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Tuesday, Nov 5, 2024

Capstone Green Energy Posts Mixed Results

Capstone Green Energy Corp. missed Wall Street estimates on earnings for the second quarter but beat on revenue.

The Van Nuys microturbine manufacturer and energy-as-a-service provider reported on Monday a net loss of $5 million (-30 cents a share) for the quarter ending Sept. 30, compared with a net loss of $6 million (-40 cents) in the same period a year earlier. Revenue increased from the prior year by 21 percent to $20.8 million.

Analysts on average expected earnings of -14 cents on revenue of $20.1 million, according to Thomson Financial Network.

Darren Jamison, Capstone chief executive, called the quarterly results encouraging and said that they reinforced the company’s belief in its strategic direction.

The most important takeaway from the second-quarter results was the continued growth of Capstone’s energy-as-a-service rental business and the benefits it brings, Jamison added.

“Specifically, it drives higher margins, generates more constant and predictable revenue, and enables us to leverage a more streamlined staffing model relative to that of a traditional industrial manufacturing company,” Jamison said in statement. “Furthermore, the solution is attractive to our customers across various industries, as it helps them to manage capital costs and meet environmental impact targets directly, while generating an attractive return for Capstone and our stockholders.”

Shares in Capstone (CGRN) closed up 2 cents, or just less than 1%, to $2.10 on the Nasdaq, on a day when that market closed down 1.12%.

James Brock
James Brock
James Brock has worked in newsrooms around the world, including in New York, Paris, Abu Dhabi, Dubai, Houston, and Los Angeles. He began his career with a Newhouse News daily, where he served on the news desk and the editorial page. He was the copy chief for The New York Sun, and founded and edited the personal finance section for Abu Dhabi-based The National, among other positions. He has interviewed Anthony Bourdain, Tom Ford, Mark Cuban, and many other individuals, and has written and edited thousands of stories and articles.

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