tgen-20250317
FALSE000153743500015374352024-05-092024-05-09


UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
__________________________
 
FORM 8-K

CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934

Date of report (Date of earliest event reported): March 17, 2025

Clean Energy Solutions Logo.jpg
TECOGEN INC. (OTCQX: TGEN)
(Exact Name of Registrant as Specified in Charter)

Delaware
(State or Other Jurisdiction of Incorporation)
001-36103 04-3536131
(Commission File Number) (IRS Employer Identification No.)
76 Treble Cove Road
North Billerica, Massachusetts 01862
(Address of Principal Executive Offices and Zip Code)
(781) 466-6400
(Registrant's telephone number, including area code)
 
Securities registered or to be registered pursuant to Section 12(b) of the Act.
Title of each classTrading SymbolName of exchange on which registered
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter). Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o





Item 2.02. Results of Operations and Financial Condition.

On March 17, 2025, the registrant issued a press release with earnings commentary and supplemental information for the nine and twelve months ended December 31, 2024. The press release is furnished as Exhibit 99.01 to this Current Report on Form 8-K.

The information in this Item 2.02 and Exhibit 99.01 to this Current Report on Form 8-K shall shall not be deemed “filed” for purposes of Section 18 of the Exchange Act or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act or the Exchange Act, except as expressly set forth by specific reference in such a filing.
Item 7.01. Regulation FD Disclosure.

On March 18, 2024, the registrant will present the attached slides online in connection with an earnings conference call. The slides are being furnished as Exhibit 99.02 to this Current Report on Form 8-K.

The information in this Item 7.01 and Exhibit 99.02 to this Current Report on Form 8-K shall not be deemed “filed” for purposes of Section 18 of the Exchange Act or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act or the Exchange Act, except as expressly set forth by specific reference in such a filing.

Item 9.01. Financial Statements and Exhibits.

(d) Exhibits

ExhibitDescription
99.01
99.02

SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Company has duly caused this report to be signed on its behalf by the undersigned, hereunto duly authorized.
TECOGEN INC.
By: /s/ Abinand Rangesh
March 17, 2025Abinand Rangesh, Chief Executive Officer




















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Tecogen Announces
Fourth Quarter and Year-End 2024 Results

NORTH BILLERICA, Mass., March 17, 2025 - Tecogen Inc. (OTCQX:TGEN), a leading manufacturer of clean energy products, reported revenues of $6.08 million and net loss of $1.19 million for the quarter ended December 31, 2024 compared to revenues of $5.90 million, and a net loss of $1.85 million in 2023. We generated $4.06 million in cash from operations and used $0.97 million in cash to acquire property plant and equipment, principally the improvements required at our North Billerica facility, during the year ended December 31, 2024. Our cash balance was $5.41 million at December 31, 2024, which reflects $1.0 million of additional funding provided by related parties during 2024 and increased customer deposits received in the quarter ended December 31, 2024.
Abinand Rangesh, CEO of Tecogen, reported that "there have been multiple exciting developments at Tecogen. We recently signed a global partnership with Vertiv, we closed an InVerde project with a small data center in CT, and our backlog is strong. We were also successful in collecting substantial customer deposits, so we finished the year with >$5m in cash, placing us in a favorable position to grow. Our overall gross profit margin also expanded by 5% points to 45%. During my last call, I had forecast sequential improvements in revenue starting at >$6m for Q4, which we have achieved. I also forecast a small data center project closing in the first quarter of 2025, which we have achieved. The data center in CT chose our InVerde as the superior option after comparing it against alternatives, showing our products have tremendous potential for data centers. During this upcoming call I will provide more context for the data center strategy and why we are so excited about partnering with Vertiv."
Key Takeaways
Net Loss and Earnings Per Share
•Net loss for the quarter ended December 31, 2024 was $1.19 million compared to a net loss of $1.85 million for the same period of 2023, a decrease of $0.66 million, due to increased gross profit from our Products and Services segments and decreased operating expenses in 2024. EPS for the quarter ended December 31, 2024 and 2023 was a loss of $0.05/share and $0.07/share, respectively.
•Net loss for the year ended December 31, 2024 was $4.76 million compared to a net loss of $4.60 million in 2023, an increase of $0.16 million, due to decreased revenue and gross profit for our Products segment due to the relocation of our manufacturing operations to our new facility in April 2024 and the $0.22 million goodwill impairment, offset by decreased operating expenses in 2024. EPS for the year ended December 31, 2024 and 2023 was a loss of $0.19/share for both years.


