Company achieves record revenue, gross margin,
backlog, pipeline and AUM
Continued expansion of Athena® platform drives
strong momentum into 2022
Stem, Inc. ("Stem" or the "Company") (NYSE: STEM), a global
leader in artificial intelligence (AI)-driven energy storage
services, announced today its financial results for the third
quarter ended September 30, 2021.
Third Quarter 2021 Financial and Operating Highlights
Financial Highlights
- Record revenues of $39.8 million, up from $9.2 million (+334%)
in the same quarter last year
- Record Gross Margin (GAAP) of 8% versus (19)% in the same
quarter last year
- Non-GAAP Gross Margin of 15% versus 8% in the same quarter last
year
- Net Income of $115.6 million versus Net Loss of $(18.8) million
in the same quarter last year. Net Income in the quarter was driven
primarily by a non-cash revaluation of Public Warrants. All
outstanding Public Warrants were exercised or redeemed during the
quarter
- Adjusted EBITDA of $(7.2) million versus $(7.9) million in the
same quarter last year
- Ended the third quarter of 2021 with $576 million in cash, cash
equivalents and short-term investments and zero debt
Operating Highlights
- Record 12-month Pipeline of $2.4 billion, up from $1.7 billion
(+41%) at the end of the second quarter
- Record Bookings of $104 million, up from $37 million (+183%) in
the same quarter last year
- Record Contracted Backlog of $312 million, up from $250 million
(+25%) at the end of the second quarter
- Record Contracted Assets Under Management (AUM) of 1.4 gigawatt
hours (GWh), up from 1.0 GWh in the same quarter last year
John Carrington, Chief Executive Officer of Stem, commented, “We
are excited to report a record quarter of commercial and
operational execution reflected in revenues, gross margin, backlog,
pipeline and AUM this quarter. Customers increasingly demand our
smart energy solutions enabled by Athena®, our industry-leading
software platform. These financial and operating results include a
25% sequential increase in contracted backlog, driven by a record
$104 million in bookings, and a 41% sequential increase in
pipeline. Revenue was once again at the high end of our guidance
range, and we remain on track to meet our full-year 2021 revenue
and Adjusted EBITDA targets. We have secured our anticipated supply
requirements through Q3 2022 and are strategically moving to lock
in the anticipated hardware deliveries for the full year 2022 to
meet contracted customer demand. Combined with a rapidly expanding
market, our differentiated offering, and strong balance sheet, we
believe our commercial momentum gives us excellent visibility into
multi-year growth.”
Key Metrics
The following table presents our key metrics ($ millions unless
otherwise noted):
Three Months Ended
September 30,
2021
2020
Financial metrics
Revenue
$39.8
$9.2
Gross Margin (GAAP)
$3.1
$(1.7)
Gross Margin (GAAP, %)
8%
(19)%
Non-GAAP Gross Margin***
$5.8
$0.7
Non-GAAP Gross Margin (%)***
15%
8%
Net Income / (Loss) (GAAP)
$115.6
$(18.8)
Adjusted EBITDA***
$(7.2)
$(7.9)
Key Operating metrics*
12-Month Pipeline ($ billions)
$2.4
**
Bookings ($ millions)
$103.7
$36.6
Contracted Backlog
$311.6
**
Contracted AUM (GWh)
1.4
1.0
* at period end
** not available
***Non-GAAP financial measures. See the
section below titled “Use of Non-GAAP Financial Measures “for
details and page 9 for reconciliations.
Third Quarter 2021 Financial and Operating Results
Financial Results
Third quarter revenue increased 334% to a record $39.8 million,
versus $9.2 million in the same quarter last year. Higher hardware
revenue from Front of the Meter (“FTM”) and Behind the Meter
(“BTM”) partnership agreements drove most of the year-over-year
increase, in addition to higher services revenue driven by
increased adoption of the Athena platform.
