results were good/great and even guidance was decent but Duke is unable to gain regulatory approval in Indiana which is the next market for meters and also the new product, ECN (nodes. So, a 14.5 million order for nodes was cancelled by Echelon and that is the reason for the decline. I'm buying more on Monday, Why? First, the nodes can be redeployed to China, Brazil, or Europe where the markets are much further ahead. Second, they currently have 400 pilots running for meter's and advanced streetlighting and both the CFO and CEO said they have never seen the pipeline so full with opportunities. They have a several year headstart over anyone in Brazil and pilots will be starting in early 2012. They will also be shipping and starting pilots with Holley metering in China, a 300 million metering opportunity over the next five years. They also were talking about Europe, i.e. Eastern Europe, Spain, and also France. The Duke issue is a bummer but that is the nature of working with utilities, it's a slow arduous process with bumps along the way. Itron is also experiencing these same sort of bumps.
lonworks: given that you made no comment about anything other than Echelon's earnings date, I'll assume that you concede that Itron is successful internationally (to the tune of 50% of quarterly revenue.)
lonworks: let's take a look at your earlier post -
(lonworks): "but the bigger question is can they make a splash in the smart grid space internationally and in the emerging economies."
So, either you have no clue as to Itron's actual business, or you believe that 50% of revenue generated from international sales is not making a "splash." So which is it?
Any comment about the French project that involves 35M meters? Given that Itron is considered the front runner, is 35M meters considered a "splash"? If neither of these is considered a "splash", then please explain what you expect of Itron.
What you seem to completely disregard is that Itron sells the entire system: meters, AMR, and software. The reason they do not manufacture the AMR (other than ERTS) is that there are over a dozen different communications technologies vying for the AMR business and no single comm technology dominates. When a winner emerges, Itron can easily bring that technology in house. As a result, they do not live-and-die based on a single technology. How does Echelon compare? Seems that Echelon has only LonWorks and modems for the electricity meter space only (no water and gas meter products.)
By the way, Badger Meter also missed earnings and likely every other smart grid company will do the same. Any guess as to what Echelon will do on the 3rd?
You are missing something....ITRI just projected flat to slightly declining revenues for 2012!! Why is that when some of the largest countries in the world will be implementing major smart grid projects in 2012? Can you say, Smart Grid 2.0? I realize ITRI sells more than electric meters and may be doing very well in the gas and water side of their businesses. But, there is a reason why the company has changed CEO's this year, are closing plants and laying off workers. Figure it out.
lonworks: it is clear that you don't know much about Itron. This is a quote from the conference call -
"On a revenue basis, our international segment accounted for more than half of our company revenues in the third quarter, as you can see on Slide 7."
Apparently you consider 50% of revenue as 'not being successful in the international market'....or am I missing something?
lonworks: So I guess that your opinion is the French project for 35M meters is NOT international? The pilot for which Itron is involved in. Do you recall that project...the one in which Itron is considered to be a front-runner?
You have yet to explain why you post on this site, other than to root against Itron. You remind me of a soccer parent that instead of cheering for her own team (Echelon), goes to the opposing sideline and taunts the players and parents from that team.
What exactly is the point?