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8-K - FORM 8-K - ORION ENERGY SYSTEMS, INC. | c64774e8vk.htm |
EX-99.2 - EX-99.2 - ORION ENERGY SYSTEMS, INC. | c64774exv99w2.htm |
Exhibit 99.1
Orion Energy Systems, Inc. Announces Preliminary Fiscal 2011 Fourth Quarter and Full-Year
Results
MANITOWOC, Wis. May 18, 2011 (BUSINESS WIRE) Orion Energy Systems, Inc. (NYSE Amex:
OESX), a leading power technology enterprise, announced today preliminary financial results
for its fiscal 2011 fourth quarter and full fiscal-year ended March 31, 2011.
Fourth Quarter of Fiscal 2011
For the fourth quarter of fiscal 2011, Orion reported preliminary revenues of $31.6 million
under generally accepted accounting principles (GAAP), a 68% increase compared to $18.9
million for the fourth quarter of fiscal 2010. Total backlog at the end of the fourth quarter
of fiscal 2011 was $7.8 million, which included $6.5 million of solar photovoltaic (PV) system
orders, compared to $3.2 million at the end of the fourth quarter of fiscal 2010 and $8.6
million at the end of the third quarter of fiscal 2011. Orion generally expects the non-solar
PV backlog to be recognized as GAAP revenue in the first quarter of fiscal 2012, with the
portion of backlog relating to solar PV orders recognized within the first three quarters of
fiscal 2012.
Contracted revenues for the fourth quarter of fiscal 2011 were $29.0 million, a 77% increase
versus the prior year fiscal 2010 fourth quarter total of $16.4 million. Included in the $29.0
million were $25.4 million in cash orders and $3.6 million in financed contracts from Orion
Throughput Agreements (OTAs). Prior year contracted revenues included $13.1 million in cash
orders and $3.3 million in financed contracts from OTA agreements. See the section below
titled Definition and Reconciliation of Contracted Revenues for details on how Orion defines
contracted revenues.
For the fourth quarter of fiscal 2011, the Company reported preliminary GAAP net income of
$1.8 million, or $0.08 per share, which included a favorable one-time tax benefit of $0.6
million, or $0.03 per share, from the conversion of incentive stock options to non-qualified
stock options. For the fourth quarter of fiscal 2010, GAAP net loss was $(0.8 million), or
$(0.04) per share.
Full Fiscal Year 2011
For the full fiscal year 2011, preliminary GAAP revenues were $89.7 million, an increase of
37% compared to $65.4 million for fiscal year 2010. For fiscal year 2011, Orion also reported
contracted revenues of $103.9 million, a 41% increase compared to $73.9 million for fiscal
year 2010. Included in the $103.9 million were $87.4 million in cash orders and $16.5 million
in financed contracts from OTA and solar technology power purchase agreements (PPAs).
Contracted revenues for fiscal 2010 included $62.2 million in cash orders and $11.7 million in
financed contracts from OTAs and PPAs.
For fiscal year 2011, the Company reported preliminary GAAP net income of $1.2 million, or
$0.05 per share, which includes the favorable one-time tax benefit of $0.6 million, or
$0.03 per share. For fiscal year 2010, GAAP net loss was $(4.2 million), or $(0.19) per
share.
