The following is excerpted from the question-and-answer section of the transcript.
(Questions from industry analysts are provided in full, but answers are omitted - download the transcript to see the full question-and-answer session)
Question: Donovan Shafer - Northland Capital Markets - Analyst
: Hey, guys, thanks for taking the questions. So, first, I want to ask with the commercial business down in New York or Long Island as a result of delays.
Can you just elaborate on what's driving those delays, if that is like a temporary headwind or if there's a growing backlog like there's so much going
on in this around like utility scale and other things, but and often, commercial kind of been the one that I don't know just fits in nicely or something
and doesn't get held up. There are various authorities or [HJ] is whatever getting bogged down or what's kind of the driver behind that?
Question: Donovan Shafer - Northland Capital Markets - Analyst
: Okay, that's helpful. And then I want to ask, I know you don't have a full year 2024 guidance out. But given that, the sales number like, we can point
to the first quarter and talk about there's the seasonality factor that always happens. And then you said that sales, I think in the release that and I
think what you mean by that is sort of originations, not like what translates into revenue because, the revenue, I believe mostly gets recognized
as inflation happens.
So, sales or originations are sort of flat year-over-year, which would suggest on a kilowatt basis, which would suggest a positive trend heading into
Q2 revenue. And then given that you've done all this additional kind of studying and looking more granularly at the commercial business. Do you
have some sort of a rough sense for the rest of the year, like do you think the on a full year basis you're going to end up year-over-year or down or
maybe like flat in terms of kilowatts, but maybe down a bit from lower equipment costs or things like that.
Just anything kind of a rough sense or even if maybe it's just sort of too close to call if you'll be a bit as you'll be up or down that itself, kind of give
some general sense. So, anything you can comment on there would be nice.
Question: Donovan Shafer - Northland Capital Markets - Analyst
: Okay.
Question: Donovan Shafer - Northland Capital Markets - Analyst
: Okay. That's very helpful. And then just one last question for me. I am curious. So, comparing kind of comparing and contrasting with other the
other big solar companies and other (inaudible) I know, it's not like they're straight up competitors per se or like we know that you might use their
products. But they're kind of taking these different strategies where Sunrun is really focusing on driving a higher battery attachment rate.
And you know, they're there at such a huge scale. They're so big that, if they make that a top-down driven initiative, they can basically make that
happen. And so they inched up attachment battery attachment rate like 200 basis points, this quarter, over the last quarter. For you guys, it went
down a little bit about 500 basis points and not a from 36% down to 29%, not a huge drop in (inaudible)
You're generally speaking, smaller than certainly a Sunrun. So, that (inaudible) just like a lumpiness thing impacting you guys, but I'm curious where
you sit in terms of like that strategy, how for Sunrun, it's just a thrill. We're going to focus on margin. We can absorb more overhead and customer
acquisition costs and truck rolls or whatever for attaching more batteries each time and all this stuff.
And so does that make sense to you as an approach as it maybe not apply since you're not doing [ABS issuances] or something. And is the lower
attach rate is something driving that through you guys? Or is there just the general lumpiness, given that you're not at the mega scale that runs
us out?
Question: Donovan Shafer - Northland Capital Markets - Analyst
: (inaudible)Okay. Well, thank you, guys. I'll take the rest of my questions offline.
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