Satcon Technology (SATC) reported a Q2 loss of $0.12, vs the analyst estimate of ($0.05) after the bell Thursday. Revenue for the quarter was $27.6 million, vs the estimate of $26.8 million. That’s a record revenue number for the company, but it didn’t translate into profits. The company doesn’t expect profitability until 2011, but is rapidly moving there.
Traders appear to be looking to the future, bidding up the stock a bit in after hours trading. The company increased bookings in the first half of 2010, 1100% over the year ago period, and is expanding to meet demand.
CEO Steve Rhoades commented:
“With the strength of our backlog and bookings activity, we continue to invest in operational enhancements that will grow our current capacity significantly in the second half of the year and beyond. This global demand has driven our recent move to raise our global manufacturing to over 1 gigawatt, and move toward over 1.75 gigawatts of global capacity in 2011.”
The company is expecting another big revenue surge this quarter and is forecasting revenues in the range of $43 – $47 million (analysts expected $35 million) with gross margins around 30%. They see yet another record revenue number in the 4th quarter as well.
While Satcon stock has come a bit too far too fast in recent weeks, it remains a company to keep an eye on as it rapidly moves towards profitability in the coming year.
Disclosure: No positions