Capstone out with Q3 Guidance
Capstone Turbine Corporation (NASDAQ:CPST) issued soft preliminary third-quarter guidance. The company said it expects preliminary sales of $17.4 million, versus analysts’ estimates of $20.74 million.
Capstone, headquartered in Van Nuys, Calif., reported Monday that it had Company allocated 0.8 MW of new production slots to grow its long-term microturbine rental fleet, which now stands at 7 MW, approaching our 10 MW goal.
Capstone's preliminary results show total revenue for the third quarter of fiscal 2020 decreased by approximately 3%, to $17.4 million compared to $18.0 million in the same period last year. Capstone's preliminary product revenue decreased approximately 22% compared to the same period last year, to approximately $7.9 million.
Capstone received approximately $1.9 million for the calendar year 2019 from the DSS program and announces the potential for $2.4 million in the calendar year 2020.
Total preliminary revenue for the third quarter of fiscal 2020 is $17.4 million compared to $18.0 million in the year-ago third quarter.
Total cash and cash equivalents as of December 31, 2019, are estimated to be $16.7 million, compared to $20.9 million as of September 30, 2019. The Company received approximately $1.2 million from financing activities during the quarter.
CEO Darren Jamison said, "Our aftermarket service, DSS program, and long-term rental business continues to grow as we planned and is driving the majority of our future margin expansion.
“Product shipments ebbed during the quarter as many U.S. businesses pushed projects into 2020. In addition, the uncertainty surrounding BREXIT delayed multiple project decisions in the European Union, which are now expected to close since the recent election in the U.K.”
Shares stumbled 21 cents, or 5.8%, to $3.42