Ameresco : 2024 Annual Report
AMRC
Annual Report 2024
Vision
Energizing a sustainable world
Mission
Leading the quest to change the world as the trusted sustainability partner creating valued, single-sourced, efficient energy solutions delivered with passion, expertise, teamwork and a relentless focus on customer satisfaction.
Values
Ameresco's values shape our culture and the way we conduct business. Our values are aligned with C.A.R.I.N.G. about our stakeholders and are instrumental in guiding every aspect of our business.
About Ameresco, Inc.
Leading the Global Energy Transition as a Full-Service Energy Solutions Partner
Ameresco, Inc. (NYSE:AMRC) is a leading energy solutions provider dedicated to helping customers reduce costs, enhance resilience, and decarbonize to net zero in the global energy transition. Our comprehensive portfolio includes implementing smart energy efficiency solutions, upgrading aging infrastructure, and developing, constructing, and operating distributed energy resources.
Since 2000, we have been a trusted full-service partner supporting customers' path to a more resilient, sustainable future. Technical independence coupled with our advanced technology portfolio & suite of services allows us to integrate best-in-class solutions for each customer's unique needs, paired with practical financial solutions. We design, implement, and maintain solutions that deliver:
● Cost Savings & Infrastructure Upgrades: Integrating trusted technologies to improve operations and upgrade the built environment - our portfolio of smart and efficient solutions powers the needs of today and possibilities of tomorrow.
● Resiliency & Energy Reliability: Delivering firm & renewable energy supply to ensure mission continuity - enhanced with microgrids, battery energy storage systems, and beyond to provide grid stability and address peak demand.
● Decarbonize to Net Zero: Making meaningful progress on climate action - from efficiency and demand reduction to electrification and renewable energy supply, while leveraging carbon reporting and sustainability advisory services.
We show the way by reducing energy use and delivering diversified generation solutions to Federal, state and local governments, utilities, educational and healthcare institutions, housing authorities, and commercial and industrial customers. Headquartered in
Framingham, MA, Ameresco has more than 1,500 employees providing local expertise across North America and Europe.
$1.77B
$225.3M
59%
FY24 Revenue
FY24 Adjusted EBITDA
FY24 Adjusted EBITDA from
Recurring Lines of Business
$4.82B
$1.38B
$16B+
Awarded & Contracted
Operations and Maintenance
Energy Solutions Delivered
Project Backlog
(O&M) Backlog
Since Inception
731 MWe
637 MWe
125M+ Mt
Owned Assets in
Net Energy Assets
Cumulative Carbon Emission
Operation
in Development
Reduction Since 2010
Use of Non-GAAP Financial Measures: This summary and CEO message include references to adjusted EBITDA, which is a Non-GAAP financial measure. As non-GAAP financial measures are not intended to be considered in isolation or as a substitute for GAAP financial measures, you should carefully read the Form 10-K included in this Annual Report, which includes our consolidated financial statements prepared in accordance with GAAP. For a description of the Non-GAAP financial measures, including the reasons management uses these measures and a reconciliation of the Non-GAAP financial measures to the most directly comparable financial measures prepared in accordance with GAAP, please see the section in the back of Ameresco's earnings release issued on February 27, 2025, available at https:// ir.ameresco.com/news-events/press-releases/detail/672/ameresco-reports-fourth-quarter-and-full-year-2024
Caution concerning forward-looking statements: Additionally, the CEO message includes statements that, to the extent they are not recitations of historical fact, constitute forward-looking statements within the meaning of the federal securities laws, and are based on Ameresco's current expectations and assumptions. For a discussion identifying important factors that could cause actual results to differ materially from those anticipated in the forward-looking statements, see the company's filings with the Securities and Exchange Commission, including "Management's Discussion and Analysis of Financial Condition and Results of Operations" and "Risk Factors" in the Form 10-K portion of this Annual Report.
Fellow Shareholders,
2024 was an excellent year for Ameresco. Our team continued to execute in a dynamic business environment while positioning the company for future growth and adding to our multi-year visibility. Our revenue performance was driven by growth across our business lines, reflecting robust demand for cost-effective projects that provide energy savings and resilience. Last year, we encountered a few challenging projects that presented valuable lessons learned to apply moving forward. Despite the challenges, we ended the year with an unprecedented backlog, and I believe that we are very well positioned to execute.
We concluded 2024 with strong financial results. Fiscal year revenues reached $1.8B, a 29% increase YoY, and adjusted EBITDA reached $225M, up 38% YoY.
Our backlog and recurring revenue metrics remain key indicators of our future growth.
