09:50 EDT Tuesday, August 26, 2008

TORONTO, Aug. 26 /CNW/ - SonnenEnergy Corp. (TSX-V: PWR) ("SonnenEnergy" or "the Company"), an established photovoltaic solar power systems integrator and solar power producer, today announced its fiscal 2008 second quarter results.

    <<
    Q2 2008 highlights:

    -  Revenue increased by 33% from the second quarter of 2007
    -  Solar power production generated revenue of $0.4 million
    -  Phase 1 of Solar Park Hausen commenced operations and produced revenue
       of $0.2 million
    -  Solar power integration business installed 10 solar power systems with
       total capacity of 226kWp
    -  Commenced construction on $6.5 million, 1.1 MWp solar park for a
       customer in Germany
    -  Opened sales office in Italy

    Financial Results

    The company's financial results are presented in Canadian dollars based on
Canadian generally accepted accounting principles ("GAAP").

                                           3-Months Ended    3-Months Ended
                                            June 30, 2008     June 30, 2007

    Revenue                                    $1,499,043        $1,125,526

    Gross Margin                                 $754,557          $957,375

    Net Income (Loss)                         ($1,348,975)           $4,757

    Earnings Per Share                             ($0.02)              N/A

    EBITDA                                      ($556,000)              N/A
    >>

Financials

Revenue for the three months ended June 30, 2008 was $1.50 million, an increase of 33.0% compared to the second quarter of 2007. The increased revenue resulted from power generation revenues from Solar Park Hausen, which began operations during the second quarter of 2008, as well as increased sales and marketing efforts in the company's integration business.

General and administrative expenses for the three months ended June 30, 2008 were $0.52 million, an increase of 5% from $0.50 million in the second quarter of 2007. The increased general and administrative expenses in the second quarter of 2008 resulted largely from the costs associated with a marketing research program as well as costs associated with the transition from private to publicly-listed company.

Wages and benefits for the three months ended June 30, 2008 were $0.62 million, an increase of 46% from $0.43 million in the second quarter of 2007. The increase in wages and benefits is attributable to significant staff expansion in Germany in 2007 and the addition of Toronto-based directors and staff in 2008.

The net loss for the three months ending June 30, 2008 was $1.35 million, an increase of $1.40 million from gain of $0.005 million for the second quarter of 2007. The increased net loss resulted in large part from an increase of $0.2 million in salaries and wages; $0.3 million of interest related to leased assets; $0.4 million of amortization related to leased and owned assets and $0.2 million of professional fees related to costs of being a public-listed company.

Earnings Before Interest Taxes Depreciation and Amortization ("EBITDA") for the quarter ended June 30, 2008 was ($0.56) million including stock options. The Company defines EBITDA as adding the following to net income; interest, taxes, depreciation, amortization and stock option expenses. Although EBITDA is non-GAAP measure, management uses it as a gauge of operating performance and has set a goal to be EBITDA positive for the remainder of the year.

For the six-month period ended June 30, 2008 revenue was $3.08 million compared to $1.13 million for the six-month period ended June 30, 2007. General and administrative expenses for the six-month period ended June 30 2008 were $1.01 million compared to $0.81 million during the first half of 2007. Wages and benefits for the first half of 2008 were $1.23 million compared to $0.66 for the comparable period in 2007. Net loss for the six-month period ended June 30, 2008 was $2.60 million compared to a gain of $0.005 million for the comparable period in 2007. EBITDA for the six-months ended June 30, 2008 was ($1.05 million) including stock options.