分组1 - Tigo Energy, Inc. reported a quarterly loss of $0.44 per share, which was worse than the Zacks Consensus Estimate of a loss of $0.18, representing an earnings surprise of -144.44% [1] - The company posted revenues of $17.27 million for the quarter ended December 2024, exceeding the Zacks Consensus Estimate by 13.72%, and showing significant growth from $9.25 million a year ago [2] - Over the last four quarters, Tigo Energy has surpassed consensus EPS estimates only once, indicating inconsistent performance [2] 分组2 - The stock has added about 0.5% since the beginning of the year, underperforming compared to the S&P 500's gain of 3.1% [3] - The current consensus EPS estimate for the upcoming quarter is -$0.15 on revenues of $16.4 million, and for the current fiscal year, it is -$0.61 on revenues of $81.67 million [7] - The Zacks Industry Rank for Solar is in the top 35% of over 250 Zacks industries, suggesting a favorable outlook for the industry [8]

Financial Data and Key Metrics Changes - Revenue for Q4 2024 increased 86.8% to $17.3 million from $9.2 million in the prior year period, with a sequential increase of 21.3% [15][16] - Gross loss in Q4 2024 was $12.6 million or negative 72.7% of revenue, compared to a gross profit of $2.9 million or 31.1% of revenue in the comparable year-ago period [16][18] - Operating loss for Q4 increased by 77.9% to $24.1 million compared to $13.5 million in the prior year period [18] - GAAP net loss for Q4 was $26.8 million compared to a net loss of $14.8 million in the prior year period [18] - Adjusted EBITDA loss in Q4 increased 90.4% to $22.1 million compared to an adjusted EBITDA loss of $11.6 million in the prior year period [19] Business Line Data and Key Metrics Changes - The Go ESS storage and solutions business represented 6% of total sales in 2024, down from 9% in the prior year, indicating underperformance in recovery [13][14] - Annual recurring revenue (ARR) now stands above $1 million per year, with expectations for continued growth in 2025 [12] Market Data and Key Metrics Changes - EMEA revenue was $11.2 million or 65% of total revenues, with a 29.3% sequential increase [16] - Americas revenue was $4.6 million or 27% of total revenues, a 57.2% sequential increase [16] - APAC revenue was $1.5 million or 9% of total revenues, showing a decline of 44% sequentially [16] Company Strategy and Development Direction - The company aims to expand its sales footprint into new markets and focus on key markets, particularly in EMEA and the Americas [9][10] - The Predict Plus AI-based energy consumption and production platform has grown significantly, indicating a strategic focus on AI solutions [11] - The company anticipates steady revenue growth throughout 2025, despite industry headwinds [24][25] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to navigate market pressures due to a diverse portfolio of solutions [24] - The company expects quarterly revenues to continue improving throughout 2025, with a focus on profitability in the second half of the year [25][38] Other Important Information - Cash, cash equivalents, and short and long-term marketable securities totaled $19.9 million at December 31, 2024, with a sequential increase of $400,000 [21] - The company has made significant progress in reducing inventory and working capital [21] Q&A Session Summary Question: Adjusted EBITDA and inventory charge - The adjusted EBITDA guidance reflected an expectation of additional inventory reserves, which ended up being higher than initially anticipated [31][32] Question: Operating expenses and fiscal 2025 guidance - The company aims to keep cash operating expenses below $10 million, with expectations for further reductions after Q1 [35][36] Question: Geographic revenue mix for 2025 - The company expects the geographic mix to remain similar, with EMEA around 65% and North America around 30% [42][43] Question: Outlook for Germany and other EMEA countries - Management sees a robust market in Germany and strong performance in the UK, despite external forecasts suggesting declines [48][49] Question: Pairing products with Tesla's Powerwall - The company has seen increased requests to pair its optimizers with Tesla's Powerwall, indicating a potential growth opportunity [51][52] Question: Utility-scale solar growth - The company has seen an increase in demand for utility-scale installations, which is becoming a more significant component of its business [60][61] Question: Gross margins and product mix - The company expects gross margins to track between 35% and 40%, with improvements driven by cost reductions and product mix [69][70] Question: Impact of tariffs on margins - The company has moved production to Thailand and has not received indications that its products would be targeted by tariffs [75]

Revenue Performance - Fourth quarter 2024 revenue reached $17.3 million, representing a 21.3% increase sequentially and an 86.8% increase year-over-year[3] - Full year 2024 revenue totaled $54.0 million, a decline of 62.8% compared to $145.2 million in 2023[7] - Net revenue for Q4 2024 was $17,274 thousand, a significant increase of 87% compared to $9,245 thousand in Q4 2023[27] - The company anticipates full year 2025 revenues to be between $85 million and $100 million[8] - For the first quarter of 2025, the company expects revenues between $17 million and $19 million[13] Net Loss and Financial Health - Net loss for the fourth quarter of 2024 was $26.8 million, an increase of 81.4% from a net loss of $14.8 million in the same period last year[7] - The total net loss for the year ended December 31, 2024, was $62,746 thousand, compared to a net loss of $984 thousand in 2023[29] - The company recorded a gross loss of $12.6 million in the fourth quarter, representing negative 72.7% of net revenue[7] - The company reported a gross loss of $12,563 thousand in Q4 2024, compared to a gross profit of $2,876 thousand in Q4 2023[27] Inventory and Charges - Inventory charges for the fourth quarter and full year 2024 were $19.5 million and $23.5 million, respectively, primarily due to excess and slow-moving inventory[3] - The company recorded a reserve for excess and obsolete inventory of $23,108 thousand for the year 2024, compared to $713 thousand in 2023[29] Adjusted EBITDA - Adjusted EBITDA loss for the fourth quarter of 2024 was $22.1 million, compared to an adjusted EBITDA loss of $11.6 million in the prior year[7] - Adjusted EBITDA loss for Q4 2024 was $22,060 thousand, compared to a loss of $11,585 thousand in Q4 2023[31] Assets and Liabilities - Cash and cash equivalents increased to $11,746 thousand at the end of 2024, up from $4,405 thousand at the end of 2023[29] - Total current assets decreased to $53,408 thousand in 2024, down from $104,710 thousand in 2023, primarily due to a reduction in inventory[27] - Total liabilities remained relatively stable at $64,526 thousand in 2024, compared to $64,953 thousand in 2023[27] Research and Development - Research and development expenses for the year were $9,860 thousand, slightly up from $9,496 thousand in 2023[27] Shipments and Agreements - Total shipments in the fourth quarter of 2024 included 480,000 MLPE units, equating to approximately 240 MWdc[3] - The number of Predict+ meters under management grew to 101,000, with 6 new agreements signed in the fourth quarter valued at $1.4 million[3] Shareholder Information - The weighted-average common shares outstanding increased to 60,760,125 in Q4 2024 from 58,749,524 in Q4 2023[27]

Financial Data and Key Metrics Changes - Revenue for Q3 2024 decreased 16.8% to $14.2 million from $17.1 million in the prior year period, but increased 12.1% sequentially [15][16] - Gross profit for Q3 2024 was $1.8 million or 12.5% of revenue, down from $4.2 million or 24.3% in the prior year period, primarily due to a $3.4 million inventory charge [16][19] - Operating loss for Q3 2024 decreased by 7.2% to $10.4 million compared to $11.2 million in the prior year period [18] - GAAP net loss for Q3 2024 was $13.1 million compared to a net income of $29.1 million in the prior year period [18] - Adjusted EBITDA loss for Q3 2024 decreased 