Business
Broadwind Announces Second Quarter 2020 Results
CICERO, Ill., Aug. 05, 2020 (GLOBE NEWSWIRE) -- Broadwind (NASDAQ: BWEN), a diversified precision manufacturer of specialized components and solutions serving
About this update from Broadwind, Inc.
[{"type":"text","content":"CICERO, Ill., Aug. 05, 2020 (GLOBE NEWSWIRE) -- Broadwind (NASDAQ: BWEN), a diversified precision manufacturer of specialized components and solutions serving global markets, today announced results for the second quarter 2020.\n 2Q20 HIGHLIGHTS Total revenue of $54.9 million (+33% y/y)Total gross margin of 9.9% (+40 bps y/y)Total net income of $0.5 million, or $0.03 per basic shareTotal non-GAAP adjusted EBITDA of $2.9 million (+50% y/y)Total cash and availability of $21.9 million (+$13.8 million y/y) For the three months ended June 30, 2020, the Company reported total sales of $54.9 million, an increase of 33.4% when compared to the prior-year period. Broadwind reported net income of $0.5 million, or $0.03 per basic share in the second quarter 2020, compared to a net loss of ($1.0) million, or ($0.06) per basic share, in the second quarter 2019. The Company reported adjusted EBITDA of $2.9 million in the second quarter 2020, compared to $1.9 million in the prior-year period. Significant revenue growth in the Heavy Fabrications and Industrial Solutions segments more than offset a decline in Gearing segment revenue during the second quarter 2020. Heavy Fabrications segment revenue increased by more than 50% on a year-over-year basis in the second quarter, driven by customer demand to support the expected increase of wind turbine installations and as a result of diversification traction in mining and other industrial markets. Industrial Solutions segment revenue also increased by 50%, given increased demand for natural gas turbine components, while Gearing segment revenue declined by 25%, as select customers postponed scheduled purchases into future periods given general economic uncertainty resulting from the novel coronavirus (COVID-19). STRATEGY UPDATE During the second quarter, Broadwind continued to execute on a multi-year strategy focused on (1) market expansion across key verticals (2) improved operating efficiency and plant utilization; and (3) disciplined capital management. Diverse market focus. Revenue derived from customers in the wind, industrials, steel and natural gas turbine markets all increased in the second quarter 2020. Total wind-related revenues increased 40% year-over-year in the period. The Company remains a key supplier to the global on-shore wind energy industry and has begun to evaluate new, off-shore w...