Greetings Fellow Powur Shareholders,
We have some extremely exciting news to report on the companies progress through one of the most turbulent economic periods in recent history. Long story short, our business model didn't only prove to be "pandemic proof"... it proved to THRIVE above and beyond our expectations. Let's dive into the numbers:
Revenue in Q2 grew 76% quarter over quarter to $14,680,961.The rapid growth in revenue is attributed to 1) increasing installations 2) substantially more revenue per project with Powur as the general contractor.
Over the coming quarters, our installation portfolio will shift primarily to Powur as the GC (general contractor), which will continue to drive revenue per project upwards. We also expect to see substantially more installations due to the massive growth in Q2 sales. This will reflect very well in future top-line revenue growth.
Net profit for the quarter grew 48.8% to $936,582. The increase in net profit is attributed to:
1) Growth in installations per our fixed cost stack
2) Greater net profit margins on installations where Powur is the general contractor.
We added $2,800,833 in cash to our balance sheet in Q1, representing 77% quarter over quarter cash growth, bringing the total cash balance to $6,437,140.
This is being driven by:
1) Increasing net profit
2) Increasing installations
3) Net-30 and net-45 payment terms with our primary equipment distributors.
Active Powur Consultants grew by 42.8%quarter over quarter ending Q1 with 2,633. Our growth thesis for consultants through the pandemic is as follows:
1) Powur was well positioned as the remote sales platform leader for the solar industry heading in to the pandemic.
2) Many solar companies struggled to adjust through the pandemic, and lost substantial sales /revenues.
3) Our exciting growth stories, and validated remote solar sales opportunity, attracted sales talent from across many industries looking for ways to earn substantial income in a challenging economic environment.
Conclusion:
The start of Q2 was plagued with uncertainty around the global pandemic, the outlook on solar, and the ramifications to our business. We developed our very best defensive game plan, put it into motion quickly, and then pivoted to offensive strategies when we realized how well positioned we were for this change to a remote environment.
The positive results from the shift we made in our business model in 2019 was boosted by these trends. There is real momentum behind our differentiated business model to sell solar, and the entirely virtual model Powur has created to operate as a national solar provider.
We could not have predicted we would be growing this quickly through the pandemic, which resulted in us falling behind on hiring strategies. Thankfully, as soon as we realized what was happening we immediately unpaused the hiring freeze and began rapidly scaling our human capital. The company ballooned from around 25 full time team members at the start of Q2 to48 by the time Q2 ended.
We have made key additions to our management team in operations, business development, technology, and marketing to support the growth that is occurring. This hiring sprint is just beginning, as we are planning to add substantial talent to our technology, operations, customer service and sales teams moving forward.
Long story short, Powur is only getting started. We are making rapid progress in our goal of accelerating the adoption of sustainable energy, and building a business model that innovates customer acquisition in solar. Powur is on the cusp of defining a new way to sell solar and is emerging as a clear market leader in this burgeoning industry.
The vision for where we can take this company is growing stronger for me by the day, as it’s far grander than a national solar contractor. The real opportunity is a new type of decentralized global utility, and our ambition is to get started building the infrastructure for that model as quickly as possible.
The people of the world deserve a utility that deeply cares about them, our environment, and innovates the best product solutions for home energy ever seen.
I believe we can become that utility. And the opportunity is millions of customers across the globe. It’s going to be a fun climb ahead. :)
Thanks for being a key part of our journey.
To The Top,
Jonathan Budd
Powur CEO / FOUNDER