Heliogen, Inc. (HLGN): Business Model Canvas [Dec-2025 Updated]

You're looking at Heliogen, Inc. now that Zeo Energy Corp. has brought it aboard in August 2025, and the game has clearly shifted from pure R&D to integration. As someone who's mapped out energy plays for two decades, I see their core value-delivering dispatchable, carbon-free power and extreme heat using proprietary AI for solar thermal-as the key asset Zeo is buying. With TTM revenue hitting $21.70 million as of March 31, 2025, and a liquidity cushion of $36.9 million at the end of last year, the question isn't if the tech works, but how fast they can plug it into Zeo's platform to turn that Q1 $6.36 million net loss into scalable profit. Dive below to see the full nine-block canvas detailing this new, integrated business model.

Heliogen, Inc. (HLGN) - Canvas Business Model: Key Partnerships

You're looking at the structure of Heliogen, Inc.'s alliances as of late 2025, which is now a key division within the newly formed Zeo Energy Corp. platform. The nature of these relationships has shifted significantly, especially with the August 2025 acquisition.

Zeo Energy Corp. (Parent company and primary channel)

The relationship with Zeo Energy Corp. is now one of parent/subsidiary, following the completion of the acquisition on August 8, 2025. This merger was structured as an all-stock transaction. Upon closing, Heliogen's securityholders received shares of Zeo's Class A common stock valued at approximately $10 million in the aggregate, based on the per-share price at that time. Zeo Energy also received approximately $13.6 million in net cash from Heliogen at closing. Heliogen's stock, formerly trading as HLGN, ceased trading on the OTCQX. Zeo Energy's affiliated financing arm has previously provided over $44 million in clean energy tax equity financing, which is now available to support future Heliogen projects, particularly in long-duration energy generation and storage for commercial and industrial-scale facilities like AI and cloud computing data centers.

Woodside Energy (Historical project partner, Capella project concluded)

Woodside Energy was a critical partner in the Generation 3 Concentrated Solar Power (CSP) technology development via the Capella demonstration project. This project, which targeted a 5-MWe concentrated solar power plant, concluded in January 2025 after the Front-End Engineering Design (FEED) phase, as construction was not pursued due to cost escalation. Woodside Energy (USA) Inc. jointly funded this effort with the U.S. Department of Energy. Prior to the conclusion, Woodside had committed up to $50 million in funding for the project. Furthermore, in the fourth quarter of 2023, Heliogen signed a $1.6 million engineering services agreement with Woodside specifically for the Brenda Green Hydrogen Project. At the end of 2023, almost $63 million in contracted revenue remained on the Capella project with Woodside and the DOE.

Bloom Energy (Green hydrogen generation collaboration)

The collaboration with Bloom Energy centers on producing low-cost green hydrogen by integrating Heliogen's AI-enabled Sunlight Refinery system with Bloom Energy's solid oxide electrolyzer. This combination allows for hydrogen production that is reportedly 45 percent more efficiently than low-temperature PEM and alkaline electrolyzers. The target market, heavy industry, accounts for 37 percent of global energy use and nearly 40 percent of CO2 emissions. The technology aims to provide near 24/7 carbon-free energy in the form of heat, electricity, and hydrogen.

Omanor (Joint development for solar energy in Mexico)

Heliogen entered a joint development agreement in January 2024 with Omanor, a developer of logistics and energy infrastructure assets in Mexico. This partnership is focused on developing a CSP plant in the states of Baja California Norte and Sonora, Mexico. The parties are currently progressing through the initial phase, which involves evaluating a pre-zoned and permitted piece of land in Sonora. Omanor provides on-the-ground expertise for permitting and securing initial commercial energy customers.

