Energy systems manufacturer AMSC reported a decline in third-quarter revenues but is eyeing future profitability after receiving the last $25 million from a legal settlement.
The company, based in Ayer, reported $14.1 million in revenues for the quarter, down from $14.9 million last year.
The company said it made a profit of nearly $17.3 million, but that figure was aided largely by the $25-million legal payment from Chinese firm Sinovel.
The payment makes the company’s nine-month report seem better than it actually is.
The company received almost $54 million from Sinovel this year, and AMSC is reporting a $35.1 million profit.
Last year, AMSC lost $4.2 million in the third quarter and $26.8 million through the first nine months.
The quarter’s revenues took a hit thanks in large part to a big reduction in the company’s grid revenues, from $12.3 million to just $6.8 million.
Wind revenues, however, increased to $7.3 million from $2.6 millon.
For the year, revenues are up to $41.6 million from $34.9 million.
The company ends the quarter with more than $80 million in cash, a big jump from the $34 million at the end of March 2018.
In a statement, Chairman, President and CEO Daniel McGahn said the company’s strong balance sheet and nearly $1 million in operating cash flow generated during the quarter puts AMSC on a path toward predictable revenues and long-term growth.
“We expect to complete our goals for this fiscal year and further diversify and grow our revenue,” McGahn said.
