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Spire Corporation Reports Second-Quarter 2010 Results

^{Published on 2010-08-11 14:50:42 - Market Wire}
 

BEDFORD, Mass.--([ BUSINESS WIRE ])--[ Spire Corporation ] (Nasdaq: SPIR), a global solar company providing capital equipment and turnkey manufacturing lines to manufacture photovoltaic (PV) modules and cells, today reported revenues from continuing operations for the second-quarter ended June 30, 2010 of $22.3 million, a 1% increase from $22.2million for the same quarter of 2009. Net income for the second-quarter of 2010 was $1.4 million, or $0.16 per share, compared with a net loss of $4.6 million, or $(0.55)per share for the second-quarter of 2009. The net income for the second quarter of 2010 includes a net gain of $1.6 million or $0.19 per share versus a $201,000 loss in the second quarter of 2009, or $(0.03) per share, from the Companya™s Medical Products Business Unit which has been classified as discontinued operations.

"Gross margins increased by 105% to 16.4% from 8.0% for the quarter ended June30, 2010 and 2009, respectively, cost containment programs along with favorable product mix with higher margins in solar module equipment sales delivered stronger margins."

Revenues from continuing operations for the first six months ended June 30, 2010 were $41.2 million, a 23% increase from $33.6 million for the same sixmonth period in 2009. Net income for the six months ended June30, 2010 was $707,000, or $0.09 per share, compared with a net loss of $6.1 million, or $(0.73) per share, for the same period in 2009. These results include a net gain of $1.5 million and a net loss of $391,000, or $0.18 and $(0.05) per share, for the six month period ended June 30, 2010 and 2009, respectively, from the Companya™s Medical Products Business Unit which has been classified as a discontinued operation. Additionally, during the first six months of 2009, the Company initiated the dissolution of its solar systems joint venture which represented a loss of $1 million in that period.

Net cash used in operating activities of continuing operations was $1.9million for the six months ended June30, 2010, compared to net cash used in operating activities of $1.2 million for the same period in 2009. As of June30, 2010, the Company had cash and cash equivalents of $9.5 million of which $8.0 million is unrestricted.

Roger G. Little, Chairman and CEO, said, aWe are pleased that we had record revenues in the first half of 2010 with solar products and services, growing 24% from a year ago, and now representing 85% of our total revenue. During the first half of fiscal year 2010, the Company delivered a 50 megawatt (MW) per year module manufacturing line to UNICOR a" Federal Prison Industries Inc. along with finalizing the terms of a previously installed 25MW Cell Line to Solaria Energia S.A. In addition, we continue to see strong volume with respect to our market leading SPI-Sun Simulator as well as an increase in the volume of solar cell revenue and solar systems implementation projects.a

Mr. Little went on to say, aGross margins increased by 105% to 16.4% from 8.0% for the quarter ended June30, 2010 and 2009, respectively, cost containment programs along with favorable product mix with higher margins in solar module equipment sales delivered stronger margins.a

Conference Call Information

Spire Corporation will host its second-quarter 2010 financial results conference call on Thursday August 12, 2010 at 4:30 pm (ET). On the call, Chairman and CEO, Roger G. Little and Chief Financial Officer and Treasurer, RobertS.Lieberman will discuss Spirea™s second-quarter 2010 financial results, as well as the Companya™s business outlook and growth strategy. During the conference call, the Company may answer questions concerning business and financial developments, trends, and other business and financial matters. The Companya™s responses to these questions, as well as other matters discussed during the conference call, may contain or constitute information that has not been previously disclosed.

Please preregister at [ https://www.theconferencingservice.com/prereg/key.process?key=P6XMWLKW9 ]. Those who wish to listen to the conference call webcast should visit the aInvestorsa section of the Companya™s website at [ www.spirecorp.com ]. The live call also can be accessed by dialing 888.679.8037 (international dial-in number: 617.213.4849) with the passcode: 22 01 39 40. If you are unable to listen to the live call, the webcast will be archived on the Companya™s website.

About Spire Corporation

[ Spire Corporation ] is an American global solar company providing advanced technology and capital equipment to manufacture PV cells and modules. From more information, please email [ PR@SpireCorp.com ].

Certain matters described in this press release including those relating to Spirea™s prospects for growth constitute forward-looking statements under the federal securities laws. The discussion of forward-looking information requires management of the Company to make certain estimates and assumptions regarding the Companya™s strategic duration and the effect of such plans on the Companya™s financial results. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those indicated in the forward-looking statements. Such risks and uncertainties include, but are not limited to, the risk of dependence on market growth, competition and dependence on government agencies and other third parties for funding contract research and services, as well as other factors described in the Company's Form10-K and other periodic reports filed with the Securities and Exchange Commission. Forward-looking statements contained in the press release speak only as of the date of this release. Subsequent events or circumstances occurring after such date may render these statements incomplete or out of date. The Company undertakes no obligation and expressly disclaims any duty to update such statements.