AMRC - Earnings call transcript Q2 2020

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Good day, ladies and gentlemen, and thank you for standing by, and welcome to the Ameresco, Inc.

Second Quarter Earnings call. [Operator Instructions]. I would now like to turn the conference over to your host, Ms. Leila Dillon, Vice President of Marketing and Communications. Ms. begin. may you Dillon,

Leila Dillon

and today's everyone. call. Kevin, joining appreciate us for good you, We afternoon, you Thank

Vice Financial Joining Chairman, President Executive Senior President here and and and me are Chief Officer; George Chief Accounting Doran Chiplock, and Mark Officer; Sakellaris, Officer. Ameresco's President Vice Chief Hole,

issued the would financial pertain uncertainties our future on forward-looking to current assume documents We important I call remarks. in filings. no obligation based company. risks Before I materially to contains the our performance events discuss forward-looking a such made make forward-looking that These revise predictions materially press Actual of over projections call. call SEC a to turn forward-looking regarding contained those We to as differ that and the expectations results and results This to release company's future statements the actual brief of today's afternoon or any George, could this information from cause factors that result are you refer to like statement and beliefs. We caution differ you business. or regarding the may to statements company's management's statements. on

to referring as well with as in and George? the call. not of our turn website. behind the release prepared to be GAAP will reconciliation non-GAAP generally our A will to measures financial be of available over George. press financial in which accepted an I we measures addition, the use call can the from measures during downloaded this non-GAAP is financial appendix accordance in non-GAAP slides, non-GAAP In These are accounting principles. explanation now

George Sakellaris

and I and staying is safe. Leila, good hope everyone you, Thank afternoon. healthy

their comes like footprint, of employees many performed over am performance infrastructure, Also, to how working First, extremely geographic strong enabled years, transitioned to work family. remotely. strong continue Ameresco the of well results. Across I environment robust quickly to and With many corporate our our has jobs new our interruptions. with broad I our our employees technology the financial significant entire job proud would team build to no by state

Our have operational we visibility kept and second as have good and track for year, businesses to beyond. project, results broad-based and continue to on focus second on our us quarter, for a maintenance very and In revenue XXXX record our experienced exceptional quarter renewable growth across backlog. Ameresco continued we assets executing the on

conditions. the improved less strong quarter Our work to business execution, favorable restrictive and due weather throughout environments

These Ameresco with of lighting strong have residents only these benefits. but energy, major includes we only authorities windows as other also which important improved done us. building water, This market Since security. even are residents' become for of to to have but projects and have type and it examples and the also and cost contracted executed resiliency to while yield provide I continue to hard efficiently to projects, these improves a tangible solar like not saves grow This envelopes, health, construction at benefits more developed management systems, communities. overall and hot notably work would areas low-income work infrastructure We year-over-year the customers. deployed have not HVAC, on our specific especially across worked PV. are couple improvements footprint highlight have benefits environment solution are Ameresco's roof-mounted in for yielding enabled serving savings, our has for inception, execute built-in measurable on no our contracted Energy COVID-XX-related smart all quality and backlog home. slowdowns. spending comfort, important projects renewables time safety of protocols communities housing public of populations us energy-efficient project where caring life, environment our been an efficiency,

the payback, projects. just to access by of quick are immediate be implemented the -- conservation ongoing energy looking are measures worsened efficiency customer-focused on workplace, systems, upfront for the costs. entry with budget updated COVID-XX response These constraints, safety an a energy offices, measures health that as HVAC automated across passive this, In municipalities controls, overall few campuses impact of systems and initiative facilities. Ameresco make and can be can in promoting reopening country X schools, project often money-saving part and Given can launched the a

large is of will LED In light conversion of decades under Ameresco the LED extensive light created Ameresco and our legacy solutions. reclines largest our many deployments XX% Dramatic belt, continued provider nation's of with experience now savings for a rapid work services. compared LED conversions. conversion cost projects, payback With addition, with has LED lighting in street to municipal street energy ESCO XX% providing technology

longer especially the In is This high-speed street addition and control. of substantially given lights municipal requirement life clear, converted traffic are to traffic much immediate expensive technology. LEDs. savings energy conversions savings, true the costs, about lights LED ongoing the LED existing reduce to though roadways, have Even of on given only been span signals maintenance expensive extra also for for half

