LONDON, July 12, 2019 (GLOBE NEWSWIRE) -- VivoPower International PLC (VVPR) (“VivoPower” or the “Company”), an international solar and critical power services company, today announced its financial results for the year ended March 31, 2019.
“Fiscal 2019 has seen a significant improvement in results for VivoPower, reflecting a strong turnaround in performance during the second half of the year,” said Art Russell, VivoPower’s Interim Chief Executive Officer. “We are particularly pleased with the performance of our critical power services businesses, which have strongly outperformed, delivering 28% year-over-year growth in revenue (excluding currency changes). With a record forward order book of $54.2 million to be delivered in fiscal 2020, these businesses are leading the turnaround of VivoPower, supported by the increasing momentum of our Australian solar development business.”
“VivoPower’s primary objective for the year ahead is to return to profitability, as well as enhance and maximize the value from the monetization of our U.S. 1.7 GW solar portfolio. To this end, we have made significant reductions in corporate and solar overhead ($5.8 million, 54%, reduction in fiscal 2019) and, after a detailed bottom up review of our U.S. solar portfolio, have appointed a new in-house sales leader to take a more hands-on approach to value enhancement and the broader sales process,” said Mr. Russell.
Kevin Chin, Chairman, commented: “VivoPower expects to return to profitability in the coming year given the strong order book in Australia and reduced overhead base. Further, monetization of the U.S. portfolio in a manner that maximizes value will enable the Board to evaluate and execute on value accretive strategic pivot options.”
Fiscal Year 2019 Highlights:
- Record revenues of $39.0 million, representing 16% year-over-year growth
- Gross profit has increased 23% to $6.3 million due to operational efficiencies and pricing initiatives
- Corporate and solar overheads reduced by $5.8 million, or 54%
- Unrestricted cash resources increased to $4.5 million from $1.9 million in prior year
- Net debt reduced by $5.7 million to $14.7 million
- Completed sale of North Carolina projects for $11.5 million
- Critical Power Services business achieved record forward order book
- Australian solar development gaining momentum and on target to deliver first 15 MW solar project
- U.S. solar portfolio sales management reorganized with focus on strategy to enhance value and accelerate monetization
As previously announced, Kevin Chin, Chairman, and Art Russell, Interim Chief Executive Officer, will hold an earnings conference call on Monday July 15, 2019 at 17:00 EDT.
The dial-in phone numbers for the live audio call are:
United Kingdom: +44 (0) 2071 928000
United States: +1 631-510-7495
Australia: +61 (0) 2 8607 8541
Conference Code: 8279337
A replay of the webcast will also be available two hours after the conclusion of the call and can be accessed from the links noted above for a period of one year.
VivoPower is an international solar and critical power services business, providing critical energy infrastructure generation and distribution solutions to a diverse range of commercial and industrial customers, including the development, construction, and sale of photovoltaic solar projects.
This communication includes certain statements that may constitute “forward-looking statements” for purposes of the U.S. federal securities laws. Forward-looking statements include, but are not limited to, statements that refer to projections, forecasts or other characterizations of future events or circumstances, including any underlying assumptions. The words “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intends,” “may,” “might,” “plan,” “possible,” “potential,” “predict,” “project,” “should,” “would” and similar expressions may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements may include, for example, statements about the benefits of the events or transactions described in this communication and the expected returns therefrom. These statements are based on VivoPower’s management’s current expectations or beliefs and are subject to risk, uncertainty and changes in circumstances. Actual results may vary materially from those expressed or implied by the statements herein due to changes in economic, business, competitive and/or regulatory factors, and other risks and uncertainties affecting the operation of VivoPower’s business. These risks, uncertainties and contingencies include changes in business conditions, fluctuations in customer demand, changes in accounting interpretations, management of rapid growth, intensity of competition from other providers of products and services, changes in general economic conditions, geopolitical events and regulatory changes and other factors set forth in VivoPower’s filings with the United States Securities and Exchange Commission. The information set forth herein should be read in light of such risks. VivoPower is under no obligation to, and expressly disclaims any obligation to, update or alter its forward-looking statements whether as a result of new information, future events, changes in assumptions or otherwise.