Key Business Highlights
During the fourth quarter of fiscal 2011:
| Orion increased the number of facilities retrofitted with its Compact Modular high-intensity fluorescent lighting technology to 6,807 as of the end of the fourth quarter fiscal 2011 (compared to 6,517 as of the end of the third quarter of fiscal 2011), representing 1.1 billion square feet of installed facilities. | |
| Total deployments of the InteLite® wireless controls increased to 603 customer locations, consisting of 72,526 dynamic control devices (or transceivers) and 573 control panels (compared to 65,839 transceivers and 551 control panels as of the end of the third quarter of fiscal 2011). The deployments represent 32.6 million square feet of installed facilities as of the end of the fourth quarter of fiscal 2011 (compared to 29.6 million square feet as of the end of the third quarter of fiscal 2011). | |
| Total Apollo® solar light pipes installed increased to 11,787 total units (compared to 8,952 total units as of the end of the third quarter 2011), representing 5.3 million square feet of installed facilities as of the end of the fourth quarter of fiscal 2011 (compared to 4.0 million square feet of installed facilities as of the end of the third quarter of fiscal 2011). The unit volumes represented the single largest quarter of shipments for Apollo® solar light pipes in the Companys history. | |
| As previously announced in February, Orion renewed a long-standing relationship with a third-party finance company to sell certain qualifying OTA contracts on a non-recourse basis. The finance company has taken over various back-office procedures relating to the underwriting, funding and servicing of qualifying OTA contracts, at a cost of capital that is expected to be consistent with rates that Orion has charged finance customers historically. | |
| OTA finance contracts entered into under a capital lease structure were $2.5 million during the fourth quarter of fiscal 2011, representing 70% of the total contracted revenue from OTAs. Orion generally expects these OTA contracted revenues to be recognized as GAAP revenue during the first quarter of fiscal 2012, although on a discounted net present value basis. Included in the $2.5 million were $0.4 million of commitments to purchase OTA capital leases by the third-party finance company. | |
| Orion also announced in recent months the key executive appointments of Richard Gaumer, CPA, CFE, to Executive Vice President of Operations, Michael Harris, CPA, to Chief Financial Officer, Scott Jensen, CPA, to Chief Accounting Officer, and James Jackson to Senior Vice President of Sales. |
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Neal Verfuerth, Chief Executive Officer of Orion commented, We are pleased to report a second
consecutive quarter of strong, double-digit revenue growth and the return to profitability for
the full fiscal year 2011. Fiscal 2011 results show Orions business model is working, as
unit shipments also increased at strong double-digit rates across all major product
categories. The recent changes to the structure and funding of OTA finance contracts, along
with a generally improving macroeconomic environment, position Orion to further improve upon
its financial performance heading into fiscal 2012.
We continue to see a number of encouraging indicators in recent months that point toward a
building pipeline of potential cash and OTA projects, continued Mr. Verfuerth. Orion is and
will be investing in a number of sales and marketing initiatives during fiscal 2012 to
capitalize on several growth opportunities. Our recent executive appointments in the sales,
operations and finance areas of the business have rounded out a management team at Orion that
will further facilitate the execution of our strategic growth plans.
Fiscal 2012 Outlook
For fiscal 2012, the Company currently expects GAAP revenue to be between $112 million and
$118 million. The Companys expectation of GAAP earnings per share for fiscal 2012 is between
$0.18 and $0.22 per diluted share.
The Company currently expects the forecasted ranges for other key financial-statement line
items and metrics for fiscal 2012 to be as follows:
| Gross margin 33.2% to 35.2% | |
| Operating margin 7.0% to 8.0% | |
| Effective tax rate approximately 40.0% | |
| Diluted share count 23.9 to 24.7 million | |
| Capital spending (excluding operating leases) $2.5 to $3.0 million | |
| Capital spending for equipment held under OTAs and PPAs $1.8 to $2.4 million | |
| Depreciation and amortization $3.9 to $4.5 million | |
| Stock-based compensation expense $1.7 to $2.1 million |
Historically, Orion has tended to experience revenue in the first quarter that represents the
lowest or second-lowest quarterly revenue amount within any given fiscal year. Also, on a
historical basis, the Company tends to experience a sequential decline in revenue during the
first quarter of a fiscal year relative to the fourth quarter of the prior fiscal year. For
the first quarter of fiscal 2012, the Company currently expects GAAP revenue to be between $20
million and $22 million and GAAP earnings per share to be between $(0.02) and $0.00.
The above guidance is based on the Companys current expectations. These statements are
forward-looking and actual results may differ materially. The Company assumes no obligation to
publicly update or revise its outlook. Investors are reminded that actual results may differ,
and may differ materially, from these estimates for the reasons described below
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under the caption Safe Harbor Statement and in the Companys filings with the Securities and
Exchange Commission.
