JN: No, we actually were… It was a public company and I wasn’t with the company until 2010. It was a public company with a different technology. And then in 2010 we repurposed the company
R: Machine Talker?
JN: Yes, Machine Talker is right. That never really took. And so we changed the technology within the company, refocused on solar. And then in 2014 we bought our first solar integrator up in Roseville, the company named SUNworks, and began growing really rapidly. And the reason why we did it is we think there is a tremendous opportunity in America in solar integration, and we think it’s going to be the fastest growing business in America for the next 20 years.
R: It is interesting, we see what’s going on with solar. ‘Cause we.. You know, there is more solar out in capacity last year even than natural gas which is fairly amazing in this country. But how much of this is driven by subsidies? What do you think the long term likelihood of subsidies, ‘cause they’ve been such a benefit to the industry. But I wonder… Certainly a benefit to my power bill, my rooftop as well. I wonder what you think the drivers, how important that is as a driver and how long that’s gonna go on.
JN: Well, I think it supports the solar industry, but at this point it’s not necessary for the solar industry. We’re at grid parity in maybe 40 different states. And the cost of solar keeps coming down. Whereas the cost of electricity produced by utilities will stay relatively flat to increasing over the next several years.
R: Well, it certainly has gone down with natural gas coming down so much
JN: Yeah, and frankly though, with gas coming down, gas is going to fluctuate around horizontal line overtime, whereas the cost of solar will legitimately reduce overtime, and the lower the cost gets, the more penetration there will be of solar into the electrical market. Right now in the country we’re probably at 2%, maybe even less than that. 2% of electricity is supplied by solar. The DOE did som
Reporter: We are joined right now by the CEO of a company called Solar 3D, or was called Solar 3D, now called SunWorks. Jim Nelson joins us right now, he’s in our New York studio. Jim, talk to me about the name change.
JN: Sure! We were four different companies. Solar 3D, MD Energy, SUNworks, and Elite Solar. And we had acquired those companies over the course of the last couple of years. And now we’ve merged all together and we’ve rebranded the company as SunWorks effective Monday and our symbol changed yesterday to SUNW.
R: And why did the change now?
JN: Well, we feel it better reflects what we are really about. We are growing very rapidly at over 100% a year organically and we are also profitable, so it’s very different than a lot of other solar companies in the business. We feel that the new name, SunWorks, gives us a better footprint, more recognition, and allows us operate together as one company.
R: Describe what you guys do.
JN: We are solar integrators. We supply solar systems to commercial operations including agricultural, industrial, retail etc. and also to residences. We’re primarily in the western United States, we do most of our business in California and we’re headquartered in Roseville, CA.
R: You say ‘profitable’. Profitable as if….
JN: We make money!
R: Free cash flow, cash flow from operations, net income?
JN: Yes, all of those. In fact, we’ve given guidance for 2015 to 48-58…. 48-53 million and profitable. We’ll be announcing earnings next Monday, we’re gonna be really happy with that. And we’ve given guidance for 2016 to a 100 million dollars in revenue and profitable with current portfolio that we have. Plus we’re looking to doing additional acquisitions and growing dramatically on an organic basis.
R: Now, I’m looking at company’s history. It looks like you went public … the ticker must have