TGENNYSEAir-Cond & Warm Air Heatg Equip & Comm & Indl Refrig EquipUS GAAP · USD

Tecogen Inc

Tecogen designs, manufactures, markets, and services natural-gas-fueled combined heat and power systems, chillers, heat pumps, and related distributed energy equipment. The company serves commercial, institutional, industrial, and multi-family customers in the United States through direct sales, distributors, and long-term service and energy contracts.

Revenue27.1m USD
+19.7 %y/y
Operating profit (EBIT)-8.2m USD
−81.8 %y/y
EBIT margin-30.5%
−10.4 ppy/y
Net income-8.2m USD
−73.3 %y/y
Free cash flow-10.3m USD
−433.6 %y/y

Fiscal year 2025 · change from previous year

Development 2020–2025

-100102030m USD2020: 28 m USD2020: EBIT -6.0 m USD20202021: 24 m USD2021: EBIT -1.2 m USD20212022: 25 m USD2022: EBIT -2.3 m USD20222023: 25 m USD2023: EBIT -4.4 m USD20232024: 23 m USD2024: EBIT -4.5 m USD20242025: 27 m USD2025: EBIT -8.2 m USD202527-8.2
RevenueOperating profit (EBIT)

Business

Share of revenue
Products43 %

CHP systems, chillers, heat pumps, and engineered accessories sold to end users.

Services55 %

Operations, maintenance, and support services for installed Tecogen equipment.

Energy Production2 %

On-site electricity, heat, hot water, and cooling sold under long-term contracts.

Products

Reported · share of revenue
61.4%33.7%FY2025100 %
  • Services61.4 %
  • Products33.7 %
  • Energy Service4.9 %

Source: 10-K FY2025, revenue the company reports per product line (SEC XBRL). Shares are of the lines shown and add up to 100 %.

Customers

Tecogen sells to customers that need on-site energy, heating, cooling, or resiliency, including hospitals, universities, hotels, multi-unit residential buildings, and industrial facilities. Its installed base also supports recurring service relationships and energy sales to sites that prefer long-term, below-utility-cost energy supply.

Institutional facilities

Hospitals, universities, municipal buildings, and military sites buy CHP and cooling systems for reliability and energy savings.

Commercial real estate

Hotels, office and retail buildings, and multi-unit residential properties buy systems to reduce utility costs and improve resiliency.

Industrial and process users

Food and beverage processors, factories, laundries, and indoor growing facilities buy equipment for thermal loads and on-site power.

Energy production contract customers

Sites under long-term energy agreements buy electricity, heat, hot water, and cooling from Tecogen-owned systems.

Strategy

Tecogen’s strategy centers on selling high-efficiency on-site energy systems that lower customer utility costs while improving resiliency and emissions performance. It also uses long-term service and energy contracts to deepen customer relationships and create recurring revenue around its installed base.

Grow sales to power-constrained customersMedium term

Data centers and industrial users need fast on-site capacity and lower grid dependence.

Differentiate with low-emissions distributed energyMedium term

Customers facing decarbonization pressure may prefer systems with lower criteria pollutants and GHG intensity.

Increase recurring revenue mixLong term

Service contracts and energy production contracts can stabilize revenue around installed equipment.

Geography

Tecogen is a U.S.-based business, and the disclosed customer and regulatory exposure is primarily domestic. The company’s sales and installed base are concentrated in U.S. markets, with particular sensitivity to local building-energy rules and utility constraints in major metropolitan areas.

Risks

Tecogen is exposed to demand swings in project-based equipment sales, regulatory shifts affecting fossil-fuel-based building systems, and execution risk in a capital-intensive, customized manufacturing model. It also faces supply-chain and component availability risk, internal control risk, and financing dependence given its history of losses and related-party funding.

Sorted by severity
LowMediumHighLowMediumHighImpact →Likelihood →Project and demand volatility1Supply-chain and component availability2Liquidity and financing dependence3Internal control deficiencies4
Impact is the risk’s severity and likelihood how probable it is over the next few years, both assessed from the company’s reports. Numbers match the list.
  1. Project and demand volatilityImpact: HighLikelihood: High

    Equipment sales are high-dollar and low-volume, so order timing can materially change quarterly results.

    Exposure: Products segment

  2. Supply-chain and component availabilityImpact: HighLikelihood: High

    Engines and other critical parts can be delayed, affecting production schedules and margins.

    Exposure: Manufacturing and installation

  3. Liquidity and financing dependenceImpact: HighLikelihood: High

    The company has relied on external financing and related-party support to fund operations.

    Exposure: Corporate funding

  4. Internal control deficienciesImpact: HighLikelihood: High

    Material weaknesses can impair timely and accurate reporting and reduce investor confidence.

    Exposure: Financial reporting

  5. Anti-fossil-fuel regulation and sentimentImpact: High

    CHP systems use natural gas, so building electrification policies can limit adoption in some cities.

    Exposure: New York City and similar urban markets

Accounting

Judgemental items
Revenue recognition by business line

Products, services, and energy sales are recognized differently and can shift reported mix.

Impact: Affects quarterly revenue timing and gross margin comparability

Backlog and long-cycle project accounting

Custom equipment orders can take significant time to build and deliver.

Impact: Affects visibility into near-term revenue

Related-party financing and equity conversions

Funding from insiders and note conversions can change debt, equity, and interest expense.

Impact: Affects capital structure and financing disclosures

Lease accounting and site contracts

Owned and operated energy sites may involve lease-like arrangements and long-term obligations.

Impact: Affects liabilities, depreciation, and operating costs

Publicly listed companies with a comparable business focus.

Last updated: 24/09/2026