Cash, Debt and Liquidity Position
Orion had $11.6 million in cash and cash equivalents and $1.0 million in short-term
investments as of March 31, 2011, compared to $9.9 million and $1.0 million, respectively, at
December 31, 2010. Total short and long-term debt was $5.4 million as of March 31, 2011,
compared to $5.9 million at December 31, 2010. There were no borrowings outstanding under the
Companys revolving credit facility as of March 31, 2011, which has an availability of $13.3
million.
Supplemental Information
In conjunction with this press release, Orion has posted supplemental information on its
website which further discusses the financial performance of the Company for the three and
twelve months ended March 31, 2011. The purpose of the supplemental information is to provide
further discussion and analysis of the Companys financial results for the fourth quarter and
fiscal year ended 2011. The supplemental information can be found in the Investor Relations
section of Orions Web site at http://investor.oriones.com/events.cfm.
Potential Change in Accounting for Certain Orion Throughput Agreements
We are currently discussing with our independent registered public accounting firm whether
GAAP would require us to account for our transactions under our historical Orion Throughput
Agreements, or OTAs, as sales-type leases instead of our current accounting treatment of such
transactions as operating leases. Our current method of accounting for our OTA transactions
defers revenue recognition over the full five year-term of our OTA contracts, only recognizing
revenue on a monthly basis as customer payments are due, while our upfront sales, general and
administrative expenses related to these OTA contracts are recognized immediately. This is the
reason that for several periods we also reported non-GAAP revenues and earnings per share that
reflected immediate revenue recognition of such OTA transactions based on the present value of
the expected cash flows from such OTA contracts.
If we reach a conclusion that GAAP would require our historical OTA contracts to be accounted
for as sales-type leases, we plan to voluntarily submit such determination for confirmation
with the Office of the Chief Accountant (OCA) of the Securities and Exchange Commission to
ensure that the OCA does not object to our conclusion. While we hope to resolve this issue in
the next three to four weeks, there is no assurance that such process could be completed in
time to allow for a timely filing of our fiscal 2011 Annual Report on Form 10-K by its due
date of June 9, 2011.
If we determine sales-type accounting treatment for our historical OTA contracts is
appropriate, we may be required to restate our financial statements for fiscal 2010 (including
each fiscal quarter therein) and/or for our first three quarters of fiscal 2011, as
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well as the currently reported preliminary results for the fourth quarter of fiscal 2011 and
the full fiscal year 2011. In the event of a restatement, such prior financial statements
could no longer be relied upon. Generally, any such change in accounting treatment and
financial statement restatements is expected to result in:
| No impact to cash, cash equivalents, short-term investments and overall cash flow. | |
| An increase in GAAP revenue for the full fiscal years 2011 and 2010. | |
| An increase in GAAP net income and earnings per share for the full fiscal year 2011 and a reduction in GAAP net loss and loss per share for the full fiscal year 2010. |
Conference Call
Orion will host a conference call on Wednesday, May 18, 2011 at 5:00 p.m. Eastern (4:00 p.m.
Central/2:00 p.m. Pacific) to discuss details regarding its fiscal 2011 fourth quarter and
fiscal year 2011 performance. Domestic callers may access the earnings conference call by
dialing 877-754-5294 (international callers, dial 678-894-3013). Investors and other
interested parties may also go to the Investor Relations section of Orions Web site at
http://investor.oriones.com/events.cfm for a live webcast of the conference call. To ensure a
timely connection, it is recommended that users register at least 15 minutes prior to the
webcast.
