Core Insights - Zeo Energy Corp. reported a significant revenue decline of 56.4% in Q1 2025, generating $8.8 million compared to $20.1 million in Q1 2024, primarily due to high-interest rates affecting residential solar sales [7][17] - The company is pursuing growth through the acquisition of Heliogen, aiming to diversify its offerings into adjacent clean energy sectors [2][6] - Despite current challenges, management remains optimistic about a recovery in the latter half of 2025 as market conditions improve [2] Financial Performance - Total revenue for Q1 2025 was $8.8 million, down from $20.1 million in Q1 2024, reflecting a 56.4% decrease [7][17] - Gross profit decreased to $3.8 million (43.0% of total revenue) in Q1 2025 from $6.0 million (29.9% of total revenue) in Q1 2024, driven by lower sales but improved operational efficiencies [7][17] - Net loss for Q1 2025 was $13.3 million, compared to a net loss of $4.1 million in Q1 2024, largely due to decreased sales [7][17] Operational Highlights - The company has streamlined operations and strengthened its sales team in anticipation of the summer sales season [2] - Adjusted EBITDA for Q1 2025 was $(6.4) million, a significant decline from approximately $(0.5) million in Q1 2024, indicating operational challenges [7][8] - The company is focusing on high-growth markets with limited competition, leveraging its differentiated sales approach [5] Strategic Initiatives - Zeo Energy has entered into a definitive agreement to acquire Heliogen, which specializes in on-demand clean energy technology, to enhance its capabilities in long-duration energy generation and storage [6][2] - The acquisition is expected to improve the company's balance sheet and diversify its revenue streams [2][6]