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Loss from Operations
•Loss from operations for the quarter ended December 31, 2024 was $1.14 million compared to a loss from operations of $1.82 million for the same period in 2023, a decrease of $0.68 million, due to increased gross profit from our Products and Services segments and decreased operating expenses.
•Loss from operations for the year ended December 31, 2024 was $4.53 million compared to a loss from operations of $4.41 million for the same period in 2023, an increase of $0.12 million, due to decreased revenue and gross profit for our Products segment due to the relocation of our manufacturing operations to our new facility in April 2024 and the $0.22 million goodwill impairment, offset by decreased operating expenses.
Revenues
•Revenues for the quarter ended December 31, 2024 were $6.08 million compared to $5.90 million for the same period in 2023, a 3.0% increase.
◦Products revenues in the quarter ended December 31, 2024 were $1.44 million compared to $1.77 million for the same period in 2023, a decrease of 18.3%. The decrease in revenue during the quarter ended December 31, 2024 is due to a reduction in cogeneration and engineered accessory revenue.
◦Services revenues in the quarter ended December 31, 2024 were $4.08 million, compared to $3.59 million for the same period in 2023, an increase of 13.7% due to a $0.42 million increase in revenues from existing contracts and a $0.07 million increase in revenues from the acquired Aegis maintenance contracts.
◦Energy Production revenues in the quarter ended December 31, 2024 were $550 thousand compared to $542 thousand for the same period in 2023, an increase of 1.6%. The increase in Energy Production revenue is due to increased run hours at certain energy production sites.

•Revenues for the year ended December 31, 2024 were $22.62 million compared to $25.14 million for the same period in 2023, a decrease of 10.0% year over year.
◦Products revenues in the year ended December 31, 2024 were $4.44 million compared to $8.86 million for the same period in 2023, a decrease of 49.8%. The decrease in revenue during the year ended December 31, 2024 is due to the relocation of our manufacturing operations to our new facility in April 2024, which necessitated construction activities to install equipment test cells and comply with local regulations, significantly reducing our production capacity during the second and a portion of the the third quarter. We resumed manufacturing operations during the third quarter of 2024.
◦Services revenues in the year ended December 31, 2024 were $16.07 million compared to $14.52 million for the same period in 2023, an increase of 10.7%. The increase in revenue during the year ended December 31, 2024 is due to the addition of $0.79 million in revenues from the acquired Aegis maintenance contracts, and a $0.76 million increase in service contract revenues from existing contracts.
◦Energy Production revenues in the year ended December 31, 2024 were $2.10 million, compared to $1.76 million for the same period in 2023, an increase of 19.6%. The increase in Energy Production revenue is due to increased run hours at certain energy production sites.
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Gross Profit
•Gross profit for the quarter ended December 31, 2024 was $2.73 million compared to $2.35 million in the same period in 2023. Gross margin increased to 45.0% in the quarter ended December 31, 2024 compared to 39.8% for the same period in 2023. The increase in gross margin was driven by lower provisions for obsolete inventory in the quarter ended December 31, 2024 and improved Energy Production margins.
•Gross profit for the year ended December 31, 2024 was $9.87 million compared to $10.20 million in the same period of 2023. Gross margin increased to 43.6% in the year ended December 31, 2024 compared to 40.6% for the same period in 2023. The increase in gross margin was due to improved Services margins and lower provisions for obsolete inventory in the year ended December 31, 2024.

Operating Expenses

•Operating expenses decreased $0.29 million, or 7.0%, to $3.87 million in the quarter ended December 31, 2024 compared to $4.16 million in the same period in 2023, due to decreased credit loss expense in 2024, offset partially by the $0.22 million goodwill impairment.
•Operating expenses decreased $0.21 million, or 1.4%, to $14.40 million in the year ended December 31, 2024 compared to $14.62 million in the same period in 2023 due to decreased credit loss expense, offset partially by the $0.22 million goodwill impairment and a general increase in other operating expense in 2024 .

