Capstone Announces Preliminary Q3 Results

October 23, 2001 by Jeff Shepard

Capstone Turbine Corp. (Woodland Hills, CA) announced preliminary financial results for the third quarter ended September 30, 2001. For the third quarter, the company shipped 80 units (62 30kW systems and 18 60kW systems), and expects to report revenue in the range of $3.2 million to $3.4 million and post a loss per share of between $0.16 and $0.18.

Capstone anticipates that it will have a negative gross margin of approximately $2.1 million for the third quarter, primarily attributable to factory overhead costs being allocated over a fewer number of units compared with the first and second quarters of 2001. The company's cash burn rate is expected to be approximately $19.0 million for the quarter, attributable to an inventory build-up due to slower-than-anticipated sales.