SOURCE: Solar Energy Initiatives, Inc.

March 18, 2010 08:30 ET

Solar Energy Initiatives, Inc. Announces Record Results for the Second Quarter 2010

Quarterly Revenue Increases 144% to $1.3 Million; Six Month Revenue Increases 200% to $2.3 Million

PONTE VEDRA BEACH, FL--(Marketwire - March 18, 2010) -  Solar Energy Initiatives, Inc. (OTCBB: SNRY), with businesses in solar project development, distribution and workforce training, today announced financial results for the quarter ended January 31, 2010.

"Management is pleased with the recent financial achievements and overall growth that the company has experienced during the first half of fiscal 2010," said, Mr. David Fann, CEO of Solar Energy Initiatives. "The company has achieved several significant milestones in recent quarters in order to complete its transition from a developmental stage company to a market leader within the solar energy arena. SNRY has forged relationships with national and state government agencies in an effort to offer formal training seminars while creating new jobs in the solar energy sector. Management has also secured a vital financing and joint marketing agreement with a financial services company that assures SNRY's service offerings will be marketed exclusively to over 100,000 municipalities. These achievements have helped to establish a strong foundation for which the company can increase earnings, expand market presence, and improve overall shareholder value."

2010 Second Quarter Financial Results

For the three months ended January 31, 2010, Solar Energy Initiatives had revenues of $1,273,506 compared to $521,223 for the three months ended January 31, 2009. Revenues for the three months ended January 31, 2010 reflect dealer training, a municipality project and sales of solar systems and equipment. 

For the three months ended January 31, 2010 our cost of goods sold were $974,120 compared to $443,011 for the three months ended January 31, 2009, resulting in a gross profit from operations of $299,386 compared to $78,212 respectively. The increase is a result of increased sales.

Selling, general and administrative ("S, G & A") expenses for the three months ended January 31, 2010 were $1,286,618 compared with $660,683 for the same period ending January 31, 2009. 

Net loss attributable to Solar Energy Initiatives, Inc. was $924,792 for the three months ended January 31, 2010 compared with $654,332 for the period ending January 31, 2009. The net loss primarily reflects our expenses relating to business activities that have been incurred ahead of our ability to recognize material revenues from our business plan.

SIX MONTHS ENDED JANUARY 31, 2010 AND JANUARY 31, 2009

For the six months ended January 31, 2010, Solar Energy Initiatives recorded revenues of $2,285,456 compared to $761,338 for the six months ended January 31, 2009. Revenues for this period reflect dealer training, a municipality project and sales of solar systems and equipment.

Cost of goods sold for the six months ended January 31, 2010 were $1,724,536 compared to $515,649, resulting in a gross profit from operations of $560,920 compared to $245,689 for the period ending January 31, 2009.

Selling, general and administrative ("S, G & A") expenses for the six months ended January 31, 2010 were $2,494,996 compared with $1,689,872 for the same period ending January 31, 2009. 

Net loss attributable to Solar Energy Initiatives, Inc. was $1,918,088 for the six months ended January 31, 2010 compared with $1,523,316 for the period ending January 31, 2009. The net loss primarily reflects our expenses relating to business activities that have been incurred ahead of our ability to recognize material revenues from the company's business plan.

Recent Operational Highlights

  • Signed two separate 1 megawatt contracts valued at approximately $8 million, to construct and supply two educational institutions, located in the Southeastern U.S., with solar energy management services.
  • Announced a program with the State of South Carolina and the North Eastern Strategic Alliance (NESA) to drive job creation and economic development through solar energy.
    • The first phase of the project involves the configuration of the 6,000-square-foot solar academy training center. Construction is expected to begin in the spring of 2010 with a ground-breaking ceremony to be announced at a future date.
  • Entered into a strategic supply agreement with AET (Alternate Energy Technologies, LLC), a U.S. manufacturer of residential and commercial solar water heating systems.
    • Through its operating group SNRY Solar, Solar Energy Initiatives, will begin distributing AET's Eagle Sun™ and Morningstar™ product lines.
  • Entered into an agreement to bring new technology to market with Ireland's Surface Power, a manufacturer of high-performance collectors in the solar heating and air conditioning sector.
    • SNRY Solar will sell and distribute across the United States.
  • Launched the new SolarEnergy.com.
    • Started the first step of a multi-phase plan to expand its digital intellectual property.
  • Opened its first public sector Technical Training School.
    • The eight week long class will provide attendees with the tools and the technical knowledge to become certified solar technicians.

Mr. Fann continued, "We are pleased with the recent success that the company has achieved and look forward to continued revenue growth and increased margins. The Company anticipates breaking ground on several new municipality installations and entering additional markets in the near future. Management believes that all of the necessary steps have been taken to best provide the company with near term growth and long term stability as SNRY strives to establish itself as the industry leader in solar energy service solutions."

Conference Call

Solar Energy Initiatives will host a conference call on Wednesday, March 24, 2010 at 4:30 p.m. Eastern Time to discuss the Company's financial and operational results for the Second Quarter 2010. If calling within the United States please dial 1-877-941-4775 or if calling internationally, please dial 1-480-629-9761 approximately 5 to 10 minutes prior to 4:30 p.m. (EDT) start time. Participants should ask for the Solar Energy Initiatives Second Quarter 2010 Financial Results conference call. There will be a playback available until March 31, 2010. To listen to the playback, please call 1-800-406-7325 if calling within the United States or 1-303-590-3030 if calling internationally. Please use the pass code 4269753 for replay. A live audio webcast of the conference call will also be available at www.solarenergy.com.

About Solar Energy Initiatives, Inc.

Solar Energy Initiatives, Inc. (OTCBB: SNRY), d-b-a SNRY Solar, is a diversified provider of solar solutions with three principal operating groups focused on large-scale projects, solar education and distribution of solar products. The Project Services Group (PSG) is a developer and manager of municipal and commercial scale solar projects. The SolarEos Group is dedicated to the education and continuous improvement of solar energy trade professionals. The Integrated Supply Group (ISG) is a wholesale distributor of branded photovoltaic and thermal (water heating) systems selling via a network of dealers throughout the United States and the Caribbean. Solar Energy Initiatives also owns SolarEnergy.com, one of the most visited solar websites on the internet and a digital property committed to driving consumer traffic, while serving as a platform for awareness of the benefits of solar and a source of business lead generation to SNRY Solar's channel partners. Through its diversified portfolio of solar businesses, SNRY Solar is committed to restoring the nation's economy through a grassroots campaign called "Renew the Nation." Renew the Nation brings together a broad alliance of public and private sector interests focused on workforce development, job creation and economic growth through solar energy. For more information please visit http://www.solarenergy.com/.

Contact Information

  • Contact:
    Investors:
    Solar Energy Initiatives, Inc.
    David Fann
    Chief Executive Officer
    904-644-6090
    Email Contact
    or
    Alliance Advisors, LLC
    Chris Camarra or Bryan Kobel
    212-398-3487
    Email Contact

    Media:
    Solar Energy Initiatives, Inc.
    Chris Wirth
    Chief Marketing Officer
    904-644-6090
    Email Contact