Adjusted EBITDA was negative $0.69 million for the quarter ended December 31, 2024 compared to negative $0.53 million for the quarter ended December 31, 2024. Adjusted EBITDA was negative $3.63 million for the year ended December 31, 2024 compared to negative $2.58 million for the year ended December 31, 2024. (Adjusted EBITDA is defined as net income or loss attributable to Tecogen, adjusted for interest, income taxes, depreciation and amortization, stock-based compensation expense, unrealized gain or loss on investment securities, goodwill impairment charges and other non-cash non-recurring charges or gains including abandonment of intangible assets and asset impairment. See the table following the Condensed Consolidated Statements of Operations for a reconciliation from net income (loss) to Adjusted EBITDA, as well as important disclosures about the Company's use of Adjusted EBITDA).
Conference Call Scheduled for March 18, 2025, at 9:30 am ET
Tecogen will host a conference call on March 18, 2025 to discuss the fourth quarter results beginning at 9:30 am eastern time. To listen to the call please dial (877) 407-7186 within the U.S. and Canada, or +1 (201) 689-8052 from other international locations. Participants should ask to be joined to the Tecogen Fourth Quarter and Year-End 2024 earnings call. Please begin dialing 10 minutes before the scheduled starting time. The earnings press release will be available on the Company website at www.Tecogen.com in the "News and Events" section under "About Us." The earnings conference call will be webcast live. To view the associated slides, register for and listen to the webcast, go to https://ir.tecogen.com/ir-calendar. Following the call, the recording will be archived for 14 days.
The earnings conference call will be recorded and available for playback one hour after the end of the call. To listen to the playback, dial (877) 660-6853 within the U.S. and Canada, or (201) 612-7415 from other international locations and use Conference Call ID#: 13752231.
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About Tecogen
Tecogen Inc. designs, manufactures, sells, installs, and maintains high efficiency, ultra-clean, cogeneration products including engine-driven combined heat and power, air conditioning systems, and high-efficiency water heaters for residential, commercial, recreational and industrial use. The company provides cost effective, environmentally friendly and reliable products for energy production that nearly eliminate criteria pollutants and significantly reduce a customer’s carbon footprint. In business for over 35 years, Tecogen has shipped more than 3,200 units, supported by an established network of engineering, sales, and service personnel in key markets in North America. For more information, please visit www.tecogen.com or contact us for a free Site Assessment.
Forward Looking Statements
This press release and any accompanying documents, contain “forward-looking statements” which may describe strategies, goals, outlooks or other non-historical matters, or projected revenues, income, returns or other financial measures, that may include words such as "believe," "expect," "anticipate," "intend," "plan,"  "estimate," "project," "target," "potential," "will," "should," "could," "likely," or "may" and similar expressions intended to identify forward-looking statements. These statements are only predictions and involve known and unknown risks, uncertainties, and other factors that may cause our actual results to differ materially from those expressed or implied by such forward-looking statements. Given these uncertainties, you should not place undue reliance on these forward-looking statements. Forward-looking statements speak only as of the date on which they are made, and we undertake no obligation to update or revise any forward-looking statements.
In addition to those factors described in our Annual Report on Form 10-K, our Quarterly Reports on Form 10-Q and on our Form 8-K, under “Risk Factors”, among the factors that could cause actual results to differ materially from past and projected future results are the following: fluctuations in demand for our products and services, competing technological developments, issues relating to research and development, the availability of incentives, rebates, and tax benefits relating to our products and services, changes in the regulatory environment relating to our products and services, integration of acquired business operations, and the ability to obtain financing on favorable terms to fund existing operations and anticipated growth.
In addition to GAAP financial measures, this press release includes certain non-GAAP financial measures, including adjusted EBITDA which excludes certain expenses as described in the presentation. We use Adjusted EBITDA as an internal measure of business operating performance and believe that the presentation of non-GAAP financial measures provides a meaningful perspective of the underlying operating performance of our current business and enables investors to better understand and evaluate our historical and prospective operating performance by eliminating items that vary from period to period without correlation to our core operating performance and highlights trends in our business that may not otherwise be apparent when relying solely on GAAP financial measures.
Tecogen Media & Investor Relations Contact Information:
Abinand Rangesh
P: 781-466-6487
E: [email protected]

