Tuesday, August 17, 2021

Energy Services of America (ESOA)
PPP Loan Forgiveness Positive

Energy Services of America Corporation is engaged in providing contracting services for energy-related companies. The company is primarily engaged in the construction, replacement, and repair of natural gas pipelines and storage facilities for utility companies and private natural gas companies. It services the gas, petroleum, power, chemical and automotive industries, and does incidental work such as water and sewer projects. Energy Service’s other services include liquid pipeline construction, pump station construction, production facility construction, water and sewer pipeline installations, various maintenance and repair services and other services related to pipeline construction.

Poe Fratt, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Fiscal 3Q2021 (June) results fall short of expectations due to gas & oil transmission weakness. Compared to the June 2020 quarter and our expectations, the June 2021 quarter was weak despite the December 2020 acquisition of West Virginia Pipeline (WVP). Gross profit of $2.7 million was down slightly, but adjusted EBITDA of $0.7 million was almost half of last year’s EBITDA of $1.4 million. Revenue was down due to gas & oil transmission weakness and EBITDA was also burdened by higher G&A expense.


Adjusting 2021 EBITDA estimate to reflect FY3Q2021 operating results.  Given that operating results were below expectations and costs are likely to remain higher, we are lowering FY2021 EBITDA to $5.3 million from $8.0 million. The backlog increased to $73.1 million from $61.2 million and general construction contracts of $13.0 million have been awarded this quarter, which supports our positive …

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary.  Proper due diligence is required before making any investment decision. 

Monday, August 16, 2021

Gevo, Inc. (GEVO)
Net Zero One Engineering and RNG Plant Moving Ahead

Gevo Inc is a renewable chemicals and biofuels company engaged in the development and commercialization of alternatives to petroleum-based products based on isobutanol produced from renewable feedstocks. Its operating segments are the Gevo segment and the Gevo Development/Agri-Energy segment. By its segments, it is involved in research and development activities related to the future production of isobutanol, including the development of its biocatalysts, the production and sale of biojet fuel, its Retrofit process and the next generation of chemicals and biofuels that will be based on its isobutanol technology. Gevo Development/Agri-Energy is the key revenue generating segment which involves the operation of the Luverne Facility and production of ethanol, isobutanol and related products.

Poe Fratt, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

EBITDA losses continued in 2Q2021, but cash higher due to RNG plant financing. Given the stage of development of the renewable fuels concept, it isn’t surprising that EBTDA was negative $17.1 million due to higher development costs. We expect negative EBITDA to continue into at least next year. Cash increased $567 million from $525 million in 1Q2021 due to RNG debt financing of $69 million which was partially offset by the quarterly cash burn.


RNG plant financed and under construction.  BP identified as the customer. In 2Q2021, 1.5% debt financing of $69 million for the renewable natural gas (RNG) plant in NE Iowa was finalized. Construction began and capex will be reimbursed from funds held in trust over the next three quarters. BP is the customer, which is a positive …

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary.  Proper due diligence is required before making any investment decision. 

Capstone Green Energy’s United Kingdom Integrated Remanufacturing Facility Expands its Global Remanufacturing, Training, and Support Capabilities

VAN NUYS, CA / ACCESSWIRE / August 16, 2021 / Capstone Green Energy Corporation (www.CapstoneGreenEnergy.com) (NASDAQ:CGRN), formerly Capstone Turbine Corporation (www.capstoneturbine.com) (NASDAQ:CPST) (“Capstone” or the “Company”), announced today the completion of the grid interconnect expansion at the UK Integrated Remanufacturing Facility which allows for the building and testing of Capstone’s C200 engines. Expanding the operations at the UK facility is fundamental for the long term support of Capstone’s established and growing sustainable energy fleet in the EMEA (Europe, Middle East & Africa) region.

Located a short distance south of London and close to UK’s major shipping infrastructure, Capstone’s strategically located Gosport facility plays an increasingly important role in supporting the growth and expansion of the global microturbine fleet, as well as the rental program, which is a critical component of the Company’s Energy as a Service (EaaS) business line. The construction of individual test cells and an increased grid export capacity agreement of 500kW marks a significant milestone in the UK operation’s expanded capability to remanufacture C200 powerheads, in addition to remanufacturing the C200 recuperators.

From an original footprint of 3,000 square feet in 2009 to the current 19,000 square feet expanded facility, the UK operation has evolved from a warehouse for aftermarket parts and hub for field support, to a fully integrated remanufacturing facility capable of serving the EMEA region’s future build requirements for Capstone’s flagship C200 engines. Taking recent possession of the adjacent building also marks the start of a trade-in program for a region with a legacy fleet to upgrade to the more efficient Signature Series product. The added floor space will accommodate a state-of-the-art training suite for in classroom and hands-on training for regional Distributors fulfilling their need to reduce travel costs while staying product-current and maintaining vital coverage.

“Continuing to invest in our UK operation is critical to Capstone’s key objectives to reduce and drive down freight dependency and offset manufacturing costs through our remanufacturing program. In parallel, we are improving response times for all our existing Distributor partners and growing our Energy as a Service (EaaS) business as we expand the global rental fleet,” said Darren Jamison, Capstone’s President and Chief Executive Officer “By adding complex remanufacturing processes, the UK facility now mirrors the Capstone US-based testing facilities. These capabilities will accelerate Capstone’s ability to provide parts and services to EMEA and improve future aftermarket margins” added Mr. Jamison.

“The ability to remanufacture in the UK has proven invaluable for the region, so executing the plan to maximize capability through engine builds and staging rental growth is the next natural step,” said Tracy Chidbachian, Capstone Director of Customer Service. “Led by Jim Newbold, our Director of Global Services, the UK’s highly experienced and talented team plays a vital role in Capstone’s broader support plan and strategic development for the region,” concluded Ms. Chidbachian.

About Capstone Green Energy

Capstone Green Energy (www.CapstoneGreenEnergy.com) (NASDAQ:CGRN) is a leading provider of customized microgrid solutions and on-site energy technology systems focused on helping customers around the globe meet their environmental, energy savings, and resiliency goals. Capstone Green Energy focuses on four key business lines. Through its Energy as a Service (EaaS) business, it offers rental solutions utilizing its microturbine energy systems and battery storage systems, comprehensive Factory Protection Plan (FPP) service contracts that guarantee life-cycle costs, as well as aftermarket parts. Energy Conversion Products are driven by the Company’s industry-leading, highly efficient, low-emission, resilient microturbine energy systems offering scalable solutions in addition to a broad range of customer-tailored solutions, including hybrid energy systems and larger frame industrial turbines. The Energy Storage Products business line designs and installs microgrid storage systems creating customized solutions using a combination of battery technologies and monitoring software. Through Hydrogen Energy Solutions, Capstone Green Energy offers customers a variety of hydrogen products, including the Company’s microturbine energy systems.

For customers with limited capital or short-term needs, Capstone offers rental systems; for more information, contact: rentals@CGRNenergy.com. To date, Capstone has shipped over 10,000 units to 83 countries and estimates that, in FY21, it saved customers over $217 million in annual energy costs and approximately 397,000 tons of carbon. Total savings over the last three years are estimated at 1,115,100 tons of carbon and $698 million in annual energy savings.

For more information about the Company, please visit: www.CapstoneGreenEnergy.com. Follow Capstone Green Energy on Twitter, LinkedIn, Instagram, Facebook, and YouTube.

Cautionary Note Regarding Forward-Looking Statements

This release contains forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995, including statements regarding expectations for green initiatives and execution on the Company’s growth strategy and other statements regarding the Company’s expectations, beliefs, plans, intentions, and strategies. The Company has tried to identify these forward-looking statements by using words such as “expect,” “anticipate,” “believe,” “could,” “should,” “estimate,” “intend,” “may,” “will,” “plan,” “goal” and similar terms and phrases, but such words, terms and phrases are not the exclusive means of identifying such statements. Actual results, performance and achievements could differ materially from those expressed in, or implied by, these forward-looking statements due to a variety of risks, uncertainties and other factors, including, but not limited to, the following: the ongoing effects of the COVID-19 pandemic; the availability of credit and compliance with the agreements governing the Company’s indebtedness; the Company’s ability to develop new products and enhance existing products; product quality issues, including the adequacy of reserves therefor and warranty cost exposure; intense competition; financial performance of the oil and natural gas industry and other general business, industry and economic conditions; the Company’s ability to adequately protect its intellectual property rights; and the impact of pending or threatened litigation. For a detailed discussion of factors that could affect the Company’s future operating results, please see the Company’s filings with the Securities and Exchange Commission, including the disclosures under “Risk Factors” in those filings. Except as expressly required by the federal securities laws, the Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, changed circumstances or future events or for any other reason.

