Maxwell Technologies Inc. (San Diego, CA) reported a net loss of $2.2 million, or $0.14 per share, on revenue of $9.8 million for its first quarter ended March 31, 2005, compared with a net loss of $5.1 million or $0.33 per share, on revenue of $8.5 million for the fourth quarter ended December 31, 2004.
Maxwell President and Chief Executive Officer Richard Balanson commented that the 15% quarter-to-quarter revenue increase was driven by strong demand across all of the company's product lines, and he projected continuing double-digit revenue growth for the second quarter ending June 30, 2005. Balanson reported that ultracapacitor revenue doubled, quarter-to-quarter, to approximately $2.5 million in the first quarter, driven by production ramps for transportation and industrial applications that are expected to sustain continuing rapid growth.
Gross margin increased from 7% in the fourth quarter to 29% in the first quarter, reflecting more favorable revenue mix and lower reserves for below-cost sales to strategic ultracapacitor customers. Balanson noted that first-quarter operating expenses of $5.1 million were higher than the company's historic norm, principally due to added headcount and ongoing expenses associated with increased product development activity and Sarbanes-Oxley compliance.
Cash and investments in marketable securities as of March 31, 2005, totaled $12.7 million, including a $1.7 million customer overpayment which will be repaid, compared with $12.8 million as of December 31, 2004.
