Satcon Technology Corp. (MM) (NASDAQ:SATC)
Historical Stock Chart
From Sep 2019 to Sep 2024
SatCon Technology Corporation© (NASDAQ CM:
SATC), a developer and supplier of power management and system
architecture solutions for the alternative energy and distributed power
markets, today announced its operating results for the quarter and year
ended December 31, 2007.
“2007 was an exciting and busy year for
SatCon. Our revenues hit an all time high of $56.6 million,”
said David Eisenhaure, President and Chief Executive Officer. “This
change was fueled by the growth in our solar inverter product line of
200%. Our expectation for the year, that we set at mid-year, was for $55
million in revenue. We exceeded that expectation. We also saw a
significant increase in our sales order backlog which grew from $35
million at the end of 2006 to $46 million at the end of 2007, a 30%
increase, both of which were driven by our alternative and renewable
energy business.”
“In addition, I am pleased to announce that
we have recently completed our year-end audit and Vitale, Caturano and
Company, our auditors, have decided to remove the 'going concern'
opinion from our 10-K filing for the year-ended 2007. We take this move
very seriously and believe that we have the plans in place and the cash
and availablity to move SatCon to a sustainable company in the near
future,” said David Eisenhaure.
Revenues for the 4th quarter ended December 31, 2007, were $15.6
million, compared to $9.6 million in the 4th
quarter of 2006, an increase of over 60%. Driving that growth were
revenue increases in photovoltaic inverters of over 142% to $8.0 million
compared to $3.3 million for the same period in 2006.
Operating losses for the 4th Quarter of 2007 improved to $3.4 million,
as compared to an operating loss of $4.4 million for the fourth quarter
of 2006, a $1.0 million reduction.
Revenues for the year ended December 31, 2007 were $56.6 million,
compared to $33.7 million in the same period of 2006, an increase of
approximately 68%.
Revenues in the Stationary Power Systems Division increased by 134% to
$33.0 million for 2007 compared to $14.1 million in 2006. Driving that
growth were increases in photovoltaic PowerGate inverters of over 140%
to $21.1 million compared to $8.7 million in 2006. Also included in 2007
results was a high power DC-to-DC converter project, which accounted for
an increase of approximately $5 million over 2006.
Operating losses for the year 2007 were reduced by approximately 25% to
$11.0 million dollars versus $14.6 million for 2006. These losses in
2007 would have been lower if not for a weakening of the US dollar
relative to the Canadian dollar, which cost approximately $2 million
dollars, and losses on two large legacy projects booked in 2004 which
also added approximately $2 million dollars.
Direct investment spending in unfunded R&D increased approximately $1.2
million to $3.2 million in 2007 over that of 2006, primarily to support
the development of new products in the photovoltaic inverter line and
other products throughout the company.
“In 2008 one of our key objectives is to
significantly lower our variable manufacturing costs,“
continued Eisenhaure. “The rollout of our new
PowerGate Plus inverters for photovoltaic and fuel cell applications
will help us achieve this goal.”
He further stated “During the year we entered
into a strategic relationship with Rockport Capital Partners and NGP
Energy Technology Partners resulting in a preferred stock financing of
$25.0 million, for which we used a portion to retire our Senior
Convertible Notes and some Warrants from July 2006. The remainder will
be used for general working capital purposes. We anticipate that this
strategic partnership will introduce us to new opportunities in the
future, improve our position and reputation within the marketplace and
strengthen our resources as we continue to grow in our pursuit of
expanding globally into the alternative and renewable energy marketplace”.
“In addition, we also recently signed a Line
of Credit with Silicon Valley Bank allowing up to $10 million dollars in
borrowings, which will be used to fund working capital needs as we
continue to grow the business”, continued
Eisenhaure.
“As we look forward to 2008, we believe that
our revenues will continue to grow, fueled primarily by the alternative
and renewable energy marketplace. We also believe that our losses will
continue to decline as we achieve record revenue levels and improve our
gross margins as we continue the rollout of our new PowerGate Plus
inverters.”
About SatCon Technology Corporation
SatCon Technology Corporation is a developer and manufacturer of
electronics and motors for the Alternative Energy, Hybrid-Electric
Vehicle, Grid Support, High Reliability Electronics and Advanced Power
Technology markets. For further information, please visit the SatCon
website at www.satcon.com.
(SATC-E)
Statements made in this document that are not historical facts or
which apply prospectively are forward-looking statements that involve
risks and uncertainties. These forward-looking statements are
identified by the use of terms and phrases such as “will,”
“believes,” “expects,”
“plans,” “anticipates”
and similar expressions. Investors should not rely on forward
looking statements because they are subject to a variety of risks and
uncertainties and other factors that could cause actual results to
differ materially from the Company’s
expectation. There can be no assurance that the company will
continue to maintain this level of new orders or that it can
successfully deliver the components and systems ordered. Additional
information concerning risk factors is contained from time to time in
the Company’s SEC filings. The Company
expressly disclaims any obligation to update the information contained
in this release.
