Breaking

U.S. Natural Gas Futures Drop Below $3 for First Time Since 2012
Tweet TWEET

Lime Energy Co. Reports Results for Three-Month Period Ended March 31, 2013

  Lime Energy Co. Reports Results for Three-Month Period Ended March 31, 2013

Business Wire

HUNTERSVILLE, N.C. -- August 9, 2013

Lime Energy Co. (NASDAQ: LIME), a leader in designing and implementing energy
efficiency programs for utilities, today announced its results for the
three-month period ended March 31, 2013. “As we continue to execute against
our business initiatives we are realizing improved financial and operational
results over last year, when adjusted for the $1.3 million of costs related to
the restatement and stockholder lawsuits. The focus on technology and
operations is beginning to yield measurable and tangible results. We believe
that these trends will continue thru the remainder of 2013, positioning the
company for a stable operating environment in 2014,” stated John O’Rourke,
Lime’s Chief Executive Officer.

Results for the three-month period ended March 31, 2013:

  *Revenue increased $474 thousand, or 4.1% to $12 million;
  *Gross profit increase $572 thousand, or 27.9% to $2.6 million;
  *Selling, general and administrative expenses increased $920 thousand, or
    17.3%, including $1.3 million of costs related to the restatement
    completed in July 2013 and the ongoing stockholder lawsuits.* Adjusting
    for these one-time expenses, SG&A declined $358 thousand or 6.7%;
  *The loss from continuing operations increased $536 thousand, or 15.8%,
    including the one-time charges related to the restatement and ongoing
    lawsuits. Adjusting for the $1.3 million of one-time charges, the loss
    declined $742 thousand or 21.9%, to $2.7 million.*
  *The loss from discontinued operations increased $2.0 million to $2.8
    million;
  *The net loss increased $2.5 million to 6.7 million;
  *The basic and diluted loss per common share from continuing operations
    increased $0.02 per share to a loss of $0.16 per share. The $1.3 million
    of one-time expenses contributed $0.05 to the first quarter loss;
  *The basic and diluted loss per common share from discontinued operations
    increased $0.08 per share to $0.11 per share; and
  *The adjusted EBITDA loss, excluding the loss from discontinued operations,
    increased $837 thousand or 35.8%, to $3.2 million including the one-time
    charges. Adjusted for the $1.3 million of one-time expenses, the adjusted
    EBITDA loss, excluding discontinued operations, declined $441 thousand, or
    18.9%, to $1.9 million.*

* Please see the reconciliation of non-GAAP financial measures and Regulation
G disclosure later in this press release.

Business Highlights:

  *Completed the sale of the ESCO business on February 28, 2013, generating
    approximately $1.9 million in cash;
  *Revenue from our utility business increased approximately 27% over the
    prior year first quarter;
  *Improving margins and strong cash management resulted in 64% reduction in
    cash used by operating activities; and
  *Our major suppliers expanded our credit facilities 200% based on improving
    volumes and a strong outlook for the rest of the year.

LIME ENERGY CO.
Condensed Consolidated Statement of Operations
(Unaudited)
                                                                 
                                Three Months Ended
                                March 31,                 Change
                                2013        2012         $            %
                                                                       
Revenue                         $ 11,999     $ 11,525     $ 474        4.1   %
Cost of sales                    9,377      9,475      (98    )   -1.0  %
Gross profit                      2,622        2,050        572        27.9  %
                                                                       
Selling, general and              6,241        5,321        920        17.3  %
administrative expenses
Amortization of                  6          70         (64    )   -91.4 %
intangibles
Operating loss                    (3,625 )     (3,341 )     (284   )   8.5   %
                                                                       
Interest expense, net            (304   )    (52    )    (252   )   484.6 %
                                                                       
Loss from continuing              (3,929 )     (3,393 )     (536   )   15.8  %
operations
                                                                       
Loss from operation of           (2,777 )    (795   )    (1,982 )   249.3 %
discontinued business
                                                                       
Net loss                        $ (6,706 )   $ (4,188 )   $ (2,518 )   60.1  %
                                                                       
Basic and Diluted Loss Per
Common Share From
Continuing operations             (0.16  )     (0.14  )     (0.02  )   14.3  %
Discontinued operations          (0.11  )    (0.03  )    (0.08  )   266.7 %
Total                           $ (0.27  )   $ (0.17  )   $ (0.10  )   58.8  %
                                                                       