Government/DOE (Funding for R&D and demonstration projects)

The U.S. Department of Energy (DOE) has been a significant source of non-dilutive funding for Heliogen's technology development. A major award finalized in December 2021 totaled $39 million for the supercritical carbon dioxide (sCO2) power cycle project. The Capella project was also co-funded by the DOE. Public data from USAspending.gov shows a specific grant (FAIN: DEEE0009343) with a total funding obligated of $13,871,118.65. This grant history shows an initial award action of $35,129,409 on 09/30/2021, followed by a later adjustment action of -$21,258,290 on 08/26/2025, reflecting the project's completion status.

The DOE's support has been concentrated on specific R&D areas:

• Advancing the supercritical carbon dioxide (sCO2) power cycle.
• Funding the deployment of AI-enabled concentrated solar technology.
• Supporting the development, build, and operation of a full-scale system.

Heliogen, Inc. (HLGN) - Canvas Business Model: Key Activities

You're looking at the core functions Heliogen, Inc. performed, which, as of late 2025, are now integrated into Zeo Energy Corp.'s structure following the August 2025 acquisition. The key activities shifted from pure project development to leveraging acquired intellectual property within a larger platform.

Developing and licensing proprietary AI-enabled CSP software

The core technology activity centers on the AI, machine learning, and robotics that drive the heliostat field. This software operates in a closed-loop system, autonomously correcting mirror alignment to maximize concentrated sunlight.

• Testing at Sandia National Laboratories validated the software's efficacy on third-party heliostats.
• The proprietary control system reduced tracking error to 0.33 mrad, beating the project target of less than 1.0 mrad.
• The long-term plan, as discussed prior to the merger, was to shift toward software licensing for other Concentrated Solar Power (CSP) operators.

Engineering and design for high-temperature solar thermal projects

This activity involved the engineering and design services necessary to deploy the high-temperature solar thermal systems, capable of reaching temperatures exceeding 1,000 C.

Revenue from these engineering service contracts was historically recognized over time using the incurred costs method. However, major project execution activities were curtailed leading up to the merger:

• The Capella Project, a 5 MWe commercial-scale demonstration, was concluded.
• Construction on the Texas Steam Plant was halted.
• The research and development facility in Lancaster, California, which proved the software, was closed in 2024.

Integrating thermal storage solutions for 24/7 power

A critical activity was integrating the high-temperature solid media thermal energy storage component. This is what allows the system to move beyond intermittent solar generation.

The integration aims to deliver dispatchable, near 24/7 carbon-free energy in the form of heat, steam, or electricity. Post-merger, this capability is being channeled into a new division focused on long-duration energy generation and storage for commercial and industrial-scale facilities, including AI and cloud computing data centers.

Reducing structural costs and optimizing operations

A significant operational activity throughout 2024 and into early 2025 involved aggressive cost-cutting to conserve liquidity and shift to a capital-light model. This was a direct response to the capital-intensive nature of the prior business model.

Here's the quick math on the cost optimization results from the full-year 2024 data:

The net loss for the first quarter of 2025 was reported at $6.36 million, showing the ongoing burn rate before the acquisition finalized.

Securing large-scale commercial contracts for Zeo Energy

The final key activity, post-merger, revolves around leveraging Heliogen's technology to secure large-scale contracts under the Zeo Energy umbrella. The acquisition itself was the largest financial transaction:

The integration is specifically targeting commercial and industrial customers, such as data centers, using the long-duration storage capabilities.

Heliogen, Inc. (HLGN) - Canvas Business Model: Key Resources

You're looking at the core assets that underpinned Heliogen, Inc.'s technology platform right before its integration into Zeo Energy Corp. These resources are what the August 2025 acquisition was fundamentally based on, even though the company's independent financial runway was tight.

Financially, the immediate resource available to the company as of the end of 2024 was its cash position. Heliogen, Inc. ended the year with available liquidity of $36.9 million, consisting of cash and cash equivalents, and notably, no debt on the balance sheet as of December 31, 2024. This liquidity was critical following cost-cutting measures implemented in 2024.

