Welcome!

News Feed Item

Spire Corporation Reports Results for Fourth-Quarter and Year-End 2013

Spire Corporation (“Spire” or the "Company") (OTCQB: SPIR), a global solar company providing capital equipment and turn-key manufacturing lines to produce photovoltaic (“PV”) modules and optoelectronics thin film services, announced today revenues from continuing operations for the year ended December 31, 2013 of $14.6 million, a 34% decrease from $22.1 million in 2012. Net loss for the year ended December 31, 2013 was $8.5 million, or $0.92 per diluted share, compared to a net loss of $1.9 million, or $0.22 per diluted share, for the same period of 2012.

These results include the completion of a transaction previously reported in which substantially all of the assets and assumption of certain liabilities related to Spire’s biomedical business were acquired by N2 Biomedical, LLC. As this transaction is being identified as giving rise to a variable interest entity and Spire is determined to be the primary beneficiary, the assets, liabilities and results of operations of N2 Biomedical, LLC are consolidated into the Company’s financial statements. In addition, the transaction gave rise to a deemed dividend in the amount of $9.5 million which is not reported as a gain for financial reporting purposes and is eliminated in consolidation. Fiscal 2012, net operating results reflect a gain on the sale of its semiconductor business unit of $3.5 million, net of a tax provision of $1.9 million or $0.34 per diluted share.

Spire’s revenues from continuing operations for the fourth-quarter ended December 31, 2013 were $3.6 million, a decrease of 5% from $3.8 million in the fourth-quarter of 2012. The decrease was primarily due to sales mix within the solar manufacturing business segment. Net loss for the quarter was $1.9 million, or $0.22 per diluted share, compared to net loss of $1.1 million, or $0.13 per diluted share, for the fourth-quarter of 2012. Spire recorded a net loss from continuing operations of $1.9 million in the fourth-quarter of 2013, compared to a net loss from continuing operations of $1.3 million in the fourth-quarter of 2012.

Gross margin from continuing operations for fiscal year 2013 was $2.5 million, or 17% of revenue, compared to $5.3 million, or 24% of revenue for fiscal year 2012, primarily due to the decline in sales, lower indirect costs offset by the amount of overhead absorbed due to the reduction in sales volume.

Net cash used in operating activities of continuing operations was $5.2 million for the year ended 2013, as compared to net cash used in operating activities of continuing operations of $6.1 million for the same period last year. At year-end 2013, Spire had unrestricted cash and cash equivalents of $4.0 million, as compared to $3.0 million at December 31, 2012.

Rodger W. LaFavre, President and CEO, stated, “While we are seeing improved PV market conditions, they were too late to translate into improved PV equipment sales for the fourth quarter of 2013.”

Mr. LaFavre, continued, “Current industry forecasts would indicate that strong demand will stimulate revenues for the industry’s manufacturers. We are already seeing increased equipment and turn-key line activities. Our focus on a sustained cost reduction program has resulted in measurable savings in operating expenses and is expected to continue through 2014. We are optimistic that the improving module manufacturing equipment business, combined with our cost reduction efforts will allow Spire to improve its operating performance in 2014.”

About Spire Corporation

Spire Corporation is a global solar company providing technology, equipment and turn-key production lines to manufacture photovoltaic modules and providing optoelectronics thin film services. For further details on the Company and its products, please visit www.spirecorp.com.

                 
Spire Corporation and Subsidiaries
Condensed Consolidated Statements of Operations
(in thousands, except share and per share amounts)
 
Three Months Ended Year Ended
December 31, December 31,
2013 2012 2013 2012

Net sales and revenues

$ 3,615   $ 3,787   $ 14,581   $ 22,110  

Operating loss from continuing operations

  (1,795 )   (1,189 )   (8,376 )   (6,603 )

Loss from continuing operations before income tax benefit

(1,884 ) (1,213 ) (8,523 ) (6,730 )

Income tax benefit (expense) – continuing operations

  5     (65 )   2     1,951  

Loss from continuing operations

(1,879 ) (1,278 ) (8,521 ) (4,779 )

