Broadwind sales slip with tax credits in limbo
CICERO -- Wind turbine maker Broadwind reported total revenue of $40.4 million in its fiscal year third quarter, compared to $54.6 million in the prior-year period. The company reported a net loss of $2.1 million, or 11 cents per basic share, in the period, compared to a net loss of $1.0 million, or 6 cents per basic share, in the prior-year quarter.
Third quarter results were impacted by a 37% year-over-year decline in wind tower sections sold, as wind farm developers postponed investments ahead of a potential, multiyear extension of the federal Production Tax Credit, the company said.
"Our third quarter results reflect a near-term pause in wind tower demand, offset by an acceleration in customer activity across our energy and industrial end-markets," said Eric Blashford, president and CEO of Broadwind. "As widely anticipated, developers have slowed investment in new wind capacity ahead of a proposed PTC extension."
To date, Broadwind has sold approximately 30% of its full-year 2022 optimal tower production capacity. Broadwind expects to receive additional orders for 2022 production capacity over the coming months, it said.