Our total project backlog hit $4.8B, up 24% YoY. We also placed a record 241 MWe of energy assets into service during the year, bringing our total operating energy assets to 731 MWe. These record accomplishments have added considerably to our total multi-year revenue visibility, which now stands at almost $10 billion.
We continued to expand our global footprint - now having operations in every U.S. state, Canada, the UK, and Continental Europe. 2024 marked a significant milestone for the latter segment with over $250 million of revenue generated from our European business. Our strategic joint venture arrangements, such as our Ameresco Sunel Energy JV, allow us to leverage partners' local expertise and resources. One 2024 highlight from this partnership was reaching commercial operation for the Delfini Solar project, designed to generate 157 GWh of electricity annually for cleaner, cheaper, and more secure energy in the Drama region in Greece.
Our work last year was largely centered on enhancing resilience, reducing costs, and upgrading infrastructure for our customers.
Adding to our renewable asset portfolio, this work included placing over 200 MWe of assets into operation in 2024. We understand the critical importance of reliable energy systems, especially in the face of increasing energy demand, rising costs, and grid instability. I would like to highlight just a few from last year:
• In collaboration with Republic Services, we placed three renewable natural gas (RNG) plants into commercial operation - one of which is the Keller Canyon Energy Center. This facility is California's largest landfill gas to renewable natural gas plant, contributing approximately 1 BCF of RNG annually into the PGE&E pipeline.
• We built an advanced battery energy storage system (BESS) portfolio for United Power, Inc. in under a year's time. The total 78 MW / 313 MWh storage capacity spans eight
substations to improve load balancing
and enable seamless integration of
renewable resources.
• Our Kūpono Solar project located at Joint Base Pearl Harbor-Hickam is now operational, supporting Hawaiian Electric's grid on O'ahu with 42 MW solar paired with 42 MW / 168 MWh BESS. This local resource enhances resilience while stabilizing energy costs, reducing fossil fuel usage, and advancing Hawai'i's goal of achieving 100% clean energy by 2045.
• We partnered with Mountain Regional Water Special Services District on an innovative floating solar system that provides electricity to the water treatment plant. It is designed to offset 92% of the plant's grid energy consumption and reduce energy costs by 80%.
• We continued our 20-year partnership with the U.S. National Archives and Records Administration with a $33M
energy savings performance contract to modernize aging infrastructure. Upon completion, the combined efficiency measures are expected to reduce annual fossil fuel consumption by 72%, utility water use by 48%, and electricity use by 28%.
This small sample of work emphasizes how our vision to energize a sustainable world is unwavering. We believe Ameresco is well-positioned for long-term profitable growth in this dynamically changing industry. As energy demand and prices rise, we anticipate growth for our cost- saving solutions that offer resilient, reliable power and infrastructure upgrades. We also expect renewables growth driven by decarbonization and net zero commitments.
These critical market drivers and our proven tailored solutions will help bolster our status as a leading global market player.
Our tremendous backlog, strong financial foundation, innovative solutions, and dedicated team provide a solid platform for continued growth and success.
I would like to thank our employees, customers, and shareholders for their ongoing support. Together, we show the way in this global energy transition.
Sincerely,
George Sakellaris
President & CEO
Keller Canyon Renewable Energy Center
California, USA
Ameresco developed, operates, and owns the Keller Canyon Renewable Energy Center, not only California's largest LFG-to-RNG facility but the first in the state powered by an integrated LFG-to-Electric plant. This project was designed to deliver over 25% of the RNG on the PG&E system, approximately 1 billion cubic feet annually. As part of fourteen renewable energy projects that Ameresco has collaborated on with Republic Services, the facility processes 4,500 standard cubic feet per minute of raw landfill gas. By providing the San Francisco East Bay Area with clean energy, the Keller Canyon Renewable Energy Center will reduce annual carbon emissions by approximately 84,000 metric tons. This project advances Republic Services' goal to beneficially reuse 50% more biogas by 2030 and supports California's renewable energy commitment.
Kūpono Solar Project
Hawaii, USA
To address the growing need for energy security on O'ahu, Ameresco partnered with Hawaiian Electric (HECO), the U.S. Navy, and the O'ahu community to develop the Kūpono Solar Project. As the largest solar and BESS facility on the island, Kūpono Solar delivers 42 MW of renewable energy to the local grid. Ameresco owns and operates the facility, located on 131 acres at Joint Base Pearl Harbor-Hickam, under a 37-year land lease with the U.S. Navy. The project powers approximately 10,000 homes on O'ahu, providing energy resiliency and stabilized energy costs for HECO customers. Additionally, it creates local construction jobs and boosts the economy through the purchase of local materials.
