FuelCell Energy, Inc. Reports First Quarter Results
29 February 2000
FuelCell Energy, Inc. Reports First Quarter Results
DANBURY, Conn.--Feb. 29, 2000--FuelCell Energy, Inc. (AMEX:FCL) today reported first quarter results for the period ended January 31, 2000.The company reported a net profit of $5,000 or $.00 per diluted share compared with a loss of $(348,000) or $(.06) per diluted share for the same quarter of the previous year. Operating costs and legal and professional fees associated with the spin-off of Evercel, Inc. in February 1999 were not repeated in the current fiscal quarter. Revenues under government contracts were down in the quarter but were in line with funding levels, and a contract that shipped in January 1999 was not replaced in this quarter.
"We continued to meet important technical and business commercialization milestones during the first quarter and are very pleased with our progress at the start of the new year," said Jerry D. Leitman, president and CEO of FuelCell Energy. "From the November start up of a commercial field trial in Germany, to the selection of our company to install a field trial in Los Angeles, to the completion of negotiations for the Mercedes project, we are very focused on delivering the right product to our customers."
Significant events during the first quarter included:
- The start-up and operation of a 250 kW Direct FuelCell (DFC) power plant utilizing FuelCell Energy fuel cells by DaimlerChrysler's MTU division in Bielefeld, Germany.
- Selection by the Los Angeles Department of Water and Power to build a DFC power plant on the site of an LADWP customer.
- Continued operation of the company's commercial-scale power plant at its Danbury, Connecticut headquarters.
FuelCell Energy also recently announced a commercial field trial at the Mercedes-Benz manufacturing facility in Tuscaloosa, Ala. The project is a joint effort with Southern Co., the Alabama Municipal Electric Authority and Mercedes-Benz U.S. International, Inc.
FuelCell Energy, Inc., based in Danbury, Conn., is a leader in the field of high efficiency fuel cells for electric power generation. The Company's Direct FuelCell (DFC) technology takes the inherent attractiveness of fuel cells one step further by eliminating the external fuel processing to extract hydrogen from a hydrocarbon fuel. This results in a simpler and more efficient system compared with conventional fuel cells. DFC technology is being commercialized in cooperation with industry customers and the U.S. Department of Energy's advanced fuel cell research program, which is managed by the Office of Fossil Energy's National Energy Technology Laboratory.
This press release contains forward-looking statements, including statements regarding the Company's plans and expectations regarding the development and commercialization of its fuel cell technology. All forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those projected. Factors that could cause such a difference include, without limitation, the risk that commercial field trials of the Company's products will not occur when anticipated, general risks associated with product development, manufacturing, changes in the utility regulatory environment, potential volatility of energy prices, rapid technological change, and competition, as well as other risks set forth in the Company's filings with the Securities and Exchange Commission. The forward-looking statements contained herein speak only as of the date of this press release. The Company expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any such statement to reflect any change in the Company's expectations or any change in events, conditions or circumstances on which any such statement is based.
FUELCELL ENERGY, INC.
RESULTS OF OPERATIONS
(In thousands, except per share data)
(unaudited)
THREE MONTHS ENDED JANUARY 31,
2000 1999
Revenues $3,600 $6,284
License fee income, net 63 (16)
Net income (loss) before
income taxes $ 7 $ (589)
Net income (loss) $ 5 $ (348)
Basic earnings (loss) per share $ .00 $ (.06)
Basic shares outstanding 6,332,898 6,247,488
Diluted earnings (loss) per
share $ .00 $ (.06)
Diluted shares outstanding 6,745,827 6,247,488
BALANCE SHEET
(In thousands)
ASSETS
January 31, October 31,
2000 1999
Current assets $11,073 $10,395
Property, plant & equipment,
Net 6,935 7,195
Other assets 2,103 2,241
Total assets $20,111 $19,831
LIABILITIES AND SHAREHOLDERS' EQUITY
January 31, October 31,
2000 1999
Current liabilities $3,409 $3,191
Long-term debt 1,588 1,625
Minority interest 200 200
Shareholders' equity 14,914 14,815
Total liabilities and
Shareholders' equity $20,111 $19,831