SAN FRANCISCO, Nov. 19, 2012 (GLOBE NEWSWIRE) -- ECOtality, Inc. (Nasdaq:ECTY), a leader in clean electric transportation and storage technologies, reported financial results for the third quarter ended September 30, 2012.
Q3 2012 Summary of Financial Results
Revenue in the third quarter of 2012 increased 52% to $14.4 million from $9.5 million in the third quarter of 2011. The increase in revenue was largely attributed to the continued successful roll out of ECOtality's Blink® network of charging stations for the EV Project. The EV Project is a public-private partnership with the Department of Energy (DOE) that seeks to develop, implement and study techniques for optimizing the deployment of a commercially viable electric vehicle (EV) charging infrastructure.
Net loss for the third quarter of 2012 was $4.6 million or $(0.19) per basic and diluted share, as compared to a net loss of $3.4 million or $(0.14) per basic and diluted share in the same year-ago quarter. This net loss for the third quarter of 2012 includes both a $3.5 million goodwill impairment loss; as well as a $2.5 million favorable impact in cost of goods sold resulting from an amendment to the EV Project agreement. This amendment extended the performance period under the agreement, resulting in prospective recognition of equipment depreciation at lower per-period amounts over an increased number of periods.
Combined cash, restricted cash and cash equivalents at September 30, 2012 totaled $2.1 million, as compared to $10.2 million at December 31, 2011. The decrease in cash was primarily attributed to purchases of inventory and equipment in support of the EV Project. In early October 2012, the company received $12 million of invoice payments, which significantly improved its near-term cash position.
Q3 2012 Operational Highlights
- Instituted access fees at nearly all Level 2 EV public charger locations within the Blink network, while charging events at these public locations grew 44% in the quarter vs. Q2.
- Installed more than 1,100 Blink chargers during the quarter, bringing the total number of charging stations to approximately 8,800.
- Became the first EVSE company to surpass 1 million residential charge events.
- Installed more than 40 Blink DC Fast Chargers across the U.S. to date. Blink DC Fast Chargers are capable of providing an 80% charge in less than 30 minutes for most EVs.
- Expanded the EV Project's geographic footprint to Atlanta, Chicago and Philadelphia, installing Blink EV charging stations in those regions. The EV project is now in nine states and 21 major metropolitan areas throughout the country.
Management Commentary
"In Q3, the introduction of access fees throughout the Blink network of public charging stations shows our early-stage commercialization efforts and further validation of our business model," said Ravi Brar, ECOtality's president and chief executive officer. "Our nationwide roll-out of the Blink network gained momentum in the third quarter as we expanded to three new states and achieved strong growth in the total number of charging stations.
"As we improve and expand our core charger business, we are focused on growing complementary business lines, like our industrial Minit-Charger group. In fact, we recently received a $1 million order from a major international airline for electric, aviation ground support equipment applications.
"In addition to several cost containment measures, we are also developing two new products: an improved EVSE, and our next-generation, modular industrial charging system for material handling, both of which are on track for launch in the first half of 2013. Moving ahead, we see further margin improvement as we reduce costs, expand our geographic footprint and grow our complementary lines of business."
Conference Call
ECOtality will host a conference call tomorrow morning to discuss its third quarter results and outlook for the remainder of the year, followed by a question and answer period. ECOtality representatives on the call will be President and CEO Ravi Brar, COO Murray Jones, and CFO Susie Herrmann.
| Date: Tuesday, November 20, 2012 |
| Time: 10:00 a.m. Eastern time (7:00 a.m. Pacific time) |
| Dial-In Number: 1-877-941-8416 |
| International: 1-480-629-9856 |
| Conference ID#: 4573433 |
| Webcast: http://public.viavid.com/index.php?id=102343 |
The conference call will be webcast simultaneously and available for replay via the Investor Relations section of the company's website at http://investor.ecotality.com/.
Please call the conference telephone number 5-10 minutes prior to the start time. An operator will register your name and organization. If you have any difficulty connecting with the conference call, please contact Liolios Group at 1-949-574-3860.
A replay of the call will be available after 1:00 p.m. Eastern time on the same day and until November 27, 2012.
| Toll-free replay number: 1-877-870-5176 |
| International replay number: 1-858-384-5517 |
| Replay pin number: 4573433 |
About ECOtality, Inc.
ECOtality, Inc. (Nasdaq:ECTY), headquartered in San Francisco, California, is a leader in clean electric transportation and storage technologies. Through innovation, acquisitions, and strategic partnerships, ECOtality accelerates the market applicability of advanced electric technologies to replace carbon-based fuels. For more information about ECOtality, Inc., please visit www.ecotality.com.