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TECOGEN INC.
CONSOLIDATED BALANCE SHEETS
(unaudited)
December 31, 2024December 31, 2023
ASSETS
Current assets:
Cash and cash equivalents$5,405,233 $1,351,270 
Accounts receivable, net6,026,545 6,781,484 
Unbilled revenue398,898 1,258,532 
Inventories, net9,634,005 10,553,419 
Prepaid and other current assets680,565 360,639 
Total current assets22,145,246 20,305,344 
Long-term assets:
Property, plant and equipment, net1,738,036 1,162,577 
Right of use assets - operating leases1,730,358 743,096 
Right of use assets - finance leases452,390 200,187 
Intangible assets, net2,513,189 2,436,230 
Goodwill2,346,566 2,743,424 
Other assets166,474 201,771 
TOTAL ASSETS$31,092,259 $27,792,629 
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Related party notes payable$1,548,872 $505,505 
Accounts payable4,142,678 4,514,415 
Accrued expenses2,890,886 2,504,629 
Deferred revenue, current6,701,131 1,647,206 
Operating lease obligations, current430,382 248,933 
Finance lease obligations, current85,646 40,540 
Acquisition liabilities, current902,552 845,363 
Unfavorable contract liability, current113,449 176,207 
Total current liabilities16,815,596 10,482,798 
Long-term liabilities:
Deferred revenue, net of current portion1,165,951 369,611 
Operating lease obligations, net of current portion1,341,789 523,660 
Finance lease obligations, net of current portion325,235 159,647 
Acquisition liabilities, net of current portion1,008,760 1,181,779 
Unfavorable contract liability, net of current portion309,390 422,839 
Total liabilities20,966,721 13,140,334 
Commitments and contingencies
Stockholders’ equity:
Tecogen Inc. stockholders’ equity:
Common stock, $0.001 par value; 100,000,000 shares authorized; 24,950,261 issued and outstanding at December 31, 2024 and 24,850,261 shares issued and outstanding at December 31, 2023
24,950 24,850 
Additional paid-in capital57,845,289 57,601,402 
Accumulated deficit(47,639,894)(42,879,656)
Total Tecogen Inc. stockholders’ equity10,230,345 14,746,596 
Non-controlling interest(104,807)(94,301)
Total stockholders’ equity10,125,538 14,652,295 
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY$31,092,259 $27,792,629 



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TECOGEN INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(unaudited)
Three Months Ended
 December 31, 2024December 31, 2023
Revenues
Products$1,441,909 $1,765,390 
Services4,083,492 3,591,310 
Energy production550,121 541,613 
Total revenues6,075,522 5,898,313 
Cost of sales
Products995,921 1,422,325 
Services2,009,762 1,749,347 
Energy production335,392 377,379 
Total cost of sales3,341,075 3,549,051 
Gross profit2,734,447 2,349,262 
Operating expenses
General and administrative2,928,287 3,461,807 
Selling503,145 504,716 
Research and development226,843 214,320 
(Gain) loss on disposition of assets(4,111)(16,257)
Goodwill impairment217,295 — 
Total operating expenses3,871,459 4,164,586 
Loss from operations(1,137,012)(1,815,324)
Other income (expense)
Other income (expense), net(11,509)(24,442)
Interest expense(30,762)(7,421)
Unrealized gain (loss) on investment securities— 18,749 
Total other income (expense), net(42,271)(13,114)
Loss before provision for state income taxes(1,179,283)(1,828,438)
Provision for state income taxes465 239 
Consolidated net loss(1,179,748)(1,828,677)
Income attributable to the non-controlling interest(6,319)(17,720)
Loss attributable to Tecogen Inc.$(1,186,067)$(1,846,397)
Net loss per share - basic$(0.05)$(0.07)
Net loss per share - diluted$(0.05)$(0.07)
Weighted average shares outstanding - basic24,893,739 24,850,261 
Weighted average shares outstanding - diluted24,893,739 24,850,261 

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Three Months Ended
December 31, 2024December 31, 2023
Non-GAAP financial disclosure (1)
Net loss attributable to Tecogen Inc.$(1,186,067)$(1,846,397)
Interest expense, net30,762 7,421 
Income taxes465 239 
Depreciation & amortization, net134,039 107,933 
EBITDA(1,020,801)(1,730,804)
Stock-based compensation41,082 75,683 
Unrealized loss on securities— (18,749)
Inventory write down70,530 402,883 
Credit loss provision— 744,248 
Goodwill impairment217,295 — 
Adjusted EBITDA $(691,894)$(526,739)




























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TECOGEN INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(unaudited)
Years Ended
December 31, 2024December 31, 2023
Revenues
Products$4,443,996 $8,859,946 
Services16,074,870 14,523,054 
     Energy production2,100,670 1,756,419 
Total revenues22,619,536 25,139,419 
Cost of sales
Products3,014,655 5,923,096 
Services8,432,876 7,909,202 
     Energy production1,301,832 1,105,503 
Total cost of sales12,749,363 14,937,801 
Gross profit9,870,173 10,201,618 
Operating expenses
General and administrative11,356,406 11,880,389 
Selling1,880,903 1,931,037 
Research and development961,837 840,011 
Gain on sale of assets(12,181)(36,207)
Goodwill impairment217,295 — 
Total operating expenses14,404,260 14,615,230 
Loss from operations(4,534,087)(4,413,612)
Other income (expense)
Interest and other income (expense), net(26,814)(61,003)
Interest expense(90,304)(16,050)
Total other income (expense), net(117,118)(77,053)
Loss before provision for state income taxes(4,651,205)(4,490,665)
Provision for state income taxes22,565 32,491 
Consolidated net loss(4,673,770)(4,523,156)
Income attributable to non-controlling interest(86,468)(74,952)
Net loss attributable to Tecogen Inc.$(4,760,238)$(4,598,108)
Net loss per share - basic $(0.19)$(0.19)
Net loss per share - diluted$(0.19)$(0.19)
Weighted average shares outstanding - basic24,861,19024,850,261
Weighted average shares outstanding - diluted24,861,19024,850,261