Naval project air design-build in will Ameresco's Mid-Atlantic momentum efforts vehicle a smart Hurricanes Marine The Florence of business support signed to Corps lighting Point. facilities creating supports in an the improvements, no large advanced the only quarter. the conversion of include of the contract the household project million. construction perform and distribution only a new importance. Cherry development not have with a We Facilities rate additional controls. was in a modernization, Corps measure requiring show on and also X-year, as at infrastructure upfront Command expect portfolio. financial installation We adoption or the and $XX $XXX projects, of continue in can is from with airfield will we recovery historic the pressures we made the session but network operation COVID-XX contract our wastewater technology awardees financing advanced on capital. investments for Ameresco these energy provide strong aftermath and to assist accelerate project comprehensive work, founded able Features extra in Carolina. X electrical municipalities incentive conversion also of project cybersecurity Marine upgrades, North capacity expanding mirrors Ameresco X treatment growing optimization, technology in at the The the million

strengthen Our level economic long-term the to visibility high conditions. strategy mix revenue continue a uncertain of business Providing recurring model. of periods increasing during of of streams our

impacts asset During the COVID-XX-related resiliency units. disruptions, the Ameresco to great demonstrating these business and operational quarter, maintenance our minor only businesses due saw and of

in pipeline, including gas maintenance and situation top and our In COVID-XX assets We win additional solar green remains contracts. and grow development continue to the operation summary, priority.

to protect customers, We highest continue our our standards and safety follow employees. and to our protocols partners the

financing While cost-saving challenges, that many flexible services believe and to in our demand We will this we even once expect again presents year. environment. greater in critical record be the achieve for capabilities results post-COVID-XX

years and aggressive to comments in excellent greatly our an to in people Our in performance. put some on Doran? position provide our over I turn this Doran execute the us investments financial the expanding to capabilities will opportunity. call over now market

Doran Hole

release quarter afternoon, everyone. I'm additional the information. for financial good and press financial and pleased to supplemental second George, our you, performance. company's slides review Please refer Thank to

up quarter year-over-year. XX% double-digit business demonstrated across strong Second revenue growth major lines, our

many various ability in improvements continued mentioned restrictions, COVID-XX-related While to because work quarter. environment to navigate our strong conditions of the in see key geographies. execute throughout restrictive project contributed work George challenging Ameresco performance of and favorable did The access we sequential weather to less to a work sites that our

projects. strengthened As small acquisition. previously, a the we we meaningful design-build our with year We growth capabilities ago in design-build have noted have business in over seen a

quick with or auditing We work and upfront ongoing rapidly performance no have turnaround this no which grown offering guarantees. limited projects represents

able closely performance the work our operational to existing project are work. contract we infrastructure traditional and aligned Importantly, is with leverage performed actual as our

gross would occur on factors projects. specific quarter our expenses to are incur the While which to touch press additive to we XX.X%. carry which we executing margins XX.X% on anticipated -- operating incremental quarter leverage. were first quarter, during gave year's our margins, these including our they given this release, want related to In I our that EBITDA, COVID-XX last second we our would the in gross lower did compared impact on projects details results,

this below cost occur, was original expectations, overall the our While impact given did better-than-expected execution.

other However, with there increased along revenue lower-margin part were as of mix design-build the project projects work, of levels the quarter. during

million $X.X our a compared EBITDA, of measure, $XX.X net of unplanned we expect increase Operating costs adjustments non-GAAP We note, was maintenance $XX.X quarter-specific $X.XX, $X.XX in expenses activities the these financial million million. results. Adjusted attributable also was compared tight margins organization. are We the an maintenance to quarter expected very quickly our Non-GAAP of made to the to income accounting impact to second during level. shareholders strong X%. increased incurred XX% for an to below operating X% in awarded compared $X.X activity, development surprisingly $X.XX slowdown was Despite in common compared and noncontrolling to $X.X quarter-over-quarter, expense EPS year. were of quarter The new and previously $X.XX our business representing half was our increase items, new controls interest a some to $XX.X the non-GAAP These improve reacted due business year's cost million environment, million, the income to noncash from compared million. Net X%. $X.X across was backlog million levels. to anticipated quarterly the gross $X awards. million, last company EPS to above implementing were O&M COVID-XX

