Energy Recovery Reports Record Q4 Revenue, 75% Annual Earnings Per Share Growth

About this update from Energy Recovery, Inc.

[{"type":"text","content":"SAN LEANDRO, CA / ACCESSWIRE / February 22, 2023 / Energy Recovery, Inc. (NASDAQ:ERII) (\"Energy Recovery\" or the \"Company\") today announced its financial results for the fourth quarter ended December 31, 2022.Fiscal Year 2022 HighlightsRevenue growth of 21% over the prior year and within the November 2022 guidance.Achieved the highest revenue quarter in the company's history during the fourth quarter of fiscal year 2022 of $42.3 million. Growth was driven by our core desalination business and industrial wastewater growth.Gross margin of 69.6%, up 100 basis points compared to the prior year, due to increased pricing and product mix.Operating expenditures grew 9% over the prior year, which included VorTeq-related costs and litigation expenses that comprised 3% of the growth.Net income of $24.0 million, a growth of 69% over the prior year, and adjusted EBITDA of $36.8 million, up 50% over the prior year. Profitability increased on the basis of increased gross margin and a reduction of operating expenditures as a percent of revenue, which in turn drove earnings per share up nearly 75% to $0.42.Operating cash flow for the year was 7% below 2021 largely due to the timing of customer collections for shipments that occurred late in the fourth quarter.Robert Mao, Chairman, President and CEO, commented on the financial results: \"Despite the macro-economic headwinds we are all experiencing globally, we achieved 21% annual revenue growth in 2022. Our core desalination business has never been stronger, and our new PX Q400 will help us maintain a competitive advantage in the coming years. Additionally, we exceeded our industrial wastewater 2022 guidance by nearly 30%, our annual operating income nearly doubled, and earnings per share grew 75%. All of these metrics show that our focus on thoughtful organic growth is having a real and positive impact on the business.\"Mr. Mao added, \"In our CO2 refrigeration business, we are investing in additional resources to support the growth of this burgeoning business, including sales account managers for the U.S. and European markets, as well as field technicians. Our manufacturing partners are beginning to highlight our PX G1300 to their supermarket clients now that our PX technology has demonstrated its reliability and efficiency gains out in the field. We have received repeat orders for addition...

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