EJQ6 - Fall 2025 - Journal - Page 32
Recurring revenue streams: A signi昀椀cant portion of their revenue
comes from software and services (+35 per cent contribution), with
strong growth in Annual Recurring Revenue (ARR), providing a more
predictable and high-margin revenue base.
High customer retention: The 99 per cent customer retention rate
indicates a sticky customer base and a strong product-market 昀椀t, leading
to consistent revenue.
Experienced management team: The company o昀昀ers an experienced
management team with deep industry understanding and an independent
board, indicating strong leadership and governance.
ESG alignment: Their solutions enable utilities to become more
resilient, reliable, secure, a昀昀ordable, 昀氀exible, and sustainable, aligning
with Environmental, Social, and Governance (ESG) initiatives.
In essence, investors are looking at a company addressing a critical, wellfunded, and growing market with a di昀昀erentiated technology, strong
customer relationships, and a scalable business model with increasing
recurring revenue.
Anypredictionsintermsofimpactsfromthetari昀昀turmoil,withregardtothecleanenergy
marketingeneralandTantalusinparticular?
Tari昀昀s, particularly those on imported clean energy components and related
manufacturing inputs, are expected to have several negative impacts on the clean
energy market:
Increased Costs: Tari昀昀s directly increase the price of clean energy technologies (e.g.,
solar panels, inverters, transformers) and the materials needed to manufacture them
(e.g., steel, electronic components). This makes deploying clean energy more expensive.
Delayed Deployment: Higher costs and potential di昀케culties in sourcing components
due to tari昀昀s can delay the deployment of clean energy technologies and the expansion
of the grid.
Reduced Competitiveness of Clean Energy: If tari昀昀s make clean energy sources
(like Canadian hydroelectricity) more expensive than fossil fuels, the market may opt
for less costly, dirtier alternatives, hindering the clean energy transition.
Supply Chain Disruptions: Tari昀昀s can disrupt established supply chains, leading to
uncertainty and potential shortages of critical components like transformers, which
are already facing supply issues.
E N V I RON M E N T J OURN A L QUA RT E RLY RE PORT • FA L L 2 02 5 • P AGE 3 2
