VANCOUVER, BC / ACCESSWIRE / August 29, 2024 / Ostrom Climate Solutions Inc. ("Ostrom Climate" or the "Company") (TSX-V:COO)(Frankfurt:9EAA), a leading developer of high-quality carbon offset projects and climate solutions, has released its financial results for the second quarter ended June 30, 2024. The Company reported a notable increase in revenues driven by the expansion of its Verified Emission Reduction (VER) units and consulting services, despite experiencing an increased net loss due to strategic investments in project development and operational expansion.
Second Quarter Financial Highlights:
Q2 2024 revenue reached $578,123, an increase of 186.6% from $201,724 in Q2 2023, reflecting strong growth in VER sales and consulting services.
The Company's gross profit rose to $369,000 from $95,707 in Q2 2023, demonstrating improved cost management and efficiency.
Net loss for the quarter was $856,934, compared to a net loss of $553,958 in the same period last year, largely due to increased operational expenses and strategic investments, including costs associated with its Climate-Smart Agriculture Project in the Philippines.
Operational and Strategic Developments:
During Q2 2024, Ostrom Climate made progress in expanding its flagship Upper Pampanga River Climate-Smart Agriculture Rice Project (UPRIIS). UPRIIS aims to reduce greenhouse gas emissions in rice cultivation, bolstering environmental impact, water conservation and food security. As discussed in the Company's corporate update announcement on June 5, 2024, UPRIIS is an essential part of the Company's strategy to focus on high-quality carbon project development and Nature Based Solutions (NBS). NBS in carbon project development are strategies that use natural processes and ecosystems to capture and store carbon, thereby reducing greenhouse gas (GHG) emissions and supporting biodiversity.
On June 24, 2024, the Company also announced a Cooperation Agreement with Klima 1.5 Corp ("Klima"), a carbon management company in the Philippines. Ostrom Climate and Klima have committed to producing a conceptual plan and feasibility study for NBS carbon projects in the Philippines. The key focus of the Cooperation Agreement centers around Afforestation, Reforestation & Revegetation (ARR) projects, which are essential for capturing and storing carbon, enhancing biodiversity, and supporting sustainable development​​. Klima is the Ayala Group's platform for its carbon management business through nature-based solutions. Publicly-traded Ayala Corporation ("Ayala"; PSE: AC) is one of the largest conglomerates in the Philippines.
Furthermore, Mr. Tarlochan Deol was appointed to the company's board of directors at the Company's Annual General Meeting on June 25, 2024. Mr. Deol is currently the principal at Taiga Solutions Inc., providing tailored engineering solutions across a variety of industries. His experience includes tenure at The Supreme Cannabis Company and Kiewit Corporation, one of the largest construction and engineering organizations in North America. He is a Civil Engineering graduate from the University of British Columbia.
Management Commentary:
"Our Q2 results reflect our commitment to scaling our operations and strengthening our market position in Climate-Smart Agriculture. According to Quantum Commodity Intelligence, the UPRIIS project is one of the largest rice methane projects in the world with its 100,000 hectare coverage area," stated Phil Cull, CEO of Ostrom Climate Solutions Inc. "The increase in revenue from VER sales and consulting services underscores the growing demand for high-quality carbon credits and climate solutions. The rise in net loss highlights the costs associated with our expansion efforts and strategic projects like UPRIIS, which are essential for driving future growth and achieving our long-term objectives to be a leader in high-quality carbon project development. As a result, the Company is undergoing an internal review with an aim to rationalize underperforming business units and reduce costs."
About Ostrom Climate Solutions Inc.
Ostrom is one of North America's leading providers of carbon project development and management services, climate solutions, and carbon credit marketing. Over the past 12 years, Ostrom has validated and verified forest carbon projects globally for voluntary and regulated markets, having developed 16 million acres of forest land for conservation and monetized over 10 million carbon credits. Based out of Vancouver, B.C., Canada, the Ostrom team has a global reach, has worked with over 200 organizations globally, including Fortune 500 companies, managed projects in partnership with indigenous stakeholders and has extensive on-ground experience in emerging markets.
Ostrom is focused on developing high-quality carbon projects that have a positive impact on the environment, local communities and biodiversity. Ostrom is publicly listed on the TSX Venture Exchange (COO) and the Frankfurt Stock Exchange (9EAA).
Please visit us at www.ostromclimate.com.
To receive corporate updates via e-mail, please subscribe here.
For more information regarding the Company, please contact:
Tejinder Virk
Ostrom Climate Solutions Inc.
322 Water St #400, Vancouver, BC V6B 1B6, Canada
Email: [email protected]
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this Release.
Cautionary Statement Regarding Forward Looking Statements
This news release contains certain statements that may be deemed "forward-looking statements. Forward looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or realities may differ materially from those in forward looking statements. Forward looking statements are based on the beliefs, estimates and opinions of the Company's management on the date the statements are made. Except as required by law, the Company undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change.
SOURCE: Ostrom Climate Solutions Inc
View the original press release on accesswire.com
