Maxwell Technologies, Inc. (MXWL - Analyst Report) reported preliminary, financial numbers for the fourth quarter ending Dec 31, 2012 and first quarter ending Mar 31, 2013.
During the fourth quarter of 2012 and first quarter of 2013, invoiced shipments were $41.9 million and $46.6 million, respectively. Invoiced ultracapacitor shipments in fourth quarter 2012 were $26.1 million. The number increased 27% sequentially to $33.1 million in the first quarter 2013.
Invoiced shipments of high voltage capacitor and microelectronics products were $15.8 million in the fourth quarter of 2012. These shipments declined 15% quarter over quarter to $13.4 million in the first quarter of 2013.
Cash and cash equivalents as of Mar 31, 2013 were $34.1 million, up from $28.7 million as of Dec 31, 2012. Accounts payable and accrued liabilities at the end of the first quarter were $31.4 million, up from $28.3 million at the end of fourth quarter 2012.
Outstanding debt obligations as of first quarter 2013 were $9.1 million. This includes equipment term loan of $3.7 million at an interest rate of 2.5% as of Mar 31, 2013 and debt of $5.4 million held by the company's Swiss subsidiary, with the majority of interest rates ranging from of 2.1% to 2.35% as of Mar 31, 2013.
Last month, the company announced that it will restate its financial statements for period ended Dec 31, 2011, and unaudited quarterly reports for the first three quarters of 2012. However, revenue recognition rectifications for these periods as well as the complete audited financial statements for fourth quarter and full year 2012 have been delayed.
Maxwell Technologies Inc. continues to be the market leader in the budding ultracapacitor market. Strong demand for ultracapacitor for hybrid transit bus production in China increased in Dec 2012. This trend continued through the first quarter and into the current second quarter. Also, demand for high-voltage capacitor and microelectronic products has remained steady.
Although the hiccups remain with the recent notification letter from NASDAQ as the company is not in compliance with NASDAQ Listing Rule 5250, the company is continuously taking initiatives to expand its ultracapacitor production capacity to meet increasing demand. It continues to monitor ultracapacitor demand indications and intends to adjust its operating plans accordingly. The company received the notification letter for not filing its annual report on a timely basis with the Securities and Exchange Commission for the period ended Dec 31, 2012.
The company expects to increase contract assembly capacity for large cells by approximately 50% in the third quarter of 2013. Also, the company is installing an ultracapacitor electrode fabrication line in the company's 123,000 square-foot leased facility in Peoria, Ariz. It expects this to double the current electrode production capacity, once it comes online in 2013.
Going forward, we expect top-line growth to be fueled by the expected increase in ultracapacitor sales through a production ramp-up for automotives. The company is also focused on improving its cost structure and the steady demand from heavy transportation, wind, braking recuperation and automotive programs continue to act as tailwinds. The company presently retains a short-term Zacks Rank #1 (Strong Buy).
Currently, the Zacks Consensus Estimate for revenue for both fourth quarter 2012 and first quarter 2013 is $39 million. Zacks Consensus Estimate for earnings for fourth quarter 2012 and first quarter 2013 is 6 cents and 11 cents, respectively.
Other stocks to consider are Orbit International Corp. , Ballard Power Systems Inc. (BLDP - Snapshot Report) and CalAmp Corp. (CAMP - Snapshot Report) . While Orbit International carries a Zacks Rank #1 (Strong Buy), Ballard Power and CalAmp Corp. hold a Zacks Rank #2 (Buy).