12.7% to $8.3 million compared to $9.5 million in the prior year period [19] Business Line Data and Key Metrics Changes - The utility scale market is a key focus, with Tigo selected to deliver over 97,000 MLPE units for Brazil's largest floating system [8] - The annual recurring revenue (ARR) now stands at $1.3 million per year, with six new contracts signed during the quarter totaling $700,000 [11] Market Data and Key Metrics Changes - Positive sales growth was observed in the Czech Republic, Spain, the United Kingdom, Puerto Rico, Thailand, and Australia, while sluggish growth was noted in Germany, Italy, and the Netherlands [12][13] - Tigo's global DC optimizer market share increased from 9% in 2022 to 13% in 2023 [7] Company Strategy and Development Direction - The company aims to mitigate competitive pressure through a robust product portfolio and expects revenue and profitability to increase steadily throughout 2024 and into 2025 [26] - Expansion into new markets is a key focus area, with positive trends in various regions helping to offset sluggish growth in larger markets [12][13] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving profitable growth in the near future, despite ongoing industry headwinds [24][26] - The company anticipates revenues for Q4 2024 to range between $14 million and $17 million, with adjusted EBITDA loss expected between $6.5 million and $8.5 million [24] Other Important Information - The company welcomed back Anita Chang as Chief Operating Officer, which is expected to enhance operational efficiency [14] Q&A Session Summary Question: Outlook for margins and revenue cadence through 2025 - Management expects normalized margins in the mid-30s, potentially reaching high 30s or 40% as revenue grows [29][30] - Revenue growth is projected to be flat to up 20% in Q4 2024, with year-over-year growth potentially reaching 70% to 100% [32] Question: Status of channel inventory in Europe - Management indicated that channel inventory is mostly cleared, with some elevated levels remaining due to macroeconomic factors [35][36] Question: Pricing actions in response to competitors - The company has not decreased prices and maintains stable pricing for its products, with new product lines introduced at higher prices [42][43] Question: Current market share trends - Management noted continued progress in market share gains, particularly in Europe, and indicated that Tigo is among the best-selling optimizers in key markets [46][49] Question: Pipeline for licensing rapid shutdown devices - The company has been steadily adding licensees and receiving positive feedback on market performance [50][51] Question: Future inventory charges - Upcoming inventory charges are expected to be related to the GO ESS product line, not obsolescence, and are part of a year-end audit [60][62]

Tigo Energy, Inc. (TYGO) came out with a quarterly loss of $0.22 per share versus the Zacks Consensus Estimate of a loss of $0.17. This compares to loss of $0.89 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -29.41%. A quarter ago, it was expected that this company would post a loss of $0.17 per share when it actually produced a loss of $0.19, delivering a surprise of -11.76%.Over the last four quarters, the company has surp ...

(Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _____ to _____ Commission File Number: 001-40710 | --- | --- | |------------------------------------|------------------------------------| | UNITED STATES WASHINGTON, DC 20549 | SECURITIES AND EXCHANGE COMMISSION | | | FORM 10-Q | Tigo ...

CAMPBELL, Calif., Aug. 15, 2024 (GLOBE NEWSWIRE) -- Tigo Energy, Inc. (NASDAQ: TYGO) ("Tigo", or the "Company"), a leading provider of intelligent solar and energy storage solutions, is confirmed to present at the 2024 Annual Gateway Conference, which is being held September 4-5, at the Four Seasons Hotel in San Francisco, CA. Tigo Energy's management team is scheduled to present on Thursday, September 5th at 8:30 a.m. Pacific Time (PT). In addition to the presentation, Tigo Energy executives will be availa ...

