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I believe uplisting should happen after they report, as that would be 2 quarters with the new auditors.
Why do you think this?
I think even if they come in with .63 for the year, it along is not enough to justify PE of 20, but with significant growth anticipated in years to come coupled with uplisting, and potential $1.00 in EPS for next year, that could justify at least PE of 15 for $15 sometime in 2010.
I believe uplisting should happen after they report, as that would be 2 quarters with the new auditors.
I agree considering that during the online conference that they did the CEO said that he expected the 4th quarter to be better than the third quarter.
I expect them to come in at above .63 cents a share for the year.
With the growth of this company even since the bad second quarter, this should justify a higher pe of maybe 20, thats $12.60 a share.
Their estimate was 0.60 for the year. Given that their last quarter was 0.25, and with the current contracts, I wouldn't be surprised to see them come in with 0.30 for the quarter, giving them total EPS of 0.68 for the year.
I think after fiasco in 2nd quarter, they have really lowballed their estimates for the year, and should have a nice 10-20% surprise....
The question was asked in the last conference call, How much revenue do you receive from each MW. The answer was about $2mil per MW.
So that would be an additional $20 mil revenue if everyone they shipped to in the 4th quarter paid them upon shipment or shortly after and before the end of the year.
What should we expect for the 4th Q EPS based on 10MW of solar backlog being shipped?
Worldwide Energy and Manufacturing Announces $58 Million Year-to-Date in Solar Division Contracts
Latest Solar Order Backlog Totals Approximately 29 MW
http://finance.yahoo.com/news/Worldwide-Energy-and-iw-1483356855.html?x=0&.v=1
SOUTH SAN FRANCISCO, CA and SHANGHAI, CHINA--(Marketwire - 01/12/10) - Worldwide Energy and Manufacturing USA, Inc. (OTC.BB:WEMU - News) ("Worldwide Energy"), a U.S.-based solar module technology and China manufacturing company specializing in products for customers in the solar energy, aerospace, wireless telecommunications, medical equipment and automotive industries, today announced that contract orders for its solar division, AmeriSolar, have reached an estimated $58 million, as of January 11, 2010. These solar module contracts include mostly new orders received during the fourth quarter of 2009 and some orders that were received earlier in 2009 which have been re-signed as new orders with their shipments pushed out to 2010. Shipments of all these orders are expected to be completed in 2010.
Worldwide Energy's Chief Executive Officer Jimmy Wang stated: "I am extremely pleased with the backlog of orders for our solar division at this early stage in the new year. We remain confident in projecting that we will ship at least 50% more megawatts in 2010 than in 2009. I continue to look forward to very strong growth in 2010. We continue to aggressively grow our solar module market share by focusing on providing a technologically superior, more durable and efficient, solar panel product to our customers at a competitive price."
According to Lux Research, the global solar energy market is expected to double in the next five years from $36 billion in 2008 to $70 billion in 2013. For the first nine months of 2009, Worldwide Energy's solar module revenue was $29.4 million, a 36% increase over the nine-month period in 2008. The company shipped approximately 10 MW of solar backlog during the fourth quarter 2009.
Worldwide currently sells its advanced solar modules under the AmeriSolar brand name in more than ten countries including the United Kingdom, Germany, Italy, Switzerland, Portugal, France, Spain, Australia, South Korea, and the United States.
Glen Bradford wrote about WEMU today,
Also Redchip put out a new research report today.
Glen put the RedChip report in the article.
Here is the link,
http://www.thestreet.com/story/10651154/1/china-stocks-for-the-holidays-part-2.html
http://quote.barchart.com/texpert.asp?sym=wemu&code=BSTK
Date Open High Low Last Change Volume % Change
12/07/09 5.6000 5.6000 5.5000 5.5000 unch 11303 unch%
Composite Indicator
Trend Spotter TM Buy
Short Term Indicators
7 Day Average Directional Indicator Buy
10 - 8 Day Moving Average Hilo Channel Buy
20 Day Moving Average vs Price Buy
20 - 50 Day MACD Oscillator Buy
20 Day Bollinger Bands Buy
Short Term Indicators Average: 100% - Buy
20-Day Average Volume - 22725
Medium Term Indicators
40 Day Commodity Channel Index Buy
50 Day Moving Average vs Price Buy
20 - 100 Day MACD Oscillator Buy
50 Day Parabolic Time/Price Buy
Medium Term Indicators Average: 100% - Buy
50-Day Average Volume - 21296
Long Term Indicators
60 Day Commodity Channel Index Buy
100 Day Moving Average vs Price Buy
50 - 100 Day MACD Oscillator Sell
Long Term Indicators Average: 33% - Buy
100-Day Average Volume - 25784
Overall Average: 88% - Buy
Price Support Pivot Point Resistance
5.5000 4.9533 5.5833 6.2133
Spoke with Red Chip this morning, I think the same guy you spoke to, he gave me those numbers to post to you and everyone.
