Pipestone, Minn.-based renewable energy services provider Juhl Energy posted a widening net loss for its year ended Dec. 31, 2014.
The company's net loss ballooned to $5.6 million, compared to a net loss of $3.0 million last year. For its part, Juhl Energy says the losses are primarily due to a $1.8 million turbine asset impairment charge, as well as increases in stock compensation expense and professional fees.
Nonetheless, the acquisition of two wind farms plus the online solar company PVPower led to an annual revenue increase.
Total revenue increased 6% to $14.1 million for the year ended Dec. 31, 2014, from $13.4 million the previous year. Juhl Energy attributes the increase in revenue to growth in the company's engineering consulting services for the utility industry and to increased development fee income, as well as to the acquisition of the Oak Tree Wind Farm and an on-site project at a Honda transmission plant, located in Ohio.
Juhl Energy also announced the closure of Juhl Tower Services in late 2014 after experiencing net operating losses and facing difficulties with the working capital aspects of the industry.
‘While we took steps to restructure a portion of our business with the wind down of tower, we generated strong earnings before interest taxes, depreciation and amortization for the year of approximately $1.3 million from our continuing core business units,’ says John Mitola, president of Juhl Energy. ‘That has allowed us to start 2015 with balance sheet strength and with a focused plan to continue to add new wind farm acquisitions, grow our development fee income and expand our engineering services unit.’
Nonetheless, the company is encouraged by several recent wins. For example, Juhl Energy Development was selected as partner for the 11.9 MW Black Oak Wind Project, New York's first community wind project. Also, the developer was awarded a $1.5 million development fee for support services related to a 20 MW wind farm in South Dakota.