The intellectual property forms the bedrock of the value proposition. This includes the proprietary AI and computer vision software designed for heliostat alignment. While the dedicated R&D facility in Lancaster, California, was closed in 2024 after demonstrating the software's capability to simulate a commercial operating environment, the technology itself remains a key asset. The core patents cover key aspects like the closed-loop tracking system and tracking based on radiance maps. As of a recent count, Heliogen held a total of 33 patents globally, with 29 active, showing a strong focus on IP protection in the United States.

The specialized engineering and R&D talent, though reduced, was central to developing and proving the technology. The company had 87 total employees reported in its structure. Management took clear action to conserve cash by achieving reductions in total Selling, General and Administrative (SG&A) and Research & Development (R&D) expenses by 25% for the full year 2024 compared to 2023.

Regarding the thermal energy storage and receiver system designs, the company shifted its commercial focus. For clarity, Heliogen, Inc.'s current commercial offering leverages the technologically-proven and commercially mature form of thermal energy storage technology already deployed in existing global concentrated solar power facilities. This contrasts with the halted construction of the Capella Project, which was designed to demonstrate the next-generation thermal storage technology.

Here's a quick look at some of the key operational and financial metrics that define the scale of these resources as of late 2024:

These key resources enable the core technological capabilities of the platform:

• Proprietary AI and computer vision software for heliostat alignment.
• Core patents covering closed-loop tracking and radiance map-based tracking.
• Commercially mature thermal energy storage technology integration.
• Engineering expertise to design systems for high-temperature heat, steam, and power.

Finance: draft 13-week cash view by Friday.

Heliogen, Inc. (HLGN) - Canvas Business Model: Value Propositions

You're looking at the core value Heliogen, Inc. (HLGN) technology offered, even as the company transitioned into a segment of Zeo Energy Corp. following its acquisition in August 2025 for a reported $10 million. The value propositions center on solving the reliability and temperature challenges of industrial decarbonization.

Delivering dispatchable, round-the-clock, carbon-free energy

The technology's primary value is overcoming intermittency, a major hurdle for solar. Heliogen's hybrid approach combines Concentrating Solar Power (CSP) with thermal energy storage (TES) and traditional solar Photovoltaics (PV). This integration is designed to deliver energy and heat for consecutive 24-hour periods, ensuring dispatchable clean energy availability when needed.

Generating extreme heat (over 1,000°C) for industrial decarbonization

Heliogen's CSP systems are engineered to reach process temperatures exceeding 1,000°C. This high-temperature capability is critical for hard-to-abate sectors like cement and steel production, which traditionally rely on burning fossil fuels for process heat.

Providing a capital-light, licensed AI software layer to increase CSP efficiency

A key component of the value proposition is the proprietary, AI-enabled control software, which is positioned for licensing. This software uses closed-loop control and computer vision to autonomously correct optical inaccuracies in heliostat tracking. The efficacy of this system was validated in third-party testing at Sandia National Laboratories, where tracking error was reduced to 0.33 mrad, significantly surpassing the project target of less than 1.0 mrad. This precision aims to improve the efficiency of existing CSP plants worldwide.

The impact of the AI software on operational metrics can be summarized:

Offering a path to green hydrogen production at scale

The high-temperature heat and steam generated by the system are intended to provide the necessary energy input for green hydrogen production, often paired with solid oxide electrolyzers. While Heliogen's specific 2025 production scale is not detailed, the broader market context shows significant momentum. The International Energy Agency forecast in 2023 projected a need for 430 million tonnes of hydrogen per annum by 2050, with a conservative estimate suggesting a need for 200 million tonnes by mid-century, requiring an estimated $6.5 trillion in investment for firming renewable electricity.

Lowering long-term energy costs for heavy industry

The modular design and use of mature, low-cost materials for heat storage are intended to lower the Levelized Cost of Energy (LCOE) compared to other alternatives. For instance, the Levelized Cost of Energy (LCOE) for Solar PV in the AEO2025 Reference case is projected to be lower than natural gas combined-cycle LCOE on average, even without tax credits. Heliogen's approach seeks to offer a cost-effective, long-duration storage option for industrial heat and power applications, making the switch from fossil fuels economically desirable for industrial producers.