Financial Performance - Net revenue for the three months ended June 30, 2024, decreased by $56.1 million or 81.5% compared to the same period in 2023, primarily due to a slowdown in the solar industry in both the U.S. and European markets [111]. - Gross profit for the three months ended June 30, 2024, was $3.9 million, a decrease of $22.0 million or 85.1% from $25.9 million in the same period in 2023 [114]. - The gross margin for the three months ended June 30, 2024, was 30.4%, down from 37.6% in the same period in 2023 [114]. - The EMEA region experienced a net revenue decrease of $48.1 million or 87.3% for the three months ended June 30, 2024, compared to the same period in 2023 [113]. - The Americas region saw a net revenue decline of $8.3 million or 74.6% for the three months ended June 30, 2024, attributed to higher interest rates and changes in net metering policies [113]. - The APAC region reported a net revenue increase of $0.3 million or 11.9% for the three months ended June 30, 2024, although it decreased by $1.2 million or 22.3% for the six months ended June 30, 2024 [113]. - For the three months ended June 30, 2024, net revenues decreased by 81.5% compared to the same period in 2023, leading to a gross profit decrease of $22.0 million or 85.1% [115]. Expenses and Cost Management - Research and development expenses increased by $0.5 million or 11.6% for the six months ended June 30, 2024, with R&D expenses as a percentage of net revenue rising to 23.0% from 3.9% in the same period of 2023 [118]. - Sales and marketing expenses decreased by $1.1 million or 21.5% for the three months ended June 30, 2024, with the percentage of net revenue increasing by 24.4% due to lower net revenues [120]. - General and administrative expenses decreased by $4.1 million or 42.9% for the three months ended June 30, 2024, primarily due to reduced legal expenses related to a prior business combination [123]. - Interest expense increased by $1.3 million or 80.3% for the three months ended June 30, 2024, primarily due to the amortization of a debt discount recorded during a business combination [128]. - The change in fair value of preferred stock warrant and contingent shares liability decreased by $2.6 million or 98.4% for the three months ended June 30, 2024, compared to the same period in 2023 [126]. - Total other expenses, net decreased by $38.9 million or 93.1% for the three months ended June 30, 2024, compared to the same period in 2023 [125]. - Research and development expenses for the three months ended June 30, 2024, remained consistent at $2.7 million, but as a percentage of net revenue, it increased significantly to 21.3% from 3.5% in the same period of 2023 [117]. - Sales and marketing expenses for the six months ended June 30, 2024, decreased by $1.3 million or 12.9%, with the percentage of net revenue increasing by 30.1% due to lower revenues [121]. Cash Flow and Financing - As of June 30, 2024, the company held $20.4 million in cash, cash equivalents, restricted cash, and marketable securities, with working capital decreasing by $10.7 million to $67.6 million compared to December 31, 2023 [133]. - Cash used in operating activities increased by $7.9 million in the six months ended June 30, 2024, primarily due to an increased net loss compared to the same period in 2023 [136]. - Net cash provided by investing activities was $23.4 million for the six months ended June 30, 2024, primarily from the sale and maturities of marketable securities [138]. - Net cash provided by financing activities increased by $30.8 million in the six months ended June 30, 2024, with proceeds of $0.3 million from the exercise of stock options [139]. - The company may need to seek additional equity or debt financing to sustain operations and invest in new technologies, influenced by revenue growth and product development success [134]. - The net cash used in operating activities for the six months ended June 30, 2024, was $(12,872) thousand, compared to $(4,934) thousand for the same period in 2023 [140]. - The net increase in cash, cash equivalents, and restricted cash was $10.7 million for the six months ended June 30, 2024, compared to a decrease of $(25.99) million in the same period in 2023 [140]. - The company has not had any off-balance sheet arrangements during the periods presented [141]. Strategic Initiatives - The company reduced staffing levels by approximately 15% in December 2023 and 10% in April 2024, expecting to save about $7.3 million in cash expenditures in 2024 [103]. - The company plans to expand its presence in the U.S. residential market and invest in new market opportunities internationally to drive future revenue growth [106]. - Significant investments have been made in research and development for new products, including GO Energy Storage Systems and Predict+ product lines [107]. - The company faces challenges from elevated inventory levels and macroeconomic conditions, which may continue to adversely affect revenues in 2024 [102]. - Inventory levels were reduced by $10.1 million in the first half of 2024, with expectations for lower inventory levels and positive working capital cash conversion throughout the remainder of 2024 [133].