Weighted Average Common
Shares Outstanding                25,161       23,971
                                                                       
Adjusted EBITDA                 $ (3,175 )   $ (2,338 )   $ (837   )   35.8  %
                                                                             

Reconciliation of Non-GAAP Financial Measures and Regulation G Disclosure

We report our financial results in accordance with generally accepted
accounting principles (“GAAP”). However, we believe that certain non-GAAP
financial measures that we use to manage the Company’s business fall within
the meaning of Regulation G (Disclosure of Non-GAAP Financial Measures) by the
Securities and Exchange Commission. We have included these non-GAAP measures,
including certain measures that exclude the cost of the restatement and the
related, ongoing lawsuits, in the press release because we believe they may
provide readers with additional meaningful comparisons to prior reported
results.

A reconciliation of the non-GAAP financial measures to the most directly
comparable GAAP financial measure is as follows:

                          Three Months Ended                
                               March 31,
                               2013        2012
                                                                           
Net loss                         (6,706 )     (4,188 )
                                                                           
Interest expense, net            304          52
Depreciation &                   268          450
amortization
Provision for income            -          -      
taxes
EBITDA                           (6,134 )     (3,686 )
                                                                           
Share based                      182          553
compensation
Loss from operation of          2,777      795    
discontinued business
                                                                           
Adjusted EBITDA                $ (3,175 )   $ (2,338 )                     
                                                                           
Costs related to
restatement
activities
and defense of                  1,278      -      
stockholder lawsuits
                                                                           
Adjusted EBITDA
excluding one-time
restatement and legal          $ (1,897 )   $ (2,338 )                    
costs
                                                                             

About Lime Energy Co.

Lime Energy is building a new energy future. As a leading national provider of
energy efficiency for small business customers, Lime designs and implements
direct install programs for our utility clients which have consistently
exceeded program savings goals. Our award-winning, integrated services
programs provide utilities with reliable energy efficiency resources while
delivering the highest levels of customer satisfaction. This next generation
approach is helping utilities across the country to go deeper and broader with
the cheapest, cleanest and fastest energy resource that we have – energy
efficiency.

Additional Information

A full analysis of the results for the three-month period are available in the
Company’s Form 10-Q for the period ended March 31, 2013, which will be made
available on the Company’s website at www.lime-energy.com and on EDGAR.

Conference Call Information

The company will hold a conference call with investors on Monday, August 12,
2013 at 4:30 pm ET to discuss these results.

Investors can access the call by dialing toll free (800) 299-9086 and entering
passcode 76026949. International callers can dial (617) 786-2903 and use the
same passcode.

The call will be available for replay immediately following completion of the
call through August 19, 2013 by dialing toll free (888) 286-8010 or (617)
801-6888. The replay will require use of passcode 53741575.

The call can also be accessed through Lime Energy's Investor Relations section
of its website at http://www.lime-energy.com. This call is being webcast by
Thomson/CCBN and is being distributed through the Thomson StreetEvents Network
to both institutional and individual investors. Individual investors can
listen to the call at http://www.fulldisclosure.com, Thomson/CCBN's individual
investor portal, powered by StreetEvents. Institutional investors can access
the call via Thomson's password-protected event management site, StreetEvents
(http://www.streetevents.com).

FORWARD-LOOKING STATEMENTS

This news release includes forward-looking statements within the meaning of
the safe harbor provisions of the Private Securities Litigation Reform Act of
1995 including statements that reflect Lime Energy’s current expectations
about its future results, performance, prospects and opportunities. Lime
Energy has tried to identify these forward-looking statements by using words
and phrases such as “may,” “expects,” “anticipates,” “believes,” “intends,”
“estimates,” “plan,” “should,” “typical,” “preliminary,” “hope,” or similar
expressions. These forward-looking statements are based on information
currently available to Lime Energy and are subject to a number of risks,
uncertainties and other factors that could cause Lime Energy’s actual results,
performance, prospects or opportunities in the remainder of 2013 and beyond to
differ materially from those expressed in, or implied by, these
forward-looking statements. These risks and uncertainties are described in
Lime Energy’s most recent Annual Report on Form 10-K or as may be described
from time to time in Lime Energy’s subsequent SEC filings; such factors are
incorporated herein by reference.

Contact:

Lime Energy Investor Relations
Ashley Conger, 704-892-4442
aconger@lime-energy.com
 
Press spacebar to pause and continue. Press esc to stop.