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Robert Panora

President and Chief Operating Officer at TECOGEN
Executive

About Robert Panora

Robert A. Panora is President and Chief Operating Officer of Tecogen, serving in this role since the company’s organization in 2000. He is 70 years old as of April 25, 2025, and holds B.S. and M.S. degrees in Chemical Engineering from Tufts University . Panora’s background spans operations, engineering, product development, and commercialization across Tecogen and Thermo Electron (now Thermo Fisher) divisions, including leading development of Tecogen’s first cogeneration product . Company pay-versus-performance disclosures show total shareholder return (TSR) values for a hypothetical $100 investment of $121 in 2024, $65 in 2023, and $105 in 2022, alongside net losses of $(4,760,238), $(4,598,108), and $(2,447,927), respectively, with executive incentive design explicitly tied to EBITDA goals .

Past Roles

OrganizationRoleYearsStrategic Impact
Thermo Electron Corporation (division)Manager of Product Development; Engineering Manager; Operations Manager1984–1990 Built engineering/operations capabilities and processes pre-Tecogen spinout
Thermo Electron Corporation (division)General Manager, Product Group1990–2000 Led product group overseeing sales, marketing, engineering, service, manufacturing
TecogenPresident & COO2000–present Led cross-functional operations; product conceptualization; sales tools; manufacturing scale-up

External Roles

OrganizationRoleYearsStrategic Impact
American DG Energy (ADGE)Director of OperationsAug 2015–completion of ADGE merger Directed operations integration and execution through merger period
American DG Energy (ADGE)Sole DirectorAppointed Mar 29, 2018 Governance oversight post-merger appointment

Fixed Compensation

Metric202320242025 Current
Base Salary ($)$161,477 $164,800 $200,000 (effective Mar 6, 2025)
Target Bonus (%)Not disclosedNot disclosedNot disclosed
Actual Bonus Paid ($)$0 $0 Not disclosed
All Other Compensation ($)$1,959 (insurance + 401k match) $2,471 (insurance + 401k match) Not disclosed

Performance Compensation

Annual/One-time Cash Incentives

PlanMetricTargetActual/PayoutVesting/Timing
Executive Officer Target Bonus Plan (adopted Mar 1, 2024)Adjusted EBITDA as % of revenueTwo consecutive quarters of positive Adjusted EBITDA > 2% (inclusive of bonus accruals)$35,000 bonus for COO, payable upon achieving target; no 2024 bonus shown in SCTOne-time payment upon condition; no 2024 payout recorded

Equity Incentives (Options)

Grant DateTypeStrike ($)ExpirationExercisable (#)Unexercisable (#)Performance/Time Vesting DetailsStatus/Events
May 12, 2016 (Ilios merger exchange)Option$0.7904/29/202612,723Fully vested upon merger exchange ratio (Ilios to Tecogen)Outstanding/exercisable as of 12/31/2024
Jul 9, 2020Performance Option$0.7107/09/2030100,000100,00050% vest upon Adjusted EBITDA ≥ 2% of revenue for two consecutive quarters; remaining 50% upon Adjusted EBITDA ≥ 3% for four consecutive quarters; acceleration upon change-of-controlFirst 50% vested on Jun 30, 2022; remaining 100,000 unexercisable as of 12/31/2024
Jan 21, 2022Time-based Option$1.1001/21/203252,50050% vest on Jan 21, 2023; 50% vest on Jan 21, 2024Fully vested 52,500 as of 12/31/2024

Pay-versus-Performance Context

YearValue of $100 Investment (TSR, $)Net Income (Loss, $)
2022105 (2,447,927)
202365 (4,598,108)
2024121 (4,760,238)

Incentive design: Company states PEO/NEO compensation is “at-risk” and tied to EBITDA-based goals, with annual bonuses and majority of equity awards based on operating performance against pre-defined goals .

Equity Ownership & Alignment

HolderBeneficial Ownership (Shares)Percent of ClassComposition Notes
Robert A. Panora165,223 <1% Represents currently exercisable options; excludes 100,000 options not currently exercisable
Shares Outstanding (reference base)24,985,261Basis for percentage calculation as of Apr 25, 2025
  • Outstanding awards as of Dec 31, 2024: 12,723 options ($0.79, exp 4/29/2026); 100,000 options ($0.71, exp 7/9/2030) exercisable; 100,000 options ($0.71) unexercisable; 52,500 options ($1.10, exp 1/21/2032) exercisable .
  • Company prohibits hedging and pledging by directors and executive officers; no pledges disclosed for Panora .

