Enova Systems Reports Year End Results; 2002 -- A Year of New Products, New Alliance and Increased Growth
TORRANCE, Calif.--April 2, 2003--Enova Systems, Torrance, California (OTCBB:ENVA), has submitted its results for the year ended December 31, 2002 to the U.S. Securities and Exchange Commission reporting revenues increased to $4.45 million for the year -- an 18% increase over the previous year.2002 was a year of important accomplishments signifying Enova's technological prowess as well as increasing market utilization of its production systems:
| -- | Enova teamed with three new world-class partners in 2002: ChevronTexaco in power management for stationary fuel cells; Advanced Vehicle Systems for heavy-duty buses and trucks; and Hyundai Heavy Industries of Korea to build a new advanced technology center at our Torrance headquarters. |
| -- | Enova developed and delivered several new power management and drive system products in 2002, including our heavy-duty 240kW drive system for buses and trucks, the High Voltage Energy Converter -- for stationary and automotive fuel cell applications, a Dual 90kW drive system -- also for heavy-duty vehicle applications and an 18kW on-board charger system for vehicle applications. |
| -- | Enova raised an additional $4.21 million in equity capital despite the most difficult market conditions -- underscoring the investment community's commitment to Enova and its niche in the alternative energy sectors. |
The Company's net sales of $4,455,000 for the year ended December 31, 2002 increased $675,000 or 18% from $3,780,000 during the same period in 2001. Our revenue base is shifting, with a higher concentration in sales of production systems as we expand our market penetration in these areas. Product sales as a percentage of total revenues increased to 59% in 2002, as compared with 26% in 2001, underscoring our move toward greater product revenues.
During 2002, we invested heavily in research and development for new technologies to enhance existing products as well as develop new products, in the areas of mobile and stationary power management and conversion. This is an important part of Enova's ongoing enhancement of its technologies to be more universally adaptable to the requirements of our current and prospective customers. Expenses also were incurred for the development and expansion of programs for our 240kW drive system for heavy-duty buses and trucks for global OEMs, advanced power management systems for fuel cells, a Panther 90kW Dual Motor drive system -- also for heavy-duty vehicle applications, a diesel generation engine/motor system for our heavy-duty drive systems, an 18kW on-board charger system and upgrades and improvements to our current power conversion and management components and developments for stationary and mobile fuel cell applications. Nonetheless, taking into account these expenses -- and despite our expansion -- net losses for 2002 remained relatively even, at $3,598,000 in 2002, compared to $3,428,000 in 2001.
Carl D. Perry, CEO and President stated, "Enova expanded its product and customer base in 2003. We believe Enova has positioned itself for accelerated growth in 2003 and beyond. Industry recognition of our products and product-support services in heavy-duty, stationary and fuel cell power management and control systems is growing rapidly. I am confident of the prospects for Enova in the mobile and stationary power management, conversion and process control into the future."
This news release contains forward-looking statements relating to Enova Systems and its products. These forward-looking statements are subject to and qualified by certain risks and uncertainties. Such statements do not imply the future success of the Company or its products. These risks and uncertainties and other risks are detailed from time to time in Enova Systems' periodic filings with the Securities and Exchange Commission under the name Enova Systems, Inc., including but not limited to Enova's annual report on Form 10-K for the year ended December 31, 2002. Enova assumes no duty to update these statements.