CONTACT:

Capstone Green Energy
Investor and investment media inquiries:
818-407-3628
ir@CGRNenergy.com

SOURCE: Capstone Green Energy Corporation

Gevo Releases IMPACT, an Environmental, Social, and Corporate Governance (ESG) Report; Strengthening its Commitment to Transparency and Accountability

ENGLEWOOD, Colo., Aug. 16, 2021 (GLOBE NEWSWIRE) — Gevo, Inc. (NASDAQ: GEVO) has published IMPACT, a sustainability report which demonstrates Gevo’s mission to be transparent on its environmental, social, and corporate governance (ESG) performance. In addition to disclosing Gevo’s progress in 2020 and goals for the future, IMPACT shares details about Gevo’s holistic approach to commercializing high-value nutritional products and groundbreaking energy-dense, renewable transportation fuels. The report demonstrates Gevo’s environmental stewardship, workplace culture and social inclusivity, and internal leadership. It also fosters a deeper understanding of stakeholder needs, generates opportunities for long-term sustainable capital, and bolsters a drive for continuous improvement.

Gevo’s Chief Executive Officer, Dr. Patrick Gruber, has expressed his support for this progressive and comprehensive sustainability report: “We have a way of transforming renewable energy into energy-dense liquids. As we do that, we pay attention to the whole picture; we intend to track it, make it incredibly transparent. The ESG report is an important part of that effort. It’s also about our employees. We care about diversity in our workforce and bringing in the best skill sets we possibly can across the board. We are going to be a global company, and so for us, it’s incredibly important to build up our diversity in our workforce.”

IMPACT forecasts an exciting future for Gevo. In conjunction with Gevo’s pledge to reduce greenhouse gas (GHG) emissions for customers, the company is passionate about lowering the carbon footprint of internal systems and products. IMPACT also demonstrates the Board of Directors’ strong governance role in the effort to fight climate change. Gevo believes its technology and systems approach will improve the environment and deliver social benefits to the wider world and IMPACT provides a greater perspective on how the company plans to deliver those benefits.

To view the full IMPACT report, please visit: https://gevo.com/impact-2020/

About Gevo

Gevo is commercializing the next generation of gasoline, jet fuel and diesel fuel with the potential to achieve zero carbon emissions, addressing the market need of reducing greenhouse gas emissions with sustainable alternatives. Gevo uses low-carbon renewable resource-based carbohydrates as raw materials and is in an advanced state of developing renewable electricity and renewable natural gas for use in production processes, resulting in low-carbon fuels with substantially reduced carbon intensity (the level of greenhouse gas emissions compared to standard petroleum fossil-based fuels across their lifecycle). Gevo’s products perform as well or better than traditional fossil-based fuels in infrastructure and engines, but with substantially reduced greenhouse gas emissions. In addition to addressing the problems of fuels, Gevo’s technology also enables certain plastics, such as polyester, to be made with more sustainable ingredients. Gevo’s ability to penetrate the growing low-carbon fuels market depends on the price of oil and the value of abating carbon emissions that would otherwise increase greenhouse gas emissions. Gevo believes that its proven, patented technology enabling the use of a variety of low-carbon sustainable feedstocks to produce price-competitive low carbon products such as gasoline components, jet fuel, and diesel fuel yields the potential to generate project and corporate returns that justify the build-out of a multi-billion-dollar business. Learn more at www.gevo.com.

About ESG Reporting

According to NASDAQ’s ESG reporting guides, ESG generally refers to “a broad set of environmental, social and corporate governance considerations that may impact a company’s ability to execute its business strategy and create value over the long term,” and ESG reports are a vital and progressive tool for assessing publicly-traded companies. Since 2011, there has been a dramatic increase in sustainable reporting from corporate entities. In its 2020 analysis, the Governance & Accountability Institute (G&A) found that 90% of companies in the S&P 500 published an ESG report. This illustrates an increased demand from both investors and business leaders for transparency, safety, and fairness in the corporate sector.

IMPACT provides qualitative examples for relevant topics in the United Nations (UN) Sustainable Development Goals (SDG). The contents are also informed by the Sustainability Accounting Standards Board (SASB) Biofuels Industry Standard and the SASB Agricultural Products Industry Standard. Gevo continues to assess stakeholders’ interest in other frameworks such as the Task Force on Climate-related Financial Disclosures (TCFD) and may expand said reporting in the future. Unless otherwise noted, the report discloses activities and results for operated assets from January 1, 2020, to December 31, 2020.

Forward-Looking Statements

Certain statements in this press release may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements relate to a variety of matters, without limitation, including the publication of Gevo’s ESG report, the statements contained in Gevo’s ESG report, Gevo’s sustainability practices, Gevo’s products, Gevo’s technology, and other statements that are not purely statements of historical fact. These forward-looking statements are made on the basis of the current beliefs, expectations and assumptions of the management of Gevo and are subject to significant risks and uncertainty. Investors are cautioned not to place undue reliance on any such forward-looking statements. All such forward-looking statements speak only as of the date they are made, and Gevo undertakes no obligation to update or revise these statements, whether as a result of new information, future events or otherwise. Although Gevo believes that the expectations reflected in these forward-looking statements are reasonable, these statements involve many risks and uncertainties that may cause actual results to differ materially from what may be expressed or implied in these forward-looking statements. For a further discussion of risks and uncertainties that could cause actual results to differ from those expressed in these forward-looking statements, as well as risks relating to the business of Gevo in general, see the risk disclosures in the Annual Report on Form 10-K of Gevo for the year ended December 31, 2020, and in subsequent reports on Forms 10-Q and 8-K and other filings made ith the U.S. Securities and Exchange Commission by Gevo.

Investor and Media Contact
IR@gevo.com
+1 720-647-9605

Gevo Releases IMPACT, an Environmental, Social, and Corporate Governance (ESG) Report; Strengthening its Commitment to Transparency and Accountability

ENGLEWOOD, Colo., Aug. 16, 2021 (GLOBE NEWSWIRE) — Gevo, Inc. (NASDAQ: GEVO) has published IMPACT, a sustainability report which demonstrates Gevo’s mission to be transparent on its environmental, social, and corporate governance (ESG) performance. In addition to disclosing Gevo’s progress in 2020 and goals for the future, IMPACT shares details about Gevo’s holistic approach to commercializing high-value nutritional products and groundbreaking energy-dense, renewable transportation fuels. The report demonstrates Gevo’s environmental stewardship, workplace culture and social inclusivity, and internal leadership. It also fosters a deeper understanding of stakeholder needs, generates opportunities for long-term sustainable capital, and bolsters a drive for continuous improvement.

Gevo’s Chief Executive Officer, Dr. Patrick Gruber, has expressed his support for this progressive and comprehensive sustainability report: “We have a way of transforming renewable energy into energy-dense liquids. As we do that, we pay attention to the whole picture; we intend to track it, make it incredibly transparent. The ESG report is an important part of that effort. It’s also about our employees. We care about diversity in our workforce and bringing in the best skill sets we possibly can across the board. We are going to be a global company, and so for us, it’s incredibly important to build up our diversity in our workforce.”

IMPACT forecasts an exciting future for Gevo. In conjunction with Gevo’s pledge to reduce greenhouse gas (GHG) emissions for customers, the company is passionate about lowering the carbon footprint of internal systems and products. IMPACT also demonstrates the Board of Directors’ strong governance role in the effort to fight climate change. Gevo believes its technology and systems approach will improve the environment and deliver social benefits to the wider world and IMPACT provides a greater perspective on how the company plans to deliver those benefits.

To view the full IMPACT report, please visit: https://gevo.com/impact-2020/

About Gevo

Gevo is commercializing the next generation of gasoline, jet fuel and diesel fuel with the potential to achieve zero carbon emissions, addressing the market need of reducing greenhouse gas emissions with sustainable alternatives. Gevo uses low-carbon renewable resource-based carbohydrates as raw materials and is in an advanced state of developing renewable electricity and renewable natural gas for use in production processes, resulting in low-carbon fuels with substantially reduced carbon intensity (the level of greenhouse gas emissions compared to standard petroleum fossil-based fuels across their lifecycle). Gevo’s products perform as well or better than traditional fossil-based fuels in infrastructure and engines, but with substantially reduced greenhouse gas emissions. In addition to addressing the problems of fuels, Gevo’s technology also enables certain plastics, such as polyester, to be made with more sustainable ingredients. Gevo’s ability to penetrate the growing low-carbon fuels market depends on the price of oil and the value of abating carbon emissions that would otherwise increase greenhouse gas emissions. Gevo believes that its proven, patented technology enabling the use of a variety of low-carbon sustainable feedstocks to produce price-competitive low carbon products such as gasoline components, jet fuel, and diesel fuel yields the potential to generate project and corporate returns that justify the build-out of a multi-billion-dollar business. Learn more at www.gevo.com.

