public power and co-ops will represent over 20% of future storage deployments, and we are well positioned to serve this market. The bookings strength was largely driven by our entry into the bulk power system scale of the front of the meter storage business this year, particularly in the municipal and cooperative customer segment. In Q3 2023, we far exceeded our guidance for contracted bookings coming in nearly 2x our guidance and the highest quarter in company history at $676 million. This is a key milestone as we move to free cash flow generation and we'll outline more specifics in our full year earnings call in February. Finally, we're announcing that we expect to achieve full year adjusted EBITDA positive in 2024 without the need to issue additional equity. At the core of our value proposition to gigawatt scale developers like SB Energy is our AI-driven technology, Athena, which continues to receive third-party recognition for its differentiation and value. This partnership underscores our focus on growing service revenue. We will offer software and services for up to 10 gigawatt hours of storage deployments across North America. Today, we announced an exciting new agreement with SB Energy. We continue to expect achievement of positive adjusted EBITDA in the second half of this year, a goal we committed to during our Investor and Analyst Day in 2022. With strong revenue growth, solid margins and continued cost control, our path to profitability continues to improve. Adjusted EBITDA reflects an adjustment to exclude an exceptional reduction in revenue. Adjusted EBITDA came in near breakeven at negative $900,000 versus negative $13 million in the same quarter last year. The 3x bookings growth performance drove our contracted annual recurring revenue or CARR, up 43% versus the third quarter of 2022 and up 17% sequentially. We set a record for bookings of $676 million. Revenue this quarter was negatively impacted by nonrecurring adjustments that Bill will discuss later in the call. In the third quarter, we recorded $134 million in revenue, up 34% versus third quarter 2022. Now let's turn to Slide 4 on our third quarter 2023 results and highlights. Bill will then discuss our financial results. Beginning with Slide 3, our agenda will cover 5 items: our third quarter results, technology, leadership, and product announcements, and our commercial traction. Good afternoon, and thank you all for joining us today. And now I will turn the call over to John. Mike Carlson, COO and Pritesh Patel, Chief Strategy Officer, will also be available for the question-and-answer portion of the call. Our earnings release and presentation are on the Investor Relations section of our website at John Carrington, our CEO and Bill Busch, CFO, will start the call today with prepared remarks. We will be using a slide presentation today. Additional details and reconciliations to the most directly comparable GAAP financial measures can be found in our earnings release. Our comments today also include non-GAAP financial measures. We, therefore, refer you to our latest 10-Q and our other SEC filings. These matters involve risks and uncertainties that could cause our results to differ materially from those projected in these statements. Before we begin, please note that some of the statements we will be making today are forward-looking. Welcome to our third quarter 2023 earnings call. This is Ted Durbin, Head of Investor Relations at Stem.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |