Ocean Power Technologies, Inc (OPTT) saw its loss narrow to $0.97 million, or $0.25 a share for the quarter ended Oct. 31, 2016. In the previous year period, the company reported a loss of $3.03 million, or $1.71 a share.
Revenue during the quarter plunged 65.62 percent to $0.17 million from $0.49 million in the previous year period. Gross margin for the quarter was at 26.37 percent.
Operating loss for the quarter was $2.99 million, compared with an operating loss of $3 million in the previous year period.
George H. Kirby, President and Chief Executive Officer of OPT, stated, "We continue to make measurable progress towards executing on our strategic business plan, and we are pleased with the developments throughout the second quarter and to date. Our accomplishments include successfully completing a pre-requisite stage gate review with MES and securing a new contract with the U.S. Department of Defense Office of Naval Research to conduct the design of a new mass-spring oscillating PowerBuoy for mission critical sensors. In October we completed a public offering of common stock with net proceeds of approximately $6.9 million. In early November we secured a joint marketing agreement with Sonalysts Inc., received court approval of the class action settlement, and received nearly $700,000 through New Jersey’s Technology Business Tax Certificate Transfer Program.”
Operating cash flow remains negative
Ocean Power Technologies, Inc has spent $6.28 million cash to meet operating activities during the first half as against cash outgo of $6.98 million in the last year period. Cash flow from investing activities was $0.03 million for the first half, down 63.93 percent or $0.06 million, when compared with the last year period.
Cash flow from financing activities was $12.05 million for the first six months as against cash outgo of $0.05 million in the last year period.
Cash and cash equivalents stood at $12.51 million as on Oct. 31, 2016, up 21.02 percent or $2.17 million from $10.34 million on Oct. 31, 2015.
Working capital increases
Ocean Power Technologies, Inc has recorded an increase in the working capital over the last year. It stood at $9.72 million as at Oct. 31, 2016, up 15.11 percent or $1.28 million from $8.45 million on Oct. 31, 2015. Current ratio was at 2.59 as on Oct. 31, 2016, down from 3.98 on Oct. 31, 2015.
Days sales outstanding went up to 755 days for the quarter compared with 32 days for the same period last year.
At the same time, days payable outstanding went up to 1090 days for the quarter from 54 for the same period last year.
Debt comes down significantly
Ocean Power Technologies, Inc has recorded a decline in total debt over the last one year. It stood at $0.07 million as on Oct. 31, 2016, down 25.04 percent or $0.03 million from $0.10 million on Oct. 31, 2015. Long-term debt stood at $0.04 million as on Oct. 31, 2016. Total debt was 0.46 percent of total assets as on Oct. 31, 2016, compared with 0.85 percent on Oct. 31, 2015. Debt to equity ratio was almost stable at 0.01 as on Oct. 31, 2016, when compared with the last year. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