Employment Terms

  • Employment Agreement: Company has not entered into employment agreements with named executive officers (including Panora) .
  • Change-in-Control Severance: Panora has a Change of Control Severance Agreement providing one year of salary and other benefits upon termination by the Company without good cause or by the employee for good reason following a change in control (double trigger) .
  • Equity Award Acceleration: Option awards under 2006 and 2022 plans include acceleration of vesting upon change of control; see outstanding awards table for potential vesting .
  • Clawback: Board adopted a clawback policy on Mar 28, 2025 requiring recoupment of excess incentive compensation in the event of a financial restatement (applies to current/former executive officers; lookback of three completed fiscal years) .
  • 2025 Role/Comp Update: Panora increased time commitment to full-time in Feb 2025; Compensation Committee raised base pay to $200,000 on Mar 6, 2025 to address operational needs amid anticipated growth .

Compensation Structure Analysis

  • Year-over-year cash vs equity mix: 2023–2024 compensation for Panora was predominantly fixed cash salary with modest benefits; no stock/option awards recorded in SCT for 2023–2024 (equity awards outstanding are from prior grants) .
  • Performance-linked equity: Significant 2020 performance option uses Adjusted EBITDA thresholds; half vested when initial target achieved; remaining half contingent on sustained higher EBITDA margins across four consecutive quarters .
  • Governance/controls: Clawback policy adoption (Mar 2025) and strict prohibition on hedging/pledging strengthen alignment and reduce risk of misaligned incentives .

Risk Indicators & Red Flags

  • Hedging/Pledging: Prohibited for executives and directors; none disclosed for Panora .
  • Employment agreement absence: Flexibility for Company, but may increase retention risk absent longer-term guarantees; mitigated by change-in-control severance .
  • Option concentration: Ownership composed of exercisable options (<1% of class); creates potential selling pressure around exercises, but no insider sales data provided in proxy .

Performance & Track Record

  • Operational leadership: 31-year tenure across Tecogen and predecessors, spanning sales/marketing, engineering, service, manufacturing; contributed to development of Tecogen’s first cogeneration product and authored core business/sales documents .
  • Recent operational focus: Shift back to full-time in 2025, plus hire of experienced Manufacturing Manager to increase throughput .
  • Company financials context: TSR improved in 2024 vs 2023; net losses persisted (2022–2024), informing the use of EBITDA-based performance incentives .

Compensation Committee & Governance Notes

  • Compensation Committee: Independent members (Chair Earl R. Lewis III, Angelina M. Galiteva, Ahmed F. Ghoniem); one formal meeting in 2024; no compensation consultant engaged in 2024 .
  • Equity Plans: 2006 Plan (expires Jan 1, 2026) with 3,838,750 shares reserved (2,737,582 granted as of 12/31/2024); 2022 Plan (term to Mar 8, 2032) with 3,800,000 shares reserved (850,000 granted as of 12/31/2024) .
  • Securities Authorized under Plans: 2,752,962 securities to be issued upon exercise outstanding; weighted average exercise price $1.14; 4,058,168 remaining available for future issuance as of Dec 31, 2024 .

Equity Ownership & Vesting Schedules (Detailed)

AwardKey Vesting TermsSpecific Dates/Events
Jul 9, 2020 Option (Performance)50% vest at Adjusted EBITDA ≥ 2% of revenue for two consecutive quarters; remaining 50% at Adjusted EBITDA ≥ 3% for four consecutive quarters; acceleration upon change-of-control50% vested on Jun 30, 2022; 100,000 options unexercisable remain as of 12/31/2024
Jan 21, 2022 Option (Time-based)50% vest on first anniversary; 50% on second anniversary; acceleration upon change-of-controlVested 50% on Jan 21, 2023 and 50% on Jan 21, 2024
May 12, 2016 Ilios Merger ExchangeFully vested upon merger exchange; exercisable options exchanged at set ratio12,723 exercisable as of 12/31/2024; exp 04/29/2026

Investment Implications

  • Alignment: Panora’s equity exposure is option-heavy with meaningful performance-based vesting history; hedging/pledging prohibitions and clawback policy further align incentives with shareholders .
  • Retention/Execution: The 2025 shift to full-time and base salary increase signal commitment to scaling operations; change-in-control severance (double trigger) provides protection without an employment agreement—moderate retention risk mitigated by severance and long-dated options .
  • Trading Signals: Upcoming potential exercises relate to low-strike options ($0.71–$1.10) with expirations in 2030–2032; while options can create periodic selling pressure upon exercise, no insider selling data is disclosed here; monitor Form 4 filings for any sales around vesting/exercise windows .
  • Performance linkage: Cash bonuses and equity awards are tied to EBITDA metrics; achieving sustained margin targets (≥3% for four quarters) could unlock remaining performance options and may indicate operational inflection—key catalyst to watch .