London Stadium
London, UK
As a symbol of athletic achievement and community engagement, London Stadium aimed to demonstrate its commitment to sustainability and progress towards net zero by incorporating rooftop solar power. Ameresco was chosen to implement an innovative solution that would overcome the challenge posed by the stadium's low weight-bearing membrane roof, spanning 6,500 square meters. The flexible module solar system is designed to maximize energy generation levels while seamlessly integrating with the stadium's architectural constraints and will generate approximately 840,000 kWh of clean electricity annually, the equivalent of powering over 259 homes. In addition to reducing the stadium's energy costs and carbon footprint, the solar project will power concerts and sporting events with on-site generation, making London Stadium one of the most sustainable live event venues in the world.
Matchbook Learning
Indiana, USA
Matchbook Learning, part of the Indiana Charter Schools system, chose Ameresco to renovate two industrial warehouses into a state-of-the-art high school and vocational facility focused on energy management and sustainability. The Match High School & Career Center was the first recipient of funding from the U.S. Department of Energy's Renew America's Schools Grant, which helps finance this transformative project.
Integrated with advanced energy systems and renewable energy resources, the learning spaces will feature programs to prepare students for sustainable careers. Ameresco will develop the facilities, serving grades 9-12, from two industrial warehouses spanning a combined 54,000 square feet. The development of both buildings will amount to over $20 million in improvements and upgrades.
Mountain Regional Water
Special Service District
Utah, USA
To incorporate solar energy while preserving the natural beauty of the surrounding land,
Mountain Regional Water Special Service District (MRWSSD) in Utah partnered with Ameresco and D3Energy to develop an innovative floating solar installation at its Signal Hill Water Treatment Plant. This project, Utah's first floating solar array, is designed to generate approximately 871,000 kWh of clean energy annually, offsetting about 92% of its annual grid energy consumption and reducing energy costs by 80%. As a provider of drinking water to the Park City region, MRWSSD's installation not only preserves natural resources by utilizing water surfaces instead of three acres of land but also reduces annual carbon emissions by approximately 609 metric tons.
Napanee Battery Energy Storage System
Ontario, Canada
Partnering with Atura Power, a subsidiary of Ontario Power Generation, through a joint venture known as Napanee BESS, Inc., Ameresco is implementing the first utility scale, grid-connected battery project in the region. The project will participate in the Independent Electricity System Operator (IESO)'s electricity market, bolstering the province's energy security and reliability. The 250 MW / 1,000 MWh battery energy storage system, one of the largest in Eastern Canada, is expected to create up to 80 jobs for local contractors, boosting the local economy.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-K
(Mark One)
☒
ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the fiscal year ended December 31, 2024
OR
☐
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from ___________ to ___________.
Commission File Number: 001-34811
Ameresco, Inc.
(Exact name of registrant as specified in its charter)
Delaware
04-3512838
(State or Other Jurisdiction of
(I.R.S. Employer
Incorporation or Organization)
Identification No.)
111 Speen Street, Suite 410
Framingham, Massachusetts
01701
(Address of Principal Executive Offices)
(Zip Code)
(508) 661-2200
(Registrant's Telephone Number, Including Area Code) Securities registered pursuant to Section 12(b) of the Act: Title of each class
Trading Symbol
Name of each exchange on which registered
Class A Common Stock, par value $0.0001 per share AMRC
New York Stock Exchange
Securities registered pursuant to Section 12(g) of the Act: None
Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act. Yes ☑ No ☐
Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Act. Yes ☐ No ☑
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports) and (2) has been subject to such filing requirements for the past 90 days. Yes ☑ No ☐
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☑ No ☐
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company," and "emerging growth company" in Rule 12b-2 of the Exchange Act.
Large Accelerated Filer ☑
Accelerated Filer ☐
Non-accelerated filer ☐
Smaller reporting company ☐
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
Indicate by check mark whether the registrant has filed a report on and attestation to its management's assessment of the effectiveness of its internal control over financial reporting under Section 404(b) of the Sarbanes-Oxley Act (15 U.S.C. 7262(b)) by the registered public accounting firm that prepared or issued its audit report. ☑
If securities are registered pursuant to Section 12(b) of the Act, indicate by check mark whether the financial statements of the registrant included in the filing reflect the correction of an error to previously issued financial statements. ☐
Indicate by check mark whether any of those error corrections are restatements that required a recovery analysis of incentive-based compensation received by any of the registrant's executive officers during the relevant recovery period pursuant to § 240.10D-1(b). ☐
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act). Yes ☐
No ☑
The aggregate market value of the voting and non-voting common equity held by non-affiliates computed by reference to the price at which the common equity was last sold on the New York Stock Exchange on June 30, 2024, the last business day of the registrant's most recently completed second fiscal quarter, was $919,337,629.
