ECD Announces Second-Quarter 2003 Results

February 16, 2003 by Jeff Shepard

Energy Conversion Devices Inc. (ECD, Rochester Hills, MI) announced its operating results for the second quarter ended December 31, 2002. Revenues were $18.5 million compared to $26.7 million in the second quarter last year, primarily due to the near completion of the first phase of three phases of contracts with Rare Earth Ovonic. The company's net loss was $5.8 million for the second quarter compared to a loss of $4.3 million in the same quarter last year. On a per-share basis, the loss was $0.26 in the second quarter of fiscal 2003 compared to a loss of $0.20 in the same quarter last year.

The company had revenues of $18,478,000 in the three months ended December 31, 2002, compared to $26,745,000 in the three months ended December 31, 2001. The decrease in consolidated revenues primarily resulted from a reduction in product sales of $6,664,000 and a reduction in revenues from product development agreements of $4,775,000, partially offset by increased license and other agreements ($3,269,000 in 2002 versus zero in 2001).

"We are positioned to lead the hydrogen economy and have the products and technologies that make the 'hydrogen loop' of clean, affordable renewable energy possible, starting with Ovonic nickel-metal-hydride batteries, which are the enabling technology for the fast-growing, hybrid-electric vehicle market. Our leadership position as a driver of hydrogen technology has recently focused attention on our technologies and products from the White House to global television media," said ECD President and CEO Stanford Ovshinsky.