Smart Powerr Corp. (CREG): History, Ownership, Mission, How It Works & Makes Money

How does a pioneer in China's waste energy recycling sector, Smart Powerr Corp. (CREG), navigate the market with a tiny valuation but a massive mission? Despite operating in the critical energy efficiency space-using its Build-Operate-Transfer (BOT) model to recapture wasted heat and gas-the company's market capitalization stands at just over $3.98 million as of November 2025, a figure that masks significant operational challenges. You'll want to understand the full story, especially since the company reported a trailing twelve-month (TTM) net loss of $3.0 million through June 2025, even after successfully regaining Nasdaq compliance in August 2025 following a reverse stock split.

Smart Powerr Corp. (CREG) History

You need a clear picture of how Smart Powerr Corp. (CREG) became the company it is today, especially given its recent volatility and strategic pivots. The short answer is that the company is a decades-old corporate structure that pivoted into the waste-to-energy sector, and its current history is defined by a fight for NASDAQ compliance and a fresh capital injection in 2025.

Honestly, tracing its history is like peeling an onion; the current energy business is much younger than the corporate shell. This dual timeline is defintely important for understanding the stock's long-term risk profile, so let's look at the foundational facts.

Given Company's Founding Timeline

Year established

The corporate entity's legal history began on May 8, 1980, when it was incorporated as Boulder Brewing Company. The company later changed its name to China Recycling Energy Corporation, and then to Smart Powerr Corp. in March 2022.

Original location

While the initial incorporation was in Colorado, the company's operational focus and principal executive offices are in Xi'an City, Shaanxi Province, China. This is where the core waste energy recycling and energy efficiency solutions are managed.

Founding team members

The original founders of the 1980 entity are not the key players today. The leadership that drove the pivot into the energy sector is centered on Guohua Ku, who has served as the Chief Executive Officer since December 2008. He's the one who steered the company through its transformation into an industrial waste-to-energy solution provider.

Initial capital/funding

The initial capital from its 1980 founding is not publicly available, but the most relevant and recent funding event is the private placement completed on November 10, 2025. This placement raised $22,185,000 in gross proceeds, which is the capital fueling its near-term strategic shift.

Given Company's Evolution Milestones

The company's journey shows a clear shift from a dormant shell to a focused energy player, followed by a period of strategic turbulence and recent stabilization.

Given Company's Transformative Moments

The most transformative period for Smart Powerr Corp. has been the 2025 fiscal year, where the company faced a near-death experience on the public markets and executed a sharp strategic turn.

• The Nasdaq Survival Play: The 1-for-10 reverse stock split in July 2025 was a necessary, high-risk move to get the stock price back over the minimum $1.00 bid price. Regaining compliance on August 1, 2025, was a huge win for longevity, even if it shook some trader confidence.
• Strategic Energy Pivot: Following the compliance news, the stock saw a dramatic surge of 20.32% on August 7, 2025, driven by investor enthusiasm for a strategic shift toward new green energy projects. This signals a move beyond just industrial waste-to-energy and into more forward-looking renewable initiatives.
• Capital Infusion and Financial Reality: The company's trailing 12-month revenue as of June 30, 2025, was only $82.8K, with a net loss of -$3.0M. Here's the quick math: the recent $22.185 million private placement in November 2025 is a massive injection of capital relative to its operating revenue, giving the company a crucial runway to execute its new strategy. This money is the lifeline and the bet on the future.

If you want to dig deeper into the current financial picture, you should read Breaking Down Smart Powerr Corp. (CREG) Financial Health: Key Insights for Investors. It will help you see where that new capital is likely to be deployed.

Smart Powerr Corp. (CREG) Ownership Structure

Smart Powerr Corp. (CREG) is controlled by a mix of key insiders and a large public float, which is common for smaller-cap companies, but its governance is defintely steered by its long-tenured executive team.

Given Company's Current Status

Smart Powerr Corp. is a publicly traded company, listed on the NASDAQ Capital Market under the ticker symbol CREG. As of November 2025, the company has a relatively small market capitalization of approximately $3.89 million, reflecting its niche in the waste energy recycling business in China.

The company has approximately 2.92 million shares outstanding. For context, Smart Powerr successfully regained compliance with the NASDAQ minimum bid price requirement in August 2025, following a 1-for-10 reverse stock split that became effective in July 2025. This action was a clear move to protect its public listing status, a critical factor for investor confidence and capital access.

