AMSC Provides Preliminary Third Quarter Financial Results
Company Updates Financial Guidance for Full Fiscal Year 2008
AMSC expects third-quarter revenues in the range of $40 million to $41 million, in line with revenues for the second quarter of fiscal 2008 as well as the company's previous guidance for roughly flat revenues sequentially. The company expects that its net loss for the third quarter will be in the range of $8.0 million to $9.0 million, or $0.18 to $0.21 per share. AMSC previously said it expected the company's net loss for the third fiscal quarter to be slightly greater than its $4.1 million, or $0.10 per share, net loss for the second quarter of fiscal 2008. The company attributed the greater than expected net loss primarily to a charge to recognize future estimated cost overruns on one of its turnkey SVC projects, revenue deferred due to higher future estimated AMSC Windtec® engineering costs to complete certain wind turbine design contracts, a charge for excess inventory related to PowerModule™ PM1000 subassemblies at one of AMSC's subcontractors, and unfavorable foreign exchange effects. Combined, these items affected net loss in the quarter by approximately $4.5 million, or $0.10 per share.
Open Systems International, Inc. (OSI) has been awarded a contract by Connexus Energy of Minnesota for a new, modern Supervisory Control and Data Acquisition (SCADA) system.