achieved record revenue, nearly doubled our gross profit, and built a robust customer order backlog. In addition, our Energy Intelligence solutions, introduced in late 2021 in the Americas and in the third quarter of 2022 in Europe, are showing strong sales momentum, representing 4% of our 2022 sales and 7% of our backlog at December 31, 2022. For customers searching for higher quality products in the marketplace, our solutions’ open architecture, easy installation, and powerful software clearly resonate.”
“Tigo ended the year on solid financial footing,” added Bill Roeschlein, CFO of Tigo. “Additionally, the Company has already lowered its cost of capital in the first quarter of 2023, by paying off its term debt and raising $50 million in convertible notes. We are confident in the path ahead for Tigo, and look forward to providing more updates in the coming quarters.”
Full Year 2022 Financial Results
Results compare the 2022 fiscal year ended December 31, 2022 to the 2021 fiscal year ended December 31, 2021 unless otherwise indicated.
Revenue for 2022 totaled $81.3 million, an 86% increase from $43.6 million in 2021. The increase was primarily due to higher worldwide sales of its TS4 MLPE products, particularly in Europe.
Gross profit for 2022 totaled $24.8 million (30% of total revenue), a 96% increase from $12.6 million (29% of total revenue) in 2021.
Total operating expenses for 2022 totaled $25.7 million, a 57% increase from $16.4 million in 2021. The increase was primarily due to higher headcount to support the Company’s growth initiatives and M&A transaction expenses associated with the Company’s de-SPAC activities.
Net loss for 2022 totaled $7.0 million, compared to net loss of $4.9 million for 2021. Net loss for 2022 included a loss on the extinguishment of debt in the amount of $3.6 million in 2022.
Adjusted EBITDA, a non-GAAP financial measure, totaled $2.5 million for 2022, an improvement compared to an Adjusted EBITDA loss of $3.1 million for 2021.
Cash and cash equivalents totaled $36.2 million at December 31, 2022, compared to $6.2 million at December 31, 2021. The Company had $20.8 million in principal value debt outstanding at December 31, 2022 which was paid off in February 2023. As previously announced, on January 9, 2023, the Company entered into a definitive agreement with L1 Energy for the purchase of $50 million of newly issued convertible notes to support the Company's future growth opportunities through the deployment of its intelligent solar and energy storage solutions and repayment of existing debt.
About Tigo Energy, Inc.
Founded in 2007, Tigo is a worldwide leader in the development and manufacture of smart hardware and software solutions that enhance safety, increase energy yield, and lower operating costs of residential, commercial, and utility-scale solar systems. Tigo combines its Flex MLPE (Module Level Power Electronics) and solar optimizer technology with intelligent, cloud-based software capabilities for advanced energy monitoring and control. Tigo MLPE products maximize performance, enable real-time energy monitoring, and provide code-required rapid shutdown at the module level. The company also develops and manufactures products such as inverters and battery storage systems for the residential solar-plus-storage market. For more information, please visit www.tigoenergy.com.
About Roth CH Acquisition IV Co.
Roth CH Acquisition IV Co. is a blank check company incorporated for the purpose of effecting a merger, share exchange, asset acquisition, share purchase, reorganization or similar business combination with one or more businesses. Roth CH is jointly managed by affiliates of Roth Capital Partners and Craig-Hallum Capital Group. Its initial public offering occurred on August 5, 2021 raising approximately $115 million. For more information, visit www.rothch.com.