Spire moves to expand EPC business as third-quarter results reflect 57% revenue drop year-on-year

Reporting on its third-quarter financial results, Spire has revealed that it is responding to a 57% reduction in operating revenues by turning its efforts to bolstering its EPC integration activities. Revenue for the quarter reached US$8.9 million, less than half the US$20.6 million figure for the same quarter in 2010.

However, Spire highlighted that the US$20.6 million figure was amassed during a period that saw non-recurring cell materials revenues of US$2.5 million, as well as a US$7.3 million lump sum that was the result of installation of four solar systems.

For the third quarter of 2011, the company reported a net loss of US$1.8 million compared to a net loss of US$915,000 for the same period of 2010. Continuing operations revenue for the first, second and third quarters of 2011 were US$42.0 million, a 32% decrease from US$61.9 million for the same nine-month period in 2010.

Net loss for the same nine months in 2011 came in at US$3.1 million, versus US$208,000 for the corresponding period in 2010. The company also has unrestricted cash and cash equivalents of US$2.3 million.

Commenting on the losses, Roger G. Little, Spire’s chairman and CEO, said, “Third quarter operating results were disappointing as we experienced the worldwide slowdown in capital equipment spending in the solar industry. However, we anticipated the slowdown early in the year and reduced our costs considerably minimizing operational losses.”

He continued, “We have hired new staff to expand our EPC business, taking advantage of recent cost reductions of modules and the fast growing domestic market for systems… Also we have a number of high volume potential customers evaluating our world record efficiency concentrator solar cells.”