Ladies and Gentlemen,
September marks the first time in several months where we have added to our residential account base, and we anticipate adding an estimated 200 new accounts to our base of approximately 1100 in the next few days. We have also seen an increase in our commercial pipeline and expect that to grow to the six-figure mark, (monthly run rate), by the end of the year. As the world begins to open up business is moving towards a new normal and P1EC along with it.
Operationally we continue to get stronger and faster in our onboarding process meaning we get to revenue streams faster than the company has ever experienced. From “yes” to “current flowing” is now down to a day or two rather than weeks. This past week we kicked off our Rescom Rewards program for our clients that gives them the ability to earn discounts on their local purchases. You have all seen and experienced these programs with your own service and product suppliers and the goal very simply is customer retention. At the same time, in an industry that lacks market visibility, it is also our goal to have our customers know who we are and what we do so this rewards strategy will serve to assist us with building brand awareness.
Financially, it was a big boost to us last month when our relationship with ECO GROUP produced a cash infusion on the way to a more formal equity stake. While we are not cash positive, we all have our eye on getting there as quickly as possible. At the risk of being repetitive, our financial reporting and supporting material is monitored closely by our Board of Directors including revenue and expenses as well as monthly accounts payable approval. We hope to finalize our PSA debt agreements within the next several weeks which will also allow us to grow faster. For those of you with some industry knowledge, we have begun to hedge our forward power purchases which adds significantly to our gross margin. We remain extremely conservative in this process and we are only thirty days in front of the market at this point.
I continue to receive as many as thirty phone calls and emails from Power One and PRHL shareholders sometimes in a day, sometimes in a week. There’s about 2,000 of you and one of me and I simply do not have enough hours in the day to respond personally to each one of your inquires. I also get requests for Cap Charts, financial statements and a host of other detailed inside information. I want to remind everyone that we are a privately held company and I report to my Board of Directors. When they instruct me to send out financial information, I will be happy to do so. This company still has lingering issues from years past and thus, the Board has chosen to take the time to get our ship watertight and sailing straight. I would also like to remind everyone once again, that this merger was facilitated without one dime contributed from either entity and was left to fight it’s own struggle to survive.
We continue to survive, we continue to make progress, and we continue to remain optimistic of a positive outcome for all parties. There will be more announcements in the next few weeks as we work through our re-entry into the marketplace.
Ed Jenks, CEO