Indicate the number of shares outstanding of each of the registrant's classes of common stock as of the latest practicable date.
Class
Shares outstanding as of February 24, 2025
Class A Common Stock, $0.0001 par value per share
34,541,213
Class B Common Stock, $0.0001 par value per share
18,000,000
DOCUMENTS INCORPORATED BY REFERENCE
Portions of the definitive proxy statement for our 2025 annual meeting of stockholders are incorporated by reference into Part III.
AMERESCO, INC.
TABLE OF CONTENTS
NOTE ABOUT FORWARD-LOOKING STATEMENTS
PART I
Page
ITEM 1.
1
ITEM 1A.
10
ITEM 1B.
25
ITEM 1C.
25
ITEM 2.
26
ITEM 3.
26
ITEM 4.
26
ITEM 5.
26
ITEM 7.
28
ITEM 7A.
40
ITEM 8.
42
ITEM 9.
105
ITEM 9A.
105
ITEM 9B.
105
PART III
ITEM 10.
DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE
106
ITEM 11.
EXECUTIVE COMPENSATION
106
ITEM 12.
SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND
106
MANAGEMENT AND RELATED STOCKHOLDER MATTERS
ITEM 13.
CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR
106
INDEPENDENCE
ITEM 14.
PRINCIPAL ACCOUNTANT FEES AND SERVICES
106
ITEM 15.
EXHIBITS AND FINANCIAL STATEMENT SCHEDULES
107
EXHIBIT INDEX
108
ITEM 16
FORM 10-K SUMMARY
108
SIGNATURES
109
OTHER INFORMATION
BUSINESS
RISK FACTORS
UNRESOLVED STAFF COMMENTS CYBERSECURITY
PROPERTIES
LEGAL PROCEEDINGS MINE SAFETY DISCLOSURES
PART II
MARKET FOR REGISTRANT'S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA
CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE
CONTROLS AND PROCEDURES
PART IV
NOTE ABOUT FORWARD-LOOKING STATEMENTS
This Annual Report on Form 10-K ("Form 10-K" or "Report") contains "forward-looking statements" within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended ("the Exchange Act"). All statements, other than statements of historical fact, including statements regarding our strategy, future operations, future financial position, future revenues, projected costs, prospects, plans, objectives of management, expected market growth and other characterizations of future events or circumstances are forward-looking statements. These statements are often, but not exclusively, identified by the use of words such as "may," "will," "expect," "believe," "anticipate," "intend," "could," "estimate," "target," "project," "predict" or "continue," and similar expressions or variations. These forward-looking statements include, among other things, statements about:
• our expectations as to the future growth of our business and associated expenses,
• our expectations as to revenue generation,
• the future availability of borrowings under our revolving credit facility and other financing arrangements,
• the expected future growth of the market for energy efficiency and renewable energy solutions,
• our backlog, awarded projects and recurring revenue and the timing of such matters,
• our expectations as to acquisition activity,
• the impact of any restructuring,
• the uses of future earnings,
• the expected energy and cost savings of our projects,
• the expected energy production capacity of our renewable energy plants,
• the impact of ongoing macroeconomic challenges and global unrest, including supply chain disruptions, and shortage of materials,
• our expectations related to our agreement with SCE and associated liquidated damages,
• the impact of tariffs and
• the impact of changes in regulation, including the Inflation Reduction Act ("IRA")
These forward-looking statements are based on current expectations and assumptions that are subject to risks, uncertainties, and other factors that could cause actual results and the timing of certain events to differ materially and adversely from the future results expressed or implied by such forward-looking statements. Risks, uncertainties, and factors that could cause or contribute to such differences include, but are not limited to, those discussed in the section titled "Risk Factors," set forth in Item 1A of this Form 10-K and elsewhere in this Report. The forward-looking statements in this Form 10-K represent our views as of the date of this Report. Subsequent events and developments may cause our views to change. However, while we may elect to update these forward-looking statements at some point in the future, we have no current intention of doing so and undertake no obligation to do so except to the extent required by applicable law. You should, therefore, not rely on these forward-looking statements as representing our views as of any date subsequent to the date of this Form 10-K.
ADDITIONAL NOTES
The terms "Ameresco," "Company," "we," "our," "us," or "ourselves" included in this Report mean Ameresco, Inc. and its consolidated subsidiaries, collectively.
Rounding adjustments applied to individual numbers and percentages shown in this Report may result in these figures differing immaterially from their absolute values.
Disclaimer
Ameresco Inc. published this content on April 25, 2025, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on April 25, 2025 at 02:43 UTC.