- Multi-trillion-dollar energy efficiency industry provides hope for responding to growing global climate change trend
- Kontrol Energy Corp.’s SaaS model drove 35 percent revenue growth during past year as company delivered smart energy management solutions
- Company anticipates adding additional accretive acquisitions during the coming year and increasing recurring service revenues
When Yale University reported recently that anxiety over the future of the planet’s climate system is rising significantly in the United States (http://ibn.fm/0eRLa), the Ivy League institution created a metric for the psychological consequences of sustained changes in regional weather patterns and the media reports about them. While climate change is driving a growing sense of “climate grief” (http://ibn.fm/ANW08) characterized by “a number of different emotions, including fear, anger, feelings of powerlessness, or exhaustion,” for many the global trend is spurring a call to action, as exemplified by the smart utilities management solutions offered by disruptive digital tech company Kontrol Energy Corp. (CSE: KNR) (FSE: 1K8).
Kontrol Energy is a disciplined, vertically oriented company devoting its strong merger and acquisition drive to the pursuit of better planetary conditions – supporting the concept of a world that will still be livable during coming generations by helping building managers reduce their greenhouse gas emissions and increase their awareness of their own ecological impact.
The company’s profile cites the Environmental and Energy Study Institute in noting that buildings contribute up to 40 percent of annual greenhouse gas emissions (http://ibn.fm/g50Ab), highlighting the fact that climate impact is not merely a fossil fuel-powered automotive industry issue. Kontrol is building a suite of Internet of Things (IOT) devices that utilize modern technological connectivity to better “control” energy use outcomes in the buildings where we all live and work.
The company’s software allows building managers to tie into existing automated building technology or add components, as needed, and thereby generate data on HVAC systems and utilities that can be monitored and recorded in real time. Kontrol’s tier one data center processes two billion data points per year, utilizing artificial intelligence to analyze and troubleshoot building issues.
Kontrol’s Software as a Service (SaaS) model allows remote devices to be easily monitored and controlled by facilities managers through mobile smartphones and tablets. The company has collected and processed more than 15 billion data records during the past decade to serve hundreds of buildings.
Kontrol’s last quarterly earnings report showed strong revenue growth of 35 percent over the previous year (http://ibn.fm/5M2l5).
“In less than 2 years we have grown our revenue run rate from $1.8 Million to $16 Million,” CEO Paul Ghezzi stated in the company’s quarterly announcement. “Kontrol is delivering on our stated goals and objectives and we seek to continue our strong growth through further accretive acquisitions and the expansion of our smart energy technologies. In 2019 we anticipate being cash flow positive based on our current run rate of $16 million in revenue.”
The company has also recently added two contracts with licensed producers in Canada’s cannabis sector to provide energy efficiency that’s crucial to the booming industry. It is also finalizing the acquisition of Ontario-based emissions integrator CEM Specialties Inc.
“In 2019 we will be focused on completing up to two accretive acquisitions and accelerating our existing recurring SaaS revenues,” Ghezzi stated. “As the broader market becomes more aware of our ability to scale our recurring revenues and our overall growth rates, we believe our shareholders will be rewarded.”
Energy efficiency is expected to be a multi-trillion-dollar industry during coming years with a number of value segments that include energy retrofits ($71.4 billion), distributed generation ($179.9 billion), energy analytics ($33.5 billion) and greenhouse gas/carbon measurement and reduction ($1.2 trillion).
For more information, visit the company’s website at www.KontrolEnergy.com
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