Thanks for the feedback. I spoke to RedChip last week about growth in annual MW production, and they said they would get back with me. This provides context to the latest PR announcing the two solar panel contracts totaling 23MW for 2010 (valued at approximately $46 million). Basically these two contracts for 2010 provide the same MW as shipped for all contracts in 2009. They also represent the total revenue for 2008, but future contracts should allow WEMU to show further revenue growth in 2010.
Comparing to 2009 revenues, it appears that the deterioration in solar panel prices has just about run its course, so WEMU should remain (reasonably) profitable in 2010. The unknown remains overall margin in 2010 as competition is still very tough in solar panel business.
Much appreciated.
'peeker
7.2MW in 08, 23MW in 09 and 34.5MW(50% increase) in 10.
Total MW of solar modules...
Anyone have total MW sold in 2008, estimated totals for 2009 and 2010? Trying to assess the added value of the new contract for 28MW to be delivered in 2010.
Thanks in advance!
'peeker
WEMU PE 10
Sales Growth*
+278.40%
Income Growth*
+65.80%
Solar Stocks Comps Compared to WEMU
SPWRA PE 33
Sales Growth*
+85.20%
Income Growth*
-48.00%
FSLR PE 16
Sales Growth*
+147.30%
Income Growth*
+54.50%
STP PE of 55
Sales Growth*
+42.70%
Income Growth*
-30.10%
TSL PE of 20
Sales Growth*
+175.60%
Income Growth*
+10.80%
ENER PE of -39 (Was profitable now losing money)
Sales Growth*
+23.60%
Income Growth*
-199.60%
WEMU has the Highest sales and Earnings growth out of all the profitable solar companies,
WEMU IS GROWING at a faster rate than all the rest, This stock deserves a 20 PE. Current Price 4.80
Reasonable yes,
However lets take a look at what I believe to be reality.
09 earnings above .60 cents,
Amex Listing, by end of first quarter. Case for better than a 10 pe, could be 20 pe, maybe as high as a 30 pe. Reason, good growth.
2010 earnings .70 cents.
$14 stock in a year with a 20 PE.
My basis on a 20 PE is,
All other profitable solar companies trading at pe's above 25, some as high as 45.
The TomCat!
Worst case scenarios then:
worst case earnings 2009 = 50 cents I am thinking
2010 should be at least 70 cents
worse case solar industry remains tough so pe ratios coupled with poorly understood Chinese company means pe of 10
should be at least $7.00 at end of 2010
Reasonable worst case, yes or no?
Reasonable best case?
sam
5.20 x 5.25hod. looking nice here today with news..keep rocking..getting jiggy here..gl
December 3, 2009 - 10:56 AM EST
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WEMU 5.10 0.10
Today 5d 1m 3m 1y 5y 10y
Worldwide Energy and Manufacturing Announces 23 Megawatts in New Solar Contracts
Worldwide Energy and Manufacturing Announces 23 Megawatts in New Solar Contracts
Contracts Valued at $46 Million
SOUTH SAN FRANCISCO, CA and SHANGHAI, CHINA, Dec. 3, 2009 (Marketwire) --
SOUTH SAN FRANCISCO, CA and SHANGHAI, CHINA -- (Marketwire) -- 12/03/09 -- Worldwide Energy and Manufacturing USA, Inc. (OTCBB: WEMU), a U.S.-based solar module technology and China manufacturing company specializing in products for customers in the solar energy, aerospace, wireless telecommunications, medical equipment and automotive industries, today announced two new solar panel contracts for a total of 23 megawatts, valued at approximately $46 million. All of these solar contracts will be shipped in 2010.
The Company believes that the superior structural technology and cost efficiencies of its solar panels, combined with its quick turnaround and delivery ability, contributed to winning these contracts. The Company has currently filed 14 patents on its solar panel technology.
Jimmy Wang, chief executive officer of Worldwide Energy and Manufacturing, stated: "I am extremely pleased with these new contracts. We continue to prove again and again that Worldwide solar panel technology is better than its competitors and that we can continue to win new contracts. I want to note that while many solar panel manufacturers are losing money, we continue to grow our revenue and profits. Today, the president of our solar division was very confident in projecting that we will ship at least 50% more megawatts in 2010 than in 2009. I look forward to very strong growth in 2010."
