Sunnova Energy International Inc.

Good morning and welcome to Sunova's fourth quarter and full year 2022 earnings conference call. Today's call is being recorded and we have allocated an hour for prepared remarks and question and answer. At this time, I would like to turn the conference over to Rodney McMain, Vice President, Investor Relations at Sunova. Thank you. Please go ahead.

Thank you, Operator. Before we begin, please note during today's call, we will make forward-looking statements that are subject to various risks and uncertainties that are described in our slide presentation earnings press release in our 2022 Form 10-K. Please see those documents for additional information regarding those factors that may affect these forward-looking statements. Also, we will reference certain non-GAAP measures during today's call. Please refer to the appendix of our presentation, as well as the earnings press release for the appropriate GAAP to non-GAAP reconciliations and cautionary disclosures. On the call today are John Berger, Synovus Chairman and Chief Executive Officer, and Robert Lane, Executive Vice President and Chief Financial Officer. I will now turn the call over to John.

Good morning, and thank you for joining us. Sunova is in the best position we have ever been in, thanks to our energy as a service business model and strong balance sheet. While others have cautioned about slowdowns in growth, demand for our energy services has never been stronger. Sunova's ability to provide customers with lower energy costs, higher reliability, and energy independence all while offering a wide array of service offerings and unparalleled customer service has allowed us to actively take market share and expand our total addressable market. On slide three is a summary of our financial metrics for a full year 2022. Both adjusted EBITDA and the principal and interest we collect from solar loans fell within our most recent full year guidance ranges. Slide four showcases the continued growth in Synovus customers battery penetration, and dealer network. During the fourth quarter, we placed a record 33,000 customers into service, which brought our total customer additions in 2022 to 87,000 and brought our total solar power generation under management to 1.8 gigawatts. These full-year customer additions represented a 62% customer growth rate year over year and equaled the midpoint of our guidance. Included in our fourth quarter customer additions were approximately 6,900 high-margin service-only customers. While most in the industry have ignored existing seller customers in need of repairs, we see great value in these orphaned customers as they require little to no capital, create opportunities for future upsells, leverage our extensive service footprint, and are immediately additive and highly accretive to our adjusted EBITDA. We expect continued strong growth in this customer class as those non-Senova systems that were sold without a service agreement age across the country. We have seen the strong demand for our energy services carry into the new year, as customer originations last month were approximately 125% higher than in January of last year, a trend that continues. While investors may be concerned that growing macroeconomic challenges could weaken residential solar growth, Our business model has enabled us to navigate those challenges while also increasing our market share and total addressable market through our Synova Adaptive Home and Synova Adaptive Business offerings. Additionally, our battery penetration rate continues to grow and reached 15.2% as of December 31st, 2022. Inclusive of over 2,500 battery retrofits, we have performed life to date. In the fourth quarter, we further eclipsed our year-end target of dealers, sub-dealers, and new homes installers, ending the year with well in excess of 1,000 dealers. Finally, we have updated our customer contract life and expected cash inflows. As of December 31, 2022, the weighted average contract life remaining on our customer contracts equal 22.3 years and expected cash inflows from those customers over the next 12 months increased to half a billion dollars, an increase of 30% from December 31st, 2021. Our ability to deliver on these metrics, despite various macroeconomic headwinds and significant growth investments, is a testament to the strength of our energy as a service business model and our unwavering focus on long-term contracted cash flows. I will now hand the call over to Rob, who will walk you through our financial highlights.