About ESG Reporting

According to NASDAQ’s ESG reporting guides, ESG generally refers to “a broad set of environmental, social and corporate governance considerations that may impact a company’s ability to execute its business strategy and create value over the long term,” and ESG reports are a vital and progressive tool for assessing publicly-traded companies. Since 2011, there has been a dramatic increase in sustainable reporting from corporate entities. In its 2020 analysis, the Governance & Accountability Institute (G&A) found that 90% of companies in the S&P 500 published an ESG report. This illustrates an increased demand from both investors and business leaders for transparency, safety, and fairness in the corporate sector.

IMPACT provides qualitative examples for relevant topics in the United Nations (UN) Sustainable Development Goals (SDG). The contents are also informed by the Sustainability Accounting Standards Board (SASB) Biofuels Industry Standard and the SASB Agricultural Products Industry Standard. Gevo continues to assess stakeholders’ interest in other frameworks such as the Task Force on Climate-related Financial Disclosures (TCFD) and may expand said reporting in the future. Unless otherwise noted, the report discloses activities and results for operated assets from January 1, 2020, to December 31, 2020.

Forward-Looking Statements

Certain statements in this press release may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements relate to a variety of matters, without limitation, including the publication of Gevo’s ESG report, the statements contained in Gevo’s ESG report, Gevo’s sustainability practices, Gevo’s products, Gevo’s technology, and other statements that are not purely statements of historical fact. These forward-looking statements are made on the basis of the current beliefs, expectations and assumptions of the management of Gevo and are subject to significant risks and uncertainty. Investors are cautioned not to place undue reliance on any such forward-looking statements. All such forward-looking statements speak only as of the date they are made, and Gevo undertakes no obligation to update or revise these statements, whether as a result of new information, future events or otherwise. Although Gevo believes that the expectations reflected in these forward-looking statements are reasonable, these statements involve many risks and uncertainties that may cause actual results to differ materially from what may be expressed or implied in these forward-looking statements. For a further discussion of risks and uncertainties that could cause actual results to differ from those expressed in these forward-looking statements, as well as risks relating to the business of Gevo in general, see the risk disclosures in the Annual Report on Form 10-K of Gevo for the year ended December 31, 2020, and in subsequent reports on Forms 10-Q and 8-K and other filings made ith the U.S. Securities and Exchange Commission by Gevo.

Investor and Media Contact
IR@gevo.com
+1 720-647-9605

Capstone Green Energy’s United Kingdom Integrated Remanufacturing Facility Expands its Global Remanufacturing, Training, and Support Capabilities

VAN NUYS, CA / ACCESSWIRE / August 16, 2021 / Capstone Green Energy Corporation (www.CapstoneGreenEnergy.com) (NASDAQ:CGRN), formerly Capstone Turbine Corporation (www.capstoneturbine.com) (NASDAQ:CPST) (“Capstone” or the “Company”), announced today the completion of the grid interconnect expansion at the UK Integrated Remanufacturing Facility which allows for the building and testing of Capstone’s C200 engines. Expanding the operations at the UK facility is fundamental for the long term support of Capstone’s established and growing sustainable energy fleet in the EMEA (Europe, Middle East & Africa) region.

Located a short distance south of London and close to UK’s major shipping infrastructure, Capstone’s strategically located Gosport facility plays an increasingly important role in supporting the growth and expansion of the global microturbine fleet, as well as the rental program, which is a critical component of the Company’s Energy as a Service (EaaS) business line. The construction of individual test cells and an increased grid export capacity agreement of 500kW marks a significant milestone in the UK operation’s expanded capability to remanufacture C200 powerheads, in addition to remanufacturing the C200 recuperators.

From an original footprint of 3,000 square feet in 2009 to the current 19,000 square feet expanded facility, the UK operation has evolved from a warehouse for aftermarket parts and hub for field support, to a fully integrated remanufacturing facility capable of serving the EMEA region’s future build requirements for Capstone’s flagship C200 engines. Taking recent possession of the adjacent building also marks the start of a trade-in program for a region with a legacy fleet to upgrade to the more efficient Signature Series product. The added floor space will accommodate a state-of-the-art training suite for in classroom and hands-on training for regional Distributors fulfilling their need to reduce travel costs while staying product-current and maintaining vital coverage.

“Continuing to invest in our UK operation is critical to Capstone’s key objectives to reduce and drive down freight dependency and offset manufacturing costs through our remanufacturing program. In parallel, we are improving response times for all our existing Distributor partners and growing our Energy as a Service (EaaS) business as we expand the global rental fleet,” said Darren Jamison, Capstone’s President and Chief Executive Officer “By adding complex remanufacturing processes, the UK facility now mirrors the Capstone US-based testing facilities. These capabilities will accelerate Capstone’s ability to provide parts and services to EMEA and improve future aftermarket margins” added Mr. Jamison.

“The ability to remanufacture in the UK has proven invaluable for the region, so executing the plan to maximize capability through engine builds and staging rental growth is the next natural step,” said Tracy Chidbachian, Capstone Director of Customer Service. “Led by Jim Newbold, our Director of Global Services, the UK’s highly experienced and talented team plays a vital role in Capstone’s broader support plan and strategic development for the region,” concluded Ms. Chidbachian.

About Capstone Green Energy

Capstone Green Energy (www.CapstoneGreenEnergy.com) (NASDAQ:CGRN) is a leading provider of customized microgrid solutions and on-site energy technology systems focused on helping customers around the globe meet their environmental, energy savings, and resiliency goals. Capstone Green Energy focuses on four key business lines. Through its Energy as a Service (EaaS) business, it offers rental solutions utilizing its microturbine energy systems and battery storage systems, comprehensive Factory Protection Plan (FPP) service contracts that guarantee life-cycle costs, as well as aftermarket parts. Energy Conversion Products are driven by the Company’s industry-leading, highly efficient, low-emission, resilient microturbine energy systems offering scalable solutions in addition to a broad range of customer-tailored solutions, including hybrid energy systems and larger frame industrial turbines. The Energy Storage Products business line designs and installs microgrid storage systems creating customized solutions using a combination of battery technologies and monitoring software. Through Hydrogen Energy Solutions, Capstone Green Energy offers customers a variety of hydrogen products, including the Company’s microturbine energy systems.

For customers with limited capital or short-term needs, Capstone offers rental systems; for more information, contact: rentals@CGRNenergy.com. To date, Capstone has shipped over 10,000 units to 83 countries and estimates that, in FY21, it saved customers over $217 million in annual energy costs and approximately 397,000 tons of carbon. Total savings over the last three years are estimated at 1,115,100 tons of carbon and $698 million in annual energy savings.

For more information about the Company, please visit: www.CapstoneGreenEnergy.com. Follow Capstone Green Energy on Twitter, LinkedIn, Instagram, Facebook, and YouTube.

Cautionary Note Regarding Forward-Looking Statements

This release contains forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995, including statements regarding expectations for green initiatives and execution on the Company’s growth strategy and other statements regarding the Company’s expectations, beliefs, plans, intentions, and strategies. The Company has tried to identify these forward-looking statements by using words such as “expect,” “anticipate,” “believe,” “could,” “should,” “estimate,” “intend,” “may,” “will,” “plan,” “goal” and similar terms and phrases, but such words, terms and phrases are not the exclusive means of identifying such statements. Actual results, performance and achievements could differ materially from those expressed in, or implied by, these forward-looking statements due to a variety of risks, uncertainties and other factors, including, but not limited to, the following: the ongoing effects of the COVID-19 pandemic; the availability of credit and compliance with the agreements governing the Company’s indebtedness; the Company’s ability to develop new products and enhance existing products; product quality issues, including the adequacy of reserves therefor and warranty cost exposure; intense competition; financial performance of the oil and natural gas industry and other general business, industry and economic conditions; the Company’s ability to adequately protect its intellectual property rights; and the impact of pending or threatened litigation. For a detailed discussion of factors that could affect the Company’s future operating results, please see the Company’s filings with the Securities and Exchange Commission, including the disclosures under “Risk Factors” in those filings. Except as expressly required by the federal securities laws, the Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, changed circumstances or future events or for any other reason.

CONTACT:

Capstone Green Energy
Investor and investment media inquiries:
818-407-3628
ir@CGRNenergy.com

SOURCE: Capstone Green Energy Corporation

Monday, August 16, 2021

Gevo, Inc. (GEVO)
Net Zero One Engineering and RNG Plant Moving Ahead

Gevo Inc is a renewable chemicals and biofuels company engaged in the development and commercialization of alternatives to petroleum-based products based on isobutanol produced from renewable feedstocks. Its operating segments are the Gevo segment and the Gevo Development/Agri-Energy segment. By its segments, it is involved in research and development activities related to the future production of isobutanol, including the development of its biocatalysts, the production and sale of biojet fuel, its Retrofit process and the next generation of chemicals and biofuels that will be based on its isobutanol technology. Gevo Development/Agri-Energy is the key revenue generating segment which involves the operation of the Luverne Facility and production of ethanol, isobutanol and related products.

