warranty and after-market costs of $2.1 million in the latest period, as some fuel cell stacks were damaged in the assembly process. The company said that after an investigation, process changes and field repairs were implemented.
1 Revenue grew 16% to $36.4 million.
2 Product sales grew 11% to $29.1 million due in part to higher fuel cell kit sales
3 Service and license revenues grew 47% to $5 million, as the company grew its base of power plants with long-term service agreements.
I was happy to see the increases as you mention. Really though, they can't afford, any neither can I, screwups on the production line. Frustrating. I'm staying with them though based on those increases and what seems to be a better environment for there increasingly diverse products. I'm going to risk accumulating over the next 3 months. I've been here for a year and didn't see anything in that report that makes me want to abandon ship.
Always some unexpected defect at FCEL and every one of these hopeful companies. They should get with it and expect it and maybe plan better for the inevitable. But seems like the main gotcha was the administrative and sales cost increase. If that was just ramp up and can be made productive, then good job. If not, then they have some explaining to do. Just my opinion. Lot of good stuff in report but still an initial disappointment to me. Future does sound pretty good. Interesting they got quite a bit of new cash.