Ocean Power Tech's loss expands but business grows

Deployed PB3 PowerBuoy off the coast of New Jersey.

Ocean Power Technologies (NASDAQ:OPTT) last week reported an expanded quarterly net loss, which was due to additional costs related to business development, engineering, and marketing.

The additional expenses came as the company’s sales and marketing efforts are bearing fruit.

“For the first time, our company is executing multiple contracts to supply PowerBuoys in new markets across multiple applications,” said President and CEO George Kirby. After delivering a PB3 PowerBuoy for deployment in the Adriatic Sea, as part of a contract with oil and gas major Eni SpA (BIT:ENI), Ocean Power Technologies is now also preparing to deliver another wave energy device to Premier Oil (LON:PMO) for deployment in the Central North Sea. In addition, the company has agreed with Enel Green Power to evaluate a PowerBuoy installation off the coast of Chile.

Kirby said Ocean Power Technologies anticipates receiving more orders for PB3 PowerBuoys with prospective partners globally.

The firm’s quarterly results are in the table.

Results in USD	Q1 FY 2018/19	Q1 FY 2017/18
Revenue	31,000	195,000
Net loss	(3.2 million)	(2.7 million)
Net cash used in operating activities	3.8 million	4.2 million