Definition and Reconciliation of Contracted Revenues
Orion defines contracted revenues, which is a financial measurement not recognized under GAAP,
as contracted revenue from firm customer purchase orders received, including both purchase
orders payable immediately in cash and for potential future revenues expected to be realized
under firm OTAs and discounted potential future revenues under PPAs. These contracts are
expected to be paid by the Companys customers over the life of the OTAs and solar PPAs. For
OTA and cash contracted revenues, Orion generally expects that it will begin to recognize GAAP
revenue under the terms of the agreements within 90 days from the firm contract date. For PPA
contracted revenues, Orion generally expects that it will begin to recognize GAAP revenue
under the terms of the PPAs within 180 days from the firm contract date. Orion believes that
total contracted revenues are a key financial metric for evaluating and measuring the
Companys performance because the measure is an indicator of the Companys success in its
customers adoption and acceptance of the Companys energy products and services as it
measures firm contracted revenue value, regardless of the contracts cash or deferred
financing structure and the related different GAAP revenue recognition treatment.
Orions management uses the foregoing non-GAAP financial measurement to evaluate its ongoing
operations and for internal planning, budgeting, forecasting and business management purposes.
Accordingly, Orion believes it is useful for its investors to review, as applicable,
information that both includes and excludes the expected future revenue from its OTAs and PPAs
in order to assess the relative performance of Orions business. Management includes within
the Companys reported contracted revenues the impact of the future potential gross revenue
from OTAs and the discounted future potential revenue from
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PPAs because management believes that these adjustments reflect the increasing shift of
customer purchasing decisions from cash purchases to the Companys OTA and PPA product
purchase financing solution. A schedule that reconciles the Companys GAAP revenue and
Non-GAAP contracted revenue is set forth below. Investors are encouraged to review this
reconciliation to ensure that they have a thorough understanding of the reported non-GAAP
financial measures and their most directly comparable GAAP financial measures.
In Orions earnings releases, conference calls, slide presentations and/or webcasts, it may
use or discuss non-GAAP financial measures as defined by SEC Regulation G. The GAAP financial
measure most directly comparable to each non-GAAP financial measure used or discussed and a
reconciliation of the differences between each non-GAAP financial measure and the comparable
GAAP financial measure are included in this press release below. These non-GAAP financial
measures are not prepared in accordance with GAAP. These measures may differ from the non-GAAP
information, even where similarly titled, used by other companies and, therefore, should not
be used to compare the Companys performance to that of other companies. There are significant
limitations associated with the use of non-GAAP financial measures. The additional non-GAAP
financial information presented below should be considered in conjunction with, and not as a
substitute for or superior to, the financial information presented in accordance with GAAP.
Included below is a reconciliation of contracted revenues to revenues recognized under GAAP
for the fiscal 2011 fourth quarter and fiscal year 2011 (in millions).
Three months ended | Twelve months ended | |||||||
March 31, 2011 | March 31, 2011 | |||||||
Total contracted revenues |
$ | 29.0 | $ | 103.9 | ||||
Change in backlog (1) |
0.8 | (4.6 | ) | |||||
Contracted revenue
from OTAs and PPAs
(2) |
(3.6 | ) | (16.5 | ) | ||||
Sale of OTA contracts |
5.5 | 5.5 | ||||||
OTA and PPA GAAP
revenue |
0.7 | 2.4 | ||||||
Other miscellaneous |
(0.8 | ) | (1.0 | ) | ||||
Revenue GAAP basis |
