A-Power Energy Generation Systems, Ltd. (NASDAQ:APWR) is a Chinese maker of distributed power generation systems and, just recently, wind turbines. The company reported fourth quarter and full-year 2008 results before the market opened this morning.
Diluted EPS for the quarter reached $0.30, double analysts’ estimates of $0.15, and revenues of $80.1 million exceeded estimates of $75.91 million. The company pointed out that the number of its fully diluted shares increased from 13.7 million in the fourth quarter of 2007 to 33.1 million in the 2008 quarter.
A-Power’s gross margins also increased in the fourth quarter, from 11.2% a year ago to 17.8%. For the full year, gross margins were 13.9%, up from 13.5% a year ago. With margins growing, the company heads into 2009 with a full head of steam.
The company recently signed an agreement with a division of General Electric Company (NYSE:GE) for turbine gearboxes for 2.7 megawatts of wind generators, and has established a joint venture with GE to build a plant in China to manufacture wind turbine gearboxes. A-Power launched China’s largest wind turbine plant in January with production capacity of 1,125 megawatts.
For 2009, A-power expects revenues of $290 million, up from $264.9 million in 2008. That seems a bit pessimistic because it is based almost solely on sales of the company’s distributed generation equipment. The company notes that its wind power effort is “still in its infancy,” but it anticipates strong demand.
The share price is up more than 29% at $5.80 in fairly active pre-market trading. The 52-week share price range is $3.00-$31.89.
Paul Ausick
April 9, 2009
Take Charge of Your Retirement In Just A Few Minutes (Sponsor)
Retirement planning doesn’t have to feel overwhelming. The key is finding expert guidance—and SmartAsset’s made it easier than ever for you to connect with a vetted financial advisor.
Here’s how it works:
- Answer a Few Simple Questions. Tell us a bit about your goals and preferences—it only takes a few minutes!
- Get Matched with Vetted Advisors Our smart tool matches you with up to three pre-screened, vetted advisors who serve your area and are held to a fiduciary standard to act in your best interests. Click here to begin
- Choose Your Fit Review their profiles, schedule an introductory call (or meet in person), and select the advisor who feel is right for you.
Why wait? Start building the retirement you’ve always dreamed of. Click here to get started today!
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
Our expert who first called NVIDIA in 2009 is predicting 2025 will see a historic AI breakthrough.
You can follow him investing $500,000 of his own money on our top AI stocks for free.