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Years Ended
December 31, 2024December 31, 2023
Non-GAAP financial disclosure (1)
Net income loss attributable to Tecogen Inc.$(4,760,238)$(4,598,108)
Interest expense90,304 16,050 
Provision for income taxes22,565 32,491 
Depreciation & amortization, net553,783 567,712 
EBITDA(4,093,586)(3,981,855)
Stock-based compensation172,987 250,394 
Credit loss provision— 744,248 
Inventory writedown70,530 402,883 
Goodwill impairment217,295 — 
Adjusted EBITDA
$(3,632,774)$(2,584,330)

(1) Non-GAAP Financial Measures
In addition to reporting net income, a U.S. generally accepted accounting principle (“GAAP”) measure, this news release contains information about Adjusted EBITDA (net income (loss) attributable to Tecogen Inc adjusted for interest, income taxes, depreciation and amortization, stock-based compensation expense, unrealized gain or loss on investment securities, goodwill impairment charges and other non-cash non-recurring charges including abandonment of certain intangible assets), which is a non-GAAP measure.  The Company believes Adjusted EBITDA allows investors to view its performance in a manner similar to the methods used by management and provides additional insight into its operating results.  Adjusted EBITDA is not calculated through the application of GAAP.  Accordingly, it should not be considered as a substitute for the GAAP measure of net income and, therefore, should not be used in isolation of, but in conjunction with, the GAAP measure.  The use of any non-GAAP measure may produce results that vary from the GAAP measure and may not be comparable to a similarly defined non-GAAP measure used by other companies.
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TECOGEN INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(unaudited)
Years Ended
December 31, 2024December 31, 2023
CASH FLOWS FROM OPERATING ACTIVITIES:
Consolidated loss$(4,673,770)$(4,523,156)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
Depreciation, accretion and amortization, net553,783 567,712 
Gain on sale of assets(12,181)(36,207)
Provision for credit losses146,010 902,432 
Provision for inventory reserve70,530 402,883 
Stock-based compensation172,987 250,394 
Goodwill impairment217,295 — 
Non-cash interest expense45,025 5,505 
Changes in operating assets and liabilities:
(Increase) decrease in:
Accounts receivable608,929 (81,195)
Inventory, net848,884 (82,525)
Unbilled revenue859,634 56,994 
Prepaid expenses and other current assets(319,926)40,550 
Other non-current assets510,723 265,725 
Increase (decrease) in:
Accounts payable(371,736)1,161,416 
Accrued expenses386,257 128,869 
Deferred revenue5,850,265 543,842 
Other current liabilities(832,162)(421,049)
Net cash provided by (used in) operating activities4,060,547 (817,810)
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property and equipment(969,163)(46,851)
Proceeds on sale of property and equipment51,400 34,655 
Payment for business acquisition— (170,000)
Distributions to noncontrolling interest(96,974)(62,693)
Net used in investing activities(1,014,737)(244,889)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from related party note1,000,000 500,000 
Finance lease principal payments(62,847)— 
Proceeds from exercise of stock options71,000 — 
Net cash provided by financing activities1,008,153 500,000 
Change in cash and cash equivalents4,053,963 (562,699)
Cash and cash equivalents, beginning of the year1,351,270 1,913,969 
Cash and cash equivalents, end of the year$5,405,233 $1,351,270 
Supplemental disclosure of cash flow information:
Cash paid for interest$45,278 $10,926 
Cash paid for taxes$22,565 $32,491 
Non-cash investing activities
Right-of-use assets acquired under operating leases$1,650,994 $148,093 
Right-of-use assets acquired under finance leases$295,085 $200,187 
Aegis acquisition:
Accounts receivable credit$— $300,000 
Accounts payable assumed— 91,048 
Contingent consideration272,901 1,256,656 
Total fair value of non-cash consideration$272,901 $1,647,704 
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OTCQX: TGEN FY 2024 EARNINGS CALL MARCH 18, 2025 1

 
MANAGEMENT Abinand Rangesh – CEO & CFO Robert Panora – COO & President Roger Deschenes – CAO Jack Whiting – General Counsel & Secretary 2