The company's operational cost management prior to the acquisition showed a focus on efficiency, with total Selling, General and Administrative (SG&A) and Research and Development (R&D) expenses reduced by 25% for the full year 2024 compared to 2023. Finance: draft 13-week cash view by Friday.

Heliogen, Inc. (HLGN) - Canvas Business Model: Customer Relationships

You're looking at the customer relationships for Heliogen, Inc. (HLGN) as of late 2025, which means we must factor in the August 2025 acquisition by Zeo Energy Corp. for approximately $10 million. The relationship structure is now nested within Zeo Energy Corp.'s platform, but the historical and immediate post-acquisition focus remains on securing large industrial commitments.

Dedicated, high-touch sales for large, project-based contracts

The historical sales approach centered on securing multi-year, engineering, procurement, and construction (EPC) style contracts. This led to volatile revenue recognition, as seen when the full-year 2024 revenue hit $23.2 million, but the Trailing Twelve Months (TTM) revenue ending March 31, 2025, was reported as low as $18.31 Million USD, reflecting the project-based nature. Before the acquisition, the highest priority was securing additional commercial-scale contracts, evidenced by a contracted revenue backlog of $76.2M as of Q1 2024, targeting the 1.9GW opportunity pipeline.

Strategic partnerships for joint technology development

Customer relationships often began as deep technology collaborations. For example, the Capella Project was a demonstration agreement with Woodside Energy (USA) Inc., though this specific project was concluded in Q4 2024. As of Q4 2023, Heliogen, Inc. maintained 12 confirmed industrial collaborations and 8 major technology partnerships, indicating a reliance on joint development to scale deployment and de-risk technology maturation.

Long-term service agreements for system operations and maintenance

Heliogen, Inc. historically offered turnkey solutions. This means the relationship extended beyond construction to include ongoing support. The value proposition included custom design, installation, and ongoing operations support for its concentrated solar systems. While specific service agreement revenue figures post-acquisition are consolidated under Zeo Energy Corp., the model was designed to transition from a one-time project revenue stream to recurring service revenue.

Direct engagement with industrial and utility C-suite decision-makers

The target customer base requires direct engagement at the highest levels due to the capital intensity and long-term nature of decarbonization projects. Key segments targeted include heavy industrial manufacturers, where the global industrial heat market is valued at $2.3 trillion, and the technology was positioned to address 25-35% of energy needs in mining operations. This level of commitment necessitates direct C-suite buy-in for projects that promise significant CO2 reduction potential, estimated at 1.2 million metric tons per year in certain applications.

Licensing agreements for the AI software platform

A key component of the stable revenue strategy involved licensing the proprietary AI software controls used for precise mirror alignment. As of Q4 2023, the company reported $12.7 million in technology licensing revenue, which was considered a stable income stream before the full shift to project deployment. This licensing revenue was segmented:

• Industrial Solar Licensing: $8.5 million annually from contracts lasting 3-5 years.
• Commercial Solar Technology: $4.2 million annually from contracts lasting 2-4 years.

The AI platform itself is central, with 24 active solar prediction algorithms as of late 2023, underpinning the value proposition for licensing.

Here's a quick look at the relationship scale metrics available from the pre-merger period:

The current focus, under Zeo Energy Corp., is integrating Heliogen's technology into their broader platform, which reported total net revenue of approximately $23.9 million in Q3 2025. Finance: Review the Q3 2025 Zeo Energy Corp. filings to model the potential margin impact of the Heliogen technology on the consolidated business by Friday.

Heliogen, Inc. (HLGN) - Canvas Business Model: Channels

You're looking at the channels for Heliogen, Inc. (HLGN) as of late 2025, but honestly, the story is now about Zeo Energy Corp. The channels reflect a strategic pivot following the all-stock acquisition that closed on August 8, 2025. The combined entity now spans residential, commercial, and utility-scale markets.

