OAKVILLE, ON, Feb. 14, 2020 /PRNewswire/ - Spark Power Group Inc. (TSX: SPG), ("Spark", "Spark Power", or the "Company") is pleased to announce significant progress made on its U.S. expansion strategy.

Spark's U.S. expansion strategy is focused on diversifying its operations and extending its footprint across regions identified as highly strategic to the Company's long-term growth. In 2019, approximately 15% of the Company's revenue was generated from the U.S., and that percentage is increasing quickly, with the U.S. operations targeted to account for half of the Company's total corporate revenue, in the medium to long term.

"The U.S. market is a focal point of our growth strategy," said Richard Jackson, President and Chief Operating Officer, Spark Power Corp. "The outstanding progress we have made over the last year is a testament to the strength of our highly scalable branch-based business model. We live and work in our customers' communities — providing them with independent advice and delivering complex technical services and solutions with consistency and scale, across North America. We are taking what has worked in Canada for many years and successfully applying this model to the U.S."

Jackson continued, "As our progress in the U.S. continues, I am confident that our customer relationships and our operationalized branch and regional strategy will carry us into new territories and, in the longer term, will account for half of the company's total revenue as we work to earn the right to be North America's Trusted Partner in Power™".

Spark Power achieved the following milestones in the U.S. in 2019:

  • Achieved approximately $35 million in pro-forma revenue, compared with negligible revenue the prior year.

  • Acquired One Wind, with over 80% of its revenues and employees in its U.S. operations. In the U.S., One Wind is based in Texas and currently performs work in California, Illinois, Iowa, Kansas, Michigan, Nebraska, North Dakota, Oklahoma, South Dakota, and Texas.

  • Completed significant work for existing Canadian customers who have facilities in the U.S. and prioritized branch openings in these regions where they require electrical and/or sustainability solutions support.

  • Expanded the geographic footprint in Southwest and Western U.S. with three new branches established in California (Ontario) and Texas (Dallas & San Antonio).

  • Added over 200 U.S. based technical and management team members, now accounting for approximately 15% of the total Spark Power workforce.

"I am very proud of the passion and dedication shown by our leaders, managers, and our highly-skilled technical teams, who have been a driving force behind our U.S. growth," said Mark Lyons, EVP, Spark Power U.S.A. "We completed 2019 with great momentum, working with some very large and prominent industrial and commercial clients as their Trusted Partner in Power™. We look forward to expanding these relationships and leveraging our complete Pole-to-Product™ expertise with particular focus on the food and beverage, warehousing and distribution, and advanced manufacturing markets. There is a deep sense of excitement across our U.S. locations and we look forward to building on the growth and continuing this momentum, through 2020 and beyond."

Spark Power now has a total of eight offices in the U.S. with locations in California (Fremont, Fresno, Ontario), Texas (Dallas, San Antonio, San Benito), Minnesota (St. Cloud), and  North Carolina (Raleigh), which also serves as the U.S. corporate head office. The Company intends to further its U.S. progress through continued branch openings, strategic acquisitions, cross-selling services and supporting existing Canadian customers who have facilities in the U.S. by prioritizing new branch openings in these regions.

About Spark Power

Spark Power is the leading independent provider of end-to-end electrical contracting, operations and maintenance services, and energy sustainability solutions to the industrial, commercial, utility, and renewable asset markets in North America. We work to earn the right to be our customers' Trusted Partner in Power™. Our highly skilled and dedicated people, located in the communities we serve, combined with our knowledge of the power industry, technology expertise, and commitment to safety, ensures we deliver the right solutions that keep our customers' operations up and running today and better equipped for tomorrow. Learn more at www.sparkpowercorp.com.

Forward-Looking Statements

This news release may contain forward-looking statements (within the meaning of applicable securities laws) which reflect Spark Power's current expectations regarding future events. Forward-looking statements are identified by words such as "believe", "anticipate", "project", "expect", "intend", "plan", "will", "may", "estimate" and other similar expressions. These statements are based on Spark Power's expectations, estimates, forecasts and projections and include, without limitation, statements regarding the execution of its U.S. operations and U.S. expansion strategy by Messrs. Jackson and Lyons.

The forward-looking statements in this news release are not guarantees of future performance and involve risks and uncertainties that are difficult to control or predict. Several factors could cause actual results to differ materially from the results discussed in the forward-looking statements. Readers, therefore, should not place undue reliance on any such forward-looking statements. Further, these forward-looking statements are made as of the date of this news release and, except as expressly required by applicable law, Spark Power assumes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.

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SOURCE Spark Power Group Inc.

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