Poe Fratt, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

EBITDA losses continued in 2Q2021, but cash higher due to RNG plant financing. Given the stage of development of the renewable fuels concept, it isn’t surprising that EBTDA was negative $17.1 million due to higher development costs. We expect negative EBITDA to continue into at least next year. Cash increased $567 million from $525 million in 1Q2021 due to RNG debt financing of $69 million which was partially offset by the quarterly cash burn.


RNG plant financed and under construction.  BP identified as the customer. In 2Q2021, 1.5% debt financing of $69 million for the renewable natural gas (RNG) plant in NE Iowa was finalized. Construction began and capex will be reimbursed from funds held in trust over the next three quarters. BP is the customer, which is a positive …

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary.  Proper due diligence is required before making any investment decision. 

Gevo Reports Second Quarter 2021 Financial Results

ENGLEWOOD, Colo., Aug. 12, 2021 (GLOBE NEWSWIRE) — Gevo, Inc. (NASDAQ: GEVO) today announced financial results for the second quarter of 2021 and recent corporate highlights.

Recent Corporate Highlights

• On August 9, 2021, Gevo announced that its wholly-owned renewable natural gas (“RNG”) project company, Gevo NW Iowa RNG, LLC (“Gevo RNG”), has signed binding, definitive agreements with BP Canada Energy Marketing Corp. and BP Products North America Inc. for the sale of RNG. The RNG project is on schedule and on budget with an anticipated startup early 2022. Beginning in late 2022, Gevo RNG expects to generate cash distributions to Gevo of approximately $9 to $16 million per year.
  
  
• On August 2, 2021, Gevo announced the appointment of Jaime Guillen to its Board of Directors. Mr. Guillen is a Managing Partner at Faros Infrastructure Partners LLC, an investment firm with offices in the United Kingdom, the United States and Mexico.
  
• On April 15, 2021, Gevo closed the offering of $68,155,000 in 2021 Bonds to finance the construction of its renewable natural gas project in Iowa.

2021 Second Quarter Financial Highlights

• Ended the quarter with cash, cash equivalents, restricted cash and marketable securities totaling $567.2 million compared to $525.3 as of the end of Q1 2021 and $6.3 million as of the end of Q2 2020

• Revenue of $0.4 million for the quarter compared to $1.0 million in Q2 2020
• Loss from operations (which includes $5.5 million of preliminary stage project costs for Net-Zero 1) of ($19.0) million for the quarter compared to ($5.3) million in Q2 2020
• Non-GAAP cash EBITDA loss ¹ of ($17.1) million for the quarter compared to ($3.1) million in Q2 2020
• Net loss per share of ($0.09) for the quarter compared to ($0.40) in Q2 2020
• Non-GAAP adjusted net loss per share ² of ($0.09) for the quarter compared to ($0.39) in Q2 2020

Commenting on the second quarter of 2021 and recent corporate events, Dr. Patrick R. Gruber, Gevo’s Chief Executive Officer, said “The engineering and design work for our Net-Zero 1 Project is going well. We are figuring out the optimizations and integrations for Net-Zero 1, and how to generate more cash sooner. We are looking forward to completing the next phase of the engineering work in December of this year and moving forward towards getting the financing closed in the first half of next year.”

Second Quarter 2021 Financial Results

Revenue for the three months ended June 30, 2021 was $0.4 million compared with $1.0 million in the same period in 2020.

During the three months ended June 30, 2021, hydrocarbon revenue was $0.3 million compared with $0.9 million in the same period in 2020. Hydrocarbon sales decreased because of lower production volumes at Gevo’s demonstration plant at the South Hampton Resources, Inc. facility in Silsbee, Texas (the “South Hampton Facility”). Gevo’s hydrocarbon revenue is comprised of sales of sustainable aviation fuel and renewable premium gasoline.

As a result of COVID-19 and in response to an unfavorable commodity environment, Gevo terminated its production of ethanol and distiller grains in March 2020.  As previously announced, Gevo’s production facility in Luverne, Minnesota (the “Luverne Facility”) is currently producing isobutanol.  During the second half of 2021, Gevo expects to send finished isobutanol from the Luverne Facility to the South Hampton Facility so that renewable premium gasoline or jet fuel can be produced.

Cost of goods sold was $2.8 million for the three months ended June 30, 2021, compared with $2.6 million in the same period in 2020. Cost of goods sold includes $1.6 million associated with the maintenance of the Luverne and South Hampton Facilities and approximately $1.2 million in depreciation expense for the three months ended June 30, 2021.

Gross loss was $2.4 million for the three months ended June 30, 2021, compared with a $1.7 million gross loss in the same period in 2020.

Research and development expense increased by $0.7 million during the three months ended June 30, 2021 compared with the same period in 2020, due primarily to an increase in personnel and consultant expenses as we work to improve our process for growing and fermenting yeast strains.

Selling, general and administrative expense increased by $2.1 million during the three months ended June 30, 2021, compared with the same period in 2020, due primarily to increases in personnel, professional fees and insurance to support the growth in operations and an increase in consulting related to creating our first Environmental, Social and Governance (“ESG”) report, which will be released during the third quarter 2021, and documenting our compliance with Section 404(b) of the Sarbanes-Oxley Act.

Preliminary stage project costs increased by $5.3 million during the three months ended June 30, 2021, compared with the same period in 2020, due primarily to increased consulting for preliminary engineering costs, depreciation of the right of use assets related the agreements with the fuel supply and lease agreements and personnel expenses to support the growth in business activity at our Net-Zero projects.

Loss from operations in the three months ended June 30, 2021 was ($19.0) million, compared with a ($5.3) million loss from operations in the same period in 2020.

Non-GAAP cash EBITDA loss ³ in the three months ended June 30, 2021 was ($17.1) million, compared with a ($3.1) million non-GAAP cash EBITDA loss in the same period in 2020.

Interest expense has decreased by $0.5 million in the three months ended June 30, 2021 as compared to the same period in 2020, due to the conversion of all of Gevo’s 12% convertible senior secured notes due 2020/2021 to common stock during 2020.

In the three months ended June 30, 2021, Gevo recognized net non-cash gain totaling less than $0.1 million due to changes in the fair value of certain of its financial instruments, such as warrants.

Gevo incurred a net loss for the three months ended June 30, 2021 of ($18.3) million, compared with a net loss of ($6.0) million during the same period in 2020. Non-GAAP adjusted net loss ⁴ for the three months ended June 30, 2021 was ($18.3) million, compared with a non-GAAP adjusted net loss of ($5.8) million during the same period in 2020.

Cash, cash equivalents, restricted cash and marketable securities at June 30, 2021 was $567.2 million compared to $525.3 as of the end Q1 2021.

Webcast and Conference Call Information

Hosting today’s conference call at 4:30 p.m. EDT (2:30 p.m. MDT) will be Dr. Patrick R. Gruber, Chief Executive Officer, L. Lynn Smull, Chief Financial Officer, Carolyn M. Romero, Chief Accounting Officer, and Geoffrey T. Williams, Jr., Vice President – General Counsel & Secretary. They will review Gevo’s financial results and provide an update on recent corporate highlights.

To participate in the conference call, please dial 1 (833) 729-4776 (inside the U.S.) or 1 (830) 213-7701 (outside the U.S.) and reference the access code 2267135# or through the event weblink https://edge.media-server.com/mmc/p/8w4ypxhw .

A replay of the call and webcast will be available two hours after the conference call ends on August 12, 2021. To access the replay, please dial 1 (855) 859-2056 (inside the U.S.) or 1 (404) 537-3406 (outside the U.S.) and reference the access code 2267135#. The archived webcast will be available in the Investor Relations section of Gevo’s website at www.gevo.com .

About Gevo

Gevo’s mission is to transform renewable energy and carbon into energy-dense liquid hydrocarbons. These liquid hydrocarbons can be used for drop-in transportation fuels such as gasoline, jet fuel, and diesel fuel, that when burned have potential to yield net-zero greenhouse gas emissions when measured across the full lifecycle of the products. Gevo uses low-carbon renewable resource-based carbohydrates as raw materials, and is in an advanced state of developing renewable electricity and renewable natural gas for use in production processes, resulting in low-carbon fuels with substantially reduced carbon intensity (the level of greenhouse gas emissions compared to standard petroleum fossil-based fuels across their lifecycle). Gevo’s products perform as well or better than traditional fossil-based fuels in infrastructure and engines, but with substantially reduced greenhouse gas emissions. In addition to addressing the problems of fuels, Gevo’s technology also enables certain plastics, such as polyester, to be made with more sustainable ingredients. Gevo’s ability to penetrate the growing low-carbon fuels market depends on the price of oil and the value of abating carbon emissions that would otherwise increase greenhouse gas emissions. Gevo believes that its proven, patented, technology enabling the use of a variety of low-carbon sustainable feedstocks to produce price-competitive low carbon products such as gasoline components, jet fuel, and diesel fuel yields the potential to generate project and corporate returns that justify the build-out of a multi-billion-dollar business.