 
SAFE HARBOR STATEMENT This presentation and accompanying documents contain “forward-looking statements” which may describe strategies, goals, outlooks or other non- historical matters, or projected revenues, Income, returns or other financial measures, that may include words such as "believe," "expect," "anticipate," "intend," "plan," "estimate," "project," "target," "potential," "will," "should," "could," "likely," or "may" and similar expressions intended to identify forward-looking statements. These statements are only predictions and involve known and unknown risks, uncertainties, and other factors that may cause our actual results to differ materially from those expressed or implied by such forward-looking statements. Given these uncertainties, you should not place undue reliance on these forward-looking statements. Forward-looking statements speak only as of the date on which they are made, and we undertake no obligation to update or revise any forward-looking statements. In addition to those factors described in our Annual Report on Form 10-K and our Quarterly Reports on Form 10-Q under “Risk Factors”, among the factors that could cause actual results to differ materially from past and projected future results are the following: fluctuations in demand for our products and services, competing technological developments, issues relating to research and development, the availability of incentives, rebates, and tax benefits relating to our products and services, changes in the regulatory environment relating to our products and services, integration of acquired business operations, and the ability to obtain financing on favorable terms to fund existing operations and anticipated growth. In addition to GAAP financial measures, this presentation includes certain non-GAAP financial measures, including adjusted EBITDA which excludes certain expenses as described in the presentation. We use Adjusted EBITDA as an internal measure of business operating performance and believe that the presentation of non-GAAP financial measures provides a meaningful perspective of the underlying operating performance of our current business and enables investors to better understand and evaluate our historical and prospective operating performance by eliminating items that vary from period to period without correlation to our core operating performance and highlights trends in our business that may not otherwise be apparent when relying solely on GAAP financial measures. 3

 
AGENDA AI & Data Centers Why Tecogen’s unique solution Vertiv relationship Potential impact of data center sales to Tecogen About the technology Financials Q4 and FY 2024 Q&A 4

 
AI LIQUID COOLING MARKET OPPORTUNITY Liquid cooling of AI Chips allows a chip to operate at 2x computing power, but that heat needs to be removed Over next 10 years >$20Bn of cooling equipment needs to be installed to support AI Liquid cooling NVDIA & AMD are expected to ship >5 million AI chips a year 5

 
6 Up to 30% of a data center’s available electrical power may need to be allocated to cooling This power is then not available for computing Computing is the revenue source for a data center THE PROBLEM AncillariesComputing Cooling Power Needs of AI Data Center

 
SOLUTION – TECOGEN’S ADVANCED NATURAL GAS CHILLER 7 Increases available power Tecogen’s unique advanced natural gas chiller (Tecochill) increases a data center’s available power Fast and Easy Installation Faster and cheaper to install than on-site power generation Ultra low NOx and CO emissions for simplified air-permits Proven technology in 24/7 critical applications including hospitals, ice rinks, cannabis

 
Cost of Operation Electrical Power Needed TECOCHILL COMPARED TO ALTERNATIVES Electric Chillers Gas Absorption Chillers Tecochill is 2x more efficient than nearest other gas cooling technology Tecochill can save 50% or more in energy costs compared to an electric chiller Tecogen chillers are made in USA and are less susceptible to tariffs

 
-$1,000,000 -$500,000 $0 $500,000 $1,000,000 $1,500,000 $2,000,000 Increased Revenue for Data Center from Additional Electrical Capacity Chiller Energy Costs Chiller Maintenance Increased Data Center Profit Per Year Tecogen Chillers = Increased Available Power = Increased Data Center Profits (2,000 Ton Chiller Plant) Electric Cooling Tecogen Chiller

 
10 THE MARKET Market moving towards colocation and hyperscale data centers Favorable to larger projects Tecogen is targeting the colocation data centers

 
11 Signed global partnership with Vertiv for data center cooling Vertiv is No.1 in thermal management for data centers Marketing agreement signed March 2025 Data center sites (power gen) Enterprise data center in Manhattan (Installed 2023/4) Cloudsmart Data Center in CT (Expected Install 2025) Working on 3 to 5 multi-unit data center projects PROVEN TRACTION IN DATA CENTER MARKET

 
12 Sample AI data center site Total Data Center Power = 50MW 36 MW computing 14 MW for cooling and ancillaries Chiller plant size >11,000 refrigeration tons One chiller project of equivalent size could generate $13m to $16m in revenue for Tecogen Incremental sale from even 1 data center will lead to profitability 2024 gross profit margin >43% Adjusted EBITDA breakeven point approximately $30m POTENTIAL IMPACT

