AMSC Reports Fourth Quarter and Full Year Fiscal 2007 Financial Results
American Superconductor Corp. (AMSC) reported financial results for the fourth quarter and full fiscal year 2007 ended March 31, 2008. Revenues for the fourth quarter of fiscal 2007 were a record $38.4 million, a 101% increase from $19.1 million in revenues for the fourth quarter of fiscal 2006. Gross margin for the fourth quarter of fiscal 2007 was 33.2%, which compares with 5.7% for the fourth quarter of fiscal 2006.
The company’s net loss for the fourth quarter of fiscal 2007 was $1.8 million, or $0.04 per share. This figure includes $3.6 million in restructuring and impairment charges related primarily to the previously announced consolidation of AMSC’s operations in Massachusetts, and a gain of $0.9 million primarily resulting from a mark-to-market adjustment on an outstanding warrant. This compares to a net loss for the fourth quarter of fiscal 2006 of $11.4 million, or $0.33 per share. Net loss in each period includes non-cash, pre-tax charges for amortization of acquisition-related intangibles, stock compensation expense and mark-to-market adjustments on an outstanding warrant. Such charges totaled $1.0 million for the fourth quarter of fiscal 2007, compared to $2.1 million for the fourth quarter of fiscal 2006.
Earnings before interest, taxes, other income and expense, depreciation, amortization and stock-based compensation (EBITDAS) was a positive $0.4 million for the fourth quarter of fiscal 2007. This figure was negatively impacted by the aforementioned $3.6 million in restructuring and impairment charges. This compares to an EBITDAS loss of $8.7 million for the fourth quarter of fiscal 2006.
Revenues for full year fiscal 2007 were $112.4 million, an increase of 115% from $52.2 million for full year fiscal 2006. Gross margin for full year fiscal 2007 was 28.5%, which compares with a negative gross margin of 0.6% for full year fiscal 2006. The company’s net loss for full year fiscal 2007 was $25.4 million, or $0.65 per share, which compares to a net loss for full year fiscal 2006 of $34.7 million, or $1.04 per share. Net loss for fiscal 2007 includes approximately $12.4 million of non-cash, pre-tax charges for amortization of acquisition related intangibles, stock compensation and mark-to-market adjustments on an outstanding warrant, compared to $4.7 million of such non-cash, pre-tax charges for fiscal 2006. The company’s EBITDAS loss for full year fiscal 2007 was $9.1 million, which compares with an EBITDAS loss of $28.1 million for the prior fiscal year.
Cash, cash equivalents, and marketable securities at March 31, 2008 were $106.2 million, a decrease of $1.6 million from cash, cash equivalents and marketable securities of $107.8 million at December 31, 2007. Of the aforementioned decrease, $0.7 million of cash was reclassified as restricted cash. Cash, cash equivalents and marketable securities decreased by approximately $0.9 million in the fourth quarter of fiscal 2007 net of amounts reclassified to restricted cash.
"The fourth quarter was a resounding financial success for AMSC," said Greg Yurek, AMSC’s founder and CEO. "We generated record revenues and gross margins based on the strength of our commercial sales into the wind power and electric utility markets. In addition, AMSC achieved positive EBITDAS for the fourth quarter. This capped off a strong year of growth and operational enhancements at AMSC, including the integration of two acquisitions, the consolidation of our Massachusetts operations and the formation of AMSC China. We are confident that fiscal 2008 will be an even greater success for AMSC."