Gevo believes that Argonne National Laboratory GREET model is the best available standard of scientific based measurement for life cycle inventory or LCI.

Learn more at Gevo’s website: www.gevo.com

Forward-Looking Statements

Certain statements in this press release may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements relate to a variety of matters, including, without limitation, Gevo’s Net-Zero Projects, Gevo’s RNG Project, the engineering and design work for the Net-Zero 1 Project, Gevo’s offtake agreements, Gevo’s plans to develop its business, Gevo’s ability to successfully construct and finance its operations and growth projects, Gevo’s ability to achieve cash flow from its planned projects, the ability of Gevo’s products to contribute to lower greenhouse gas emissions, particulate and sulfur pollution and other statements that are not purely statements of historical fact. These forward-looking statements are made based on the current beliefs, expectations and assumptions of the management of Gevo and are subject to significant risks and uncertainty. Investors are cautioned not to place undue reliance on any such forward-looking statements. All such forward-looking statements speak only as of the date they are made, and Gevo undertakes no obligation to update or revise these statements, whether as a result of new information, future events or otherwise. Although Gevo believes that the expectations reflected in these forward-looking statements are reasonable, these statements involve many risks and uncertainties that may cause actual results to differ materially from what may be expressed or implied in these forward-looking statements. For a further discussion of risks and uncertainties that could cause actual results to differ from those expressed in these forward-looking statements, as well as risks relating to the business of Gevo in general, see the risk disclosures in the Annual Report on Form 10-K of Gevo for the year ended December 31, 2020 and in subsequent reports on Forms 10-Q and 8-K and other filings made with the U.S. Securities and Exchange Commission by Gevo.

Non-GAAP Financial Information

This press release contains financial measures that do not comply with U.S. generally accepted accounting principles (GAAP), including non-GAAP cash EBITDA loss, non-GAAP adjusted net loss and non-GAAP adjusted net loss per share. Non-GAAP cash EBITDA loss excludes depreciation and amortization and non-cash stock-based compensation. Non-GAAP adjusted net loss and adjusted net loss per share excludes non-cash gains and/or losses recognized in the quarter due to the changes in the fair value of certain of Gevo’s financial instruments, such as warrants, convertible debt and embedded derivatives . Management believes these measures are useful to supplement its GAAP financial statements with this non-GAAP information because management uses such information internally for its operating, budgeting and financial planning purposes. These non-GAAP financial measures also facilitate management’s internal comparisons to Gevo’s historical performance as well as comparisons to the operating results of other companies. In addition, Gevo believes these non-GAAP financial measures are useful to investors because they allow for greater transparency into the indicators used by management as a basis for its financial and operational decision making. Non-GAAP information is not prepared under a comprehensive set of accounting rules and therefore, should only be read in conjunction with financial information reported under U.S. GAAP when understanding Gevo’s operating performance. A reconciliation between GAAP and non-GAAP financial information is provided in the financial statement tables below.

¹ Cash EBITDA loss is a non-GAAP measure calculated by adding back depreciation and amortization and non-cash stock compensation to GAAP loss from operations. A reconciliation of cash EBITDA loss to GAAP loss from operations is provided in the financial statement tables following this release.

² Adjusted net loss per share is a non-GAAP measure calculated by adding back non-cash gains and/or losses recognized in the quarter due to the changes in the fair value of certain of our financial instruments, such as warrants, convertible debt and embedded derivatives, to GAAP net loss per share. A reconciliation of adjusted net loss per share to GAAP net loss per share is provided in the financial statement tables following this release.

³ Cash EBITDA loss is a non-GAAP measure calculated by adding back depreciation and amortization and non-cash stock compensation to GAAP loss from operations. A reconciliation of cash EBITDA loss to GAAP loss from operations is provided in the financial statement tables following this release.

⁴ Adjusted net loss is a non-GAAP measure calculated by adding back non-cash gains and/or losses recognized in the quarter due to the changes in the fair value of certain of our financial instruments, such as warrants, convertible debt and embedded derivatives, to GAAP net loss. A reconciliation of adjusted net loss to GAAP net loss is provided in the financial statement tables following this release.

Gevo, Inc.

Condensed Consolidated Balance Sheets Information

(Unaudited, in thousands, except share and per share amounts)

Gevo, Inc.

Condensed Consolidated Statements of Operations Information

(Unaudited, in thousands, except share and per share amounts)

Gevo, Inc.

Condensed Consolidated Statements of Comprehensive Income

(Unaudited, in thousands, except share and per share amounts)

Gevo, Inc.

Condensed Consolidated Statements of Stockholders’ Equity Information

(Unaudited, in thousands, except share amounts)

Gevo, Inc.

Condensed Consolidated Cash Flow Information

(Unaudited, in thousands)

Gevo, Inc.

Reconciliation of GAAP to Non-GAAP Financial Information

(Unaudited, in thousands, except share and per share amounts)

Investor and Media Contact

+1 720-647-9605

IR@gevo.com

Gevo Reports Second Quarter 2021 Financial Results

ENGLEWOOD, Colo., Aug. 12, 2021 (GLOBE NEWSWIRE) — Gevo, Inc. (NASDAQ: GEVO) today announced financial results for the second quarter of 2021 and recent corporate highlights.

Recent Corporate Highlights

• On August 9, 2021, Gevo announced that its wholly-owned renewable natural gas (“RNG”) project company, Gevo NW Iowa RNG, LLC (“Gevo RNG”), has signed binding, definitive agreements with BP Canada Energy Marketing Corp. and BP Products North America Inc. for the sale of RNG. The RNG project is on schedule and on budget with an anticipated startup early 2022. Beginning in late 2022, Gevo RNG expects to generate cash distributions to Gevo of approximately $9 to $16 million per year.
  
  
• On August 2, 2021, Gevo announced the appointment of Jaime Guillen to its Board of Directors. Mr. Guillen is a Managing Partner at Faros Infrastructure Partners LLC, an investment firm with offices in the United Kingdom, the United States and Mexico.
  
• On April 15, 2021, Gevo closed the offering of $68,155,000 in 2021 Bonds to finance the construction of its renewable natural gas project in Iowa.

2021 Second Quarter Financial Highlights

• Ended the quarter with cash, cash equivalents, restricted cash and marketable securities totaling $567.2 million compared to $525.3 as of the end of Q1 2021 and $6.3 million as of the end of Q2 2020

• Revenue of $0.4 million for the quarter compared to $1.0 million in Q2 2020
• Loss from operations (which includes $5.5 million of preliminary stage project costs for Net-Zero 1) of ($19.0) million for the quarter compared to ($5.3) million in Q2 2020
• Non-GAAP cash EBITDA loss ¹ of ($17.1) million for the quarter compared to ($3.1) million in Q2 2020
• Net loss per share of ($0.09) for the quarter compared to ($0.40) in Q2 2020
• Non-GAAP adjusted net loss per share ² of ($0.09) for the quarter compared to ($0.39) in Q2 2020

Commenting on the second quarter of 2021 and recent corporate events, Dr. Patrick R. Gruber, Gevo’s Chief Executive Officer, said “The engineering and design work for our Net-Zero 1 Project is going well. We are figuring out the optimizations and integrations for Net-Zero 1, and how to generate more cash sooner. We are looking forward to completing the next phase of the engineering work in December of this year and moving forward towards getting the financing closed in the first half of next year.”

Second Quarter 2021 Financial Results

Revenue for the three months ended June 30, 2021 was $0.4 million compared with $1.0 million in the same period in 2020.

During the three months ended June 30, 2021, hydrocarbon revenue was $0.3 million compared with $0.9 million in the same period in 2020. Hydrocarbon sales decreased because of lower production volumes at Gevo’s demonstration plant at the South Hampton Resources, Inc. facility in Silsbee, Texas (the “South Hampton Facility”). Gevo’s hydrocarbon revenue is comprised of sales of sustainable aviation fuel and renewable premium gasoline.

As a result of COVID-19 and in response to an unfavorable commodity environment, Gevo terminated its production of ethanol and distiller grains in March 2020.  As previously announced, Gevo’s production facility in Luverne, Minnesota (the “Luverne Facility”) is currently producing isobutanol.  During the second half of 2021, Gevo expects to send finished isobutanol from the Luverne Facility to the South Hampton Facility so that renewable premium gasoline or jet fuel can be produced.

Cost of goods sold was $2.8 million for the three months ended June 30, 2021, compared with $2.6 million in the same period in 2020. Cost of goods sold includes $1.6 million associated with the maintenance of the Luverne and South Hampton Facilities and approximately $1.2 million in depreciation expense for the three months ended June 30, 2021.

