Key contracts in Chile and the Gulf of Mexico helped to boost company revenues over the quarter, including the first sale of its PowerBuoy.
Ocean Power Technologies (NASDAQ:OPTT), clean energy company announced an uptick in revenues for the quarter from US$141,000 in 2018 to US$204,000 in the second quarter of 2019. Key contracts with Enel Green Power Chile over the quarter have a projected US$2 million in projected revenue looking into next year.
As quoted in the press release:
“As we deliver on our first PowerBuoy® sale, our current showcase deployments are providing baseline opportunities for strategic growth and further capability expansion into these and other new markets,” said George Kirby, OPT President and Chief Executive Officer. “Our focus now is to deliver transformative offshore power, digital information and communications solutions to customers around the world.”
Second Quarter FY 2020 Financial Review
Revenue for the second quarter of fiscal 2020 was $204,000, an increase of $63,000 as compared to $141,000 for the prior-year period. The increase was attributable to revenue generated from our contracts with Enel Green Power Chile, Premier Oil, and the U.S. Navy. Cost of revenues decreased $349,000 to $288,000, as compared to $637,000 during the three months ended October 31, 2018. Cost of revenues for the three months ended October 31, 2018 included higher upfront spending and material costs on new customer projects. The net loss for the second quarter of fiscal 2020 was $3.2 million, as compared to a net loss of $3.9 million for the prior-year period. The decrease in net loss was mainly attributable to lower cost of revenues and decrease in engineering and product development costs.