Hoku Corporation Reports Third Quarter Fiscal Year 2011 Results
HONOLULU, HI, February 10, 2011 – Hoku Corporation (NASDAQ: HOKU), a solar energy products and services company, today announced its financial results for the third quarter ended December 31, 2010 and provided a general update on its business.
Revenue for the quarters ended December 31, 2010 and 2009 were $1.2 million and $259,000, respectively. Revenue for both periods were derived primarily from photovoltaic, or PV, system installation and related service contracts. As of December 31, 2010 deferred revenue of $65,000 was attributable to PV system installations and related service contracts.
Net loss for the quarter ended December 31, 2010, computed in accordance with U.S. generally accepted accounting principles, or GAAP, was $3.0 million, or $0.06 per diluted share, compared to $1.3 million, or $0.06 per diluted share, for the same period in fiscal 2010.
Non-GAAP net loss for the quarter ended December 31, 2010, which excludes the effect of stock-based compensation, was $2.9 million, or $0.05 per diluted share, compared to $969,000, or $0.05 per diluted share, for the same period in fiscal 2010. Non-GAAP net loss for the quarters ended December 31, 2010 and 2009 excludes non-cash stock-based compensation of $175,000 and $296,000, respectively. The accompanying schedules provide a reconciliation of net loss per share computed on a GAAP basis to net loss per share computed on a non-GAAP basis.
Summarizing the Company’s progress during the quarter, Scott Paul, president and chief executive officer of Hoku Corporation, said, “On a year-over-year basis, we had a significant improvement in our quarterly revenues from Hoku Solar. This reflects our ongoing effort to earn market share as both a PV integrator and solar project developer. In Idaho, we focused on continued construction of the first 2,500 metric tons of production capacity. Additionally, with the continued backing of Tianwei, we secured $67.5 million in debt financing during the third quarter and $19.5 million more in January 2011. Furthermore, Tianwei also agreed to support another $19 million credit agreement, which we finalized this week.”
Hoku Materials Polysilicon Plant Update
Commenting on the Company's polysilicon subsidiary, Hoku Materials, Inc., Mr. Paul said, "Construction activities continued during our third quarter at the fastest clip since we broke ground in 2007, averaging more than 500 construction craftsmen on-site every working day, and spending nearly $20 million each month in construction costs alone. Most of the major process equipment has been delivered to the site and installed, including all sixteen of our polysilicon deposition reactors to enable production of 2,500 metric tons of polysilicon per year. Detailed engineering and procurement is substantially complete – the remaining work is primarily construction, mostly piping and electrical. That said, we are behind schedule, and we are over budget.”
The following information was filed by Hoku Corp (HOKUQ) on Thursday, February 10, 2011 as an 8K 2.02 statement, which is an earnings press release pertaining to results of operations and financial condition. It may be helpful to assess the quality of management by comparing the information in the press release to the information in the accompanying 10-Q Quarterly Report statement of earnings and operation as management may choose to highlight particular information in the press release.