Loss from discontinued operations before sale of business unit

-- -- -- (580 )

Gain on sale of business unit, net of transaction expenses

  --     160     --     3,501  

Net loss

  (1,879 )   (1,118 )   (8,521 )   (1,858 )

Less: Net income (loss) attributable to noncontrolling interest

  143     --     (44 )   --  

Net loss attributable to common stockholders

$ (2,022 ) $ (1,118 ) $ (8,477 ) $ (1,858 )

Basic and diluted income (loss) per share:

From continuing operations after income taxes $ (0.22 ) $ (0.15 ) $ (0.92 ) $ (0.56 )
From discontinued operations, net of tax   --     0.02     --     0.34  
Basic and diluted loss per share $ (0.22 ) $ (0.13 ) $ (0.92 ) $ (0.22 )

Weighted average number of common and common equivalent shares outstanding – basic and diluted

  9,207,874     8,627,850     9,176,438     8,579,027  
 
     

Summary of Condensed Consolidated Balance Sheet

 

December 31,

2013

Assets

Current assets $ 14,696
Net property and equipment 941
Other assets   432  
Total assets $ 16,609  

Liabilities and stockholders' deficit

Current liabilities $ 10,992
Total long-term liabilities 5,790
Stockholders’ deficit   (713 )
Total liabilities and stockholders’ deficit $ 16,609  
 

Certain matters described in this press release including those relating to Spire’s prospects for growth constitute forward-looking statements under the federal securities laws. The discussion of forward-looking information requires management of the Company to make certain estimates and assumptions regarding the Company’s strategic duration and the effect of such plans on the Company’s financial results. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those indicated in the forward-looking statements. Such risks and uncertainties include, but are not limited to, the risk of dependence on market growth, competition and dependence on government agencies and other third parties for funding contract research and services, as well as other factors described in the Company's Form 10-K and other periodic reports filed with the Securities and Exchange Commission. Forward-looking statements contained in the press release speak only as of the date of this release. Subsequent events or circumstances occurring after such date may render these statements incomplete or out of date. The Company undertakes no obligation and expressly disclaims any duty to update such statements.