The primary channel for deploying the former Heliogen technology is now through a new division within Zeo Energy Corp., specifically targeting long-duration energy generation and storage for commercial and industrial-scale facilities, including AI and cloud computing data centers. This leverages the technology that achieved temperatures in excess of 1,000 C.

The integration itself is a key channel strategy. The transaction brought approximately $13.6 million in net cash to Zeo Energy's balance sheet, which can now support future utility-scale and long-duration energy storage projects. Zeo Energy Corp. itself reported total net revenue of approximately $23.9 million as of Q3 2025. This new platform aims to serve energy consumers across the spectrum, from residential rooftops to larger-scale industrial solar and storage applications.

The historical channel approach, which is now being adapted, was heavily project-based, often involving direct engagement with large customers. Here's a look at the structure that was in place or planned before the merger:

The direct sales effort, which was previously focused on driving forward the industrial steam product, is now channeled through the combined entity's expanded reach into commercial and industrial markets. The company's prior strategy emphasized getting projects in the ground to unlock demand from a larger customer base, which would then pave the way for licensing opportunities.

The technology licensing channel, a long-term goal for Heliogen, Inc. before the merger, aimed to improve deployment pace and profit margins beyond direct implementation. This strategy was intended to be pursued after demonstrating commercial-scale projects.

Industry engagement remains a necessary, though less quantifiable, channel for visibility and partnership development. Before the acquisition, Heliogen had a contracted revenue backlog driven by a diverse set of contracts. The company's pre-acquisition liquidity stood at $36.9 Million at the end of 2024, which was critical for funding operations until the strategic review concluded.

The channels are now defined by:

• Leveraging Zeo Energy's existing residential solar footprint.
• Targeting high-demand users like AI and cloud computing data centers.
• Utilizing Zeo's affiliated financing arm, which provided over $44 million in clean energy tax equity financing to date.
• Integrating Heliogen's technical talent within the new division.

Finance: draft post-merger segment revenue tracking by Monday.

Heliogen, Inc. (HLGN) - Canvas Business Model: Customer Segments

You're looking at the customer segments for Heliogen, Inc. (HLGN) as of late 2025, but the reality is that the independent entity's customer focus has been absorbed into Zeo Energy Corp. following the acquisition in August 2025 for $10 million. The technology's future customer base is now defined by the combined entity's broader clean power platform, targeting long-duration energy generation and storage opportunities.

Prior to the August 2025 transaction, Heliogen, Inc.'s revenue generation was primarily by contracting with owner-operators to build turnkey facilities, and they also recognized revenue from government grants. The company's technology was explicitly positioned for the industrial, utility, municipal, and technology sectors.

Here's a look at the segments Heliogen, Inc. was targeting or engaging with, using the most concrete numbers available from the period leading up to the acquisition:

The scale of the prior independent business is reflected in the Trailing Twelve Months (TTM) revenue ending March 31, 2025, which was $21.70 million. To be fair, this figure was heavily skewed by a one-time accounting adjustment. The successor entity, Zeo Energy Corp., reported total net revenue of approximately $23.9 million in Q3 2025.

The pipeline activity before the sale showed clear interest in the technology's application across different scales:

• Outstanding proposals with 4 customers for early design stage projects as of Q2 2024.
• Total capacity represented by those proposals was 0.9 gigawatts.
• The company was focused on deploying solutions for energy-intensive operations.
• The company had previously secured a contract in March 2022 for engineering services.

The focus for the combined entity is now on leveraging the technology within Zeo Energy Corp.'s broader platform, which includes residential and commercial solar footprints. Finance: Review the Q3 2025 Zeo Energy Corp. filings to model the potential margin impact of the Heliogen technology on the consolidated business by Friday.

Heliogen, Inc. (HLGN) - Canvas Business Model: Cost Structure

You're looking at the cost side of Heliogen, Inc. (HLGN) as it transitioned through its acquisition by Zeo Energy Corp. in 2025. The cost structure was historically dominated by the capital-intensive nature of its concentrated solar power (CSP) technology development, but significant cuts were made in 2024 to conserve cash ahead of the sale.

