Core Viewpoint - Zeo Energy Corp. has been included in the Russell Microcap Index, marking a significant milestone for the company as it continues to enhance its operational capabilities and expand through acquisitions [1][3]. Company Overview - Zeo Energy Corp. is a Florida-based provider of residential solar and energy efficiency solutions, focusing on high-growth markets with limited competition [5]. - The company aims to help customers reduce energy bills and promote sustainability through its vertically integrated offerings [5]. Index Inclusion Details - The Russell Microcap Index includes the 4,000 largest US stocks ranked by market capitalization, and membership lasts for one year [2]. - Inclusion in the Russell Microcap Index provides automatic inclusion in relevant growth and value style indexes, which are widely utilized by investment managers and institutional investors [2][3]. Market Impact - Russell indexes serve as benchmarks for approximately $10.6 trillion in assets as of June 2024, indicating the significance of Zeo's inclusion for attracting broader investment community attention [3].

Core Points - Zeo Energy Corp. received a notice from Nasdaq on May 22, 2025, indicating non-compliance with periodic filing requirements due to the late submission of its Quarterly Report on Form 10-Q for the three months ended March 31, 2025, which was due by May 15, 2025 [1] - The company had previously received a deficiency notice for failing to file its Annual Report on Form 10-K for the fiscal year ended December 31, 2024, which was subsequently filed on May 28, 2025 [2] - Nasdaq has allowed the company until June 16, 2025, to submit a plan to regain compliance, with a potential extension until October 13, 2025, if the plan is accepted [3] Company Overview - Zeo Energy Corp. is a Florida-based provider of residential solar, distributed energy, and energy efficiency solutions, focusing on high-growth markets with limited competition [5]

Core Insights - Zeo Energy Corp. reported a challenging year in 2024 for the solar industry but remains optimistic about future opportunities and growth strategies [3][4] - The company aims to acquire renewable energy assets to enhance market share and has successfully integrated Lumio's assets acquired in November 2024 [3][7] Financial Performance - Total revenue for 2024 was $73.2 million, a 33.2% decrease from $109.7 million in 2023, primarily due to higher interest rates affecting residential solar sales [6][8] - The company reported a net loss of $9.9 million in 2024 compared to a net income of $4.8 million in 2023, largely due to stock compensation and increased operational costs [8][22] - Adjusted EBITDA for 2024 was $2.0 million, down from $7.0 million in 2023, reflecting the impact of the challenging market environment [8][22] Quarterly Highlights - In Q4 2024, total revenue was $18.6 million, an 18.9% decrease from $23.0 million in Q4 2023, attributed to the ongoing effects of higher interest rates [6][14] - Gross profit for Q4 2024 decreased to $11.2 million (60.1% of total revenue) from $12.7 million (55.1% of total revenue) in Q4 2023, driven by lower sales [14] - Adjusted EBITDA for Q4 2024 increased to $3.1 million (16.8% of total revenue) from approximately $(0.9) million in Q4 2023, indicating improved operational efficiencies [14][15] Operational Developments - The company completed the integration of Lumio's assets, which is part of its market expansion strategy [7] - Zeo secured $4.0 million in December 2024 to develop a year-round sales force, aiming to enhance its market presence and growth trajectory [7] Market Positioning - Zeo Energy focuses on high-growth markets with limited competitive saturation, utilizing a differentiated sales approach to serve customers seeking energy efficiency solutions [11]