SPI Solar announced its results for the second quarter ended June 30, 2014. The company has completed the previously announced private placement of $21.75 million and entered into a new private placement agreement for an additional $25 million, which will improve SPI’s balance sheet.
Second-Quarter 2014 Results:
Total net sales for the second quarter of 2014 were $6.3 million, compared with $4.2 million for the second quarter of 2013. For the first quarter of 2014, SPI Solar reported total net sales of $3.6 million.
Total cost of goods sold for the second quarter of 2014 was $5.8 million, compared with $3.3 million for the second quarter of 2013. Total cost of goods sold for the first quarter of 2014 was $3.4 million.
Total operating expenses for the second quarter of 2014 were $1.2 million, compared with $7.4 million for the second quarter of 2013. Operating expenses for the first quarter of 2014 were $1.3 million.
During the second quarter of 2014, SPI Solar entered into an agreement with a non-U.S. investor and issued an $11 million convertible bond, bearing no interest. The convertible bond includes a $10.3 million beneficial conversion feature, which was recognized separately at issuance, resulting in a discount on the convertible bond, which will be amortized into interest expense. Interest expense of $0.7 million was recorded during the second quarter of 2014.
Net loss for the second quarter of 2014 was $1.3 million, or ($0.01) per basic and diluted share. This compared with a net loss of $6.8 million, or ($0.03) per basic and diluted share, for the second quarter of 2013, and with a net loss of $0.8 million, or ($0.00) per basic and diluted share, for the first quarter of 2014.
Second-Quarter 2014 and Recent Updates:
- Announced joint venture agreement with WIRCON GmbH to develop solar PV projects in the UK
- Announced that the company had entered into a definitive purchase agreement for the sale of $25.0 million of common stock in a private placement
- Entered into an agreement through SPI Solar’s wholly-owned subsidiary, Xinyu Xinwei New Energy Co., LTD. (Xinwei), to build and develop a 50 megawatt photovoltaic project in Fenyi County, China; subsequently announced an agreement for the sale and transfer of this project
- Announced that Xinwei had entered into an agreement for the proposed construction of a 21 megawatt project in Jiangxi Province, China
- Completed a $21.75 million private placement
- Showcased the company’s Yes! Solar brand of high-quality, low-cost solar kits for residential deployment at the Intersolar North America 2014 trade show.
- Cash and cash equivalents at June 30, 2014 were $5.9 million, compared with $1.0 million at December 31, 2013.
To read the complete result, please visit: SPI Solar Announces Second-Quarter 2014 Financial Results