SATCON TECHNOLOGY CORPORATION
CONSOLIDATD BALANCE SHEETS
December 31,
December 31,
ASSETS
2007
2006
Current assets:
Cash and cash equivalents
$12,615,566
$7,190,827
Restricted cash and cash equivalents
84,000
84,000
Accounts receivable, net of allowance of $211,263 and $792,245 at
December 31, 2007 and 2006, respectively
10,462,323
8,549,923
Unbilled contract costs and fees
536,567
267,247
Inventory
17,190,424
7,945,874
Prepaid expenses and other current assets
1,073,194
756,884
Total current assets
$41,962,074
$24,794,755
Property and equipment, net
3,059,651
2,783,900
Goodwill, net
704,362
704,362
Intangibles, net
793,739
1,224,488
Restricted cash
—
1,000,000
Other long-term assets
88,851
69,782
Total assets
$46,608,677
$30,577,287
LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)
Current liabilities:
Current portion of long-term debt
$—
$123,219
Accounts payable
9,153,234
4,538,569
Accrued payroll and payroll related expenses
1,880,867
1,449,185
Other accrued expenses
3,453,883
2,405,447
Accrued contract losses
1,300,000
—
Accrued restructuring costs
—
1,200,326
Current portion of senior secured convertible notes
—
5,500,000
Current portion of warrant liability
436,919
Deferred revenue
8,103,093
5,834,537
Total current liabilities
$23,891,077
$21,488,202
Long-term Senior secured convertible notes, net of current portion
$—
$7,240,482
Long-term warrant liability, net of current portion
3,244,316
2,483,634
Redeemable convertible Series B preferred stock (340 and 345 shares
issued and outstanding at December 31, 2007 and 2006, respectively;
face value $5,000 per share; liquidation preference $1,700,000 and
$1,725,000, respectively.
1,700,000
1,725,000
Other long-term liabilities
133,900
108,049
Total Liabilities
$28,969,293
$33,045,367
Commitments and contingencies (Note L)
Redeemable convertible Series C preferred stock (25,000 shares
issued and outstanding at December 31, 2007, face value $1,000 per
share, liquidation preference $30,000,000 at December 31, 2007)
13,276,091
—
Stockholders' equity (deficit):
Common stock; $0.01 par value, 200,000,000 and 100,000,000 shares
authorized; 49,803,979 and 40,105,073 shares issued and outstanding
at December 31, 2007 and 2006, respectively Additional paid-in
capital
498,040
401,051
Additional paid-in capital Accumulated deficit
180,933,100
156,379,193
Accumulated deficit Accumulated other comprehensive loss
(176,757,615)
(158,991,838)
Accumulated other comprehensive loss
(310,232)
(256,486)
Total stockholders' equity (deficit)
$4,363,293
$(2,468,080)
Total liabilities and stockholders' equity (deficit)
$46,608,677
$30,577,287
SATCON TECHNOLOGY CORPORATION
CONSOLIDATED STATEMENTS OF OPERATIONS
Year Ended
December 31,
2007
2006
Revenue:
Product revenue
$
47,576,601
$
28,766,647
Funded research and development and other revenue
8,994,582
4,990,022
Total revenue
56,571,183
33,756,669
Operating costs and expenses:
Cost of product revenue
44,875,818
27,823,402
Research and development and other revenue expenses:
Funded research and development and other revenue expenses
6,727,122
4,041,137
Unfunded research and development expenses
3,159,184
2,000,271
Total research and development and other revenue expenses
9,886,306
6,041,408
Selling, general and administrative expenses
12,403,952
13,007,946
Amortization of intangibles
350,739
430,959
Gain on sale of assets
—
(399,015
)
Restructuring costs
81,644
1,418,928
Total operating costs and expenses
67,598,459
48,323,628
Operating loss
(11,027,276
)
(14,566,959
)
Change in fair value of notes and warrants
(2,252,264
)
(4,191,768
)
Other (loss) income, net
(976,776
)
41,086
Interest income
280,392
384,394
Interest expense
(3,789,853
)
(1,444,764
)
Net loss
$
(17,765,777
)
$
(19,778,011
)
Deemed dividend and accretion on Series C Preferred Stock
$
(11,947,881
)
—
Dividend on Series C Preferred Stock
(100,000
)
—
Net loss attributable to common stockholders
$
(29,813,658
)
$
(19,778,011
)
Net loss attributable to common stockholders per weighted average
share, basic and diluted
$
(0.66
)
$
(0.50
)
Weighted average number of common shares, basic and diluted
45,433,539
39,290,167