Benzinga | Oct 20, 2020 07:30AM EDT

Orion Secures Approximately $41M In Contract Extensions Expanding Turnkey LED Lighting & Controls Retrofit Project For Major National Retail Customer By 295 Additional Locations

MANITOWOC, Wis., Oct. 20, 2020 (GLOBE NEWSWIRE) -- Orion Energy Systems, Inc. (NASDAQ:OESX) (Orion Lighting), is a provider of LED lighting systems and turnkey project implementation including installation and commissioning of fixtures, controls and IoT systems, ongoing system maintenance and program management. Today, Orion announced it has secured new contract extensions of approximately $41 million for the retrofit of 295 additional locations, representing the next phase of a turnkey LED lighting and controls retrofit project for an existing large national retail customer. The retailer has also awarded Orion projects as the lighting and controls partner for certain new construction projects.

The retrofit contract extensions represent an acceleration of the anticipated pace of retrofit activity for the customer. Orion had previously noted that it expected to secure awards for the retrofit of additional locations, in addition to the completion of retrofits for locations delayed due to COVID-19. After recent contract extensions, Orion now expects to complete the retrofit of at least 400 locations before the close of its fiscal year ending March 31, 2021, representing a total of approximately $56M in product and services revenue.

Orion is optimistic of being selected to complete the retrofit of the retailer's remaining locations during Q4 of Fiscal 2021 and during Fiscal 2022. Upon completion of the 400 stores referenced in today's press release, Orion will have completed LED lighting and controls retrofits of approximately 1,280 of this customer's locations nationwide.

The turnkey retrofit projects include the installation of LED lighting fixtures along with state-of-the-art IoT control integration, to deliver enhanced functionality and data gathering capabilities designed to help facility managers enhance operating performance. Contract services include initial energy audits, project engineering, custom fixture design, fixture manufacturing, IoT enabled control systems, IoT system commissioning and full project management through installation at customer locations nationwide.

Mike Altschaefl, Orion's Board Chair and CEO, commented, "Today's additional contract extensions further confirm the value of Orion's proven, turnkey design-build-install capabilities for customized, highly energy-efficient, U.S.-manufactured LED lighting solutions, delivered on-time and on-budget. Importantly, our growing record of success in executing large national projects creates a unique and compelling value proposition that is a principal focus of our growth strategy and our direct sales efforts."