SAN DIEGO, CA--(Marketwired - November 13, 2013) -
Envision Solar International, Inc. (OTCQB: EVSI) ("Envision Solar" or the "Company"), a designer and manufacturer of unique, architecturally accretive, renewable energy media and branding systems, today announced results for the three months ended September 30, 2013.
Desmond Wheatley, Chief Executive Officer of Envision Solar, stated, "We have sold and successfully rolled out EV ARC™. We have also sold and are about to deploy the first of our Solar Tree HVLC structures; two products which we believe to have the highest volume potentials in our product portfolio. We continue to evolve the company into a Renewable Energy Media and Branding product company also addressing the growing EV charging segment. These verticals will see spending in the billions in the coming months and years with triple digit CAGRs. Our products are the most elegant solutions for many of the opportunities in these verticals and we are positioning the company to benefit from these growing segments."
Third Quarter 2013
Net revenues were $80,000 for the three months ended September 30, 2013 compared to $197,319 in the comparable period in the prior year. Envision Solar had two active projects for the installation of Solar Tree® arrays in the third quarter of 2012 while revenues in the current period have been derived from the sale and delivery of the first two EV ARC™ (Electric Vehicle Autonomous Renewable Charger) units.
Operating expenses were $539,539 for the third quarter of 2013, down from $648,715 in the third quarter of 2012. The Company incurred lower non-cash stock-based compensation and payroll expenses in the three months ended September 30, 2013 while marketing expenses increased.
Interest expense was $162,595 for the third quarter of 2013, down approximately 21% from $205,961 for the same period in 2012. Reduced amortization of debt discounts associated with previous debt modifications was the primary driver of the lower interest expense.
The Company incurred net loss and net loss per share of $323,986 and $0.005 in the third quarter of 2013 compared to $600,606 and $0.01 in the same period in 2012, respectively. The weighted average shares outstanding increased from 57,385,109 to 71,401,616 in the three months ended September 30, 2013.
Envision Solar had $889,912 of cash on hand at September 30, 2013. Cash used in operating activities was $1,098,801 for the first nine months of 2013 compared to operating cash outflows of $759,173 for the comparable period a year ago. A primary reason for the increased cash usage for the first nine months of 2013 was a higher net loss as a result of the first time nature of the deployments of both the Cadillac Solar Tree® structure and the EV ARC™. Management believes that reductions in Costs of Goods Sold will occur with increases in sales and production volume of both products.
Business Updates
Envision Solar is now working with Cadillac to increase awareness and deployment of its Solar Tree® structures to Cadillac's 952 U.S. dealerships and also to non-dealership environments. Additionally, it has successfully deployed its latest product offering, EV ARC™, and continues to develop other new products that should have reduced sales cycles and faster time to recoupment of investments for its prospective clients. They include the following:
1. Solar Tree® HVLC (High Volume Low Cost) structure. This product leverages the high quality engineering and fabrication of the standard Solar Tree® structure without many of the aesthetic attributes and details. Solar Tree® HVLC will be significantly less expensive than the standard Solar Tree® structure; it is designed for broader deployments and for instances where low cost energy production is an important consideration for prospective buyers.
2. Solar Tree® SMP (Sustainable Media Platform). The Company has partnered with Daktronics, the leading manufacturer of digital billboards, to create a Solar Tree® structure with static or digital media capabilities. The Company believes these products will provide rapid ROI for retail and commercial real estate owners located in high traffic areas.
Outlook
Envision Solar anticipates announcing developments with regards to the following:
1. First EV charging product produced and shipped for export
2. Deployment of EV ARC™ in high profile environments such as San Diego International Airport
3. Significant deployment of Solar Tree® HVLCs for a nationwide retailer
4. First branded EV ARC™ sales
About Envision Solar International, Inc.
Envision Solar, www.envisionsolar.com, designs, manufactures and deploys unique, proprietary and architecturally accretive renewable energy media and branding systems with a Drag & Drop Infrastructure™ product line. The company's flagship products include the patent pending EV ARC™ (Electric Vehicle Autonomous Renewable Charger, the patented Solar Tree® array and Solar Tree Socket™ solar media and branding platforms with EnvisionTrak™, a proprietary and patent pending solar tracking machine, and SunCharge™ Column Integrated Electric Vehicle Charging Stations.
Based in San Diego the company integrates only the highest quality components into its Made in America products ensuring long and trouble free service and timeless beautification of the parking lots they serve. This unique approach to the industry allows the company's commercial and institutional customers to take full advantage of the value creation associated with transforming parking lots into beautiful, shaded, renewable energy generation plants shrouded in the "Green Halo." For more information on Envision Solar, visit www.envisionsolar.com or call (866) 746-0514.
Forward-Looking Statements
This Press Release may contain forward-looking statements regarding future events or our expected future results that are subject to inherent risks and uncertainties. All statements in this Report other than statements of historical facts are forward looking statements. Forward looking statements are generally accompanied by terms or phrases such as "estimate," "project," "predict," "believe," "expect," "anticipate," "target," "plan," "intend," "seek," "goal," "will," "should," "may," or other words and similar expressions that convey the uncertainty of future events or results. Statements contemplating or making assumptions regarding actual or potential sales, market size and demand, prospective business contracts, customer orders, trends or operating results also constitute forward looking statements. Our actual results may differ substantially from those indicated in forward looking statements because our business is subject to significant economic, competitive, regulatory, business and industry risks which are difficult to predict and many of which are beyond our control. Our operating results, financial condition and business performance may be adversely affected by a general decline in the economy, unavailability of capital or financing for our prospective customers to purchase products and services from us, competition, changes in regulations, a decline in the demand for solar energy, a lack of profitability, a decline in our stock price, and other risks. We may not have adequate capital, financing or cash flow to sustain our business or implement our business plans. Current results and trends are not necessarily indicative of future results that we may achieve.