Gross Margin (GAAP) was $3.1 million, or 8%, versus $(1.7)
million, or (19)% in the same quarter last year and $(0.1) million,
or (1)%, in the second quarter of 2021. This represents Stem’s
first ever quarter of positive Gross Margin (GAAP). Non-GAAP Gross
Margin was $5.8 million or 15% versus $0.7 million or 8% in the
same quarter last year, and $2.1 million, or 11%, in the second
quarter of 2021. The year-over-year increases in margins resulted
from an increased mix of software service revenues and
higher-margin hardware deliveries.
Net Income was $115.6 million versus Net Loss of $(18.8) million
in the same quarter last year and $(100.2) million in the second
quarter of 2021. Third quarter net income was primarily driven by a
$137 million non-cash revaluation of warrants in the quarter, tied
to changes in the value of the underlying common stock, offset by
higher operating expenses.
Adjusted EBITDA was $(7.2) million compared to $(7.9) million in
the same quarter last year and $(8.5) million in the second quarter
of 2021. The improved Adjusted EBITDA results were primarily driven
by higher gross margins, partially offset by higher operating
expenses due to increased personnel costs reflecting continued
investment in our growth initiatives.
The Company ended the third quarter with $576 million in cash,
consisting of $405 million in cash and cash equivalents and $171
million in short-term investments, and no debt. The sequential
increase from $474 million in cash and cash equivalents at the end
of second quarter 2021 was primarily the result of the exercise of
approximately 12.6 million Public Warrants.
Operating Results
The Company’s 12-month forward Pipeline was $2.4 billion as of
September 30, 2021, compared to $1.7 billion on June 30, 2021,
representing 41% sequential growth. The increase in the 12-month
pipeline is a result of increased FTM project opportunities,
including significant expansions into new markets, continued growth
in Stem’s partner channel, and the seasonal nature of the
pipeline.
Contracted Backlog was $312 million at the end of the quarter
compared to $250 million at the end of the second quarter,
representing a 25% sequential increase. The increase in Contracted
Backlog resulted from record bookings in the quarter of $104
million. Bookings grew 183% year-over-year from $37 million in the
quarter ended September 30, 2020 and grew 130% from $45 million in
the quarter ended June 30, 2021. Year-to-Date bookings of $200
million already exceed full-year 2020 bookings of $138 million
(+45%).
Contracted AUM increased 40% year-over-year and 17% sequentially
to 1.4 GWh, driven by an increase in new contracts and new systems
that became operational.
The following table provides a summary of current backlog
compared to prior quarter backlog:
$ millions
Period ending 2Q21
$250
Add: Bookings
$104
Less: Revenue
($40)
Other
$(2)
Period ending 3Q21
$312
The Company will continue to diversify its supply chain, adopt
alternative technologies, and deploy its balance sheet to meet the
expected significant growth in customer demand. COVID-19 continues
to impact the supply chain and the Company is actively working to
mitigate any continued effects of the pandemic on its business and
results of operations.
Business Highlights
On October 5, 2021, Stem announced two advanced application
additions to Athena: (1) Athena SupervisorTM, which provides
real-time visibility into how Athena manages and monetizes energy
assets, and (2) Athena BidderTM, which automates asset strategies
to maximize wholesale market revenues. These applications enable
the Company’s project developer customers to meet resource adequacy
requirements, optimize wholesale market revenue, and participate in
wholesale energy markets. Stem also highlighted three recent
customer projects in the Independent System Operator of New England
(ISO-NE) market that can co-optimize seven value streams: day-ahead
markets, real-time energy markets, frequency regulation, capacity
market, coincident peak reduction, solar shifting incentives, and
solar ITC earnings.
On September 15, 2021, Stem announced the development of South
America’s first virtual power plant (VPP) with Copec, one of the
largest energy companies in Central and South America, as well as
the completion of their first smart energy storage system in Chile.
The companies will be working together with Chilquinta Energía
S.A., a local energy supply service company, to establish the first
VPP, a network of decentralized BTM power generating sites. For
this project, Stem’s Athena has been customized to integrate
utility and grid market data points that optimize energy storage
assets in the Chilean market. This partnership also involves future
collaboration to bring smart energy storage alongside mutual
business activities in electric vehicle charging infrastructures
and solar project developments.