Financial Data and Key Metrics Changes - Revenue for Q1 2024 decreased 80% to $9.8 million from $50.1 million in the prior year period [22] - Gross profit in Q1 2024 was $2.8 million or 28.2% of revenue, down from $18.4 million or 36.7% in the comparable year-ago period [43] - GAAP net loss for Q1 totaled $11.5 million compared to net income of $6.9 million in the prior year period [44] - Adjusted EBITDA loss in Q1 totaled $6.3 million compared to adjusted EBITDA of $8.6 million in the prior year period [44] Business Line Data and Key Metrics Changes - The company shipped 249,000 MLPEs, approximately 100 megawatts DC, and 3.3 megawatts DC and 1.5 megawatt hours of inverter and battery, respectively [16] - Annual recurring revenue (ARR) from AI software services exceeded $1 million [16] Market Data and Key Metrics Changes - EMEA revenue was $5.8 million or 59% of total revenues, Americas revenue was $2.7 million or 28%, and APAC was $1.3 million or 13% for the quarter [22] - The Americas region, which comprised 28% of revenue, is stabilizing with low sales traction in Brazil due to legal requirements for rapid shutdown capabilities [17] Company Strategy and Development Direction - The company plans to focus on promoting the flexibility and cost-effectiveness of its solutions, penetrating new markets, and expanding its product suite [20] - The introduction of the TS4-X MLPE is aimed at meeting key industry needs and enhancing safety and energy yield [18][19] Management's Comments on Operating Environment and Future Outlook - Management views the current quarter as transitional, expecting a sharper recovery in the second half of the year as inventory issues are resolved [60][61] - The company anticipates cash breakeven at quarterly revenue levels of approximately $17 million to $19 million and adjusted EBITDA breakeven at approximately $33 million to $35 million [57] Other Important Information - The company initiated cost reduction efforts in April, expecting normalized GAAP operating expenses to be around $12.5 million per quarter [25] - The company is approaching its one-year anniversary as a public company and will soon be S3 eligible for stock registration [27] Q&A Session Summary Question: When does the company expect to reach adjusted EBITDA breakeven? - Management indicated that revenue of $33 million to $35 million is needed for adjusted EBITDA breakeven, with potential for this to occur in Q4 2024 or possibly earlier [46] Question: What is the status of channel inventory? - Management noted that the destocking process is primarily an EMEA issue, with expectations for a recovery in the second half of the year [48][61] Question: What are the expectations for cash flow and working capital? - The company expects cash breakeven at approximately $17 million to $19 million in revenue, with significant cash generation anticipated from inventory conversion [56][68] Question: How is the company progressing with approved vendor lists and utility scale opportunities? - Management reported good progress in getting on approved vendor lists and noted a promising pipeline for utility scale projects [72][74] Question: What is the status of new products like the TS4-X and Predict+? - The TS4-X is being marketed and has received orders, while Predict+ is seeing growth and interest from sizable companies [78][79]

[Executive Summary and Management Commentary](index=1&type=section&id=Executive%20Summary%20and%20Management%20Commentary) Tigo Energy's Q1 2024 reported $9.8 million revenue and a $6.3 million adjusted EBITDA loss, alongside new product launches and break-even targets [Management Commentary](index=1&type=section&id=Management%20Commentary) Tigo Energy's CEO noted Q1 2024 progress in inventory reduction and new product launches, with CFO outlining cash and adjusted EBITDA break-even targets - Meaningful progress in reducing industry-wide inventory overhang challenges persisting since Q2 2023[4](index=4&type=chunk) - Introduced **TS4-X product family** for high-current and high-power panel requirements in C&I and utility markets, with multi-factor rapid shutdown capability[4](index=4&type=chunk) - **GO ESS products** accounted for approximately **14% of Q1 revenues**[5](index=5&type=chunk) | Metric | Q1 2024 (in millions) | Guidance (Quarterly Revenue, in millions) | | :----- | :-------------------- | :---------------------------------------- | | Revenue | $9.8 | N/A | | Adjusted EBITDA Loss | $6.3 | N/A | | Cash Break-even | N/A | ~$17 - $19 | | Adjusted EBITDA Break-even | N/A | ~$33 - $35 | [Recent Financial and Operational Highlights](index=1&type=section&id=Recent%20Financial%20and%20Operational%20Highlights) Tigo Energy reported Q1 2024 revenue of $9.8 million, a GAAP gross margin of 28.2%, and an adjusted EBITDA loss of $6.3 million, while shipping 249,000 MLPE units and launching new products | Metric | Q1 2024 (in millions) | | :----- | :-------------------- | | Quarterly Revenue | $9.8 | | GAAP Gross Margin | 28.2% | | GAAP Operating Loss | $9.1 | | GAAP Net Loss | $11.5 | | Adjusted EBITDA Loss | $6.3 | - Shipped **249,000 MLPE units**, approximately **100MW DC** (assuming an average panel size of 400W)[6](index=6&type=chunk) - Launched the **TS4-X Family** (TS4-X-O, TS4-X-S, and TS4-X-F MLPE) with enhanced safety features, a **25A current rating**, and a max power rating of **800W**[6](index=6&type=chunk) - Introduced the **Tigo GO EV Charger** residential solar solution for the Italian market[6](index=6&type=chunk) [First Quarter 2024 Financial Results and Second Quarter 2024 Outlook](index=2&type=section&id=First%20Quarter%202024%20Financial%20Results%20and%20Second%20Quarter%202024%20Outlook) Tigo Energy's Q1 2024 reported significant revenue decline and net loss, with Q2 2024 revenue projected at $12.0-$16.0 million [First Quarter 2024 Financial Results Summary](index=2&type=section&id=First%20Quarter%202024%20Financial%20Results) Tigo Energy's Q1 2024 revenue significantly decreased by 80.4% year-over-year to $9.8 million but showed a 6.0% sequential increase, resulting in a net loss of $11.5 million and an adjusted EBITDA loss of $6.3 million | Metric | Q1 2024 (in millions) | Q1 2023 (in millions) | YoY Change | QoQ Change | | :---------------------- | :-------------------- | :-------------------- | :--------- | :--------- | | Revenues | $9.8 | $50.1 | -80.4% | +6.0% | | Gross Profit | $2.8 | $18.4 | -84.9% | N/A | | Gross Margin | 28.2% | 36.7% | -8.5 percentage points | N/A | | Total Operating Expenses | $11.9 | $10.6 | +12.4% | N/A | | Net (Loss) Income | $(11.5) | $6.9 | N/A | N/A | | Adjusted EBITDA (Loss) | $(6.3) | $8.6 | N/A | N/A | - Cash, cash equivalents, and marketable securities totaled **$21.9 million** at March 31, 2024[12](index=12&type=chunk) - Accounts payable decreased **$9.7 million** to **$6.0 million** at the end of the first quarter compared to **$15.7 million** at the beginning of the quarter[12](index=12&type=chunk) [Second Quarter 2024 Outlook](index=2&type=section&id=Second%20Quarter%202024%20Outlook) For Q2 2024, Tigo Energy anticipates revenues to be between $12.0 million and $16.0 million, with an expected adjusted EBITDA loss ranging from $5.5 million to $8.0 million | Metric | Q2 2024 Guidance (in millions) | | :----------------- | :----------------------------- | | Revenues | $12.0 - $16.0 | | Adjusted EBITDA Loss | $5.5 - $8.0 | [Conference Call Information](index=2&type=section&id=Conference%20Call) Tigo management hosted a conference call on May 14, 2024, to discuss Q1 results, with replay information provided [Conference Call Details](index=2&type=section&id=Conference%20Call%20Details) Tigo management hosted a conference call on May 14, 2024, at 4:30 p.m. ET to discuss the Q1 results, with CEO Zvi Alon and CFO Bill Roeschlein - Conference call held on **May 14, 2024**, at **4:30 p.m. Eastern Time** (1:30 p.m. Pacific Time)[9](index=9&type=chunk) - Hosted by Company CEO Zvi Alon and CFO Bill Roeschlein[9](index=9&type=chunk) - Conference call broadcast live and available for replay via the Investor Relations section of Tigo's website[11](index=11&type=chunk) [About Tigo Energy, Inc.](index=3&type=section&id=About%20Tigo%20Energy%2C%20Inc.) Tigo Energy, founded in 2007, is a global leader in smart hardware and software solutions for solar systems, enhancing safety and energy yield [Company Overview](index=3&type=section&id=Company%20Overview) Founded in 2007, Tigo is a global leader in smart hardware and software solutions that enhance safety, increase energy yield, and lower operating costs of