High Research and Development (R&D) expenses and Selling, General, and Administrative (SG&A) were the primary operating costs. To manage this burn rate, Heliogen, Inc. executed a targeted plan in 2024, which included workforce reductions and closing facilities like the R&D Facility in Lancaster, California. This aggressive cost management led to a notable reduction in these combined expenses for the full year 2024.

Here's the quick math on the combined SG&A and R&D spending, which shows the impact of those 2024 actions:

The reduction in SG&A and R&D expenses for the full year 2024 was a direct result of these cost-saving measures, amounting to a 25% decrease compared to the full year 2023. For context on the quarterly trend, the fourth quarter of 2024 saw these expenses drop to $9.9 million, a 20% sequential reduction from the third quarter of 2024's $12.4 million.

Costs of project engineering and specialized labor were heavily tied to the company's large-scale project pipeline, which proved too capital-intensive. The decision to halt construction on the Texas Steam Plant and the cancellation of the Capella Project with Woodside Energy (USA) Inc. were direct efforts to eliminate future, escalating project engineering and construction costs. These projects represented significant upfront capital commitments and specialized labor needs that the company could no longer sustain independently.

The financial pressure from these costs culminated in the early 2025 results. The company reported a net loss of $6.36 million for the first quarter of 2025. While this was an improvement from the $15.23 million net loss in the first quarter of 2024, it still represented a significant cash burn rate that necessitated the strategic transaction.

The cost structure, even after cuts, reflected the high-tech, high-touch nature of deploying novel energy solutions. You can see the main components that drove the ongoing cash usage:

• High R&D spending to refine the AI-enabled concentrating solar technology.
• Specialized engineering and consulting fees, which were reduced by $3.1 million in Q2 2024 compared to Q2 2023.
• Employee compensation costs, which saw a decrease of $2.3 million in Q2 2024 due to headcount reductions.
• Impairment and other charges incurred in 2024 related to project cancellations, totaling $5.1 million.

The final cost structure element to note is the capital expenditure associated with the strategic shift. The acquisition by Zeo Energy Corp. was valued at $10 million, which effectively resolved the immediate solvency risk associated with funding future capital expenditures for large-scale demonstration and pilot projects.

Heliogen, Inc. (HLGN) - Canvas Business Model: Revenue Streams

You're looking at the revenue structure of Heliogen, Inc. (HLGN) right before its acquisition by Zeo Energy Corp. in August 2025, and the numbers are dominated by project-based recognition and a significant, non-recurring event.

The most concrete figure you have for the immediate past is the Trailing Twelve Months (TTM) revenue, which captures the period leading up to the strategic shift.

Trailing Twelve Months (TTM) Revenue as of March 31, 2025:

• TTM revenue ending March 31, 2025: \$21.70 million.
• This TTM figure saw a year-over-year growth of 437.56%.
• For context, the full fiscal year 2024 revenue was \$23.22 million.

Honestly, you must understand that the $\mathbf{\$21.70 \text{ million}}$ TTM figure is heavily skewed by a one-time accounting adjustment related to the cancellation of the Capella Project, which involved a favorable cumulative adjustment to project revenue. The company's independent revenue story was fundamentally project-based before the August 2025 exit.

Heliogen, Inc.'s intended and historical revenue streams, which form the basis of this section of the Business Model Canvas, are detailed below. While precise, current-year dollar splits for each stream are not publicly itemized in the latest reports, the nature of the income is clear from prior filings and strategic focus.

The company's strategy was shifting toward a technology-centric model, prioritizing the deployment of its AI-enabled CSP system for industrial partners, which implies a future focus on licensing and service contracts over pure project build-out.

For instance, in Q2 2024, total revenue of \$2.3 million was driven primarily by execution on the Capella Project and engineering services. The contracted revenue backlog as of March 31, 2024, stood at \$76.2 million, covering CSP, green hydrogen, and other agreements. Finance: draft post-acquisition revenue integration plan by next Tuesday.