 
13 Tecogen moved to a new factory in 2024 20 Ton overhead cranes for chiller production Talented local labor pool NEW FACTORY READY FOR GROWTH

 
BACKLOG AND CASH Backlog is presently $12.2m. Additional >$3m of projects expected to enter backlog during Q2 Cash position $5.4m at quarter end and $4m presently Due to customer deposits NYSERDA rebates – (Some pass through to customers) Repayment timeline extended to 2026 for related party notes Multi-Family Residential 21% Controlled Environment Agriculture 4% Office 13% Other 17% LVCC Product 29% LVCC Prepaid Service 16% Backlog by Customer Type 14

 
REVENUE SEGMENTS We service most purchased Tecogen equipment in operation through long term maintenance agreements through 11 service centers in North America and perform certain equipment installation work. SERVICES CLEAN, GREEN POWER, COOLING AND HEAT Sales of combined heat and power, and clean cooling systems to building owners. Key market segments include multifamily residential, health care and indoor cultivation. PRODUCT SALES We sell electrical energy and thermal energy produced by our equipment onsite at customer facilities. ENERGY SALES 15

 
4Q 2024 RESULTS Key Points • Revenue = $6.1 million up 3% • Net loss of $0.05/share Q4 2024 • Net loss $1.1m • Opex $3.9m due to one-time charges • $109k credit loss provision for hospital customer in chapter 11 • ADGE Goodwill impairment of $217k • Gross Margin 45% up 5% 16 $ in thousands 4Q'24 4Q'23 QoQ Change % Revenue Products $ 1,442 $ 1,765 $ (323) Services 4,083 3,591 492 Energy Production 550 542 8 Total Revenue 6,075 5,898 177 3.0% Gross Profit Products 446 343 103 Services 2,074 1,842 232 Energy Production 215 164 50 Total Gross Profit 2,734 2,349 385 16.4% Gross Margin: % Products 31% 19% 12% Services 51% 51% -1% Energy Production 39% 30% 9% Total Gross Margin 45% 40% 5% Operating Expenses General & administrative 2,928 3,462 (534) Selling 503 505 (2) Research and development 227 214 12 Impairment and other expenses 213 (16) 229 Total operating expenses 3,871 4,165 (294) -7.1% Operating loss (1,137) (1,815) 678 -37.3% Net loss $ (1,186) $ (1,846) $ 660 -35.8%

 
YE 2024 RESULTS Key Points • Revenue = $22.6 million • Factory move reduced products revenue • Net loss of $0.19/share YE 2024 • Net loss of $4.8m • Services revenue increased 14% due to increased number of service contracts • Gross Margin of 44% up 3% • Op Ex down 1.4% • Install receivable credit loss provision of $744K in 2023 • $109k credit loss provision for hospital customer in chapter 11 in 2024 • ADGE Goodwill impairment of $217k 17 $ in thousands YE 24 YE 23 YoY Change % Revenue Products $ 4,444 $ 8,860 $ (4,416) Services 16,075 14,523 1,552 Energy Production 2,101 1,756 345 Total Revenue 22,620 25,139 (2,519) -10.0% Gross Profit Products 1,429 2,937 (1,508) Services 7,642 6,614 1,028 Energy Production 799 651 148 Total Gross Profit 9,870 10,202 (332) -3.3% Gross Margin: % Products 32% 33% -1% Services 48% 46% 2% Energy Production 38% 37% 1% Total Gross Margin 44% 41% 3% Operating Expenses General & administrative 11,356 11,880 (524) Selling 1,881 1,931 (50) Research and development 962 840 122 Impairment and other expenses 205 (36) 241 Total operating expenses 14,404 14,615 (210) -1.4% Operating loss (4,534) (4,414) (121) 2.7% Net loss $ (4,760) $ (4,598) $ (162) #VALUE!

 
4Q 2024 ADJUSTED EBITDA RECONCILIATION EBITDA: Earnings Before Interest, Taxes, Depreciation & Amortization • EBITDA and adjusted EBITDA loss was $1m and $692k respectively • Includes increase of $109k credit loss reserve EBITDA Non-cash adjustments • Stock based compensation • Unrealized and realized (gain) loss on investment securities • Non-recurring charges *Adjusted EBITDA is defined as net Income (loss) attributable to Tecogen Inc, adjusted for interest, depreciation and amortization, stock-based compensation expense, unrealized loss on investment securities, non-cash abandonment of intangible assets, goodwill impairment and other non-recurring charges or gains including abandonment of certain intangible assets and extinguishment of debt 18 Non-GAAP financial disclosure (in thousands) 2024 2023 Net income (loss) attributable to Tecogen Inc. (1,186)$ (1,846)$ Interest expense, net 31 7 Income tax expense 0 0 Depreciation & amortization, net 134 108 EBITDA (1,021) (1,731) Stock based compensation 41 76 Unrealized loss on marketable securities - (19) Goodwill 217 - Installation credit loss provision - 744 Obsolete inventory provision 71 403 Adjusted EBITDA* (692)$ (527)$ Quarter Ended, Dec 31