Gross loss was $2.4 million for the three months ended June 30, 2021, compared with a $1.7 million gross loss in the same period in 2020.

Research and development expense increased by $0.7 million during the three months ended June 30, 2021 compared with the same period in 2020, due primarily to an increase in personnel and consultant expenses as we work to improve our process for growing and fermenting yeast strains.

Selling, general and administrative expense increased by $2.1 million during the three months ended June 30, 2021, compared with the same period in 2020, due primarily to increases in personnel, professional fees and insurance to support the growth in operations and an increase in consulting related to creating our first Environmental, Social and Governance (“ESG”) report, which will be released during the third quarter 2021, and documenting our compliance with Section 404(b) of the Sarbanes-Oxley Act.

Preliminary stage project costs increased by $5.3 million during the three months ended June 30, 2021, compared with the same period in 2020, due primarily to increased consulting for preliminary engineering costs, depreciation of the right of use assets related the agreements with the fuel supply and lease agreements and personnel expenses to support the growth in business activity at our Net-Zero projects.

Loss from operations in the three months ended June 30, 2021 was ($19.0) million, compared with a ($5.3) million loss from operations in the same period in 2020.

Non-GAAP cash EBITDA loss ³ in the three months ended June 30, 2021 was ($17.1) million, compared with a ($3.1) million non-GAAP cash EBITDA loss in the same period in 2020.

Interest expense has decreased by $0.5 million in the three months ended June 30, 2021 as compared to the same period in 2020, due to the conversion of all of Gevo’s 12% convertible senior secured notes due 2020/2021 to common stock during 2020.

In the three months ended June 30, 2021, Gevo recognized net non-cash gain totaling less than $0.1 million due to changes in the fair value of certain of its financial instruments, such as warrants.

Gevo incurred a net loss for the three months ended June 30, 2021 of ($18.3) million, compared with a net loss of ($6.0) million during the same period in 2020. Non-GAAP adjusted net loss ⁴ for the three months ended June 30, 2021 was ($18.3) million, compared with a non-GAAP adjusted net loss of ($5.8) million during the same period in 2020.

Cash, cash equivalents, restricted cash and marketable securities at June 30, 2021 was $567.2 million compared to $525.3 as of the end Q1 2021.

Webcast and Conference Call Information

Hosting today’s conference call at 4:30 p.m. EDT (2:30 p.m. MDT) will be Dr. Patrick R. Gruber, Chief Executive Officer, L. Lynn Smull, Chief Financial Officer, Carolyn M. Romero, Chief Accounting Officer, and Geoffrey T. Williams, Jr., Vice President – General Counsel & Secretary. They will review Gevo’s financial results and provide an update on recent corporate highlights.

To participate in the conference call, please dial 1 (833) 729-4776 (inside the U.S.) or 1 (830) 213-7701 (outside the U.S.) and reference the access code 2267135# or through the event weblink https://edge.media-server.com/mmc/p/8w4ypxhw .

A replay of the call and webcast will be available two hours after the conference call ends on August 12, 2021. To access the replay, please dial 1 (855) 859-2056 (inside the U.S.) or 1 (404) 537-3406 (outside the U.S.) and reference the access code 2267135#. The archived webcast will be available in the Investor Relations section of Gevo’s website at www.gevo.com .

About Gevo

Gevo’s mission is to transform renewable energy and carbon into energy-dense liquid hydrocarbons. These liquid hydrocarbons can be used for drop-in transportation fuels such as gasoline, jet fuel, and diesel fuel, that when burned have potential to yield net-zero greenhouse gas emissions when measured across the full lifecycle of the products. Gevo uses low-carbon renewable resource-based carbohydrates as raw materials, and is in an advanced state of developing renewable electricity and renewable natural gas for use in production processes, resulting in low-carbon fuels with substantially reduced carbon intensity (the level of greenhouse gas emissions compared to standard petroleum fossil-based fuels across their lifecycle). Gevo’s products perform as well or better than traditional fossil-based fuels in infrastructure and engines, but with substantially reduced greenhouse gas emissions. In addition to addressing the problems of fuels, Gevo’s technology also enables certain plastics, such as polyester, to be made with more sustainable ingredients. Gevo’s ability to penetrate the growing low-carbon fuels market depends on the price of oil and the value of abating carbon emissions that would otherwise increase greenhouse gas emissions. Gevo believes that its proven, patented, technology enabling the use of a variety of low-carbon sustainable feedstocks to produce price-competitive low carbon products such as gasoline components, jet fuel, and diesel fuel yields the potential to generate project and corporate returns that justify the build-out of a multi-billion-dollar business.

Gevo believes that Argonne National Laboratory GREET model is the best available standard of scientific based measurement for life cycle inventory or LCI.

Learn more at Gevo’s website: www.gevo.com

Forward-Looking Statements

Certain statements in this press release may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements relate to a variety of matters, including, without limitation, Gevo’s Net-Zero Projects, Gevo’s RNG Project, the engineering and design work for the Net-Zero 1 Project, Gevo’s offtake agreements, Gevo’s plans to develop its business, Gevo’s ability to successfully construct and finance its operations and growth projects, Gevo’s ability to achieve cash flow from its planned projects, the ability of Gevo’s products to contribute to lower greenhouse gas emissions, particulate and sulfur pollution and other statements that are not purely statements of historical fact. These forward-looking statements are made based on the current beliefs, expectations and assumptions of the management of Gevo and are subject to significant risks and uncertainty. Investors are cautioned not to place undue reliance on any such forward-looking statements. All such forward-looking statements speak only as of the date they are made, and Gevo undertakes no obligation to update or revise these statements, whether as a result of new information, future events or otherwise. Although Gevo believes that the expectations reflected in these forward-looking statements are reasonable, these statements involve many risks and uncertainties that may cause actual results to differ materially from what may be expressed or implied in these forward-looking statements. For a further discussion of risks and uncertainties that could cause actual results to differ from those expressed in these forward-looking statements, as well as risks relating to the business of Gevo in general, see the risk disclosures in the Annual Report on Form 10-K of Gevo for the year ended December 31, 2020 and in subsequent reports on Forms 10-Q and 8-K and other filings made with the U.S. Securities and Exchange Commission by Gevo.

Non-GAAP Financial Information

This press release contains financial measures that do not comply with U.S. generally accepted accounting principles (GAAP), including non-GAAP cash EBITDA loss, non-GAAP adjusted net loss and non-GAAP adjusted net loss per share. Non-GAAP cash EBITDA loss excludes depreciation and amortization and non-cash stock-based compensation. Non-GAAP adjusted net loss and adjusted net loss per share excludes non-cash gains and/or losses recognized in the quarter due to the changes in the fair value of certain of Gevo’s financial instruments, such as warrants, convertible debt and embedded derivatives . Management believes these measures are useful to supplement its GAAP financial statements with this non-GAAP information because management uses such information internally for its operating, budgeting and financial planning purposes. These non-GAAP financial measures also facilitate management’s internal comparisons to Gevo’s historical performance as well as comparisons to the operating results of other companies. In addition, Gevo believes these non-GAAP financial measures are useful to investors because they allow for greater transparency into the indicators used by management as a basis for its financial and operational decision making. Non-GAAP information is not prepared under a comprehensive set of accounting rules and therefore, should only be read in conjunction with financial information reported under U.S. GAAP when understanding Gevo’s operating performance. A reconciliation between GAAP and non-GAAP financial information is provided in the financial statement tables below.

¹ Cash EBITDA loss is a non-GAAP measure calculated by adding back depreciation and amortization and non-cash stock compensation to GAAP loss from operations. A reconciliation of cash EBITDA loss to GAAP loss from operations is provided in the financial statement tables following this release.

² Adjusted net loss per share is a non-GAAP measure calculated by adding back non-cash gains and/or losses recognized in the quarter due to the changes in the fair value of certain of our financial instruments, such as warrants, convertible debt and embedded derivatives, to GAAP net loss per share. A reconciliation of adjusted net loss per share to GAAP net loss per share is provided in the financial statement tables following this release.

³ Cash EBITDA loss is a non-GAAP measure calculated by adding back depreciation and amortization and non-cash stock compensation to GAAP loss from operations. A reconciliation of cash EBITDA loss to GAAP loss from operations is provided in the financial statement tables following this release.

⁴ Adjusted net loss is a non-GAAP measure calculated by adding back non-cash gains and/or losses recognized in the quarter due to the changes in the fair value of certain of our financial instruments, such as warrants, convertible debt and embedded derivatives, to GAAP net loss. A reconciliation of adjusted net loss to GAAP net loss is provided in the financial statement tables following this release.

Gevo, Inc.

Condensed Consolidated Balance Sheets Information

(Unaudited, in thousands, except share and per share amounts)

Gevo, Inc.

