1. Unit demand forecasts in
Europeare up sharply beginning in July of this year. Firm orders under the Company's Supply Contract with Sonnenbatterie GmbH("Sonnenbatterie") will increase Eguanarevenues to approximately $1 millionper month by mid-summer. 2. Revenues for Q2 ( March 31, 2014) were $396,357, down slightly from Q1, due to variability in demand mix which is to be expected in an emerging market. Unit volumes are up for the current Quarter, and revenues for Q3 ( June 30, 2014) will be more than double Q2 revenues at an estimated $1 million. 3. Eguana'shigh volume manufacturing line with TQS in Durach, Germanyis now in production with a capacity to produce 1,000 units per month. This capacity is incremental to the 1,000 unit per month production capacity at the Calgaryplant and is adequate to meet forecast demand for the balance of the year. Working capital needed to ramp production to higher production levels is minimal. 4. Eguanacontinues to record design wins with multiple battery companies demonstrating Bi-Direx' value as a "universal" platform to allow next generation technologies to access the higher growth "edge of grid" storage markets. The design wins are expected to convert to commercial revenues from sources in Japanand the US during the second half of this year and into 2015. 5. Under an announced letter of intent with Sonnenbatterie, Eguanawill move from supplying a power electronics sub-assembly to supplying a higher value integrated power management module that will accommodate a wide range of battery options. This change will increase revenues and margins per unit to Eguanaand is targeted to become effective in Q1 2015 (CY - Q4). 6. Under the same letter of intent, Sonnenbatterie Eguana will supply power management modules to Sonnenbatterie exclusively for the US residential market. Sonnenbatterie has already secured first US purchase orders for Eguanapowered energy storage systems and the Company has visibility on revenues from other sources in the US later in this year and into 2015.
About EGUANA TECHNOLGIES, INC:
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The reader is advised that some of the information herein may constitute forward-looking statements within the meaning assigned by National Instruments 51-102 and other relevant securities legislation. In particular, we include: statements concerning revenues for Q3 and revenues expected to be earned this summer; statements concerning the features of our energy storage inverter and its value for energy storage system, statements concerning the potential for securing commercial relationships with battery manufacturer; statements concerning the potential for energy storage in global markets; and statements concerning the potential for new business in the US and
Forward-looking information is not a guarantee of future performance and involves a number of risks and uncertainties. Many factors could cause the Company's actual results, performance or achievements, or future events or developments, to differ materially from those expressed or implied by the forward-looking information. Readers are cautioned not to place undue reliance on forward-looking information, which speaks only as of the date hereof. Readers are also directed to the Risk Factors section of the Company's Management Discussion and Analysis related to its 2013 Annual Financial Statements. The Company does not undertake any obligation to release publicly any revisions to forward-looking information contained herein to reflect events or circumstances that occur after the date hereof or to reflect the occurrence of unanticipated events, except as may be required under applicable securities laws.