- Exceeds revenue guidance with quarterly revenue of $267 million and 2011 full-year revenue of $1.02 billion
- Reports EPS of $0.21 in the fourth quarter 2011
- Renewable Energy sales outside of Europe grew to 25%
- Generated $48 million of operating cash flow in fourth quarter
Camarillo, CA, February 2, 2012 – Power-One, Inc. (NASDAQ: PWER), a leading provider of renewable energy and energy-efficient power conversion and power management solutions, today announced strong financial results for the fourth quarter 2011. For the quarter ended January 1, 2012, Power-One recorded net sales of $267 million, with Renewable Energy Solutions contributing $191 million and Power Solutions posting $76 million. Net income attributable to common stockholders for the fourth quarter was $32 million, or $0.21 per diluted share.
“In 2011, Power-One again recorded over $1 billion in sales, highlighting our ability to execute and generate profits in difficult operating environments,” said Richard Thompson, Chief Executive Officer of Power-One. “Both SBUs performed well in the fourth quarter, as Power-One generated $48 million of operating cash flow in the quarter and finished the year with over $200 million in cash. Further, during the quarter, Power-One shipped 829 MW of inverters, bringing the 2011 total to 2.9 GW, versus 2.6 GW in 2010.”
“Power-One continues to expand in high growth solar markets, such as India and the United States,” continued Mr. Thompson. “As we move forward in 2012, look for Power-One to provide innovative new products to meet our customers’ demands for better yields, higher uptimes and greater control of their PV assets.”
Renewable Energy Solutions
In the fourth quarter of 2011, Renewable Energy (RE) Solutions increased its penetration of North America and Asia-Pacific. These regions increased to 25% of RE revenue versus 17% in the third quarter. Inverter and related products generated sales of $191 million for the fourth quarter 2011, with a greater percentage of full-year 2011 sales achieved in the utility market, reflecting the current global trend of increasing ground mount and large-scale installations versus roof-top.
Power Solutions recorded sales of $76 million in the fourth quarter 2011 and an operating margin of 5%. In the quarter, revenue was positively impacted in the Servers, Storage and Networking market, with Power Solutions’ posting its fifth consecutive quarter of operating profit. This was driven by increased volume over the prior quarter and improved operating efficiencies.
Due to uncertainty on feed-in-tariffs and other legislation, as well as the global macroeconomic uncertainty affecting end market demand in both SBUs, Power-One is not providing full-year guidance for 2012. For the first quarter of 2012, Power-One forecasts revenue of $190 million to $210 million, reflecting traditional seasonality in the first quarter.
Earnings Conference Call
Power-One will discuss its 2011 fourth quarter results today at 2:00 p.m. Pacific Time. The call will be available both via the telephone at (877) 390-5535 or (631) 291-4579, conference ID # 42980217, or over the Internet through the Power-One investor relations Web site at http://investor.power-one.com. To listen to the call, please log-in at least 10 minutes early to register, download, and install any necessary audio software. For those who cannot listen to the live broadcast, the webcast will be available on the investor relations section of the Power-One’s web site at http://investor.power-one.com throughout the current quarter.
Power-One is a leading provider of renewable energy and energy-efficient power conversion and power management solutions and is the world’s second largest designer and manufacturer of photovoltaic inverters. Its renewable energy products enable the industry’s highest yielding conversion of power from solar arrays for use by utilities, commercial enterprises and homes. Power-One has a 40 year history as the leader in high efficiency and high density power supply products for a variety of industries including Renewable Energy, Servers Storage & Networking, Industrial and Network Power Systems. The company is headquartered in Camarillo, CA and has global sales offices, manufacturing, and R&D operations in Asia, Europe, and the Americas. Power-One is traded on NASDAQ under the ticker symbol PWER. For more information, please visit www.Power-One.com
Safe Harbor Statement
Statements made in this press release which state the Company's or management's intentions, beliefs, expectations or predictions for the future are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, and may include statements regarding anticipated future productivity. It is important to note that future performance and actual results could differ materially from those discussed in or underlying such forward-looking statements as a result of risks and uncertainties that cannot be predicted or quantified and that are beyond the Company’s control. Important factors that could cause actual results to differ materially include, but are not limited to: economic conditions in general and business conditions in the power supplies and renewable energy markets; foreign exchange rates; the Company’s ability to improve its operational and supply chain efficiencies; competitive factors such as pricing and technology; the timing and results achieved in completing product manufacturing transitions to Company facilities in China or other low-cost locations; the threat of a prolonged economic slowdown or a lengthy or severe recession; continued volatility of the financial markets, including fluctuations in interest rates and trading prices of the Company's equity securities; the results of pending legal proceedings; the Company’s ability to secure market share in higher margin, high-growth markets; the market growth of product sectors targeted by the Company as sectors of focus; and the Company’s ability to increase working capital. Additional information concerning factors that could cause actual results to differ materially from expectations expressed in this press release are described in the Company's reports filed with the Securities and Exchange Commission pursuant to the Securities Exchange Act of 1934 from time to time, which are also available through the Company's Website at www.power-one.com or through the SEC's Electronic Data Gathering and Analysis Retrieval System (EDGAR) at www.sec.gov. Power-One undertakes no obligation to publicly update or revise any forward-looking statement.