UQM Technologies posts $8.7M loss for most recent quarter

LONGMONT — UQM Technologies Inc. (NYSE: UQM), a developer of alternative-energy technologies, on Thursday reported a loss of $8.7 million for its most recent quarter that ended Dec. 31.

The Longmont-based manufacturer of electric motors, generators, power electronic controllers and fuel-cell compressors, generated revenue of $1.7 million for the quarter, up from $1.3 million posted for the same quarter a year ago.

The $8.7 million loss, or 18 cents per common share, compared with a loss of $1.4 million, or three cents per common share, for the same period last year.

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Quarterly results included a one-time inventory reserve adjustment of $7.2 million, or 15 cents per share, related primarily to the PowerPhase (drive systems) inventory. The adjustment has no impact on cash, the company said in a prepared statement.

“We decided to take a reserve against our PowerPhase Pro inventory because, while we have contracted with ITL to purchase the vast majority of this inventory, they have experienced delays in their launch schedule and payment toward the inventory purchase,” said Joe Mitchell, UQM’s president and chief executive. “This inventory has been on our books for over four years, and we felt it appropriate to take an inventory reserve at this time.”

For the nine months that ended Dec. 31, total revenue grew 8 percent to $4.1 million compared with $3.8 million in the prior year. Net loss was $13 million or 27 cents per common share compared with $6 million, or 14 cents per common share, for the same nine months last year.

Mitchell said the company has entered 2017 with “the strongest backlog we have seen in years.

“We recently obtained a bank line of credit that secures our cash position for at least the next year,” Mitchell said. “We are excited about our inroads in China, our recently announced development partnership with Meritor, and the progress we are making to identify a strategic partner to support our global expansion efforts.”

Late last year, UQM terminated a stock-purchase agreement with Hong Kong-based Hybrid Kinetic Group Ltd.

UQM’s stock closed trading Wednesday at 52 cents per share. During the past 12 months, the company’s stock price has ranged from 42 cents to 90 cents per share.