Condensed Consolidated Statements of Operations Information

(Unaudited, in thousands, except share and per share amounts)

Gevo, Inc.

Condensed Consolidated Statements of Comprehensive Income

(Unaudited, in thousands, except share and per share amounts)

Gevo, Inc.

Condensed Consolidated Statements of Stockholders’ Equity Information

(Unaudited, in thousands, except share amounts)

Gevo, Inc.

Condensed Consolidated Cash Flow Information

(Unaudited, in thousands)

Gevo, Inc.

Reconciliation of GAAP to Non-GAAP Financial Information

(Unaudited, in thousands, except share and per share amounts)

Investor and Media Contact

+1 720-647-9605

IR@gevo.com

Thursday, August 12, 2021

Capstone Green Energy Corporation (CGRN)
June-quarter sales disappointing but growth is coming

Capstone Green Energy Corp is the producer of low-emission microturbine systems.The company develops, manufactures, markets and services microturbine technology solutions for use in stationary distributed power generation applications. Capstone Turbine’s products include onboard generation for hybrid electric vehicles; conversion of oil field and biomass waste gases into electricity; combined heat, power, and chilling solutions; capacity addition; and standby power.

Michael Heim, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

June quarter sales were below our expectations. The company reported revenues of $16.1 million up 13% year over year but down 4.5% sequentially and below our $18.5 million forecast. The company is in the middle of a transition towards rental and service business, which will provide for more steady revenues but will have less of the big ticket items that sometimes boost sales in a given quarter. Management believes rentals and sales are still being negatively impacted by COVID and supply chain issues specifically pointing to Italy, India and Brazil where Capstone does business.


Costs rose causing margins and cash flow to shrink.  Adjusted EBIDTA was ($2.3) million versus $0.1 million. Cost of goods sold rose to $13.4 million versus $10.8 million pushing gross margins down to $2.6 million (16%) versus $3.4 million (24%). We had hoped for the gross margin percent to remain at 24%. Operating costs were $6.2 million versus $3.9 million last year. Net income was ($4.8) million …

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary.  Proper due diligence is required before making any investment decision. 

Thursday, August 12, 2021

InPlay Oil (IPOOF)(IPO:CA)
Outstanding quarter due to operational improvements

As of April 24, 2020, Noble Capital Markets research on InPlay Oil is published under ticker symbols (IPOOF and IPO:CA). The price target is in USD and based on ticker symbol IPOOF. Research reports dated prior to April 24, 2020 may not follow these guidelines and could account for a variance in the price target. InPlay Oil is a junior oil and gas exploration and production company with operations in Alberta focused on light oil production. The company operates long-lived, low-decline properties with drilling development and enhanced oil recovery potential as well as undeveloped lands with exploration possibilities. The common shares of InPlay trade on the Toronto Stock Exchange under the symbol IPO and the OTCQZ Exchange under the symbol IPOOF.

Michael Heim, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Production is soaring due to the performance of recently drilled wells. InPlay reported average production of 5,380 boe/d in the June quarter, up 71% versus last year and above our forecast of 5,167 boe/d. The jump in production reflect strong performance by three Pembina wells drilled in the first quarter that continue to blow through type curve projections. Well flow shows no signs of decreasing after 120 days and the wells have paid for themselves in 3-4 months. In addition, three new wells in Pembina came on in July and are even outperforming the wells drilled in the first quarter. Management announced that it now plans to replace three wells planned for the Willesden Green with wells in the Pembina play.


High production means high cash flow and earnings.  Adjusted funds flow (AFF) for the quarter was $8.2 million ($0.12) up 730% y-o-y and 34% sequentially and above the $6.4 million ($0.09) in our models. Net income was $0.8 million ($0.02) after excluding nonrecurring items, well surpassing previous periods and our forecast of ($0.7 million) or ($0.01). Realized prices and operating netbacks were …

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary.  Proper due diligence is required before making any investment decision. 

Capstone Green Energy (NASDAQ:CGRN) Reports First Quarter Fiscal 2022 Financial Results

Total Revenue Grew 13% Year-Over-Year

Cash and Cash Equivalents of $49.2M

Book-to-Bill Ratio of 1:1 for the Quarter with New Gross Product Orders of $8.2M

Webcast to be Held Today, August 11, 2021 at 1:45 PM PT; 4:45 PM ET

VAN NUYS, CA / ACCESSWIRE / August 11, 2021 / Capstone Green Energy Corporation (NASDAQ:CGRN), formerly Capstone Turbine Corporation (NASDAQ:CPST) (“Capstone,” the “Company,” “we” or “us”), a global leader in carbon reduction and on-site resilient green energy solutions, today announced financial results for its fiscal year 2022 first quarter ended June 30, 2021.

Financial Highlights of Fiscal Year 2022 First Quarter:

• Total revenue in the quarter was $16.1 million, up 13%, compared to $14.2 million in the first quarter last year as orders and shipments gradually started to rebound despite continued negative impacts from the ongoing COVID-19 global pandemic.
• The book-to-bill ratio was 1:1 for the quarter, and new gross product orders were $8.2 million despite continued negative global impacts from the ongoing COVID-19 global pandemic in key markets like Europe, Latin America, Asia, and Australia.
• The long-term microturbine rental fleet increased 1.5 megawatts (MWs) to 12.1 MWs from 10.6 MWs during the quarter as the Company continues to execute against its plan to increase the fleet to 21.1 MWs by March 31, 2022.
• Total cash and cash equivalents as of June 30, 2021, were $49.2 million, a decrease of $0.3 million, compared to $49.5 million as of March 31, 2021.
• Cash provided by financing activities was $11.0 million during the quarter, as the Company continued to focus on strengthening liquidity as it accelerates the expansion of the long-term rental fleet.
• Net loss of $2.2 million for the quarter, compared to a net loss of $1.8 million in the first quarter of fiscal 2021.
• Adjusted EBITDA of negative $2.3 million, compared to Adjusted EBITDA of $0.1 million in the first quarter of fiscal 2021.

“I am pleased that we were again able to drive year-over-year revenue growth as the global recovery from the COVID-19 global pandemic continued to evolve, and we executed upon our revenue growth strategy,” said Darren Jamison, President and Chief Executive Officer of Capstone Green Energy. “We also announced during the quarter that we expanded our long-term rental fleet from 10.6 megawatts to 12.1 megawatts as we march towards our goal of growing the fleet to 21.1 megawatts by the end of our fiscal year. This remains a key driver in our long-term strategy, as rental-related revenue drives a much higher margin than a typical product sale. This, along with our Factory Protection Plan program, are important supporting pillars in growing our Energy as a Service business,” added Mr. Jamison.

“We also took steps during the quarter to expand our direct solutions sales team as their effort in the field is creating a robust project pipeline. We are excited for the second half of the year as we expect to start to close on potential projects deploying not only our existing microturbine technology, but the new energy products and service offerings we added on the back of our evolution into Capstone Green Energy Corporation, announced on Earth Day in April 2021,” concluded Mr. Jamison.

Financial Results for Fiscal Year 2022 First Quarter

Total revenue for the quarter increased $1.9 million to $16.1 million, compared with total revenue of $14.2 million in the year-ago quarter. The increase in revenue was the result of higher MWs shipped, as the year-ago quarter was more negatively impacted by the global COVID-19 pandemic.

Gross margin decreased $0.8 million, to $2.6 million in the first quarter compared to $3.4 million in the same period last year, primarily due to lower overhead expenses in the prior period as a result of the Company’s COVID-19 Business Continuity Plan, which consisted of pay cuts, furloughs, and other cost-cutting measures.

Gross margin as a percentage of revenue decreased to 16% in the first quarter, compared to 24% in the same period last year, primarily due to lower overhead expenses in the prior period as a result of the Company’s COVID-19 Business Continuity Plan. Additionally, Factory Protection Plan margins were higher in the prior-year period primarily due to site shutdowns caused by the pandemic, which delayed servicing events.

Operating expenses in the first quarter of fiscal year 2022 were $6.2 million, an increase of $2.3 million from $3.9 million in the year-ago quarter, as the year-ago quarter had reduced expenses from the COVID-19 Business Continuity Plan, which reduced operating expenses and increased working capital during the pandemic.

Net loss was $2.2 million for the first quarter of fiscal year 2022, compared to a net loss of $1.8 million in the year-ago quarter. Net loss per share improved to $0.16 cents per share compared to $0.17 cents in the year-ago quarter. Adjusted EBITDA was negative $2.3 million for the first quarter of fiscal year 2022, compared to an adjusted EBITDA of $0.1 million in the year-ago quarter.

Cash and cash equivalents were $49.2 million as of June 30, 2021, compared to $49.5 million as of March 31, 2021.