XX% $X year-over-year, Our contracted substantial over us grew project backlog with billion visibility. of providing

after pipeline our XX% cash on giving which million Ameresco's credit. strong, streams with of down to $XX the contracted available to approximately of years businesses, the credit revenue development annuity of billion ample Increased from on end at for our revenue quality revenue $XX focus We during recurring on asset have accounted Our the ended DSOs in reduced days line to QX. incentives, and execute quarter XXX hand our EBITDA, remains paying $X our plans. liquidity for collections with quarter long-term come. of year-to-date and us cash XXX cash under over million

renewable we on During the executed many liquidity shoring investments the position in financings, and additional providing our nonrecourse assets. energy further up with for capacity future quarter, company

with this in assets, out, assets The George us are the our conviction. monetize development with to with confidence ability execute combined development provide development to of our on increasing. pipeline financing, As pointed availability

our to outlook. Turning

detailed press pleased release. full are year earnings reaffirm to our our guidance XXXX We as in

for Now I over call turn closing back would George the comments. to to like

George Sakellaris

take business of Thank opportunities us. is you, but well current the the resources wear challenges we near-term not the growth in of front presents, people to place in that environment have and the numerous only advantage Doran. Ameresco to prepared exciting

Ameresco open a I employees, take success for our safe. our you entire I we and these Before during times. partners and stories questions, your making and thank great work your now the hard families again challenging like hopes to to would questions. for extra will to stay customers team call our their The Kevin, Ameresco like

Operator

[Operator Instructions].

question Oppenheimer. first Noah Our Kaye comes with

Noah Kaye

the just $XXX -- megawatts XX guess, of by increased and $XXX sorry, It to million. by, And RNG assets. sequentially, I assets The megawatts you to which And with looks up megawatts XX added it energy see. sequentially. looks of value development the sequentially development good start almost energy went of like is like,

the Did What in us? some with you So project the development? of share jump drove assets the milestones? you major just what value in energy can reach

George Sakellaris

as green the those Yes. good value Doran, the the a It's is into the higher know, award gas to the do you coming to add went value that of considerably assets because you than of want pipeline And something? plan PV. have And it category. we

Doran Hole

thanks. Noah,

is And a value, the plants I quite did a mentioned, renewable adds amount of higher. include those dollar George RNG. like good bit natural think of pipeline gas

versus driving I terms think all be the in higher what's RNG value mount. over of as is PV, know, carport But the you nevertheless, ground it. that's sort assets. place can The of

Noah Kaye

to looking And you've end project that's to addition bring others Road you're McCarty the three online next new by two year? mentioned, in that any the of the and

George Sakellaris

what that's in the projects had and This we that is out. announced figured addition to before,

Noah Kaye

you megawatts in Are placed update And megawatts? for your does just still year include you Terrific. expectations XX that this And us McCarty then can current on looking service. Road? around

George Sakellaris

around have we utility number right delays, you we're as now, keep of on because XX might it. selling number the COVID-XX And We firm situation and of Yes. know, the megawatts. some but interconnections, some that the still

Noah Kaye

set -- contracting sustainable Okay. the activity Great. as customers' business, project did project looking new to how based is how adds just the was switching pandemic you're economy at And dimensions traditional you contracting mentioning guess the business? to and sustainable slower for with obviously, consideration. customers, a savings. in past, your a times in current times, I the because see, recovering. environment cost of on I And pace this But municipalities asked Obviously, conversations of here,

to curious the current just sustainability So on see pace. contracting the your of thoughts

