What's brewing in the stockroom

This week I (François) am taking the podium for an update on platform. Over the past four years we have collected, organized, and processed an amazing amount of data about buildings, how they can be improved, their exposure to local laws, etc. Great data, presented the right way, is a key ingredient to win our users’ trust, their fingers, and hopefully have them look at Momentum like Gollum looks at the Ring. Referring back to Bomee’s latest memo about who we are as a company, data is critical for both “Path A” users (~10-30 large enterprise customers nationwide) and “Path B” users (many thousands of building owners who need to do work once every 10 years per property).

We’re constantly improving our “data supply chain,” identifying and ingesting new sources of data, refining our selection process to pick the best source when they disagree on a data point, making informed guesses when data is missing. So far we’ve been prioritizing improvements based primarily on requests from our current “Path A” users. Most recently NYSERDA, NYCA, and large property managers have driven our investments in getting non-MF data and measure coverage, getting better at development modeling, filling in blanks on missing data with machine learning, etc.

We’re also working really hard to make it clear how we got the data and get better at communicating when it seems wrong. Path A users know building data is messy. Path B users won’t forgive us if we tell them their building is 12 floor high when they know it’s 13 floor high… But they might if we let them know our guess is based on data they submitted to public records in 2023, and they might even love us if we let them know that fixing incorrect values might avoid them fines. That’s why, on the calc service “data shelf”, we have “source”, “confidence” and “info/warning/error” messages for most of our data points, ready to be picked up.

Unfortunately, making this complex information easy to grok for Path B users is hard: there is so much data, so many sources, rules, and exceptions that it’s a challenge to come up with a UI that won’t overwhelm users on first impressions, yet answer the many different questions they might have. In a recent LL97 Workshop session Marc presented to a group of building owners, questions ranged from “how did you determine GFA?”, “how are you calculating utility savings?”, “how can you tell if you have an EMS and if it’s a good fit?”, “we had venting done 10 years ago, is it time for a refresh?”, “When are the ConEd 2026 incentives be available?” etc.

So what should we do? Well, this might be a case where a chat agent might not be a gimmick, but the right user experience to a challenging problem, if we get it right. To dip our toes into these waters, we created a v0 prototype of an LL97 agent, visible only to admins in staging. This baby AI is not ready for prime time. It’s running on the cheapest Claude model, was only given access to a tiny subset of our calc service information, and unprocessed legal excerpts… but with love, care, and appropriate instrumentation, it might grow up to help us win our Path B users.

Metrics

Traction

• Unique Buildings: [X] (Real time, via Admin panel!)
• Annual Run Rate: $[X]M

Financials

We have officially closed the books on 2025 and this week we’re taking a look back at our year-end performance. Descriptions of each metric live in the handbook. Next week, we’ll take a look at January’s performance.

Metric	Value (%YoY)	Takeaway
Revenue (2025)	$1.63M (+9.4%)	Exceeded our revenue target of $1.6M
Transaction fees	$65K (+43%)	4% of 2025 revenue; below target of $178K
Gross margin	78%	Healthy margin, up from 75% in 2024
Net income	-$560K (-18%)	Moving twoard profitability - net loss improved by $120K and we surpassed year-end projection of -$1M
Cash	$395K (-63%)	Liquidity still healthy; decrease reflects timing of payments
Accounts receivable	$160K (+600%)	AR collected in Jan 2026
Runway	12 months	At the healthy threshold for our stage; runway should increase with our new contracted revenue and tight hold on expenses
Customer Churn	4	Two customers were expected to churn as contracts were short-term

Revenue: Solid Growth with Mixed Performance

• Subscription revenue remains our foundation, with Real Estate subscriptions +16% and NYSERDA Data adding an additional $166K in 2025 ($200K projected for 2026). We also had strong collections despit delays.
• Reevaluation of transaction fee strategy is already underway The gap between target and actual underscores the need to prioritize better forecasting and a reconsideration of our revenue model - both of which were happening prior to year-end.

Expenses: Disciplined with Strategic Shifts

• Total expenses down 4.2% YoY despite revenue growth- which signals improving operational efficiency.
• Payroll continued to dominate expenses at $1.68M or 78% of total expenses.
• Consultant spending dropped 46% from $681K in 2024 to $395K in 2025, highlighting a strategic shift toward building internal capabilities.

