Attached files
| file | filename |
|---|---|
| 8-K - LIVE FILING - ENERGY FOCUS, INC/DE | htm_39719.htm |
| EX-99.2 - EX-99.2 - ENERGY FOCUS, INC/DE | exhibit2.htm |
ENERGY FOCUS, INC. REPORTS THIRD QUARTER 2010 RESULTS
PROVIDES FOURTH QUARTER FORECAST
SOLON, Ohio, November 11, 2010 — Energy Focus, Inc. (NASDAQ: EFOI) today announced financial results for the third quarter ended September 30, 2010 and forecast for fourth quarter 2010 sales and cash projections.
Financial and operating highlights for the third quarter of 2010 include the following:
| • | Net sales from continuing operations increased in the third quarter of 2010 to $9.0 million, compared to $3.0 million for the third quarter of 2009. |
| • | The company finished the quarter with a balance sheet showing cash in the amount of $2.7 million and total shareholders’ equity of $8.0 million. |
| • | Cash generation for the third quarter of 2010 was $0.6 million, compared to cash utilization of $2.3 million in the third quarter of 2009. Excluding net proceeds from financing activities, the company had cash generation of $0.5 million in the third quarter 2010 yielding a year to date net cash of $155,000 generated by operations. |
| • | $2.8 million in lighting solutions contracts secured and $1.4 million in new military contracts. |
The forecast for Q4 and 2010 include the following:
| • | Sales, as previously forecast, in excess of $35 million are anticipated for 2010 with net sales from continuing operations expected to exceed $8.4 million in the fourth quarter 2010 versus $3.6 million in the fourth quarter 2009. |
| • | The company anticipates being net cash flow positive from operations in 2010. |
| • | $5.6 million, for at least a total of $27.4 million, in lighting solutions contracts secured by the end of the fourth quarter for work expected to be completed in 2010 and 2011. |
“We continue to be delighted with the performance of our solutions, US products and military businesses,” said Joe Kaveski, CEO of Energy Focus, Inc. “During the third quarter, Rob Wilson, Steve Gasperson and their teams helped sustain our first and second quarter’s sales momentum by securing an additional $2.8 million in lighting solutions contracts and delivering over $9.0 million in total sales. Furthermore, Roger Buelow and his government team secured an additional $1.4 million in new military contracts during the quarter. The government team has now secured a total of $3.0 million in new contracts for the year.”
Energy Focus management will host a conference call on Thursday, November 11, 2010 at 4:30 p.m. EDT (1:30 p.m. PDT) to review the third quarter 2010 financial results and other corporate events, followed by a Q & A session. Dialing 1-866-416-5346 (US/Canada) or 1-913-312-0967 (International/Local), participants can access the conference call. The conference ID number is 5330384. Participants are asked to call the assigned number approximately 10 minutes before the conference call begins.
The conference call will also be available over the Internet at http://www.energyfocusinc.com in the Investor Relations area of the site. A replay of the conference call will be available two hours after the call for the following 7 days by dialing 1-866-416-5346 (US/Canada) or 1-913-312-0967 (international/local) and entering the following pass code: 5330384. Also, a replay of the conference call will be available over the Internet at http://www.energyfocusinc.com on November 11th, 2010 and will remain available for one year in the Investor Relations area of the site.
About Energy Focus, Inc.
Energy Focus, Inc. is a leading provider of energy efficient LED lighting products and turnkey energy efficient lighting solutions, holding 69 relevant lighting patents. Our solutions provide energy savings, aesthetics, safety and maintenance cost benefits over conventional lighting. Our long-standing relationship with the U.S. Government includes numerous research and development projects for the DOE and DARPA, creating energy efficient LED lighting systems for the U.S. Navy fleet and the next generation Very High Efficiency Solar Cell. Customers include supermarket chains, the US government, state and local governmental agencies, retail stores, museums, theme parks and casinos, hotels, swimming pool builders and many others. Company headquarters are located in Solon, OH, with additional offices in Nashville, TN, Pleasanton, CA, and the United Kingdom. For more information, see www.energyfocusinc.com.
Forward-looking statements in this release are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. For more information about potential factors that could affect Energy Focus financial results, please refer to the Company’s SEC reports, including its Annual Reports on Form 10-K and its quarterly reports on Form 10-Q. These forward-looking statements speak only as of the date hereof. Energy Focus disclaims any intention or obligation to update or revise any forward-looking statements.
