Broadwind Energy Inc (NASDAQ:BWEN) on Friday said its second-quarter net loss narrowed to USD 1 million (EUR 898,600) from USD 6.1 million a year back as higher steel prices and its complex tower product mix helped the US company boost its sales.
Broadwind’s bottom-line result in April-June 2018 included a USD 0.25 per share impact related to impairment charges, which was missing this year. Its adjusted earnings before interest, tax, depreciation, amortisation, share-based payments and restructuring costs (EBITDA) in the second quarter of 2019 declined to USD 1.9 million from USD 2.1 million, due to a one-off positive effect a year back, but were in line with guidance. Sales rose by 12% on the year to USD 41.2 million.
More details on Broadwind’s second-quarter (Q2) performance are available in the table below. The firm’s Towers and Heavy Fabrications segment specialises in the production of wind turbine towers. In Gearing, Broadwind engineers, builds and remanufactures precision gears and gearboxes, while in the Process Systems division it designs and manufactures custom, modular systems for compression, filtration and other process applications.
| Amounts in USD |
Q2 2019 |
Q2 2018 |
| Revenues |
41.2m |
36.8m |
| - of which Towers and Heavy Fabrications |
29m |
25.6m |
| - of which Gearing |
9.3m |
8.6m |
| - of which Process Systems |
2.9m |
2.6m |
| Operating profit (loss) |
(206,000) |
(5.7m) |
| - of which Towers and Heavy Fabrications |
318,000 |
541,000 |
| - of which Gearing |
913,000 |
(662,000) |
| - of which Process Systems |
28,000 |
(5.6m) |
| - of which Corporate and other |
(1.5m) |
(26,000) |
| Adjusted EBITDA |
1.9m |
2.1m |
| Net profit (loss) |
(1m) |
(6.1m) |
The company's new orders in April-June came at USD 104.6 million, growing from USD 18.6 million a year before as orders in Towers and Heavy Fabrications jumped almost tenfold to USD 96.3 million. This is a result of the addition of a major new wind turbine customer and improved demand. The recovery in the segment is “beginning to provide good visibility into 2020 production", said CEO Stephanie Kushner.
The firm’s total order backlog at the end of June stood at USD 144.7 million, as compared to USD 81.1 million at end-March.
Broadwind confirmed its full-year EBITDA outlook of USD 8 million, and guided for EBITDA ranging between USD 1.4 million and USD 1.8 million in the third quarter, and revenues of more than USD 45 million.
(USD 1.0 = EUR 0.899)
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Wind turbine. Author: PSNH. License: Creative Commons, Attribution-NoDerivs 2.0 Generic