On August 30, 2021, Stem announced a pilot using Athena to
operate a 350 kW / 800 kWh battery system at Penske's heavy-duty
truck charging positions in Ontario, California. Athena predicts
when the charging site's electricity demand will spike and uses the
supplemental stored energy via on-site batteries at the optimal
time to drive off-peak electricity savings and minimize utility
peak demand charges. Since starting the pilot, smart energy storage
has driven a 40% decrease in Penske's site peak energy consumption.
Stem collaborated with Penske and its other suppliers in project
execution, including optimizing energy tariffs, utilizing energy
storage to secure funds from California Air Quality Resources
(CARB) as well as securing incentives from California's Self
Generation Incentive Program (SGIP).
On August 20, 2021, Stem announced the redemption of all 12.8
million public warrants outstanding. Holders exercised 12.6 million
warrants for a purchase price of $11.50 per whole share, generating
proceeds to Stem of approximately $145 million. The Company
redeemed all remaining outstanding public warrants. The public
warrants have been delisted from the New York Stock Exchange, and
there are no public warrants left outstanding.
Outlook
The Company reaffirms its guidance of full-year 2021 revenue of
$147 million and full-year 2021 Adjusted EBITDA of $(25) million.
Consistent with prior guidance, the Company reaffirms that it
expects to recognize 50-60% of total 2021 revenue in Q4. The
Company expects to provide 2022 guidance in its fourth quarter/full
year 2021 earnings call in mid-to-late February 2022.
Use of Non-GAAP Financial Measures
In addition to financial results determined in accordance with
U.S. generally accepted accounting principles (“GAAP”), we use the
following non-GAAP financial measures: non-GAAP gross margin and
Adjusted EBITDA. The presentation of this financial information is
not intended to be considered in isolation or as a substitute for,
or superior to, the financial information prepared and presented in
accordance with GAAP. See “Reconciliations of non-GAAP Financial
Measures” on page 9 of this release.
We use these non-GAAP financial measures for financial and
operational decision making and as a means to evaluate our
operating performance and future prospects, develop internal
budgets and financial goals, and to facilitate period-to-period
comparisons. Our management believes that these non-GAAP financial
measures provide meaningful supplemental information regarding our
performance and liquidity by excluding certain expenses and
expenditures that may not be indicative of our operating
performance, such as stock-based compensation and other non-cash
charges, as well as discrete cash charges that are infrequent in
nature. We believe that both management and investors benefit from
referring to these non-GAAP financial measures in assessing our
performance and when planning, forecasting, and analyzing future
periods. These non-GAAP financial measures also facilitate
management’s internal comparisons to our historical performance and
liquidity as well as comparisons to our competitors’ operating
results, to the extent that competitors define these metrics in the
same manner that we do. We believe these non-GAAP financial
measures are useful to investors both because they (1) allow for
greater transparency with respect to key metrics used by management
in its financial and operational decision making and (2) are used
by our institutional investors and the analyst community to help
them analyze the health of our business.
We define Adjusted EBITDA as net loss before depreciation and
amortization, including amortization of internally developed
software, net interest expense, further adjusted to exclude
stock-based compensation and other income and expense items,
including the change in fair value of warrants and embedded
derivatives.
We define non-GAAP gross margin as gross margin excluding
amortization of capitalized software, impairments related to
decommissioning of end-of-life systems, and adjustments to
reclassify data communication and cloud production expenses to
operating expenses.
About Stem, Inc.
Stem Inc. (NYSE: STEM) provides solutions that address the
challenges of today’s dynamic energy market. By combining advanced
energy storage solutions with Athena®, a world-class AI-powered
analytics platform, Stem enables customers and partners to optimize
energy use by automatically switching between battery power, onsite
generation and grid power. Stem’s solutions help enterprise
customers benefit from a clean, adaptive energy infrastructure and
achieve a wide variety of goals, including expense reduction,
resilience, sustainability, environmental and corporate
responsibility and innovation. Stem also offers full support for
solar partners interested in adding storage to standalone,
community or commercial solar projects – both behind and in front
of the meter.