2025 expenses by department

Department	Spend (% YoY)	Notes
R&D	$1.21M (-0.6%)	56% of total expenses, spend remained flat though salaries grew 12% YoY
G&A	$681K (+14%)	Growth driven by increases in legal fees and IRA contributions
COGS	$282K (-4.9%)	Decline due to personnel shifts
Sales	$256K (-40%)	Eliminated consultants and right-sized the team

Development

• Bug Count (P-0 and P-1): 3

Last Week’s Highs and Lows

• Our main contact at NYSERDA demonstrated how he’s using the Building Data Platform for his work: he’s looking forward to our next steps, but is already getting value. (FH)
• KC3 seemed to like the dashboard prototype we shared! It’s good to get some user feedback before we build it. (JMB)
• The front-end dev team is working on the program admin feature–it feels good to have folks focusing on getting a full feature out instead of handling disparate tickets. (JMB
• Pipeline of “Type B” deals starting to come together based on traction with large demand aggregators including the above mentioned webinar (MZ)

Any missing highlights? Please share in Slack comments.

Crow’s Nest

Looking out for icebergs: What are the risks on the horizon that we’re watching for and navigating around?

François’ List

Repeats:

• It’s again (always?) hat-shedding season… and hat-shedding is hard. I’m thankful to folks for picking up on infrastructure and operations tasks that grew to consume too much of my bandwidth. Our systems and coding practices need hat-shedding too! Having agents handle document scraping, transitioning EPA PM to the back-end, delegating more coding and design work to agents: all these transitions are necessary and difficult, and we (always will) have a lot of them to balance with regular work.
• Balancing short-term / vision Agents are fundamentally a combo of a/ a LLM (largely commoditized, but needs selection and possibly tuning), b/ a prompt (context + generic instruction), c/ tools (access to information and APIs relevant to perform a task), and d/ an architecture (orchestration of the above, evaluations, analytics). Even if we don’t put agents in Momentum right away, we have to make sure that what we build today prepares us for c/ and d/.

Jason’s List

Repeats:

• Improving clarity around our roadmap and prioritization process–I’ve started to meet with a PM coach to help me.
• We may have won some minds, and we’re winning some wallets, but will we win their fingers? Which users will actually use our software instead of just looking for the outputs and expecting consultant-style service?
• What is our moat in a world and industry where data wants to be free, especially when some of our largest customers are city and state agencies?
• Getting a clearer sense of our delivery velocity. I anticipate we’ll need to be more responsive to ad hoc customer feedback this year, and this will help me better plan and prioritize our product needs.

Erika’s List

• Cash Flow Still watching this closely and maintaining a lean budget until we start to receive income from our latest agreements. Also need to reevaluate the plan to replenish our equity account, so there is a balance between new expense needs and overall cash management. This will also require more feedback from team leads.

Marc’s List

• Can we move fast enough while there is still white space

On Deck for This Week

• We’re updating the BKB for fresh energy data info, and to start reflecting property names (not just addresses), a frequent ask from our Path A/B users. (FH)
• Bomee is being honored at this week’s winter soiree at Building Energy Exchange! (JMB)
• Company Goals! We’ll be sharing what our collective goals look like for the 1H 2026 based on work plans this week (EP)
• Meeting with Urban American, a former subscription customer turned “Type B” partner on how we can work together to aggregate demand for standardized upgrades that provide better grid flexibility during peak summer periods. “Every Electric” (formerly Standard Potential) batteries are in the solution set mix which is an interesting expansion beyond more tradiational energy efficiency and decarbonization measures. https://everyelectric.com/

Upcoming Releases

Release 114

• System admin can create new programs
• Program manager and program admin features
• Fixes for teams registering to join program
• New energy data and property names
• More accessibility improvements
• Moving advanced search to the back end

Please Leave Feedback

Please note your reaction to this update in the Slack channel. It helps us to know what is resonating, what is unclear, etc. Thanks!

• What are your highlights / low-lights?
• Did we miss a highlight? Something else you want to react to?