More Stories By Business Wire

Copyright © 2009 Business Wire. All rights reserved. Republication or redistribution of Business Wire content is expressly prohibited without the prior written consent of Business Wire. Business Wire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
SYS-CON Events announced today the Kubernetes and Google Container Engine Workshop, being held November 3, 2016, in conjunction with @DevOpsSummit at 19th Cloud Expo at the Santa Clara Convention Center in Santa Clara, CA. This workshop led by Sebastian Scheele introduces participants to Kubernetes and Google Container Engine (GKE). Through a combination of instructor-led presentations, demonstrations, and hands-on labs, students learn the key concepts and practices for deploying and maintainin...
A strange thing is happening along the way to the Internet of Things, namely far too many devices to work with and manage. It has become clear that we'll need much higher efficiency user experiences that can allow us to more easily and scalably work with the thousands of devices that will soon be in each of our lives. Enter the conversational interface revolution, combining bots we can literally talk with, gesture to, and even direct with our thoughts, with embedded artificial intelligence, wh...
Adobe is changing the world though digital experiences. Adobe helps customers develop and deliver high-impact experiences that differentiate brands, build loyalty, and drive revenue across every screen, including smartphones, computers, tablets and TVs. Adobe content solutions are used daily by millions of companies worldwide-from publishers and broadcasters, to enterprises, marketing agencies and household-name brands. Building on its established design leadership, Adobe enables customers not o...
Kubernetes is a new and revolutionary open-sourced system for managing containers across multiple hosts in a cluster. Ansible is a simple IT automation tool for just about any requirement for reproducible environments. In his session at @DevOpsSummit at 18th Cloud Expo, Patrick Galbraith, a principal engineer at HPE, discussed how to build a fully functional Kubernetes cluster on a number of virtual machines or bare-metal hosts. Also included will be a brief demonstration of running a Galera M...
Why do your mobile transformations need to happen today? Mobile is the strategy that enterprise transformation centers on to drive customer engagement. In his general session at @ThingsExpo, Roger Woods, Director, Mobile Product & Strategy – Adobe Marketing Cloud, covered key IoT and mobile trends that are forcing mobile transformation, key components of a solid mobile strategy and explored how brands are effectively driving mobile change throughout the enterprise.
In this strange new world where more and more power is drawn from business technology, companies are effectively straddling two paths on the road to innovation and transformation into digital enterprises. The first path is the heritage trail – with “legacy” technology forming the background. Here, extant technologies are transformed by core IT teams to provide more API-driven approaches. Legacy systems can restrict companies that are transitioning into digital enterprises. To truly become a lea...
All clouds are not equal. To succeed in a DevOps context, organizations should plan to develop/deploy apps across a choice of on-premise and public clouds simultaneously depending on the business needs. This is where the concept of the Lean Cloud comes in - resting on the idea that you often need to relocate your app modules over their life cycles for both innovation and operational efficiency in the cloud. In his session at @DevOpsSummit at19th Cloud Expo, Valentin (Val) Bercovici, CTO of So...
What are the new priorities for the connected business? First: businesses need to think differently about the types of connections they will need to make – these span well beyond the traditional app to app into more modern forms of integration including SaaS integrations, mobile integrations, APIs, device integration and Big Data integration. It’s important these are unified together vs. doing them all piecemeal. Second, these types of connections need to be simple to design, adapt and configure...
Just over a week ago I received a long and loud sustained applause for a presentation I delivered at this year’s Cloud Expo in Santa Clara. I was extremely pleased with the turnout and had some very good conversations with many of the attendees. Over the next few days I had many more meaningful conversations and was not only happy with the results but also learned a few new things. Here is everything I learned in those three days distilled into three short points.
What happens when the different parts of a vehicle become smarter than the vehicle itself? As we move toward the era of smart everything, hundreds of entities in a vehicle that communicate with each other, the vehicle and external systems create a need for identity orchestration so that all entities work as a conglomerate. Much like an orchestra without a conductor, without the ability to secure, control, and connect the link between a vehicle’s head unit, devices, and systems and to manage the ...
24Notion is full-service global creative digital marketing, technology and lifestyle agency that combines strategic ideas with customized tactical execution. With a broad understand of the art of traditional marketing, new media, communications and social influence, 24Notion uniquely understands how to connect your brand strategy with the right consumer. 24Notion ranked #12 on Corporate Social Responsibility - Book of List.
The Jevons Paradox suggests that when technological advances increase efficiency of a resource, it results in an overall increase in consumption. Writing on the increased use of coal as a result of technological improvements, 19th-century economist William Stanley Jevons found that these improvements led to the development of new ways to utilize coal. In his session at 19th Cloud Expo, Mark Thiele, Chief Strategy Officer for Apcera, will compare the Jevons Paradox to modern-day enterprise IT, e...
Major trends and emerging technologies – from virtual reality and IoT, to Big Data and algorithms – are helping organizations innovate in the digital era. However, to create real business value, IT must think beyond the ‘what’ of digital transformation to the ‘how’ to harness emerging trends, innovation and disruption. Architecture is the key that underpins and ties all these efforts together. In the digital age, it’s important to invest in architecture, extend the enterprise footprint to the cl...
SYS-CON Events announced today that Commvault, a global leader in enterprise data protection and information management, has been named “Bronze Sponsor” of SYS-CON's 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Commvault is a leading provider of data protection and information management solutions, helping companies worldwide activate their data to drive more value and business insight and to transform moder...
SYS-CON Events announced today that eCube Systems, a leading provider of middleware modernization, integration, and management solutions, will exhibit at @DevOpsSummit at 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. eCube Systems offers a family of middleware evolution products and services that maximize return on technology investment by leveraging existing technical equity to meet evolving business needs. ...