I honestly don't know the answer to those specific questions. As far as sales starting in retrofit, I'm relying on the guidance from the last call, which leads me to believe there things in the works. Specifically saying we'll see revenues in the second half of 2025
Neal Goldman
In the past you've indicated that the second half you'll start seeing revenues from architectural.
Joseph M. Harary
Right. From the retrofit specifically, yes.
Neal Goldman
Yes. And you're starting to see that?
Joseph M. Harary
Yes. And what we're seeing, Neal, is that there just like investors have a different entry point into anything, architects and designers and facility managers also have different entry points. Some are going to want full energy data and things like that and some are saying intuitively I think this is going to make a big difference and I'm going to put it in now without that. And you'll start to see those are the early adopters. And I think the government also will see it as an early adoption thing and that could be a huge customer. I mean the GSA is I think the largest customer in the world.
Neal Goldman
What's the capacity of your supplier of that in dollars?
Joseph M. Harary
They can do -- their projection is high tens of millions in year 1 in sales and I know they have expansion room to do more if they needed to. And the profit on this is high enough where they can easily replicate what they're doing.
Neal Goldman
Okay. So you're saying that it's starting now. You're getting some orders and this is the first year. So let's say, the second half of '25 is the first half of the first year. So you're saying tens of millions between now and June of '26 and then it ramps from there significantly.
Joseph M. Harary
Yes. Although I wouldn't count now as the starting gate because we still -- like I said, there's a continuum of adopters that are going to want lay energy data in, which takes several months to get and things like that. So you'll start to see early adopters come in probably now. But I think when we look at that high tens of millions in sales that are being projected by the licensee, he's talking about when they have everything kind of wrapped up in a bow. So you'll see revenues this year I believe, but you'll see the big revenues start when we have it all tied up and that may be several months before that starting gun happens.
|