George Sakellaris

pace, and that think looking going the the especially to at is beginning We pipeline on, what's up. the on awards, and pick

it's I that the So I question but fact table the It's addition to flow acceleration our it's of going think that with the health think in I it. with to happen. of say to situation budget-neutral time, cash remarks, and And No safety associated ultimate an very COVID-XX, I incorporating measures some to customers, positive we're sustainable. the business. going good. to that, some bring will as take a my see we and going said financing in the about to that It's positive

Operator

from with question Canaccord Genuity. Jed next comes Dorsheimer Our

Jonathan Dorsheimer

through period. on congratulations the And quarter a difficult

guess First somewhat. still of least in side and work-from-home deeper on the I just -- digging term, to But the is that phenomenon with stick we're at the near limitations. would in term, guess the seem question, longer project likely the COVID business. dealing I the it

coming so of could pressure where there's municipalities of if taxes, capital are on wondering to expectations And talk your be from, there's on I'm in and where -- the a the environment about context, going markets. availability an in massive -- pressure particularly the you but in that stretchers

George Sakellaris

to far adapt work-for-home projects we environment we've see even very, concerned, able the We And environment, that the Yes. been as well. if on to activity are continue. it's very as

it's affect going us. to So not

why chillers we get that because As they And of financing the upgrade need approaching and very replacement, And get those and need to of chiller can far good. you replacement. those -- might it's the be that from the the optimistic is saying, do as we them and infrastructure have, strong. a boiler, very, replaced, very whether continues when customers can it it's do have that "Look, very come project, on they and that's the boilers, might was that's whether financing the not will this funds are feel you It us." to a

Jonathan Dorsheimer

the negative, I asking, I that side project why I seeing assume That's and asking you mean, acceleration George. on Exactly. wasn't would was your this I should -- be a is an from in a short-term there's you new attached a phenomenon, the that being it that continue something kind even XX% this while. it's not for if should normal, of that but to assume XX% or a

George Sakellaris

as don't I the we agree my feel to of want an hand, the business. other saw over-optimistic, you that see with be comments, situation, you, the on acceleration basically, strongly but will on I it, we but COVID-XX

business approve call, to presentations cannot time as school awards Boards for together that's some it, beginning and People The some impact to better remember us, school years see some that's on I is pretty from last the to And we to I've so get X sound pipeline, in the cautious. said and our the the want for flattish were are in they we impact that But the marketplace. the our mentioned side, adopt And much working I beginning we you last our the to But how business across happened, concept, be some cost evaluations that committees are clients. their other what's board, We the over-optimistic. up. the were that accelerating up we not saw that -- if not every years, employees surprised homes from better much people but and all competitors. because together accelerate. been development. challenges. why only but, on what together of And I or other last last will get addition down, to traction RFP the see hand, financing, customers. And customers. went in some the in technologies, business the we'll whenever have why business just other the people will how we of cannot on have? projects And all Now able much see on then us activity. get our getting the powerful the the the project think I is pretty get that you process. pick XX that's the we I it see that, the originally come larger good and said We as you But that we think fact quarter underestimate call, might is where get sometimes the their advanced But they for to projects, the side, and don't get think -- and those that and trend they in offering, flexibility are the the to to want better think committees the used

Jonathan Dorsheimer

Got helpful. it. That's

be from Could I count about and expect we to about you Is perspective, now should How bit overlays count the your best stay decline? Just, head with that. we front? should little metric that? higher assume a comments I might flat, a would what to way on that the guess, measure think it head grow, talk

George Sakellaris

order project managers. we will think to more to count but construction, grow, the get leverage. leverage, will continue need operating have you head But projects' I some in more

is duplicate very of You need to them. people design more out much productivity get or It hard engineers. more

at. accounting, But but growth, grow see will administrative stuff so than the line more or top So on. you more grows the more will but faster will some people OpEx see maybe you us and adding line what billing

Jonathan Dorsheimer

but about and to the to with Yields last time turmoil respect yields. down, seems for I Doran. availability markets of credit just asked in have question capital come of the One Great. quarter, as I'm seen we've Yes. comments that's full wondering as seeing it. And you it. the you're markets could this credit at if provide of terms any ever what Last point. be just in And in