For more information, visit www.stem.com.
Notes
Stem will hold a conference call to discuss this earnings press
release and business outlook on Tuesday, November 9, 2021 beginning
at 5:00 p.m. Eastern Time. The conference call may be accessed via
a live webcast on a listen-only basis on the Events &
Presentations page of the Investor Relations section of the
Company’s website at
https://investors.stem.com/events-and-presentations. The call can
also be accessed live over the telephone by dialing (844) 826-3035,
or for international callers, (412) 317-5195 and referencing Stem.
A replay of the conference call will be available shortly after the
call and can be accessed by dialing (844) 512-2921 or for
international callers by dialing (412) 317-6671. The passcode for
the replay is 10161255. An archive of the webcast will be available
on the Company’s website at https://investors.stem.com/overview for
twelve months after the call.
Forward-Looking Statements
This third quarter 2021 earnings release, as well as other
statements we make, contain “forward-looking statements” within the
meaning of the federal securities laws, which include any
statements that are not historical facts. Such statements often
contain words such as “expect,” “may,” “can,” “believe,” “predict,”
“plan,” “potential,” “projected,” “projections,” “forecast,”
“estimate,” “intend,” “anticipate,” “ambition,” “goal,” “target,”
“think,” “should,” “could,” “would,” “will,” “hope,” “see,”
“likely,” and other similar words. Forward-looking statements
address matters that are, to varying degrees, uncertain, such as
the reduction of greenhouse gas (“GHG”) emissions; the integration
and optimization of energy resources; the business strategies of
Stem and those of its customers; the global commitment to
decarbonization; our ability to retain or upgrade current
customers, further penetrate existing markets or expand into new
markets; our ability to manage our supply chains and distribution
channels and the impact of natural disasters and other events
beyond our control, such as the COVID-19 pandemic and the Delta
variant; our ability to meet contracted customer demand; and future
results of operations, including revenue and Adjusted EBITDA. Such
forward-looking statements are subject to risks, uncertainties, and
other factors that could cause actual results to differ materially
from those expressed or implied by such forward-looking statements.
These forward-looking statements are based upon assumptions and
estimates that, while considered reasonable by Stem and its
management, depend upon inherently uncertain factors and risks that
may cause actual results to differ materially from current
expectations, including our inability to help reduce GHG emissions;
our inability to seamlessly integrate and optimize energy
resources; our inability to achieve our financial and performance
targets and other forecasts and expectations; our ability to grow
and manage growth profitably; risks relating to the development and
performance of our energy storage systems and software-enabled
services; the risk that the global commitment to decarbonization
may not materialize as we predict, or even if it does, that we
might not be able to benefit therefrom; our inability to retain or
upgrade current customers, further penetrate existing markets or
expand into new markets; our inability to secure sufficient
inventory from our suppliers to meet customer demand, and provide
us with contracted quantities of equipment; supply chain
interruptions and manufacturing or delivery delays; disruptions in
sales, production, service or other business activities; our
inability to attract and retain qualified personnel; the risk that
our business, financial condition and results of operations may be
adversely affected by other political, economic, business and
competitive factors; and other risks and uncertainties set forth in
the section entitled “Risk Factors” in the registration statement
on Form S-1 filed with the SEC on July 19, 2021, and our most
recent Forms 10-K, 10-Q and 8-K filed with or furnished to the SEC.
If one or more of these or other risks or uncertainties materialize
(or the consequences of any such development changes), or should
our underlying assumptions prove incorrect, actual outcomes may
vary materially from those reflected in our forward-looking
statements. Statements in this third-quarter 2021 press release are
made as of the date of this release, and Stem disclaims any
intention or obligation to update publicly or revise such
statements, whether as a result of new information, future events
or otherwise.
Source: Stem, Inc.
STEM, INC.