residential, commercial, and utility-scale solar systems - Founded in **2007**, Tigo is a worldwide leader in the development and manufacture of smart hardware and software solutions for solar systems[13](index=13&type=chunk) - Solutions enhance safety, increase energy yield, and lower operating costs of residential, commercial, and utility-scale solar systems[13](index=13&type=chunk) - Combines **Flex MLPE** and solar optimizer technology with intelligent, cloud-based software capabilities for advanced energy monitoring and control[13](index=13&type=chunk) - Develops and manufactures products such as inverters and battery storage systems for the residential solar-plus-storage market[13](index=13&type=chunk) [Forward-Looking Statements](index=3&type=section&id=Forward-Looking%20Statements) This section contains forward-looking statements regarding Tigo's future performance, subject to significant business, economic, and competitive uncertainties [Forward-Looking Statements Disclaimer](index=3&type=section&id=Forward-Looking%20Statements%20Disclaimer) This section contains forward-looking statements regarding Tigo's future performance, including break-even points, industry recovery, market penetration, product expansion, and financial results, which are subject to significant business, economic, and competitive uncertainties - Statements include expectations about reaching cash flow and adjusted EBITDA break-even, long-term growth prospects, industry recovery, inventory levels, market penetration, product portfolio expansion, and future financial and operating results[14](index=14&type=chunk) - Forward-looking statements are based on current beliefs and expectations but are inherently subject to significant business, economic, and competitive uncertainties and contingencies, many of which are difficult to predict and generally beyond control[14](index=14&type=chunk) - Factors causing material differences in actual results include ability to develop and sell products, competition, seasonal trends, customer base growth, new product development, demand timing, government subsidies, acquisitions, liquidity, foreign currency fluctuations, political unrest, regulatory changes, personnel retention, and strategic relationships[15](index=15&type=chunk) [Non-GAAP Financial Measures](index=4&type=section&id=Non-GAAP%20Financial%20Measures) Tigo Energy uses Adjusted EBITDA as a non-GAAP measure for internal decision-making and performance assessment, with investor relations contacts provided [Non-GAAP Financial Measures Definition and Rationale](index=4&type=section&id=Non-GAAP%20Financial%20Measures%20Definition%20and%20Rationale) Tigo Energy uses Adjusted EBITDA as a non-GAAP financial measure to supplement GAAP statements, defining it as earnings (loss) before interest, taxes, depreciation, amortization, stock-based compensation, and merger transaction expenses - Adjusted EBITDA is used to supplement consolidated financial statements prepared in accordance with GAAP, not as a substitute[17](index=17&type=chunk) - Defined as earnings (loss) before interest and other expenses, net, income tax expense (benefit), depreciation and amortization, as adjusted to exclude stock-based compensation and merger transaction related expenses[18](index=18&type=chunk) - Used for financial and operational decision-making, evaluating period-to-period comparisons, and assessing performance by excluding items not indicative of recurring core business operating results[18](index=18&type=chunk) - A reconciliation for adjusted EBITDA provided as guidance is not provided due to the high variability, complexity, and difficulty of estimating certain items[21](index=21&type=chunk) [Investor Relations Contacts](index=4&type=section&id=Investor%20Relations%20Contacts) Investor relations inquiries can be directed to Matt Glover or Chris Adusei-Poku at Gateway Group, Inc - Investor Relations Contacts: Matt Glover or Chris Adusei-Poku at Gateway Group, Inc[22](index=22&type=chunk) - Contact information: (949) 574-3860, TYGO@gateway-grp.com[22](index=22&type=chunk) [Condensed Consolidated Financial Statements](index=5&type=section&id=Condensed%20Consolidated%20Financial%20Statements) Tigo Energy's Q1 2024 financial statements show total assets of $109.1 million, a net loss of $11.5 million, and $11.3 million cash used in operations [Condensed Consolidated Balance Sheets](index=5&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) As of March 31, 2024, Tigo Energy reported total assets of $109.1 million, down from $127.8 million at December 31, 2023, with total liabilities decreasing to $54.8 million and stockholders' equity at $54.3 million | Metric | March 31, 2024 (in thousands) | December 31, 2023 (in thousands) | Change (in thousands) | | :-------------------------------- | :------------------------------ | :------------------------------- | :-------------------- | | Total Assets | $109,121 | $127,777 | $(18,656) | | Current Assets | $88,396 | $104,710 | $(16,314) | | Cash and cash equivalents | $9,025 | $4,405 | $4,620 | | Marketable securities, short-term | $12,920 | $26,806 | $(13,886) | | Inventory, net | $55,757 | $61,401 | $(5,644) | | Total Liabilities | $54,797 | $64,953 | $(10,156) | | Accounts payable | $6,030 | $15,685 | $(9,655) | | Total Stockholders' Equity | $54,324 | $62,824 | $(8,500) | [Condensed Consolidated Statement of Operations](index=6&type=section&id=Condensed%20Consolidated%20Statement%20of%20Operations) For Q1 2024, Tigo Energy's net revenue was $9.8 million, a substantial decrease from $50.1 million in Q1 2023, leading to a gross profit of $2.8 million and a net loss of $11.5 million | Metric | Three Months Ended March 31, 2024 (in thousands) | Three Months Ended March 31, 2023 (in thousands) | YoY Change | | :--------------------------------------- | :--------------------------------------------- | :--------------------------------------------- | :--------- | | Net revenue | $9,802 | $50,058 | -80.4% | | Cost of revenue | $7,036 | $31,689 | -77.8% | | Gross profit | $2,766 | $18,369 | -84.9% | | Gross margin | 28.2% | 36.7% | -8.5 percentage points | | Total operating expenses | $11,854 | $10,549 | +12.4% | | (Loss) income from operations | $(9,088) | $7,820 | N/A | | Net (loss) income | $(11,506) | $6,910 | N/A | | (Loss) earnings per common share (Diluted) | $(0.19) | $0.05 | N/A | [Condensed Consolidated Statements of Cash Flows](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) In Q1 2024, Tigo Energy reported net cash used in operating activities of $11.3 million, with investing activities generating $15.6 million and financing activities providing $0.3 million, resulting in a $4.6 million increase in cash and cash equivalents | Cash Flow Activity | Three Months Ended March 31, 2024 (in thousands) | Three Months Ended March 31, 2023 (in thousands) | | :-------------------------------- | :--------------------------------------------- | :--------------------------------------------- | | Net cash used in operating activities | $(11,266) | $(5,087) | | Net cash provided (used) by investing activities | $15,636 | $(10,655) | | Net cash provided by financing activities | $250 | $28,631 | | Net increase in cash and cash equivalents | $4,620 | $12,889 | | Cash and cash equivalents at end of period | $9,025 | $50,606 | - Investing activities in Q1 2024 were primarily driven by sales and maturities of marketable securities (**$16.0 million**)[28](index=28&type=chunk) - Financing activities in Q1 2023 included **$50.0 million** from Convertible Promissory Note proceeds, which was not present in Q1 2024[28](index=28&type=chunk) [Reconciliation of Net (Loss) Income (GAAP) to Adjusted EBITDA (Non-GAAP)](index=8&type=section&id=Reconciliation%20of%20Net%20(Loss)%20Income%20(GAAP)%20to%20Adjusted%20EBITDA%20(Non-GAAP)) For Q1 2024, Tigo Energy reported a GAAP net loss of $11.5 million, which reconciles to an Adjusted EBITDA loss of $6.3 million after specific adjustments, contrasting with Q1 2023's net income and positive Adjusted EBITDA | Metric | Three Months Ended March 31, 2024 (in thousands) | Three Months Ended March 31, 2023 (in thousands) | | :-------------------------- | :--------------------------------------------- | :--------------------------------------------- | | Net (loss) income (GAAP) | $(11,506) | $6,910 | | Adjustments: | | | | Total other expenses, net | $2,418 | $910 | | Depreciation and amortization | $310 | $242 | | Stock-based compensation | $2,505 | $366 | | M&A transaction expenses | — | $133 | | Adjusted EBITDA (Non-GAAP) | $(6,273) | $8,561 |