Solar Integrated Roofing Corp. Issues Letter to Shareholders from Newly Appointed CEO Brad Rinehart
- Solar Integrated Roofing Corp. appoints new CEO, CFO, and President/COO to improve operational costs and focus on internal sales. The company plans to strengthen its balance sheet, raise strategic capital, and expand into new markets.
- Q1 financial results negatively impacted by weather conditions, supply chain issues, and SG&A consolidation. Capital markets uncertainty and short-term debt servicing had a dramatically negative effect on cash flow and commercial projects.
HENDERSON, Nev., May 19, 2023 (GLOBE NEWSWIRE) -- Solar Integrated Roofing Corp. (OTC:SIRC) (“SIRC” or the Company”), an integrated, single-source solutions provider of solar power, roofing and EV charging systems, today issued the following statement from its newly appointed CEO, Brad Rinehart.
Dear Shareholders,
We have made a significant change to our executive management team. Dave Massey is taking a medical leave of absence and has resigned as CEO and CFO of SIRC as of Monday, May 15, 2023. In tandem with his resignation, our Board of Directors has appointment me as CEO, Wanda Witoslawski as CFO, and Troy Clymer as President and COO of SIRC. All three of us have also been appointed as members of the Board of Directors, of which Dave will remain a member. The changes will allow our C-suite to move the improved operational costs into other areas of the company and allow us to focus our limited cash resources on internal sales and operational improvements.
As CEO, I will not hold any Q&A sessions for the next 90 days, unless there is a material change that needs to be addressed. External communications will be well-controlled through our official SIRC media outlets and via our investor relations firm, MZ Group. My efforts and the team’s efforts will be focused on running the company and increasing shareholder value through good old-fashioned hard work.
I am sure that our shareholders were as disappointed with our Q1 financial results as were the management team here at SIRC. We experienced several headwinds in the quarter. Weather, which is usually reliable in SoCal, was much wetter than normal, affecting our roofing and solar divisions. NEM 3.0 also had what we are predicting is a short-term negative impact on residential solar sales. We ran into supply chain issues on one of our primary branded solar panels and had other supply challenges. We also had to reverse some cancelled residential solar sales, and we are working to rebuild the company culture after SG&A consolidation and restructuring. These factors all negatively impacted our operating performance during the first quarter.
The uncertainty encompassing the capital markets has caused a delaying effect on our commercial projects as higher interest rates change the economics on many projects and the banking industry reacts to the recent bank failures. All previously announced projects are still active, and we are working diligently to move them forward. Short-term debt servicing and litigation costs also had a dramatically negative effect on our cash flow, which has limited our ability to deploy capital into the commercial development projects we have in the queue. Rest assured that Troy, Wanda, me, and our leadership are working hard to resolve through these challenges.
If you look deeper into Q1 financials, the ability to manage operational costs was really a bright spot in the overall disappointing results.
SIRC, under my administration’s leadership, will evolve with a focus on operational organic growth, efficiency, and culture. I am dedicated to unlocking the potential of our Commercial and Industrial pipeline, our EV and Small Commercial division as well as our fast-growing services, claims and financial services divisions under our Balance brand. Our residential solar and roofing will continue to grow as we expand into new markets. We are working hard to strengthen our balance sheet, raise strategic capital, and align with opportunities that allow for exponential scale and generate shareholder value. This will take time and focus as we endeavor to emerge poised for SIRC to reach its potential and ultimately deliver on our commitment to become a world class renewable energy conglomerate.
Sincerely,
Brad Rinehart
Chief Executive Officer
About Solar Integrated Roofing Corp.
Solar Integrated Roofing Corp. (OTC: SIRC) is an integrated, single-source solutions provider of solar power, roofing and EV charging systems, specializing in commercial and residential properties throughout North America. The Company serves communities by delivering the best experience through constant innovation & legacy-focused leadership. For more information, please visit the Company's Investor Relations website at www.solarintegratedroofing.com, Corporate website at https://www.sirc.com/ or join us on Twitter, LinkedIn or Facebook.
Forward-Looking Statements
This press release contains “forward-looking statements” within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words such as: “anticipate,” “intend,” “plan,” “goal,” “seek,” “believe,” “project,” “estimate,” “expect,” “strategy,” “future,” “likely,” “may,” “should,” “will” and similar references to future periods. Examples of forward-looking statements in this press include, among others, statements about our renegotiated settlement agreement. Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on our current beliefs, expectations and assumptions regarding the future of our business, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of our control. Our actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not rely on any of these forward-looking statements. Important factors that could cause our actual results and financial condition to differ materially from those indicated in the forward-looking statements include, among others, the following: our limited operating history; our dependence on third parties for many aspects of our business; general market and economic conditions; technical factors; the availability of outside capital; our receipt of revenues; legislative developments; changes in our expenditures and other uses of cash; our ability to find, recruit and retain personnel in sufficient numbers to support our growth; our ability to manage growth; and general market, economic and business conditions. Additional factors that could cause actual results to differ materially from those anticipated by our forward-looking statements are under the captions “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in our most recent Registration Statement on Form 10 or Quarterly Report on Form 10-Q filed with the Securities and Exchange Commission. Any forward-looking statement made by us in this press release is based only on information currently available to us and speaks only as of the date on which it is made. We undertake no obligation to publicly update any forward-looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.
Investor Relations Contact:
Michael Kim/Brooks Hamilton
MZ North America
+1 (949) 546-6326
SIRC@mzgroup.us
www.mzgroup.us
FAQ
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