Company: ALCE
Filing Date: 2025-06-06
Form Type: 10-K
Source: 0001213900-25-052242
Chunk: 1527

Company: Alternus Clean Energy, Inc.
Filing Date: 2025-06-06
Form: 10-K
Item: Item 4
Chunk 1527
---
%

Cost of revenues for continuing operations decreased
by $0.9 million for the year ended December 31, 2024 compared to the same period in 2023 as there was only one country with operating
parks in 2024 (Lightwave parks) compared to the additional 11 Italian parks in 2023. Furthermore, the total costs of revenue for 2024
accounts for only 10 months as the Company deconsolidated Lightwave Renewables, LLC and sold 100% of its equity ownership to AEG (parent
company) on November 5, 2024. Refer to Footnote 20 for additional deconsolidation information.

Gross margins were 17% of sales for the year ended
December 31, 2024 compared to 63% for the same period in 2023, mainly due to the exclusion of Italian operating parks that were sold in
December 2023.

Cost of revenues for discontinued operations decreased
by $3.2 million for the year ended December 31, 2024 compared to the same period in 2023. All operating parks in Poland and the Netherlands
were sold on January 19, 2024 and February 21, 2024, respectively, resulting in a $4.0 million decrease in cost of revenues. Romanian
parks had a $0.8 million increase in operational costs driven by higher costs of energy acquisition for contracted revenues in the period.
Furthermore, the total Romanian costs of revenue for 2024 accounts for only nine months as the Company sold the Romanian operating parks
on October 3, 2024. Refer to Footnote 19 for additional sale information.

55

Selling, General, and Administrative Expenses

Selling, general, and administrative expenses
for the year ended December 31, 2024 and 2023 were as follows:

    Year Ended December 31,

    2024

    2023

    Change 
($)

    Change
(%)

    (in thousands)

    Selling, general and administrative
     
    $
    11,984

    $
    4,934

    $
    7,050

    143
    %
  
    Total for continuing operations
     
    $
    11,984

    $
    4,934

    $
    7,050

    1473
    %

    Discontinued Operations:

    Selling, general and administrative