Fuelcell Energy Inc (FCEL) reported 4th Quarter earnings of a net loss of $0.40 per share. This is $0.02 better than estimates. However the revenues for the year are 10% less than expected. The focus for the next year is continue to penetrate into markets where they currently have business.
FuelCell Energy and its distribution partners continue to penetrate repeatable markets worldwide. The Company believes initiatives already underway establish a strong platform for heading into Fiscal Year 2006. In developing repeatable markets, the Company has installed or in backlog approximately 23 megawatts that extend across key industry sectors and important geographic regions. Megawatts installed or in backlog in significant geographic markets: Japan/Korea 8.25 MW California 7.00 MW Europe 4.25 MW Other U.S. 4.50 MW Megawatts installed or in backlog in key repeatable market applications: Wastewater Treatment 4.25 MW Hotels/Hospitality 2.75 MW Manufacturing 2.25 MW Government/Institutional 2.25 MW Focus for 2006 FuelCell Energy’s product availability and performance, meeting of customer expectations, growing repeatable business, continuing cost reductions and strong financial condition position the Company to increase sales to these growing markets. [ more ]
The stock is currently flat in pre-market trading, but I would not be surprised to see it trade down on the news due to the miss on revenue estimates. The company has been working hard to reduce expenses and it looks like they have been successful by reducing their losses. But they still need to concentrate on getting new customers and installations. The stock has been trending down recently but has some support at the $8 level. I may add to my position in this stock if we see some weakness in the stock today.