Mon, Aug 19, 8:20 PM (148 days ago)
Zeo Energy Corp. filed an amendment to its Form 10-Q for the quarter ending March 31, 2024, to correct previously reported financial misstatements. Key adjustments included a net income increase of $361,000 stemming from revenue and expense corrections, and a reduction of net income by approximately $144,000 due to unrecorded stock-based compensation and transaction costs related to a business combination. For Q1 2024, revenue increased 6% to $19.86 million, driven by higher sales volumes, while gross profit declined significantly, resulting in a gross margin drop to 10.3%. Operating expenses surged 26.3% to $21.62 million, primarily due to increased general and administrative costs. The net loss for the quarter was approximately $1.93 million compared to a profit in the prior year. Cash flow from operations was negative at $10.15 million, reflecting the impact of the business combination and increased operational costs. The company’s liquidity position remains stable, with cash and equivalents of $7.73 million. The report highlights ongoing challenges, including inflation and rising interest rates, which may affect future performance. Zeo is focused on expanding its market presence and improving operational efficiencies to drive growth.