Doran Hole

is I -- to Well, liquidity. mean, my we to Sure. we're about on is right to say financing. in think the that nonrecourse the still I I With active markets, quite continuing asset-based mentioned That And respect market the think to capital it that see some in comments now. I market the side active. financings very nonrecourse think inquiries and other continues be fair

to ourselves to be the go doesn't consider even I projects contracts, interest George's And think municipal specifically down. -- pouring And are slowing seem to in, the and continues come contracts, ways currently. to federal to about go continue multiple alternative raise it of we comments have capital that the into to to the in some up. funds rates these ESPC

we're now on terms capital. I feeling in of raising So are confident fairly right capabilities our think where

Operator

Irwin comes Capital question Craig with next Our Partners. from ROTH

Craig Irwin

Congratulations on another quarter really here. solid Impressive.

Doran Hole

you, Craig. Thank

Craig Irwin

maybe year-over-year P&L you One to us Or the it your project about I and you of would in maybe that new reduction going is be despite may sort we're expenses related think the development? the is expenses share things the million little expenses here? I $X.X $X.X operating is can tracking the through that What bit Is down lower reduction in comment million than this Can have where sustainable? growth. nice be something suggested, with from? coming operating of a to about notice what upside sequentially seem have revenue

George Sakellaris

Yes.

we development of that some But you And on. very from we the said reducing did on development helping the down careful might to this execution you slow the effort to side. the cuts, lot what's now might -- putting so the sales is wise and As because we recall, and most us side. right shift if expenses a in and out, make Doran pointed say,

a the more They've that's And grow of as charged into some as so and well of the color awards the line. back want see working So be And top to add their been we expenses through salaries more might direct you the more have as up. And will increase working will people to bit in get our actual to been come projects in development on little the that and the actual backlog, that. development. Doran some to contracted order costs. business why spending dollars

Doran Hole

Craig, on. not lot whole I travel think, going not a of surprisingly, still

continue I to costs. will on controlling think focus we

sold potentially mentioned, costs We activity cost capitalized because aren't business of then as could that these allocated execution really we're as in changing more as guiding through we're to the or and to have development activity feel like, pre-award George go opposed going we when to salaries picks OpEx business and awards. benefits contract goods way costs up, we OpEx of

to that costs looking think our the that real same I to about eyes the on. time, thinking ways that, in at we're a working pattern environment, we're can So going that's course, adjusted the keep And like continue all controlling at estate. I mentioned, of to COVID we

have. to We can about to as are base our productive, keep not down as cost remain blind long we ideas we ways like

Craig Irwin

Excellent.

Just that. around how approximately moved execution? little development Can business with were over maybe color employees from us many a you maybe to share operating

Doran Hole

Yes, Craig.

assignment. So actually a not specific and number there's of a not employees, it's

have In activities, We tracked simply it. time multiple that shift their particular as count business tracked is to who portions projects happens a equation. opposed essence, staff to It's head development being to cover what that's not and are responsibilities. of

George Sakellaris

part those charging have in in pipeline. projects of developing have the various of new part a about XXX projects. for during a they -- engineers. of the mean, And we we development work them, working engineers, of projects time that good good now on the example, the we some I based have And design-build

Craig Irwin

Understood.

you else the in competitive attention and the the as continue fourth paying be What is position momentum year. maybe So backlog me project were that is potential Do one understood sequentially. both Ameresco's there Can new an feel the awarding as here? we if backlog with up outperform customers total similar there. of capture? here awarded In far you quarters were you market us this surprised far total where that third less thing for as share contracts the I to think should out you as the on to really environment quarter and

George Sakellaris

will from last then the I one up. Now and start

think we very, position, the On I feel very good where we competitive are.

the the we're is We're we that position good, going of winning go one after, and good the chunk market They an doing me a especially Look, we job, want surprised well. done only ones okay, say, make lot. the people a the customers. we're investment. have Our projects, this very I but is And win. the outstanding think very have to not to we projects very, that our executing they that engaging

we -- say, what our have can exciting basically, that, couple long our the of the we advantage have customers We Because pipe. we are also to better expanding why rather months message see that time. of why a and have can contracting And ago, than some And it we and I make that of Executive started we that that's program there been business. And because trend deliver opportunities down about have listen, will who good cautious has take? coming out little is direct helping and that's we the It but promise. is that program new a we said, much a But developers implemented we bit reengage on. think before, how about. said we we that's a I good. business And we And think the with have add takes momentum, what will we it. it's to that go sure our it it -- working into I how And to we customers. take feel the I access we things the is said where said offering so market growth and the Officers Chief and