$ | 31.6 | $ | 89.7 | ||||
(1) | Change in backlog reflects the (increase) or decrease in cash orders at the end of the respective period where product delivery or service performance has not yet occurred. GAAP revenue will be recognized when the performance conditions have been satisfied, typically within 90 days from the end of the period. |
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(2) | Contracted revenues from OTAs and PPAs are subtracted to reconcile the GAAP revenue as recognition of GAAP revenue will occur in future periods. |
About Orion Energy Systems
Orion Energy Systems, Inc. (NYSE Amex: OESX) is a leading power technology enterprise that
designs, manufactures and deploys energy management systems consisting primarily of
high-performance, energy efficient lighting platforms, intelligent wireless control systems
and direct renewable solar technology for commercial and industrial customers without
compromising their quantity or quality of light. Since December 2001, Orions technology has
benefitted its customers and the environment by reducing its customers:
| Energy demand by 638,626 kilowatts, or 15.5 billion kilowatt-hours; | |
| Energy costs by $1.2 billion; and | |
| Indirect carbon dioxide emission by 10.1 million tons. |
Safe Harbor Statement
Certain matters discussed in this press release are forward-looking statements intended to
qualify for the safe harbors from liability established by the Private Securities Litigation
Reform Act of 1995. These forward-looking statements may generally be identified as such
because the context of such statements will include words such as anticipate, believe,
could, estimate, expect, intend, may, plan, potential, predict, project,
should, will, would or words of similar import. Similarly, statements that describe the
Companys financial guidance or future plans, objectives or goals are also forward-looking
statements. Such forward-looking statements are subject to certain risks and uncertainties
that could cause results to differ materially from those expected, including, but not limited
to, the following: (i) further deterioration of market conditions, including customer capital
expenditure budgets; (ii) Orions ability to compete in a highly competitive market and its
ability to respond successfully to market competition; (iii) increasing duration of customer
sales cycles; (iv) the market acceptance of Orions products and services, including the
increasing customer preferences to purchase the Companys products through its OTAs and PPAs
rather than through cash purchases; (v) price fluctuations, shortages or interruptions of
component supplies and raw materials used to manufacture Orions products; (vi) loss of one or
more key customers or suppliers, including key contacts at such customers; (vii) the
increasing relative volume of the Companys product sales through its wholesale channel;
(viii) a reduction in the price of electricity; (ix) the cost to comply with, and the effects
of, any current and future government regulations, laws and policies; (x) increased
competition from government subsidies and utility incentive programs; (xi) dependence on
customers capital budgets for sales of products and services; (xii) Orions development of,
and participation in, new product and technology offerings or applications; (xiii) legal
proceedings, including the securities litigation pending against Orion; and (xiv) potential
warranty claims. Shareholders, potential investors and other readers are urged to consider
these factors carefully in evaluating the forward-looking statements and are cautioned not to
place undue reliance on such forward-looking statements. The forward-looking statements made
herein
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are made only as of the date of this press release and Orion undertakes no obligation to
publicly update any forward-looking statements, whether as a result of new information, future
events or otherwise. More detailed information about factors that may affect our performance
