4. MCloud AI (CVE: MCLD)
MCloud AI provides artificial intelligence-powered asset management systems to energy suppliers, grid operators, process industries, commercial buildings, and companies with large geographical footprints. Energy usage and renewable energy management are desirable sectors as companies look to reduce their carbon footprint.
Based on historical and real-time data, the company uses AI to drive cost savings and energy usage. The company’s software is also used at wind farms, solar farms, and other energy assets to optimize energy generation/storage and provides energy companies with a single dashboard to optimize/monitor energy assets across different locations. In addition, the company uses edge devices (IoT) to gather operational performance at industrial plants and energy assets and uses its software to find actionable insights. The company also uses IoT to control HVAC systems resulting in cost savings of 25% for clients like Starbucks. The company’s services are desirable as they involve low capital outlay for clients.
In Q1’21, the company reported strong business growth. Reported revenue for the quarter was C$7.3 million (up 27% YoY); more importantly, recurring revenues for their software were up 524% from C$1 million to C$6.2 million. Gross profit for the quarter was C$5.2 million. Net losses were more or less stable at C$8.8 million due to the company’s focus on growth.
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