Craig Irwin

and the investors with parties then there very agreements lot some that I difficult is new R&D X. with of of are us equivalents incremental someone last offtake and X, RIN quantify stepping the or to years, the where approximately impact great these What's from A a stairs, as share up? addition LCFS stairs far citing gallon size over caps the out if EBITDA, excited as big X, plants were may. at about how Great. few Can necessary looking what And then these landfill factors outside the company the additional the you you're of the question, are progression. eligibility, other next It's facilities? as the lock agreements such megawatts generating maybe will we're stair-step

George Sakellaris

ultimately, they those the up to potential we question to RIN there of But because Yes. a some were long-term wanted working good start get companies to many as in definitely -- the gas the Right going long-term they them, now, now of contracts them. believe down, right again, coming short, the deals. for do make the execute RIN with And are because working have gas projects. we agreements And the have on guys, But because understand, that green those to prices that potential they for will with X prices last we come story part X, we long your are up. long utility I off-takers. I'm because were are talking you your clients

spent the Michigan. in we is that their about that sizes, up I think of I of thing size As only far disclose McCarty the Woodland one have and time. have as too we don't The did before think half we much

time. X, with other that I we ultimately, you The But on numbers think any in some have But with I come don't give will point this color smaller. we for back kind will up of come specifics at they them. it. are

Craig Irwin

Excellent. Excellent.

facilities. private in gas and the the another space outperformed companies generating people And of So talking reasons, other some with its many from that one due companies this appears I involved of the to own of on is line. then Can about has of analyzing practices. It gas this green believe, Ameresco and question sort peers bit at little And average call on you for conservative the protection what this hedge for color you have your agreements? a if facilities? typical the hedging share three any you investors could explain to point maybe those your existing of duration that

George Sakellaris

on the performance. are have some I say on landfill energy that performance gas the about especially gas firstly, analysis two aspects or would on that green to Street seen business, I the there our

this If gas you the we how of and I much are into companies top-quality we call there sites. in get from to assessing were developed way landfill first have recall, the team, all what one space, those store a

We extract they the how refine it to it, green have plant. our how plants own the gas or the analysis, power do that people build the electric and or to

we some some building better than and bit we have a dollars own much, this plants So industry. other own plants. We in in our the other I spent would EPC. operate people And little teams, they than say our too. do But more the

the as I of would now. than of right the rest hedged little the hedging, year. of the for particular for far XX%, three years is less is for bit XX% year say this that about about hedged As output our And output XX% a

we So at now prices on up to And year, of I the look place. what we make you are. watch And last have market if we relative and for the of seen the one the at hedged daily, them to this going were than XX% that's and XX% market amount where least we XX% balance the is are time, right increase think now. at have it. call and right, we And we I we myself, in hedges

Craig Irwin

congratulations And on strong the quarter. Excellent. very again

George Sakellaris

Thank you, Craig.

Doran Hole

very Thanks much.

Operator

Craig question Hallam. next with Stine Eric comes Our from

Eric Stine

acquisitions. So most but the have you've know been mean, side, M&A just had a history on, on touched I of maybe opportunistic I

thoughts product opportunistic project might that whether that then to COVID-XX there think you geographic about it's And on here. thoughts capabilities, Just capabilities, fill also just whether present you you curious a opportunity bit offering, can be might in. your as the want expansion,

Doran Hole

specific say, So to talk I Eric, anything don't to think I it's fair about. have

of we opportunity a continue we're very, that of about is the something always think same just about. options thoughtful, and We're what level discussion and that However, look George be acquisitions the and are was opportunistic, our to way bankers when it's just what talk company. to that because we're founded see -- he going considering sort out like the increasing, I from we're into blast to very being some point going we would I not the might you COVID-XX. say but do think market go have we're to of as not on about to

I think that's...

