UPDATE 2-AMSC Q3 beats, raises full-year profit outlook
Feb 1 (Reuters) - American Superconductor Corp's (AMSC.O) quarterly results beat market expectations, boosted by higher sales at its key power systems unit, and the power technology company raised its full-year profit outlook for the third time. For the full year, the company now expects earnings of $0.99-$1.04 a share, up from its prior outlook of $0.95-$1.00 a share.
Excluding items, it expects to earn $1.33-$1.38 a share.
Analysts on average were expecting full-year earnings of $1.30 a share, on revenue of $439 million, according to Thomson Reuters I/B/E/S.
"Sales in the wind energy market, particularly in Asia, are expected to continue to be the growth engine for our company in the near term," AMSC founder and CEO Greg Yurek said in a statement.
American Superconductor's biggest customer is China-based wind turbine maker Sinovel Wind Group, which contributes 80 percent of revenue.
Third-quarter sales at the company's largest power systems unit, whose competitors include ABB Ltd (ABB.N), Woodward Governor Co (WGOV.O) and SatCon Technology Corp (SATC.O), jumped 46 percent.
The company expects its superconductor business to contribute more to growth, Yurek said.
Devens, Massachusetts-based American Superconductor has sought to diversify its customer base from Chinese companies through new wind turbine and superconductor orders in South Korea and India to avoid a slowdown in the Chinese and global wind energy sector.
Its superconductor business got a shot in the arm in October when it won an order from Korean power cable maker LS Cable to supply high-temperature superconductor (HTS) Amperium wire. [ID:nSGE6950KU]
October-December adjusted earnings were 40 cents a share, while analysts had expected 33 cents a share.
Revenue at American Superconductor, with a market value of $1.39 billion, rose 42 percent to $114.2 million.
The company's shares rose to $29.5 in premarket trade, having closed at $27.27 on Monday on Nasdaq.
They have shed a quarter of their value since the company reported second-quarter results on Nov. 2. (Reporting by Soham Chatterjee in Bangalore; Editing by Unnikrishnan Nair) |