About Worldwide Energy and Manufacturing USA, Inc.
Worldwide Energy and Manufacturing USA, Inc. ("Worldwide"), headquartered in South San Francisco, California, is a 16-year-old engineering-oriented firm specializing in photovoltaic (PV) panel, mechanical, electronics and fiber optic products manufacturing. The company's worldwide customer base includes the industries of solar energy, wireless telecommunications, aerospace, automobiles and medical equipment. Subsidiaries include Shanghai Intech Electro Mechanical Products Co. Ltd., Shanghai Intech Electronics Manufacturing Co. Ltd. and Shanghai Intech Precision Mechanical Products Manufacturing Co. Ltd., located in Shanghai, China.
For further information on Worldwide Energy and Manufacturing USA, Inc., please visit http://www.wwmusa.com.
Forward-looking statements:
The above news release contains forward-looking statements. The statements contained in this document that are not statements of historical fact, including but not limited to, statements identified by the use of terms such as "anticipate," "appear," "believe," "could," "estimate," "expect," "hope," "indicate," "intend," "likely," "may," "might," "plan," "potential," "project," "seek," "should," "will," "would," and other variations or negative expressions of these terms, including statements related to expected market trends and the Company's performance, are all "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 and involve a number of risks and uncertainties. These statements are based on assumptions that management believes are reasonable based on currently available information, and include statements regarding the intent, belief or current expectations of the Company and its management. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performances, and are subject to a wide range of external factors, uncertainties, business risks, and other risks identified in filings made by the company with the Securities and Exchange Commission. Actual results may differ materially from those indicated by such forward-looking statements. The Company expressly disclaims any obligation or undertaking to update or revise any forward-looking statement contained herein to reflect any change in the company's expectations with regard thereto or any change in events, conditions or circumstances upon which any statement is based.
Contact:
At the company:
Worldwide Energy and Manufacturing USA, Inc.
Jimmy Wang
650-794-9888, Ext. 221
jimmyw@wwmusa.com
http://www.wwmusa.com
Investor relations:
Dave Gentry
RedChip Companies, Inc.
1-800-733-2447, Ext. 104
info@redchip.com
http://www.RedChip.com
Based on the conference call, I consider the 4th qtr a great puzzle but it conceivably will be better than 3rd qtr on all counts but we shall see ...
sam
Highly Undervalued!
This company looks really good, great 3rd quarter figures. Lots of growth and sweeter margins. News is great!
I heard that WEMU is projecting their 4th quarter to beat their 3rd quarter for earnings.
Thats Huge here!
Hehe, I'm just giving you a hard time. I agree they will get uplisted before too long. I'm just being conservative, we won't pop up to 20 P/E as soon as we uplist after all (Would be nice, lol).
-Fernando
AAh Fernando, Much respect given to you, I think you are normally right on the money!
However I do think they will get listed soon and well dang it, once that happens a 20 pe should be no problem. It might take a couple months to get there, but it should get there.
As I know, Fernando you are one of the good guys!
This just in: New Worldwide Energy contracts
Looks like the company is having a banner year:
Worldwide Energy and Manufacturing Announces Three New Customers for Its Contract Manufacturing Division
New Contracts Total $760,000
SOUTH SAN FRANCISCO, CA and SHANGHAI, CHINA--(Marketwire - 12/01/09) - Worldwide Energy and Manufacturing USA, Inc. (OTC.BB:WEMU - News), a U.S.-based solar module technology and China manufacturing company specializing in products for customers in the solar energy, aerospace, wireless telecommunications, medical equipment and automotive industries, today announced the signing of three new customers with contracts totaling $760,000. The new orders are expected to add to revenues and earnings in the fourth quarter of 2009 and continuing through 2010.
Shanghai Intech Electric and Electronics Co. Ltd., one of Worldwide Energy's China-based manufacturing subsidiaries, signed a new customer, Shanxi Guangyu Power Supply Co., Ltd., to an initial $600,000 contract for LED power supply products. Additionally, Shanghai Intech Precision Mechanical Products Manufacturing Co. Ltd., a wholly owned China-based subsidiary, added two new customers -- Shanghai Wuteng Hardware Factory and Su Zhou Weitang Metal Factory -- for die-casting contracts totaling $160,000.
http://finance.yahoo.com/news/Worldwide-Energy-and-iw-2354588976.html?x=0&.v=1
Show me a china bulletin board stock that trades at 20x earnings? =).
