In a certain sense, the search for alternative energy investments is becoming commonplace. Solar power, wind energy and biofuels are regular concepts and words in the average investor’s lexicon. As companies enter and establish themselves in the marketplace, many are starting to get near profitability and their place in the energy matrix. Where once it may have been a bit more speculative to invest in renewable sources of energy, all an investor needs do today is find a renewable energy provider and perform regular due diligence. Many alternative energy companies are ready to profit; an investor just needs to look more closely to find the one that is best.
Akeena Solar Inc., a solar power system panel designer and installer, works to design and install solar power systems for high-end residential and mid-sized commercial properties. The company is national in scope with operations serving the California, New York, New Jersey, Connecticut and Pennsylvania regions.
Akeena Solar continues to outperform in 2008, with backlogs scheduled into the beginning of 2009. High-end residential projects continue at a solid pace with commercial projects beginning to become a larger portion of the company’s project mix. Although not an overly large issue, the company has been experiencing some of the effects associated with a tightening US economy and a certain uncertainty with regard to the expiration of tax credits at the end of 2008. Fortunately, the company’s patented installation techniques for flat-panel installations, on larger commercial flat-roof structures, allows for the company to quickly install commercial flat-roof systems at a rate that allows customers to take advantage before possible non-renewal of tax incentives.
Although there is an uncertainty in the company’s commercial area, with regard to tax incentive non-renewal, growth is expected to maintain its high rate (the company guides that in assessing its quarterly growth one should understand that commercial projects are becoming a larger portion of the company’s project mix and tend to run across quarters, skewing results.) Even so, the company has been following an aggressive program to reduce administrative costs through efficiencies and head count. In almost an astonished tone, the company reports that it is well ahead of its expectations to reduce costs by $2 million in 2008.
As the company continues to find increasing support for its designs and installations, it indicates that profitability is expected in the later part of 2009. As profitability and stability continue to take hold, Akeena Solar does appear to be becoming one of the leading designers/installers of high-end residential and mid-sized commercial solar power systems in the US. Although speculative at best, could franchising be far behind?
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