The ECOtality, Inc. logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=13434
Forward-Looking Statements
This release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All forward-looking statements are inherently uncertain as they are based on current expectations and assumptions concerning future events or future performance of the company. Readers are cautioned not to place undue reliance on these forward-looking statements, which are only predictions and speak only as of the date hereof. In evaluating such statements, prospective investors should review carefully various risks and uncertainties identified in this release and matters set in the company's SEC filings. These risks and uncertainties could cause the Company's actual results to differ materially from those indicated in the forward-looking statements. The Company assumes no duty or obligation to update or revise any forward-looking statements for any reason.
| ECOTALITY INC. | ||
| CONDENSED CONSOLIDATED BALANCE SHEETS | ||
| (In thousands, except per share data) | ||
|
September 30, 2012 |
December 31, 2011 |
|
| (Unaudited) | ||
| ASSETS | ||
| CURRENT ASSETS: | ||
| Cash and cash equivalents | $ 1,935 | $ 9,591 |
| Restricted cash | 200 | 587 |
| Receivables, net of allowance for bad debts of $186 and $81 as of September 30, 2012 and December 31, 2011, respectively | 14,889 | 3,124 |
| Inventory | 23,447 | 15,497 |
| Prepaid expenses and other current assets | 691 | 732 |
| Total current assets | 41,162 | 29,531 |
| Property and equipment, net | 18,511 | 16,630 |
| Other assets | 177 | 147 |
| Goodwill | -- | 3,496 |
| Intangible assets, net | 933 | 709 |
| TOTAL ASSETS | $ 60,783 | $ 50,513 |
| LIABILITIES AND STOCKHOLDERS' EQUITY | ||
| CURRENT LIABILITIES: | ||
| Accounts payable | $ 6,251 | $ 10,939 |
| Accrued legal fees | 177 | 125 |
| Accrued payroll | 1,436 | 793 |
| Unearned revenue, current portion | 17,793 | 11,078 |
| Warranty reserves | 594 | 577 |
| Current portion of long term debt | -- | 1,647 |
| Accrued liabilities, other | 2,745 | 2,439 |
| Total current liabilities | 28,996 | 27,598 |
| Long term portion of unearned revenue | 10,804 | 121 |
| Convertible note, less unamortized discount of $69 as of September 30, 2012 | 4,931 | -- |
| Other long term debt | 328 | 109 |
| TOTAL LIABILITIES | 45,059 | 27,828 |
| Stockholders' equity: | ||
| Series A convertible preferred stock, $0.001 par value, 200,000 shares authorized, 6,330 shares issued and outstanding as of September 30, 2012 and December 31, 2011 | 6 | 6 |
| Common stock, $0.001 par value, 1,300,000 shares authorized, 23,756 and 23,915 shares issued and outstanding as of September 30, 2012 and December 31, 2011, respectively | 24 | 24 |
| Additional paid-in capital | 127,886 | 127,488 |
| Accumulated deficit | (112,084) | (104,759) |
| Accumulated other comprehensive loss | (108) | (74) |
| TOTAL STOCKHOLDERS' EQUITY | 15,724 | 22,685 |
| TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ 60,783 | $ 50,513 |
| ECOTALITY INC. | ||||
| CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS | ||||
| (In thousands, except share and per share data) | ||||
| Three Months Ended | Nine Months Ended | |||
| September 30, | September 30, | |||
| 2012 | 2011 | 2012 | 2011 | |
| (Unaudited) | (Unaudited) | |||
| Revenue | $ 14,442 | $ 9,510 | $ 41,106 | $ 19,885 |
| Cost of goods sold | 8,267 | 6,638 | 26,720 | 18,851 |
| Gross profit | 6,175 | 2,872 | 14,386 | 1,034 |
| Operating expenses: | ||||
| Sales and marketing | 956 | 878 | 3,493 | 2,213 |
| Research and development | 671 | 117 | 1,296 | 363 |
| General and administrative | 5,604 | 5,118 | 15,784 | 12,257 |
| Impairment losses | 3,496 | -- | 3,496 | -- |
| Warrant expense | -- | -- | -- | 1,784 |
| Total operating expenses | 10,727 | 6,113 | 24,069 | 16,617 |
| Loss from operations | (4,552) | (3,241) | (9,683) | (15,583) |
| Interest income | -- | 13 | 165 | 18 |
| Interest expense | (88) | (169) | (193) | (211) |
| Other income, net | 27 | 4 | 2,432 | 13 |
| Loss before income taxes | (4,613) | (3,393) | (7,279) | (15,763) |
| Income tax expense | (24) | -- | (45) | -- |
| Net loss | $ (4,637) | $ (3,393) | $ (7,324) | $ (15,763) |
| Net loss per share: | ||||
| Basic | $ (0.19) | $ (0.14) | $ (0.31) | $ (0.93) |
| Diluted | $ (0.19) | $ (0.14) | $ (0.31) | $ (0.93) |
| Weighted-average common shares outstanding: | ||||
| Basic | 23,890,770 | 23,524,931 | 23,906,749 | 17,007,443 |
| Diluted | 23,890,770 | 23,524,931 | 23,906,749 | 17,007,443 |