may be found in our filings with the Securities and Exchange Commission, which are available
at http://www.sec.gov or at http://www.oriones.com in the Investor Relations section of our
Web site.
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ORION ENERGY SYSTEMS, INC. AND SUBSIDIARIES
UNAUDITED PRELIMINARY CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS1
(in thousands, except share and per share amounts)
UNAUDITED PRELIMINARY CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS1
(in thousands, except share and per share amounts)
Three Months Ended March 31, | Twelve Months Ended March 31, | |||||||||||||||
2010 | 2011 | 2010 | 2011 | |||||||||||||
Product revenue |
$ | 16,582 | $ | 29,609 | $ | 58,227 | $ | 83,689 | ||||||||
Service revenue |
2,294 | 2,022 | 7,191 | 6,016 | ||||||||||||
Total revenue |
18,876 | 31,631 | 65,418 | 89,705 | ||||||||||||
Cost of product revenue |
10,901 | 20,862 | 38,628 | 56,428 | ||||||||||||
Cost of service revenue |
1,811 | 1,410 | 5,266 | 4,499 | ||||||||||||
Total cost of revenue |
12,712 | 22,272 | 43,894 | 60,927 | ||||||||||||
Gross profit |
6,164 | 9,359 | 21,524 | 28,778 | ||||||||||||
Operating expenses: |
||||||||||||||||
General and administrative |
3,479 | 2,789 | 12,836 | 11,431 | ||||||||||||
Sales and marketing |
3,420 | 3,616 | 12,596 | 13,740 | ||||||||||||
Research and development |
576 | 536 | 1,891 | 2,333 | ||||||||||||
Total operating expenses |
7,475 | 6,941 | 27,323 | 27,504 | ||||||||||||
Income (loss) from operations |
(1,311 | ) | 2,418 | (5,799 | ) | 1,274 | ||||||||||
Other income (expense): |
||||||||||||||||
Interest expense |
(63 | ) | (183 | ) | (260 | ) | (406 | ) | ||||||||
Extinguishment of debt |
250 | | 250 | | ||||||||||||
Dividend and interest income |
21 | 13 | 269 | 32 | ||||||||||||
Total other income (expense) |
208 | (170 | ) | 259 | (374 | ) | ||||||||||
Income (loss) before income tax |
(1,103 | ) | 2,248 | (5,540 | ) | 900 | ||||||||||
Income tax expense (benefit) |
(278 | ) | 479 | (1,350 | ) | (298 | ) | |||||||||
Net income (loss) |
$ | (825 | ) | $ | 1,769 | $ | (4,190 | ) | $ | 1,198 | ||||||
Basic net income (loss) per share |
$ | (0.04 | ) | $ | 0.08 | $ | (0.19 | ) | $ | 0.05 | ||||||
Weighted-average common shares outstanding |
22,254,668 | 22,827,016 | 21,844,150 | 22,678,411 | ||||||||||||
Diluted net income (loss) per share |
$ | (0.04 | ) | $ | 0.08 | $ | (0.19 | ) | $ | 0.05 | ||||||
Weighted-average common shares outstanding |
22,254,668 | 23,332,133 | 21,844,150 | 23,198,063 |
1 | The Company is currently discussing with our independent registered public accounting firm whether GAAP would require us to account for our transactions under our historical Orion Throughput Agreements, or OTAs, as sales-type leases instead of our current accounting treatment of such transactions as operating leases. See the section above titled Potential Change in Accounting for Certain Orion Throughput Agreements for details on how the Company could potentially be required to restate its financial results. |
The following amounts of stock-based compensation were recorded (in thousands):
Three Months Ended March 31, | Twelve Months Ended March 31, | |||||||||||||||
2010 | 2011 | 2010 | 2011 | |||||||||||||
Cost of product revenue |
$ | 59 | $ | 71 | $ | 222 | $ | 187 | ||||||||
General and administrative |
137 | 142 | 539 | 560 | ||||||||||||
Sales and marketing |
221 | 146 | 691 | 523 | ||||||||||||
Research and development |
10 | 10 | 39 | 31 | ||||||||||||
Total |
$ | 427 | $ | 369 | $ | 1,491 | $ | 1,301 | ||||||||
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ORION ENERGY SYSTEMS, INC. AND SUBSIDIARIES
UNAUDITED PRELIMINARY CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
UNAUDITED PRELIMINARY CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
March 31, | March 31, | |||||||
2010 | 2011 | |||||||
Assets |
||||||||
Cash and cash equivalents |
$ | 23,364 | $ | 11,560 | ||||
Short-term investments |
1,000 | 1,011 | ||||||
Accounts receivable, net of allowances of $382 and $436 |
14,617 | 26,483 | ||||||
Inventories, net |
25,991 | 29,507 | ||||||
