Menomonee Falls-based EnSync, Inc. saw its loss increase by 38 percent during fiscal 2016, but company executives say a milestone project has it positioned for record revenue to start the new fiscal year.
The company reported a loss of $18.2 million during the 2016 fiscal year, up from a $13.2 million loss in fiscal 2015. The results represented an increased loss from 36 cents to 39 cents per share. Revenue for the year was $2.1 million, up from $1.8 million.
The fourth quarter included $1.3 million in revenue, compared with $313,178 during the same period last year. The loss for the quarter was up 66 percent to $5.8 million or 12 cents per share.
The company recently announced it had sold several power purchase agreements to AEP OnSite Partners at a then undisclosed price.
In announcing its fourth quarter results, the company said it would recognize $7.5 million in revenue from the sale, including $7.1 million in the first quarter.
The company, which operates as EnSync Energy Systems and was formerly known as ZBB Energy Corp., has built several solar and energy storage systems in Hawaii and the power purchase agreements sale gives AEP, a subsidiary of Columbus, Ohio-based American Electric Power, the right to sell power through those systems. The power purchase agreements are for large users like universities or condo associations, said Dan Nordloh, executive vice president at EnSync.
“We’re excited to work with a forward-thinking and innovative organization like AEP that quickly realized the significance of being a leader in combining renewable energy, storage and energy management systems,” said Brad Hansen, EnSync president and chief executive officer. “The sale of these projects completes the disposition of seven of our eight projects from our initial tranche. We are now focused on working with our Hawaii subsidiary, Holu Energy, to drive the execution of our second tranche of projects, and the effort has already yielded four projects, that combined with our remaining Tranche 1 project have estimated future sales value of more than $5 million.”