Given Company's Ownership Breakdown

The ownership structure shows that the majority of the shares are held by the public, but insiders maintain a significant, concentrated stake. This means strategic decisions are heavily influenced by a small group of people, so you need to pay close attention to insider transactions.

The low institutional ownership, at just 1.88%, suggests major funds haven't bought in yet, which can be an opportunity or a risk depending on your view of the company's future. For more on how management is translating this ownership into strategy, check out their Mission Statement, Vision, & Core Values of Smart Powerr Corp. (CREG).

Given Company's Leadership

The company is steered by a seasoned, albeit small, executive team with long tenures, providing stability in its operational focus on waste-to-energy solutions in China. The average tenure for the management team is about 9.2 years, which is quite high.

• Guohua Ku: Chairman and Chief Executive Officer (CEO). He has held the CEO role since December 2008, a tenure of over 16 years, and his total compensation for 2024 was US$30,337.
• Yongjiang Shi: Vice President and Chief Financial Officer (CFO).
• Binfeng Gu: Secretary.
• Bohan Zhang: Vice President of Accounting.

This long-standing leadership, especially Mr. Ku's deep involvement, means the company's strategy is deeply rooted in its history and core business model. That's a double-edged sword: consistent vision but potentially slow adaptation to new market dynamics.

Smart Powerr Corp. (CREG) Mission and Values

Smart Powerr Corp. (CREG) operates with a functional mission centered on environmental sustainability and energy security, specifically by monetizing industrial waste energy. This purpose is currently balanced with the critical near-term value of maintaining its public listing and securing working capital, evidenced by its $20,060,000 private placement in October 2025.

Smart Powerr Corp.'s Core Purpose

The company's core purpose is to transform wasted industrial pressure, heat, and gas into usable electricity, primarily for energy-intensive industries in China. This is a pragmatic, profit-driven approach to clean technology, where environmental benefit is a direct byproduct of the business model.

Here's the quick math on the need for this focus: The company's Gross Profit was only $35.42 thousand for the fiscal year, but its operations address a massive industrial need for energy efficiency.

• Environmental Focus: Provide clean-technology and energy-efficient solutions to reduce air pollution and energy shortage problems.
• Business Model: Employ a Build-Operate-Transfer (BOT) model to design, finance, construct, and install waste energy recycling projects.
• Target Market: Serve high energy-consuming businesses like steel, cement, nonferrous metal, coal, and petrochemical industries.

Official Mission Statement (Functional)

While a single, formal mission statement is not publicly documented, the company's actions define its operating mandate: to be a pioneer in waste energy recycling, delivering energy efficiency solutions that allow customers to recapture wasted pressure, heat, and gas to generate on-site electricity.

The core values are defintely anchored in operational resilience and financial stability, especially after the company's August 2025 effort to regain compliance with the Nasdaq minimum bid price requirement.

Vision Statement (Functional)

The company's vision is to be a leading provider of sustainable energy infrastructure through disciplined and targeted expansion strategies for new market areas. This vision is supported by a strong cash position of $144.25 million as of the 2025 fiscal year, which provides the runway for future project development, even with a Net Income loss of ($1.56 million).

• Growth Trajectory: Pursue disciplined and targeted expansion strategies for market areas not currently served.
• Financial Health: Maintain a strong balance sheet to finance large-scale BOT projects, keeping Total Debt low at $4.82 million.

For a deeper dive into the company's financial standing, see Breaking Down Smart Powerr Corp. (CREG) Financial Health: Key Insights for Investors.

Smart Powerr Corp. Slogan/Tagline (Implied)

The company does not have a widely publicized, formal slogan. However, its business description suggests a clear, practical message that cuts through the noise of abstract clean-tech marketing.

• Implied Tagline: Turning Industrial Waste into Smart Power.

The company's overall Market Cap of only $3.89 million shows that this practical, asset-heavy business model is still working to gain investor confidence, but the underlying purpose remains clear: monetize the waste stream.

Smart Powerr Corp. (CREG) How It Works

Smart Powerr Corp. is currently executing a strategic pivot, moving from its effectively non-operational legacy waste heat recovery business to focusing on high-growth energy storage integrated solutions in China. The company's immediate operation revolves around deploying a substantial cash hoard to fund this new energy storage segment, while a minimal revenue stream comes from a long-term maintenance contract.

Smart Powerr Corp.'s Product/Service Portfolio

You need to understand that while the company's official description centers on its historical strength, the real opportunity-and risk-lies in the new, unproven energy storage segment. The legacy business is stalled, but the underlying technology and market knowledge are still relevant to the energy transition.

Smart Powerr Corp.'s Operational Framework

The company's traditional operational model was Build-Operate-Transfer (BOT). This meant Smart Powerr Corp. would design, finance, construct, and install the waste energy recycling project at a customer's facility, and then operate it for a set period before transferring ownership to the customer. That's a capital-intensive but high-margin model.

Today, the framework is about capital deployment. The company's core operational activity is shifting from engineering and construction to strategic investment and execution in the energy storage space. This shift is defintely critical because the legacy systems are stalled, and the company's nine-month 2025 revenue was only about $174 thousand, primarily from a new 10-year O&M contract. That's a tiny revenue base for a public company.

• Capital Deployment: Focus on investing the massive cash influx into the new energy storage segment.
• Legacy Business Status: Five key power systems are stalled; the waste heat recovery business is effectively non-operational.
• Revenue Generation: Current sales are negligible, with Q2 2025 quarterly revenue at only $62.2k.
• Cost Structure: General and administrative expenses surged 232% year-over-year to $2.5 million for the nine months ended September 30, 2025, underscoring the need for swift revenue generation from the new segment.

For a detailed look at the company's long-term goals, you should check out Mission Statement, Vision, & Core Values of Smart Powerr Corp. (CREG).

Smart Powerr Corp.'s Strategic Advantages

The company's advantage isn't in current sales-it's in its balance sheet and its positioning for the future. They have the financial resources for a hard pivot in a high-demand sector, which is a rare thing for a company with a minimal operational footprint.

• Massive Cash Liquidity: Cash surged to $132 million by Q3 2025, providing the necessary dry powder for the strategic shift to energy storage.
• Exceptional Current Ratio: A current ratio of 10 demonstrates substantial liquidity against debts, giving them significant financial flexibility.
• High Gross Margin Potential: Despite minimal sales, the reported gross margin of 42.8% in Q2 2025 suggests the underlying operational efficiency of their core waste energy technology, should they successfully scale the new business.
• Market Niche Expertise: Decades of experience in energy-intensive industries in China give them a deep understanding of the regulatory and operational needs of the target market for energy storage solutions.

Here's the quick math: The $132 million cash hoard is a direct result of successful asset recovery, not operations, but it gives management a one-time chance to execute a high-stakes pivot. What this estimate hides is the high legal risk from outstanding liabilities like an unpaid $11.5 million judgment enforcement fee.

Smart Powerr Corp. (CREG) How It Makes Money

Smart Powerr Corp. is in a critical transition, moving from a non-operational legacy waste heat recovery business to becoming an energy storage integrated solution provider in China. Right now, the company makes almost all its operational money from a single, long-term Operation and Maintenance (O&M) service contract, while its future revenue engine, the energy storage business, is still in the pre-operational phase.

Smart Powerr Corp.'s Revenue Breakdown

You need to look past the top-line number because the business is fundamentally pivoting. For the nine months ended September 30, 2025, the company's total operational revenue was a minimal $174 thousand. This entire amount came from a single new O&M contract, which is a high-margin, service-based revenue stream, but it represents a near-zero operational base for a publicly traded company.

Business Economics

The core economic reality is that Smart Powerr Corp. is funding a high-risk, high-growth strategic pivot with a massive, non-recurring cash hoard. Here's the quick math on their current state and future model:

• O&M Pricing: The current revenue is generated through a service-based model, likely a fixed-fee structure for the 10-year O&M contract. This model is capital-light but provides minimal revenue-just $174 thousand in the first nine months of 2025.
• Pivot Strategy: The future revenue model is project-based, focusing on Energy Storage Integrated Solutions. This involves designing, financing, constructing, and installing systems for high-growth sectors like industrial complexes and large-scale photovoltaic and wind power stations. This model requires significant upfront capital deployment but promises much higher revenue potential.
• Inorganic War Chest: The company's liquidity transformation is the most important financial event of 2025. Cash surged from $25 thousand at the end of 2024 to $132 million by Q3 2025, but this was inorganic. It came from successfully collecting $56 million in short-term loan receivables and recovering $65.6 million in advance payments to a failed supplier. That cash is the dry powder for the pivot.
• Cost Structure: The company's fixed costs are ballooning even with minimal revenue. General and administrative expenses surged 232% year-over-year to $2.5 million for the nine months ended September 30, 2025, fueled partly by $919 thousand in stock compensation. This high fixed-cost base demands material revenue generation from the new energy storage segment soon.