 
YE 2024 ADJUSTED EBITDA RECONCILIATION EBITDA: Earnings Before Interest, Taxes, Depreciation & Amortization • EBITDA and adjusted EBITDA loss of $4.1m and $3.6m respectively • EBITDA loss increased due to lower products revenue due to factory move EBITDA Non-cash adjustments • Stock based compensation • Unrealized and realized (gain) loss on investment securities • Non-recurring charges *Adjusted EBITDA is defined as net Income (loss) attributable to Tecogen Inc, adjusted for interest, depreciation and amortization, stock-based compensation expense, unrealized loss on investment securities, non-cash abandonment of intangible assets, goodwill impairment and other non-recurring charges or gains including abandonment of certain intangible assets and extinguishment of debt 19 Non-GAAP financial disclosure (in thousands) 2024 2023 Net income (loss) attributable to Tecogen Inc. (4,760)$ (4,598)$ Interest expense, net 90 16 Income tax expense 23 32 Depreciation & amortization, net 554 568 EBITDA (4,094) (3,982) Stock based compensation 173 250 Unrealized loss (gain) on marketable securities - - Goodwill 217 - Installation credit loss provision - 744 Obsolete inventory provision 71 403 Adjusted EBITDA* (3,633)$ (2,584)$ FY Ended, Dec 31

 
4Q 24 PERFORMANCE BY SEGMENT Products revenue decreased 18% QoQ • Gross margin up QoQ Services revenue increased 14% QoQ • Services gross margin flat at 51% QoQ • Increased from prior quarters earlier this year Energy Production revenue increased 2% QoQ Margin increased 9% QoQ Gross Margin 45% • Increased 5% QoQ 20 4Q Revenues ($ thousands) 2024 2023 YoY Growth Revenues Cogeneration 490$ 892$ -45% Chiller 952 612 56% Engineered accessories 0 262 -100% Total Product Revenues 1,442 1,765 -18% Service Contracts 4,083 3,591 14% Installation Services - - Total Service Revenues 4,083 3,591 14% Energy Production 550 542 2% Total Revenues 6,075 5,898 3% Cost of Sales Products 996 1,422 -30% Services 2,010 1,749 15% Energy Production 335 377 -11% Total Cost of Sales 3,341 3,549 -6% Gross Profit 2,734$ 2,349$ 16% Gross Margin Products 31% 19% Services 51% 51% Energy Production 39% 30% Overall 45% 40% QTD Gross Margin 2024 2023 Target Overall 45% 40% >40%

 
YE 24 PERFORMANCE BY SEGMENT Products revenue decreased 50% YoY • Due to factory move • 2024 gross profit impacted by move related inefficiencies. Services revenue increased 11% YoY • Services margin increased from 46% to 48% Energy Production Revenue increased 20% YoY Gross Margin increased to 44% due to improving service margins 21 YE 2024 Revenues ($ thousands) 2024 2023 YoY Growth Revenues Cogeneration 2,678 2,762 -3% Chiller 1,647 5,304 -69% Engineered accessories 119 794 -85% Total Product Revenues 4,444 8,860 -50% Service Contracts 16,075 14,523 11% Installation Services 0 0 0% Total Service Revenues 16,075 14,523 11% Energy Production 2,101 1,756 20% Total Revenues 22,620 25,140 -10% Cost of Sales Products 3,015 5,923 -49% Services 8,433 7,909 7% Energy Production 1,302 1,106 18% Total Cost of Sales 12,750 14,938 -15% Gross Profit 9,870 10,202 -3% Gross Margin Products 32% 33% Services 48% 46% Energy Production 38% 37% Overall 44% 41% Gross Margin 2024 2023 Target Overall 44% 41% >40%

 
SUMMARY AND Q&A Company Information Tecogen, Inc 76 Treble Cove Road, Building 1 North Billerica MA 01862 www.Tecogen.com Contact information Abinand Rangesh, CEO 781.466.6487 [email protected] 22 Significant headway into data center market Signed Vertiv collaboration Signed small data center Expect more later in year Have $4m in cash to fund working capital Service margins are improving