RE:Hawaii Installs tweet from JHThis is good to read again (Pretty much the same as MD & A - Filed May 30th as follows)
What would be useful to know is:
What volume level is required to achieve "Break Even" and when does management expect to reach it?
"In North America, the Company has grown the partner network to more than twenty-five dealers, who remain in various stages of the onboarding process.
Specific to Hawaii, every solar installation now includes storage (defined as 100% attachment rate), and the Company has seen orders increase to a biweekly release schedule, with indication of increased demand over the next two quarters as customers take advantage of the Investment Tax Credit (ITC).
The Company has also extended its reach in the Puerto Rican market with the addition of two new partners. Eguana expects to see increased demand from Puerto Rico through the summer months as a result. Additionally, Georgia has proven to be a consistently growing region with multiple orders received through the quarter. In Australia, the Company established its Adelaide sales, training, and manufacturing facility, and increased its local staff to support dealer partners locally and across Australia following the same dealer onboarding model aforementioned. The South Australian market is expected to be one of the fastest growing markets in the world for residential storage based on the government-run Home Battery Scheme which provides grant and loan subsidies for energy storage. Installations have been steadily increasing since the first volume delivery was completed at the end of the quarter. Eguana has also qualified for the Simply Energy virtual power plant (VPP) program, Simply Extra. With 10 installation partners in South Australia and two national distribution partners through the onboarding process, the Company expects to see further growth in orders and revenues from this key region. Operational objectives in the third quarter will be focused on completing supply chain and manufacturing transition to contract manufacturing to manage global growth expectations. The Company expects to see gross margin increases through greater buying power and supply chain efficiencies. Development efforts will shift to cost reduction activities to further drive incremental margins into the Evolve and Enduro product lines. Additionally, the development team will continue working toward European and Australian certification of the Elevate product for small commercial and electric vehicle applications.