Media Contact: |
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Energy Focus, Inc., Public Relations Office |
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(440) 715-1295
pr@energyfocusinc.com |
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Investor Contact: |
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Brian Tanous
CleanTech IR, Inc
(310)-541-6824
btanous@cleantech-ir.com |
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| ENERGY FOCUS, INC. |
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CONDENSED CONSOLIDATED BALANCE SHEETS
(amounts in thousands except share and per share data)
| September 30, | December 31, | |||||||
| 2010 | 2009 | |||||||
ASSETS |
(unaudited) | |||||||
Current assets: |
||||||||
Cash and cash equivalents |
$ | 2,748 | $ | 1,062 | ||||
Accounts receivable, net |
5,955 | 2,922 | ||||||
Inventories, net |
2,775 | 3,770 | ||||||
Prepaid and other current assets |
516 | 509 | ||||||
Total current assets |
11,994 | 8,263 | ||||||
Property and equipment, net |
2,627 | 3,091 | ||||||
Goodwill |
672 | 672 | ||||||
Intangible assets, net |
1,945 | 2,750 | ||||||
Collateralized assets |
2,500 | 2,500 | ||||||
Other assets |
70 | 102 | ||||||
Total assets |
$ | 19,808 | $ | 17,378 | ||||
LIABILITIES |
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Current liabilities: |
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Accounts payable |
$ | 5,836 | $ | 1,677 | ||||
Accrued liabilities |
2,414 | 1,854 | ||||||
Deferred revenue |
883 | 295 | ||||||
Total current liabilities |
9,133 | 3,826 | ||||||
Other deferred liabilities |
3 | 149 | ||||||
Acquisition-related contingent liabilities |
886 | 1,183 | ||||||
Long-term borrowings |
1,768 | 715 | ||||||
Total liabilities |
11,790 | 5,873 | ||||||
SHAREHOLDERS’ EQUITY |
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Preferred stock, par value $0.0001 per share: |
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Authorized: 2,000,000 shares in 2010 and 2009 |
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Issued and outstanding: no shares in 2010 and 2009 |
— | — | ||||||
Common stock, par value $0.0001 per share: |
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Authorized: 60,000,000 shares at September 30, 2010 and |
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30,000,000 at December 31, 2009 |
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Issued and outstanding: 23,721,000 at September 30,
2010 and |
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21,250,000 at December 31, 2009 |
1 | 1 | ||||||
Additional paid-in capital |
74,830 | 71,373 | ||||||
Accumulated other comprehensive income |
475 | 474 | ||||||
Accumulated deficit |
(67,288 | ) | (60,343 | ) | ||||
Total shareholders’ equity |
8,018 | 11,505 | ||||||
Total liabilities and shareholders’ equity |
$ | 19,808 | $ | 17,378 | ||||
| The accompanying notes are an integral part of these financial statements. |
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ENERGY FOCUS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(amounts in thousands except per share amounts)
(unaudited)
| Three months ended | Nine months ended | |||||||||||||||
| September 30, | September 30, | |||||||||||||||
| 2010 | 2009 | 2010 | 2009 | |||||||||||||
Net sales |
$ | 9,049 | $ | 3,023 | $ | 26,364 | $ | 8,871 | ||||||||
Cost of sales |
7,187 | 2,700 | 21,539 | 7,508 | ||||||||||||
Gross profit |
1,862 | 323 | 4,825 | 1,363 | ||||||||||||
Operating expenses: |
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Research and development |
(22 | ) | (61 | ) | (101 | ) | 270 | |||||||||
Sales and marketing |
1,721 | 1,429 | 4,858 | 4,549 | ||||||||||||
General and administrative |
1,528 | 1,408 | 4,723 | 3,845 | ||||||||||||
Revaluation of equity instruments |
53 | — | 1,803 | — | ||||||||||||
Restructuring expense |
— | 125 | 26 | 125 | ||||||||||||
Total operating expenses |
3,280 | 2,901 | 11,309 | 8,789 | ||||||||||||
Loss from operations |
(1,418 | ) | (2,578 | ) | (6,484 | ) | (7,426 | ) | ||||||||
Other income (expense): |
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Other income (expense) |
9 | (88 | ) | (57 | ) | 79 | ||||||||||
Interest expense |
(153 | ) | (21 | ) | (400 | ) | (61 | ) | ||||||||
Loss from continuing operations before income taxes |
(1,562 | ) | (2,687 | ) | (6,941 | ) | (7,408 | ) | ||||||||
Provision for income taxes |
(1 | ) | — | (4 | ) | — | ||||||||||
Loss from continuing operations |
$ | (1,563 | ) | $ | (2,687 | ) | $ | (6,945 | ) | $ | (7,408 | ) | ||||
Discontinued operations: |
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Income (loss) from discontinued operations |
— | 69 | — | (600 | ) | |||||||||||
before income taxes |
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Provision for income taxes |
— | — | — | — | ||||||||||||
Income (loss) from discontinued operations |
— | 69 | — | (600 | ) | |||||||||||
Net loss |
$ | (1,563 | ) | $ | (2,618 | ) | $ | (6,945 | ) | $ | (8,008 | ) | ||||
Net loss per share — basic and diluted |
$ | (0.07 | ) | $ | (0.17 | ) | $ | (0.31 | ) | $ | (0.54 | ) | ||||
Shares used in computing net loss per share - |
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basic and diluted |
23,420 | 15,079 | 22,431 | 14,946 | ||||||||||||
| The accompanying notes are an integral part of these financial statements. |
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