Pineapple Energy Inc. (NASDAQ: PEGY) is skyrocketing this morning, up 106.35% to trade at $11.37 as of the last check. This notable increase is a direct result of strategic cost-saving measures recently implemented by the company.
Lease Termination Brings Significant Savings for Pineapple Energy
Pineapple Energy (PEGY) declared that its operational lease for its previous Minnetonka, Minnesota, corporate location was being terminated. This decision, which was initially scheduled to expire in 2027, will save PEGY around $17,500 a month or $210,000 a year in rent. Despite paying a one-time buyout charge as part of the lease termination, the company will stretch out the payment over a period of 14 months.
In total, considering the associated costs and buyout fee, PEGY expects to achieve savings of roughly $480,000 over the remaining lease period. Pineapple Energy’s continuous attempts to simplify operations and concentrate on its main markets on Long Island, New York, and Hawaii are in keeping with this lease termination.
PEGY’s expansion into EV charging
In another strategic move, Pineapple Energy’s subsidiary, SUNation Energy, based in New York, has been selected as the exclusive provider of electric vehicle (EV) home charging stations for Empire Automotive Group (EAG). EAG, one of New York State’s largest dealership groups, will offer complimentary Level 2 EV chargers to its new EV customers, thanks to this partnership.
Because the deal supports EAG’s objectives, Pineapple Energy’s business model is strengthened. For EV owners, Level 2 chargers, which run at 240 volts, provide a quicker and more convenient at-home charging experience. Homeowners may further reduce costs by integrating solar energy systems thanks to SUNation’s involvement in this agreement.
An Expanding Collaboration for Sustainable Energy Options
SUNation’s reputation for high-quality customer service in New York complements this collaboration with EAG. The program will also provide staff training and trusted customer support, ensuring a seamless experience for clients. As the fragmented EV charging market evolves, Pineapple Energy (PEGY) is well-positioned to capitalize on its innovative solutions, further driving business growth.
