Orion Energy Systems (OESX) Emerging Growth Virtual Conference summary

Business overview and strategy

• Provides energy efficiency and clean tech solutions, including LED lighting, EV charging, and maintenance services, with a mission to help customers achieve sustainability and energy savings goals.

• Operates through multiple go-to-market models: turnkey, distribution, and ESCO channels, enabling flexibility and repeat business.

• National footprint supported by a large maintenance contract and a proprietary manufacturing facility in Wisconsin, ensuring BAA and BABA compliance.

• Recurring revenue streams from maintenance and managed services, with 24-hour response and deep customer relationships.

• Turnkey capabilities extend to both lighting and EV charging, with over 7,300 charging ports managed and partnerships with leading suppliers.

Recent initiatives and growth areas

• Launched a battery energy storage system (BESS) with initial deployments at three California sites, aiming to expand to over 10 sites in nine months.

• Announced a $3.1 million electrical contracting engagement as part of a multi-year modernization, expanding turnkey project offerings.

• Focused on fleet electrification projects, including multi-million dollar contracts for city school bus systems.

• Maintenance revenue and EV segment each generate over $15 million annually, with lighting segments contributing the balance of $80 million revenue.

• Pipeline growth expected in electrical contracting and modernization, with deepening customer relationships and referrals.

Operational efficiency and financial performance

• Achieved $80 million in trailing 12-month revenue, with gross margins just under 30% and positive adjusted EBITDA of $1.7 million through Q3 2024.

• Implemented $6.5 million in cost reductions over the past year to maintain profitability and operational efficiency.

• U.S.-based manufacturing enables faster project delivery (4–6 months) compared to competitors, supporting market leadership.

• Expanded product portfolio, including exterior lighting and contractor lines, to address broader customer needs.

• FY27 revenue guidance set in the mid-$90 million range, reflecting anticipated project growth.