George Sakellaris

disciplined. to going make if day, strong it be that, opportunistic, company, accretive. strategic company be addition in it us. end the it might new pay the particular I And we think that are to be think That's we across But geography has have offer purpose. can not very the developing it United it. maybe of place. do Or in. footprint But that may call we particular a help in I We what in undervalued in want serves I if wouldn't think we acquire we for what it's good At to this a market is add, is sure we a might the for a we some as And that environment very to with product that States. and

capabilities. good very have We

pace. we But we we to us, have not pretty and opportunity We're acquire we comes to do organically, good good a go let been because careful will growing for very For overspend be have very any if it along, going and not are by. disciplined us, to company. great and very it's

Eric Stine

of not say that you're level. maybe based just you a the think results high me, you'd then No. in Understood. COVID would second about given high did happen last seeing and to third is it of all, quarter? get about that done kind a get pushed fair schedules of And from is million your project first of level, the to because And did $XX on just confirm, maybe that I what Well, on I mean, have X results, there call, way that maybe, from at to today? strong linearity the quarter last then know thought and for

Doran Hole

did slipping were is revenues the we projects so where answer but then other more you and results those of did we in some out, there experience short actually from the some the So saw -- quarter. pulling

that's I describe probably that. So best the to way think

expectations to the far for of with As rest of believe tell why about -- how about year, hard based good front our in uncertainty see us, to the still shape. guidance. very respect still to we take It's we what on still going We year. I of that continue think as kind the way still year, the stick through there's with the because things on, case and feel of rises we looking the just we'll talk there's COVID. reaffirmed we that's But kind of might

Operator

Okay.

B. comes question from Chris with Riley FBR. Next Souther

Chris Souther

for X looks regional new competitive you of opportunities Can added development the of how you pipeline like those projects? are solar nicely. from talk operation looking the the grew type piece, megawatts you types the of of the that pipeline these Where market through on On perspective? customer the is seeing bulk

Doran Hole

the in Coast, much that detailed would Central well Midwest, we've but breakdown, terms say Southwest. strong think don't have of given I the development as Sure. I information in in groups East geographic in as groups, development we the really

are So from of areas. each these assets those coming

back the lot look have history, the a would those here of Northeast. if seen think back, several I in years you assets company's you to

think here have some I good in that a solar a East. doing kind mix spreading of of We the now we're do of However, community development job around.

us have, solar which space. market and traditional market, in course, is landfills, opportunity the our rooftop carports both as solar the allowing on well market MUSH C&I the as We do of customer, on in work, MUSH to

So mention balanced. it's didn't that's that traditional the is not project, XXX-megawatt, in. thing that a evenly of your fairly we're ground-mounted I market solar Otherwise, kind large utility-scale, particular only

George Sakellaris

with that projects, have, resources. and and saw course, a is and that of energy Yes. carbon a projects opportunities might down, And then we people to as we And very market say, this so we side, [indiscernible] to excited this you come lot why did And we customers have where we us done that system business school did the that energy-saving think the Wayland -- are feel them. of to of about one I on is to like lot solar have the And The solar let's their going add distributed the economics on. and we reduce is performance behind, the solar footprint. contract, system. continue competitive many they School what help want

marketplace have the competitive installations amount the so now there the that to have that and the you're was school and we then on. of that developer, solar is municipalities, advantage You in can b, and systems start have they talking as developers the the substantial [indiscernible] a Massachusetts have And to marketplace. Southwest; we where in pick in the country not that's to see in advantage whereas great go how And customer, colleges, us and where relationships. East, up universities, have the because, that. we program. And okay, distribution Massachusetts. systems or out that's a, hospital the across solar the we talking channels competitive Central a leverage the don't all Plus, organization. They the We because do somewhere They to to and good. And great gives else. come the

that's take have performance feel all about we a and the we why advantage excited have platform, are. these see I in We we opportunities we great, And of great place. where emerge, will