Deferred tax assets |
| | ||||||
Prepaid expenses and other current assets |
2,974 | 1,909 | ||||||
Total current assets |
67,946 | 70,470 | ||||||
Property and equipment, net |
30,500 | 33,975 | ||||||
Patents and licenses, net |
1,590 | 1,620 | ||||||
Deferred tax assets |
2,610 | 3,470 | ||||||
Other long-term assets |
975 | 5,060 | ||||||
Total assets |
$ | 103,621 | $ | 114,595 | ||||
Liabilities and Shareholders Equity |
||||||||
Accounts payable |
$ | 7,761 | $ | 12,479 | ||||
Accrued expenses and other |
3,844 | 2,760 | ||||||
Deferred tax liabilities |
44 | 406 | ||||||
Current maturities of long-term debt |
562 | 1,137 | ||||||
Total current liabilities |
12,211 | 16,782 | ||||||
Long-term debt, less current maturities |
3,156 | 4,225 | ||||||
Deferred revenue, long-term |
186 | 2,319 | ||||||
Other long-term liabilities |
398 | 399 | ||||||
Total liabilities |
15,951 | 23,725 | ||||||
Additional paid-in capital |
122,515 | 124,407 | ||||||
Shareholder notes receivable |
| (193 | ) | |||||
Treasury stock |
(32,011 | ) | (31,708 | ) | ||||
Accumulated deficit |
(2,834 | ) | (1,636 | ) | ||||
Total shareholders equity |
87,670 | 90,870 | ||||||
Total liabilities and shareholders equity |
$ | 103,621 | $ | 114,595 | ||||
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ORION ENERGY SYSTEMS, INC. AND SUBSIDIARIES
UNAUDITED PRELIMINARY CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)
UNAUDITED PRELIMINARY CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)
Fiscal Year Ended March 31, | ||||||||
2010 | 2011 | |||||||
Operating activities |
||||||||
Net income (loss) |
$ | (4,190 | ) | $ | 1,198 | |||
Adjustments to reconcile net income (loss) to net cash used in operating
activities: |
||||||||
Depreciation and amortization |
3,072 | 4,191 | ||||||
Stock-based compensation expense |
1,491 | 1,301 | ||||||
Deferred income tax benefit |
(1,425 | ) | (497 | ) | ||||
Gain (loss) on sale of assets |
(16 | ) | (13 | ) | ||||
Change in allowance for notes and accounts receivable |
458 | 54 | ||||||
Extinguishment of debt |
(139 | ) | | |||||
Other |
48 | 51 | ||||||
Changes in operating assets and liabilities: |
||||||||
Accounts receivable |
(3,205 | ) | (11,920 | ) | ||||
Inventories |
(6,409 | ) | (3,516 | ) | ||||
Prepaid expenses and other current assets |
268 | (859 | ) | |||||
Accounts payable |
(56 | ) | 4,718 | |||||
Accrued expenses |
1,529 | (1,084 | ) | |||||
Net cash used in operating activities |
(8,574 | ) | (6,376 | ) | ||||
Investing activities |
||||||||
Purchase of property and equipment |
(5,649 | ) | (3,192 | ) | ||||
Purchase of property and equipment leased to customers under operating leases |
(4,795 | ) | (4,306 | ) | ||||
Purchase of short-term investments |
| (11 | ) | |||||
Sale of short-term investments |
5,522 | | ||||||
Additions to patents and licenses |
(299 | ) | (157 | ) | ||||
Proceeds from sales of long-term assets |
| | ||||||
Proceeds from disposal of equipment |
7 | 1 | ||||||
Net cash used in investing activities |
(5,214 | ) | (7,665 | ) | ||||
Financing activities |
||||||||
Payment of long-term debt |
(805 | ) | (2,077 | ) | ||||
Proceeds from long-term debt |
200 | 3,721 | ||||||
Proceeds from shareholder notes |
| 3 | ||||||
Repurchase of common stock into treasury |
(475 | ) | | |||||
Excess tax benefits from stock-based compensation |
80 | 143 | ||||||
Deferred financing costs and offering costs |
| (57 | ) | |||||
Proceeds from issuance of common stock |
1,989 | 504 | ||||||
Net cash provided by financing activities |
989 | 2,237 | ||||||
Net decrease in cash and cash equivalents |
(12,799 | ) | (11,804 | ) | ||||
Cash and cash equivalents at beginning of period |
36,163 | 23,364 | ||||||
Cash and cash equivalents at end of period |
$ | 23,364 | $ | 11,560 | ||||
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Investor Relations Contact
Mike Harris
Chief Financial Officer
Orion Energy Systems
(920) 892-5412
mharris@oesx.com
Mike Harris
Chief Financial Officer
Orion Energy Systems
(920) 892-5412
mharris@oesx.com
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