The company has the cash, but now they have to defintely execute on the new business model. You can read more about their goals in the Mission Statement, Vision, & Core Values of Smart Powerr Corp. (CREG).

Smart Powerr Corp.'s Financial Performance

The financial performance as of November 2025 reflects a balance sheet transformation masking a severe operational weakness. The numbers are clear: the company is a shell of its former self, but it is now heavily capitalized for a new start.

• 9M 2025 Net Loss: The company reported a net loss of $2.4 million for the nine months ended September 30, 2025, against only $174 thousand in revenue. This shows severe negative operational leverage.
• Cash Position: The cash and equivalents position stood at approximately $132 million as of the end of Q3 2025, providing substantial liquidity for the strategic pivot.
• Working Capital and Liquidity: As of December 31, 2024, the company maintained a working capital of $108.02 million and a strong current ratio of 9.25:1. This suggests a highly liquid balance sheet, even before the Q3 2025 cash influx.
• Expense Growth: General and administrative expenses jumped to $2.5 million in 9M 2025, a 232% increase from the previous year, highlighting the cost of pivoting and increased stock compensation.
• Debt Management: Notes Payable decreased 36% to $3.0 million, primarily by converting $2.1 million in notes into equity, which is a highly dilutive but de-risking move.

What this estimate hides is the execution risk; deploying $132 million effectively into a new, complex energy storage market is a completely different challenge than recovering old debts.

Smart Powerr Corp. (CREG) Market Position & Future Outlook

Smart Powerr Corp. is a micro-cap company in a challenging transition, pivoting from its traditional waste energy recycling model to become an energy storage integrated solution provider in the massive Chinese market. While the company faces significant financial headwinds, including a market capitalization of only $3.89 million as of November 2025, its strategic shift aligns with China's multi-trillion-dollar push for carbon neutrality and new-type energy storage systems (NTESS).

The company is essentially a small, high-risk play on a macro-level shift, attempting to leverage its industrial client base in nonferrous metal, steel, and cement to cross-sell new energy solutions. You need to look past its recent $0 million in sales reported in its March 2025 10-K and focus on the execution of its new energy storage projects. Exploring Smart Powerr Corp. (CREG) Investor Profile: Who's Buying and Why?

Competitive Landscape

Smart Powerr Corp. operates in a highly fragmented but increasingly consolidated market, competing against both established waste-to-energy giants and new, massive battery/energy storage manufacturers. Its market share in the overall China energy storage market, valued at an estimated $223.3 billion in 2024, is negligible, reflecting its micro-cap status and pivot phase.

Opportunities & Challenges

The company's future hinges on successfully executing its transition strategy, which requires substantial capital and flawless project delivery, something a company with a negative enterprise value of -$122.72 million can defintely struggle with. The shift to energy storage is a smart move, but the competition is brutal, and the capital-intensive Build-Operate-Transfer (BOT) model remains a significant cash flow risk.

Industry Position

Smart Powerr Corp. is a small, high-leverage player attempting to carve out a niche by transitioning from a legacy industrial waste energy recycling provider to a modern energy storage solutions integrator. Its position is precarious, sitting at the intersection of two very different markets.

• Pivot Focus: The company is moving away from its original waste heat recovery business, where it was a pioneer, toward the rapidly growing, but highly competitive, electrochemical energy storage market.
• Financial Health: Despite having a strong current ratio of 10.31, indicating short-term liquidity, its overall profitability ratios are negative, reflecting deep operational challenges and a need for a major turnaround.
• Competitive Stance: It does not compete on scale with giants like BYD or Sungrow; instead, it must focus on specialized, customized solutions for its existing industrial client base, particularly those in the nonferrous metal and petrochemical sectors, where its legacy expertise in waste-to-energy gives it a foot in the door.

The market is clearly signaling caution, with analysts currently holding a consensus Sell rating on the stock, reflecting the high-risk, high-reward nature of this transformation.