Business
Energy Recovery Affirms FY 2023 Guidance, Continues Investments in Wastewater and CO2 Business Growth
SAN LEANDRO, Calif.--(BUSINESS WIRE)-- Energy Recovery, Inc. (Nasdaq:ERII) (“Energy Recovery” or the “Company”) today announced its financial results for the
About this update from Energy Recovery, Inc.
[{"type":"text","content":" SAN LEANDRO, Calif.--(BUSINESS WIRE)--\nEnergy Recovery, Inc. (Nasdaq:ERII) (“Energy Recovery” or the “Company”) today announced its financial results for the second quarter and six months ended June 30, 2023.\n\n\nSecond Quarter Highlights\n\n\n\nRevenue of $20.7 million, within the lower end of guidance. Revenue was lower due to a timing delay of a $5.7 million megaproject shipment that will subsequently be recognized in the third quarter.\n\n\n\nGross margin of 65.4%, within the upper range of our guidance of 64% – 66% for the quarter for Water.\n\n\n\nOperating expenses of $16.1 million, which included growing investments in sales and marketing, and research and development to support business expansion.\n\n\n\nLoss from operations of $2.6 million primarily attributable to lower revenue and gross margin due to timing of revenue recognition of a megaproject shipment.\n\n\n\nNet loss of $1.7 million and adjusted EBITDA(1) of $0.2 million.\n\n\n\nCash and investments of $97.5 million which include cash, cash equivalents, and short-term and long-term investments.\n\n\n\nExpanded the PX U Series product line used in and tailored for ultra high-pressure reverse osmosis applications.\n\n\n\nRobert Mao, Chairman, President and CEO, commented on the financial results, “We delivered second quarter results in line with our previous guidance and we expect our outlook for the remainder of the year to be unchanged. As of today, our desalination and wastewater businesses are on track, and the significant increases in megaproject shipments expected in the second half of 2023, give us confidence in our ability to achieve our full-year revenue guidance.”\n\n\nMr. Mao added, “We continue to achieve new milestones in our CO2 business. We were awarded the prestigious Refrigeration Innovation of the Year Award by ATMO for our PX G1300™ in June. We are also partnering with a major U.S. refrigeration manufacturer on a new training center in California that will incorporate our PX G1300, providing us a unique opportunity to educate the market further on our device. We continue to deploy the PX G1300 at new locations in Europe with our partners Fieuw Koeltechniiek nv and Epta S.p.A., and in North America. We are focused on building and enhancing relationships within the industry, as well as expanding our team in both the U.S. and Europe.”\n\n\nFinan...