CONDENSED CONSOLIDATED BALANCE
SHEETS
(UNAUDITED) (in thousands,
except share and per share amounts)
September 30, 2021
December 31, 2020
ASSETS
Current assets:
Cash and cash equivalents
$
405,189
$
6,942
Short-term investments
170,795
—
Accounts receivable, net
34,997
13,572
Inventory, net
24,200
20,843
Other current assets (includes $379 and
$123 due from related parties as of September 30, 2021 and December
31, 2020, respectively)
16,496
7,920
Total current assets
651,677
49,277
Energy storage systems, net
114,149
123,703
Contract origination costs, net
11,665
10,404
Goodwill
1,741
1,739
Intangible assets, net
13,125
12,087
Operating leases right-of-use assets
13,894
358
Other noncurrent assets
18,716
8,282
Total assets
$
824,967
$
205,850
LIABILITIES AND STOCKHOLDERS’ EQUITY
(DEFICIT)
Current liabilities:
Accounts payable
$
14,962
$
13,749
Accrued liabilities
14,024
16,072
Accrued payroll
5,524
5,976
Notes payable, current portion
—
33,683
Convertible promissory notes (includes $—
and $45,271 due to related parties as of September 30, 2021 and
December 31, 2020, respectively)
—
67,590
Financing obligation, current
14,315
14,914
Deferred revenue, current
27,129
36,942
Other current liabilities (includes $692
and $399 due to related parties as of September 30, 2021 and
December 31, 2020, respectively)
2,465
1,589
Total current liabilities
78,419
190,515
Deferred revenue, noncurrent
21,743
15,468
Asset retirement obligation
4,149
4,137
Notes payable, noncurrent
1,675
4,612
Financing obligation, noncurrent
75,384
73,128
Warrant liabilities
—
95,342
Lease liability, noncurrent
12,678
57
Total liabilities
194,048
383,259
Commitments and contingencies (Note
13)
Stockholders’ equity (deficit):
Preferred stock, $0.0001 par value;
1,000,000 shares authorized as of September 30, 2021 and December
31, 2020, respectively; 0 shares issued and outstanding as of
September 30, 2021 and December 31, 2020, respectively
—
—
Common stock, $0.0001 par value;
500,000,000 shares authorized as of September 30, 2021 and December
31, 2020; 144,285,959 and 40,202,785 issued and outstanding as of
September 30, 2021 and December 31, 2020, respectively
14
4
Additional paid-in capital
1,106,220
230,620
Accumulated other comprehensive loss
(317
)
(192
)
Accumulated deficit
(474,998
)
(407,841
)
Total stockholders’ equity (deficit)
630,919
(177,409
)
Total liabilities and stockholders’ equity
(deficit)
$
824,967
$
205,850
STEM, INC.
CONDENSED CONSOLIDATED
STATEMENTS OF OPERATIONS
(UNAUDITED) (in thousands,
except share and per share amounts)
Three Months Ended
September 30,
Nine Months Ended
September 30,
2021
2020
2021
2020
Revenue
Services revenue
$
4,947
$
3,649
$
14,982
$
10,711
Hardware revenue
34,886
5,523
59,609
6,950
Total revenue
39,833
9,172
74,591
17,661
Cost of revenue
Cost of service revenue
6,639
5,828
19,354
16,083
Cost of hardware revenue
30,057
5,074
52,343
6,439
Total cost of revenue
36,696
10,902
71,697
22,522
Gross margin
3,137
(1,730
)
2,894
(4,861
)
Operating expenses:
Sales and marketing
4,975
3,053
11,555
11,699
Research and development
6,268
5,052
15,502
12,084
General and administrative
11,024
2,635
28,730
8,018
Total operating expenses
22,267
10,740
55,787
31,801
Loss from operations
(19,130
)
(12,470
)
(52,893
)
(36,662
)
Other income (expense), net:
Interest expense
(2,674
)
(4,265
)
(12,835
)
(13,826
)
Loss on extinguishment of debt
—
—
(5,064
)
—
Change in fair value of warrants and
embedded derivative
137,001
(2,096
)
3,424
(3,005
)
Other income (expenses), net
415
188
211
(1,602
)
Total other income (expense)
134,742
(6,173
)
(14,264
)
(18,433
)
Income (loss) before income taxes
115,612
(18,643
)
(67,157
)
(55,095
)
Income tax expense
—
(142
)
—
(142
)
Net income (loss)
$
115,612
$
(18,785
)
$
(67,157
)
$
(55,237
)
Net income (loss) per share attributable
to common shareholders, basic
$
0.85
$
(0.47
)
$
(0.73
)
$
(1.61
)
Net loss per share attributable to common
shareholders, diluted
$
(0.15
)
$
(0.47
)
$
(0.73
)
$
(1.61
)
Weighted-average shares used in computing
net income (loss) per share, basic
135,231,146
39,844,652
92,436,649
40,087,247
Weighted-average shares used in computing
net loss per share, diluted
140,285,165
39,844,652
92,436,649
40,087,247
STEM, INC.