Conference Call and Webcast

Capstone will host a live webcast on August 11, 2021, at 1:45 PM Pacific Time (4:45 PM Eastern Time) to provide the results of the fiscal year 2022 first quarter ended June 30, 2021. Capstone will discuss its financial results and will provide an update on its business activities. At the end of the conference call, Capstone will host a question-and-answer session to provide an opportunity for financial analysts to ask questions. Investors and interested individuals are invited to listen to the webcast by logging on to Capstone’s investor relation’s webpage at www.CapstoneGreenEnergy.com. A replay of the webcast will be available on the website for 30 days.

About Capstone Green Energy

Capstone Green Energy (NASDAQ:CGRN) is a leading provider of customized microgrid solutions and on-site energy technology systems focused on helping customers around the globe meet their environmental, energy savings, and resiliency goals. Capstone Green Energy focuses on four key business lines. Through its Energy as a Service (EaaS) business, it offers rental solutions utilizing its microturbine energy systems and battery storage systems, comprehensive Factory Protection Plan (FPP) service contracts that guarantee life-cycle costs, as well as aftermarket parts. Energy Conversion Products are driven by the Company’s industry-leading, highly efficient, low-emission, resilient microturbine energy systems offering scalable solutions in addition to a broad range of customer-tailored solutions, including hybrid energy systems and larger frame industrial turbines. The Energy Storage Products business line designs and installs microgrid storage systems creating customized solutions using a combination of battery technologies and monitoring software. Through Hydrogen Energy Solutions, Capstone Green Energy offers customers a variety of hydrogen products, including the Company’s microturbine energy systems.

For customers with limited capital or short-term needs, Capstone offers rental systems; for more information, contact: rentals@CGRNenergy.com. To date, Capstone has shipped over 10,000 units to 83 countries and estimates that, in FY21, it saved customers over $217 million in annual energy costs and approximately 397,000 tons of carbon. Total savings over the last three years are estimated to be approximately $698 million in energy savings and approximately 1,115,100 tons of carbon savings.

For more information about the Company, please visit: www.CapstoneGreenEnergy.com. Follow Capstone Green Energy on Twitter, LinkedIn, Instagram, Facebook, and YouTube.

Cautionary Note Regarding Forward-Looking Statements

This release contains forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995, including statements regarding expectations for green initiatives and execution on the Company’s growth strategy and other statements regarding the Company’s expectations, beliefs, plans, intentions, and strategies. The Company has tried to identify these forward-looking statements by using words such as “expect,” “anticipate,” “believe,” “could,” “should,” “estimate,” “intend,” “may,” “will,” “plan,” “goal” and similar terms and phrases, but such words, terms and phrases are not the exclusive means of identifying such statements. Actual results, performance and achievements could differ materially from those expressed in, or implied by, these forward-looking statements due to a variety of risks, uncertainties and other factors, including, but not limited to, the following: the ongoing effects of the COVID-19 pandemic; the availability of credit and compliance with the agreements governing the Company’s indebtedness; the Company’s ability to develop new products and enhance existing products; product quality issues, including the adequacy of reserves therefor and warranty cost exposure; intense competition; financial performance of the oil and natural gas industry and other general business, industry and economic conditions; the Company’s ability to adequately protect its intellectual property rights; and the impact of pending or threatened litigation. For a detailed discussion of factors that could affect the Company’s future operating results, please see the Company’s filings with the Securities and Exchange Commission, including the disclosures under “Risk Factors” in those filings. Except as expressly required by the federal securities laws, the Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, changed circumstances or future events, or for any other reason.

Financial Tables to Follow

To supplement the company’s unaudited financial data presented on a generally accepted accounting principles (GAAP) basis, management has presented Adjusted EBITDA, a non-GAAP financial measure. This non-GAAP financial measure is among the indicators management uses as a basis for evaluating the company’s financial performance as well as for forecasting future periods. Management establishes performance targets, annual budgets and makes operating decisions based in part upon this metric. Accordingly, disclosure of this non-GAAP financial measure provides investors with the same information that management uses to understand the company’s economic performance year-over-year.

EBITDA is defined as net income before interest, provision for income taxes, and depreciation and amortization expense. Adjusted EBITDA is defined as EBITDA before gain on debt extinguishment, additional PPP loan forgiveness and stock-based compensation and other expense. Gain on debt extinguishment and additional PPP loan forgiveness relates to the Paycheck Protection Program loan forgiveness. Stock-based compensation and other expense includes expense related to stock issued to employees, directors, and vendors.

Adjusted EBITDA is not a measure of the company’s liquidity or financial performance under GAAP and should not be considered as an alternative to, net income or any other performance measure derived in accordance with GAAP, or as an alternative to cash flows from operating activities as a measure of its liquidity.

While management believes that the non-GAAP financial measure provides useful supplemental information to investors, there are limitations associated with the use of this measure. The measures are not prepared in accordance with GAAP and may not be directly comparable to similarly titled measures of other companies due to potential differences in the exact method of calculation. Management compensates for these limitations by relying primarily on the company’s GAAP results and by using Adjusted EBITDA only supplementally and by reviewing the reconciliations of the non-GAAP financial measure to its most comparable GAAP financial measure.

Non-GAAP financial measures are not in accordance with, or an alternative for, generally accepted accounting principles in the United States. The company’s non-GAAP financial measures are not meant to be considered in isolation or as a substitute for comparable GAAP financial measures and should be read only in conjunction with the company’s consolidated financial statements prepared in accordance with GAAP.

CONTACT:
Capstone Green Energy
Investor and investment media inquiries:
818-407-3628
ir@CGRNenergy.com

SOURCE: Capstone Green Energy Corporation

Natural Gas Inventories are Low, Biden Administration Calls on OPEC for More Oil

Energy inventory levels are running below average. Heading into the heating season, the U.S. Energy Information Administration (EIA) forecasted natural gas inventories would enter November well below the five-year average. Separately, in a surprise yesterday, the U.S. National Security Adviser called on OPEC, Russia, and other oil-exporting countries to produce more oil.

Natural Gas

In its August 2021 Short-Term Energy Outlook, the EIA forecast that inventories of natural gas will reach 3,592 billion cubic feet (Bcf) by November 1, which is considered the beginning of the heating season. The level is 159 Bcf below its 2016-2020 average. Contributing to this forecast is the above-average use of natural gas experienced last heating season and the below-average additions since. Another factor considered is the higher natural gas exports coupled with relatively flat production.

U.S. production of dry natural gas (consumer-grade/methane) has been flat at 91.5 Bcf/d (billion cubic feet per day). This is 0.4 Bcf/d below the same period last year (January-July). Extreme cold weather in February is partly responsible as well freeze offs caused production to decline by more than 6.5 Bcf/d.

Record high levels of exports so far this year can be attributed to the increased ability to ship liquid natural gas (LNG) along with increased international LNG and natural gas prices. Through last year, U.S. LNG exports averaged 6.5 Bcf/d during a period of low global natural gas demand following pandemic-related reduced economic activity. Comparatively, U.S. LNG exports have averaged 9.4 Bcf/d so far in 2021. The EIA forecasts that LNG exports will average 9.5 Bcf/d for the remainder of the year.  Exports via natural gas pipelines are also higher in 2021. U.S. pipeline exports of natural gas have averaged 8.5 Bcf/d in 2021, compared with 7.9 Bcf/d in 2020. The EIA forecasts that U.S. pipeline exports of natural gas will average 8.8 Bcf/d for the remainder of the year.

Send Your Oil Please

To the surprise of many, the talk of renewables was put on hold yesterday (Aug. 11) as the U.S. national security adviser Jake Sullivan urged OPEC and other oil-exporting countries (including Russia), to increase output and urged them to produce more oil.

The reason is in part to curtail this inflation input. Today’s price of crude is higher than it was in early 2020 before the global response to the novel coronavirus. Oil prices saw little impact as WTI rose 0.1% and Brent increased by 0.2% overnight. OPEC + have been at odds with themselves on the best level of production. The market seems to understand that admonishment from the U.S. is now a small voice compared to those interests actually seated at the table.

Take-Away

As the energy industry seeks to regain its balance, there will be supply issues, (surpluses/shortfalls). Until the economy is on solid enough footing to project future needs, providing the proper output and getting it to where it is needed may continue to prove difficult.

Read more from a recent
newsletter provided by Channelchek reviewing the industry. 

Suggested Reading:

Tax Treatment for Crypto Mining May Cause Exodus from U.S.

Will the U.S. Continue to Subsidize Renewable Energy?

Why Uranium Prices Have Been Rising

Lithium Battery vs. Hydrogen Fuel Cell Vehicles

Sources:

https://www.eia.gov/todayinenergy/detail.php?id=47576

https://www.eia.gov/todayinenergy/detail.php?id=46896

https://www.eia.gov/todayinenergy/detail.php?id=49096

White House Briefing Room Statement

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