WILMINGTON, DE — Acorn Energy, Inc. (OTCQB: ACFN) has announced its financial results for the fourth quarter and full year of 2024, highlighting significant growth in revenue, net income, and operational performance. The company, which provides remote monitoring and control systems for backup power generators, also revealed plans to uplist to the Nasdaq Capital Market in the first half of 2025, a move enabled by surpassing key financial metrics.
Acorn reported a 36% increase in total revenue for 2024, reaching $10.99 million. Fourth-quarter revenue surged by 57% to $3.53 million, supported by a 101% rise in hardware sales and a 10% growth in monitoring services. A noteworthy contributor was a material contract with a leading cell phone provider. This deal, valued at approximately $5 million, includes monitoring equipment and services for up to 10,000 cell tower generators. Acorn expects to complete the rollout of this contract in 2025.
Highlighting the company’s operational efficiency, Acorn achieved a gross margin of 73% for the year while growing its gross profit by 33% to $8 million. The company’s cost-management approach enabled over 50% of incremental revenue in 2024 to convert directly into pre-tax profits.
CEO Jan Loeb expressed pride in the company’s achievements. “Net income, including the deferred income tax benefit of $4.4 million, rose to $6.3 million, or $2.51 per diluted share, in 2024, building on our achievement of modest profitability in 2023,” Loeb stated. He noted that the partial release of a valuation allowance against deferred tax assets reflected confidence in sustained profitability.
Acorn’s cash position grew by 60% to $2.33 million by year-end, with no outstanding debt. Additionally, stockholders’ equity exceeded $5 million, meeting a key Nasdaq listing requirement.
The company attributed its growth to several market trends, including increasing demand for backup power solutions driven by severe weather events, aging grid infrastructure, and the expansion of data-intensive technologies like artificial intelligence and cloud computing. Acorn is leveraging these trends by pursuing new revenue streams through its generator dealer network, enterprise sales efforts, and strategic partnerships.
“This is a transformational contract as our selection through a competitive bidding process demonstrates the strength of our technology, team, capabilities, and customer service commitment,” Loeb emphasized, referring to the deal with the cell phone provider.
With its strong financial performance, growing demand for remote monitoring solutions, and plans to uplist to Nasdaq, Acorn Energy is well-positioned for sustained growth. The company projects that it will exceed its annual revenue growth target of 20% again in 2025.
Summary
Acorn Energy delivered robust financial results in 2024, with total revenue growth of 36% and net income of $6.3 million. The company’s pivotal contract with a major cell phone provider and its intent to uplist to Nasdaq signal a promising path forward as it continues to capitalize on market opportunities in remote monitoring and backup power solutions.
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