CONDENSED CONSOLIDATED
STATEMENTS OF CASH FLOWS
(UNAUDITED) (in
thousands)
Nine Months Ended September
30,
2021
2020
OPERATING ACTIVITIES
Net loss
$
(67,157
)
$
(55,237
)
Adjustments to reconcile net loss to net
cash used in operating activities:
Depreciation and amortization expense
15,620
13,769
Non-cash interest expense, including
interest expenses associated with debt issuance costs
8,098
7,080
Stock-based compensation
7,983
1,427
Change in fair value of warrant liability
and embedded derivative
(3,424
)
3,005
Noncash lease expense
280
435
Accretion expense
174
188
Impairment of energy storage systems
2,200
—
Issuance of warrants for services
9,183
—
Net (accretion of discount) amortization
of premium on investments
295
—
Other
—
9
Changes in operating assets and
liabilities:
Accounts receivable
(21,383
)
(6,039
)
Inventory
(3,357
)
(17,595
)
Deferred costs with suppliers
—
2,751
Other assets
(18,060
)
(105
)
Contract origination costs
(1,853
)
(2,135
)
Accounts payable and accrued expenses
6,151
2,836
Deferred revenue
(3,538
)
32,251
Lease liabilities
(331
)
(475
)
Other liabilities
99
(86
)
Net cash used in operating activities
(69,020
)
(17,921
)
INVESTING ACTIVITIES
Purchase of available-for-sale
investments
(171,109
)
—
Purchase of energy storage systems
(6,173
)
(4,121
)
Capital expenditures on
internally-developed software
(4,250
)
(3,585
)
Purchase of property and equipment
(525
)
(13
)
Net cash used in investing activities
(182,057
)
(7,719
)
FINANCING ACTIVITIES
Proceeds from exercise of stock options
and warrants
148,322
30
Payments for taxes related to net share
settlement of stock options
(12,622
)
—
Net contributions from Merger and PIPE
financing, net of transaction costs of $58,061
550,322
—
Proceeds from financing obligations
4,929
12,901
Repayment of financing obligations
(5,721
)
(7,776
)
Proceeds from issuance of convertible
notes, net of issuance costs of $8 and $1,740 for the nine months
ended September 30, 2021 and 2020, respectively
1,118
12,548
Proceeds from issuance of notes payable,
net of issuance costs of $101 and $1,502 for the nine months ended
September 30, 2021 and 2020, respectively
3,917
25,000
Repayment of notes payable
(41,446
)
(21,660
)
Net cash provided by financing
activities
648,819
21,043
Effect of exchange rate changes on cash
and cash equivalents
505
(349
)
Net increase (decrease) in cash and cash
equivalents
398,247
(4,946
)
Cash and cash equivalents, beginning of
period
6,942
12,889
Cash and cash equivalents, end of
period
$
405,189
$
7,943
STEM, INC.