Chris Souther

very That's Understood. color. helpful

But spots? and looking opportunities any of on looking You've budgets to called just end different have like there folks for in lot in. that any if were and a capitalize out softer I Or Are kind during a impacted at to of their of slowdowns? markets are ways there kind COVID are strength playing save. of there seeing curious was you're seems lot been it more

Doran Hole

need think as sector site might around I as access talked executives on people ahead. their award to the difficult maybe more have hospital a some here, now. you attention and uniformly, minds be probably Go these of contract you little the about cycle think where warrant the at we And the and right just bit lot with glancing institutions. a of one room senior is they cycle, --

George Sakellaris

some over as back on cannot And a "Oh, And to the on of number patients the that they on. kicked had shut again, call, so out we hospitals, we hand, we first, shut were a sites, why on they couple and -- they the other that's If mentioned then I of close, then So remobilize some -- it's exclusives challenging. had now we a all But would have may we there told be the us as sanitize us, seem the probably down, are And jobs then us add say most had down but say, we couple of we back." told said And that work. don't down. of start had the last went that I and they went and anybody it's place come that They happened. in. to that and hospitals. here, that ones

Chris Souther

kind -- are of Or factor that? that stuff at? election, ahead expect most are of heading we cycle just contract for then you a impact there of any on And Understood. should into of kind the really looking not the guys federal is

George Sakellaris

say They of one feel things much, makes that strong chunk bit this and will us pivoting good. of of I to good a are be the we contracts, a sector very, continues the federal and more have design-build is the And very the very won year those anticipated contract seems one federal see And quarter. activity have that another record this the like past. last it we that projects track signed will market. that in in little good We based we continuing. on I

Operator

of Pavel from Molchanov comes question Raymond James. last Our

Pavel Molchanov

you that's something build-out, But seeing yet. green in as probably have least time? the more not curious that skillset RNG something This about given I'm think if at actual look headlines participating your we're much you at a I'm curious adjacency and for hydrogen. done more what developing would Given you in project, to is long that about, what

George Sakellaris

we are at area Look, knew, it it's very we that an looking carefully.

a you are running they talking that be But business want road. more at sometimes, that we looking it. doing a that in little be things, talk I area you I an us that will we Until some too about specific something in are think much to the business. if And technology to will But you it's as us. Bakas, we're bit people for some much I who have that it, about down and see to it. won't talk And -- Michael talk -- is

value can for have having think hydrogen the plants in the tremendous and green that example, we assets, plant, gas go after those I have. upside that we to

it's develop. that the will the And think, So way, hydrogen market we are by something -- cognizant. I the

the years be but or Now down it's road, it might coming. X X

Pavel Molchanov

Brussels I comment since a the on the about Green we from also call, the last I lot you European more coming Can and out your Okay. a European headlines get That's Deal. helpful. law saw climate think of opportunity?

within a curious course, but EU you're at Of itself? the opportunities looking footprint, you have if

George Sakellaris

Yes.

to we our pike. staff the we they you been backlog pointed very about excited we've the develop our and we are have that out they plan over take And what's asked U.K. take see And are there. up, are can a how time, picking I can have the now. articles same and advantage right As a last in if reading because -- operations, coming position very that we they and down have, good of

wouldn't it So plan grow in we Europe opportunity, the look very very, that surprised make unit for at very and develop to carefully. cognizant be we I will us. is And are a of that that we'll going

Pavel Molchanov

Appreciate it.

George Sakellaris

think track shrinking. the will I and opportunities that Yes. And now, are and rather carefully. we the And careful a new move we But very develop very have well. very, call, the mean, and what come good what's though, we doing they globe, are growing behind well, right than into be other for sales. very then hand, wind we're are opportunities in COVID-XX very across based these I have on markets in good they Because we go. our especially plans, and look, happening I -- we us, the on to And growing we

you So can, of take advantage wisely. them where

Operator

this today's presentation. We for your participation. Ladies conclude you and thank does gentlemen,

have and You disconnect, wonderful may now a day.

George Sakellaris

Thank you very much.

Ameresco (AMRC) 3 Aug 202020 Q2 Earnings call transcript