UQM Technologies Reports First Quarter 2006 Operating Results
FREDERICK, Colo., July 27 -- UQM TECHNOLOGIES, INC. (AMEX:UQM) , a developer of alternative energy technologies, announced today operating results for the quarter ended June 30, 2006. Continuing operations for the first quarter resulted in a loss of $785,684 or $0.03 per common share on total revenue of $1,301,332 versus a loss from continuing operations of $720,374 or $0.03 per common share on total revenue of $1,153,205 for the first quarter last year. Net loss for the quarter was $787,796 or $0.03 per common share versus a net loss of $730,805 or $0.03 per common share for the comparable quarter last year.
"During the quarter we received several significant production orders. In early March, we launched production of a vehicle motor auxiliary product and subsequently received two additional orders, which raised the total to 30,000 units, substantially all of which are scheduled for delivery this fiscal year. We also received an order from Denver's Regional Transportation District for UQM(R) generators and electronic controllers to retrofit ten hybrid electric shuttle buses and a $1.9 million production contract for an electronic auxiliary product for hybrid vehicles with deliveries beginning this fall. Shortly after quarter end we received a $750,000 U.S. Air Force contract to develop wheel motors for aircraft ground support equipment. Production revenue of our Power Products segment for the first quarter was $421,700, a large portion of which was from the launch of the vehicle motor auxiliary product, exceeding our revenue guidance of $300,000 for this product for the quarter", said William G. Rankin, UQM Technologies' President and Chief Executive Officer.
"Total revenue for the quarter rose 13 percent versus the comparable quarter last year driven by sharply higher levels of contract services revenue which nearly doubled to $824,354 for the first quarter from $467,588 for the same quarter last year. Loss from continuing operations rose $65,310 to $785,684 for the quarter versus the comparable quarter last year and included approximately $161,000 of additional expense associated with the implementation of new accounting rules requiring the expensing of the cost of stock options," said Donald A. French, UQM Technologies' Treasurer and Chief Financial Officer.
The Company will host a conference call today at 4:30 p.m. Eastern Daylight Time to discuss operating results for the quarter ended June 30, 2006. To attend the conference call, please dial 1-866-321-6651 approximately ten minutes before the conference is scheduled to begin. International callers should dial 1-416-642-5212. For anyone who is unable to participate in the conference, a recording will be available for 48 hours beginning at 6:30 p.m. Eastern Daylight Time today. To access the playback call 1-866-244-4494 and give replay code 214253. International callers should dial 1-416-915-1028.
UQM Technologies, Inc. is a developer and manufacturer of power dense, high efficiency electric motors, generators and power electronic controllers for the automotive, aerospace, medical, military and industrial markets. A major emphasis of the Company is developing products for the alternative energy technologies sector including propulsion systems for electric, hybrid electric and fuel cell electric vehicles, under-the-hood power accessories and other vehicle auxiliaries and distributed power generation applications. The Company's headquarters, engineering and product development center, and motor manufacturing operation are located in Frederick, Colorado. For more information on the Company, please visit its worldwide website at www.uqm.com.
Consolidated Balance Sheets (unaudited)
Assets June 30, 2006 March 31, 2006
Current assets:
Cash and cash equivalents $3,900,444 4,076,806
Short-term investments 5,851,537 6,009,394
Accounts receivable 834,874 512,409
Costs and estimated earnings in
excess of billings on uncompleted contracts 486,090 450,044
Inventories 655,453 467,485
Prepaid expenses and other current assets 317,717 118,439
Total current assets 12,046,115 11,634,577
Property and equipment, at cost:
Land 181,580 181,580
Building 2,303,919 2,297,467
Machinery and equipment 3,043,758 2,808,324
5,529,257 5,287,371
Less accumulated depreciation (2,756,511) (2,683,295)
Net property and equipment 2,772,746 2,604,076
Patent and trademark costs, net of
accumulated amortization of $570,215
and $545,468 531,406 552,382
Other assets 5,053 5,053
Total assets $15,355,320 14,796,088
Liabilities and Stockholders' Equity June 30, 2006 March 31, 2006
Current liabilities:
Accounts payable $571,498 534,428
Other current liabilities 260,996 309,097
Current portion of long-term debt 93,669 92,013
Short-term deferred compensation under
executive employment agreements 127,636 --
Liabilities and commitments of discontinued
operations 42,677 62,004
Billings in excess of costs and estimated
earnings on uncompleted contracts 363,012 221,626
Total current liabilities 1,459,488 1,219,168
Long-term debt, less current portion 597,729 621,685
Long-term deferred compensation under
executive employment agreements 132,488 210,861
730,217 832,546
Total liabilities 2,189,705 2,051,714
Commitments and contingencies
Stockholders' equity:
Common stock, $.01 par value,
50,000,000 shares authorized;
25,130,551 and 24,776,042 shares
issued and outstanding 251,306 247,760
Additional paid-in capital 70,498,952 69,293,461
Accumulated deficit (57,584,643) (56,796,847)
Total stockholders' equity 13,165,615 12,744,374
Total liabilities and stockholders'
equity $15,355,320 14,796,088
Consolidated Statements of Operations (unaudited)
Quarter Ended June 30,
2006 2005
Revenue:
Contract services $824,354 467,588
Product sales 476,978 685,617
1,301,332 1,153,205
Operating costs and expenses:
Costs of contract services 655,125 662,556
Costs of product sales 524,076 603,686
Research and development 95,151 30,320
Production engineering 248,372 166,690
Selling, general and administrative 672,517 448,445
Impairment of long-lived assets -- 1,455
2,195,241 1,913,152
Loss from continuing operations
before other income (expense) (893,909) (759,947)
Other income (expense):
Interest income 120,652 56,165
Interest expense (12,427) (16,592)
108,225 39,573
Loss from continuing operations (785,684) (720,374)
Discontinued operations:
Loss from operations of discontinued
electronic products segment (2,112) (10,431)
Net loss $(787,796) (730,805)
Net loss per common share - basic and
diluted:
Continuing operations $(.03) (.03)
Discontinued operations -- --
$(.03) (.03)
Weighted average number of shares of common
stock outstanding - basic and diluted 25,026,218 23,193,205
The following table summarizes significant financial statement information for continuing operations of each of the reportable segments as of and for the quarter ended June 30, 2006:
Power
Technology Products Total
Revenue $879,632 421,700 1,301,332
Interest income 119,089 1,563 120,652
Interest expense -- (12,427) (12,427)
Depreciation and amortization (67,129) (30,835) (97,964)
Segment loss from continuing
operations (606,047) (179,637) (785,684)
Assets of continuing
operations 12,503,459 2,851,861 15,355,320
Expenditures for long-lived
segment assets $(85,233) (160,425) (245,658)
The following table summarizes significant financial statement information for continuing operations of each of the reportable segments as of and for the quarter ended June 30, 2005:
Power
Technology Products Total
Revenue $725,144 428,061 1,153,205
Interest income 53,756 2,409 56,165
Interest expense -- (16,592) (16,592)
Depreciation and amortization (60,274) (28,508) (88,782)
Segment earnings (loss) from
continuing operations (748,588) 28,214 (720,374)
Assets of continuing
operations 13,208,642 2,877,825 16,086,467
Expenditures for long-lived
segment assets $(16,978) (26,319) (43,297)