RECONCILIATIONS OF NON-GAAP
FINANCIAL MEASURES
(UNAUDITED)
The following table provides a
reconciliation of net loss to Adjusted EBITDA:
Three Months Ended September
30,
Nine Months Ended September
30,
2021
2020
2021
2020
(in thousands)
(in thousands)
Net income (loss)
$
115,612
$
(18,785
)
$
(67,157
)
$
(55,237
)
Adjusted to exclude the following:
Depreciation and amortization
5,305
3,924
15,620
13,769
Interest expense
2,674
4,265
12,835
13,826
Loss on extinguishment of debt
—
—
5,064
—
Stock-based compensation
6,199
495
7,983
1,427
Issuance of warrants for services
—
—
9,183
—
Change in fair value of warrants and
embedded derivative
(137,001
)
2,096
(3,424
)
3,005
Provision for income taxes
—
142
—
142
Adjusted EBITDA
$
(7,211
)
$
(7,863
)
$
(19,896
)
$
(23,068
)
Adjusted EBITDA as used in connection with
the Company's 2021 outlook is a non-GAAP financial measure that
excludes or has otherwise been adjusted for items impacting
comparability. The Company is unable to reconcile Adjusted EBITDA
to net loss, its most directly comparable forward-looking GAAP
financial measure, without unreasonable efforts, because the
Company is currently unable to predict with a reasonable degree of
certainty its change in fair value of warrants expense for 2021. In
addition, the Company may incur additional expenses that may affect
Adjusted EBITDA, such as stock-based compensation expense and other
items. The unavailable information could have a significant effect
on the Company’s full year 2021 GAAP financial results.
The following table provides a
reconciliation of gross margin (GAAP) to non-GAAP gross margin ($
in millions, except for percentages):
Three Months Ended September
30,
2021
2020
Revenue
$
39.8
$
9.2
Cost of revenue
(36.7
)
(10.9
)
Gross Margin (GAAP)
3.1
(1.7
)
Gross Profit Margin % (GAAP)
8
%
(19
)%
Adjustments to Gross Margin:
Amortization of Capitalized Software
1.4
1.0
Impairments
0.7
1.4
Other Adjustments (1)
0.6
—
Non-GAAP Gross Margin
$
5.8
$
0.7
Non-GAAP Gross Profit Margin %
15
%
8
%
(1) Consists of certain operating expenses
classified to cost of revenue for accounting purposes.
Key Definitions:
Item
Definition
12-Month Pipeline
Total value (excluding market
participation revenue) of uncontracted, potential hardware and
software revenue from opportunities that are currently being
pursued by Stem direct salesforce and channel partners with
developers and independent power producers seeking energy
optimization services and transfer of energy storage systems, and
which have a reasonable likelihood of contract execution within 12
months of the end of the relevant period. Pipeline is based on
project timelines published by such developers and independent
power producers. We cannot guarantee that our pipeline will result
in meaningful revenue or profitability.
Bookings
Total value of executed customer
agreements, as of the end of the relevant period (e.g. quarterly
booking or annual booking)
- Customer contracts are typically executed 6-12 months ahead of
installation
- Booking amount typically includes:
- Hardware revenue, which is typically recognized at delivery of
system to customer,
- Software revenue, which represents total nominal software
contract value recognized ratably over the contract period,
- Market participation revenue is excluded from booking
value
Contracted Backlog
Total value of bookings in dollars, as
reflected on a specific date
- Backlog increases as new contracts are executed (bookings)
- Backlog decreases as integrated storage systems are delivered
and recognized as revenue
Contracted AUM
- Total GWh of systems in operation or under contract
View source
version on businesswire.com: https://www.businesswire.com/news/home/20211109006561/en/
Stem Investor Contacts Ted Durbin, Stem Marc Silverberg,
ICR IR@stem.com (847) 905-4400
Stem Media Contacts Cory Ziskind, ICR
stemPR@icrinc.com
Stem (NYSE:STEM)
Historical Stock Chart
From Mar 2024 to Apr 2024
Stem (NYSE:STEM)
Historical Stock Chart
From Apr 2023 to Apr 2024