Once it is NASDAQ listed, then we can talk about that kind of evaluation. Until then, be happy with 10x.
Disclosure: I am long WEMU and have been buying more the past 2 weeks.
-Fernando
well its obviously better than what you have to say! LOL
Wemu should trade at 20 x earnings, this should be a $10 stock.
Why should we care what the Green Baron has to say?
WEMU has huge potential for appreciation in the short term, IMHO:
"The Green Baron Report figures WEMU could conservatively trade for .50 times sales or 20 times near year’s forecasted earnings of .50 per share. If sales come in at $70 million next year, .50 times sales would put WEMU at $9.72 per share, and 20 times earnings would put WEMU at $10.00 per share. Therefore, we split the difference and believe WEMU stock could reach our target short-term target of $9.86 per share within six months.
link:
www.thegreenbaron.com/Stock%20Alerts/11-30-09%20Stock%20Alert%20WEMU.htm
Worldwide Energy Announces Third Quarter 2009 Preliminary Financial Results
On November 5, 2009, the Company announced financial results for the third quarter ended September 30, 2009:
Highlights of Third Quarter 2009 Results
* Net sales for the three months ended September 30, 2009 were $18.62 million, an increase of 87% over the second quarter of 2009.
* Shipments of solar modules increased by approximately 2.99 MW for the period ended September 30, 2009 compared to the same quarter of 2008.
* Solar module revenues were $15.53 million compared to solar module sales of $15.78 million for the same quarter of 2008.
* EBITDA was $0.42 per share or $1.53 million compared to $0.18 per share or $560,974 for the same period of 2008.
* Net Income was $903,357 or $0.25 per share for the quarter compared to $540,608 or $0.17 per share in the September quarter of 2008, an increase of approximately 67%.
* Net income before tax was $1.43 million compared to $555,237 in the quarter ended September 30, 2009 and September 30, 2008, respectively, an increase of $873,636 or approximately 157%.
Click here for Full Press Release - http://alturl.com/nrvt
Ring Nebula (2,000 light-years away; WOW! Think about that!)
that is a cool picture of the ring nebula. and you are right..
could be tough sledding ahead here if the Chinese stay the course of pricing.
You made a mistake, things are just starting to happen here, you should buy that back right away!
Remember that I told you this!
Sold 3Ksh WEMU today @ $4.75; still holding 5Ksh; glad I waited for a nice move reather than dumping $3-$4 after the earnings disappointment awhile back.
09:11: May impact WEMU profitability if their solar cell suppliers do not lower their prices for WEMU.
DigiTimes reports although photovoltaic (PV) modules in China and Europe have lowered their quotes for first-quarter of 2010 by 10-15% from current levels, solar cell makers in Taiwan and China are unwilling to follow suit and insist on maintaining the current prices for the coming quarter, according to industry sources in Taiwan. The solar cell makers are reluctant to lower quotes because they have strong orders for the fourth quarter and the outlook for coming quarter is also good, the sources said. But PV module makers are showing reluctance to commit to the current prices solar cell makers are quoting for the first quarter. Some module makers have only been willing to sign memoranda of understanding with cell makers for first-quarter 2010 supply, rather than contracts that require pre-payments, the sources indicated.
your quite right, there was an earnings disappointment earlier this year, and the whole solar sector had earnings problems due to the Chinese coming out and cutting their solar prices in half to undercut all other companies. However, the interesting thing here is the CEO is a pretty smart man who will learn from mistakes. I do believe that this Growing Solar Company will reach $10 a share and I do believe that they will be listed on a higher exchange, it might not happen for 6 months or a year, but if I can catch a double in 2 years, thats a better return that all the big wire houses are doing.
With the mention of mistakes made, before someone posts about people making mistakes, look at yourself first. Did you learn from any mistakes you made? If you did, do you have the ability to recover quickly?
Thats how I think about WEMU, I think there was a bad quarter due to the cut in solar prices, I think the CEO overstated his expectations, however I also think he learned a lot from that and is doing a great job recovering.
Go for it Jimmy Wang, I believe!!
$10 in my opinion is very attainable.
Earnings should be higher I think so screwy forecast? Company missed badly early in year, China stock, behind schedule on uplist.
No way $10 yet imo.
sam
4 sure undervalued..been adding for some time now down here and lower. this company i feel will surprise alot of folks and the longs like myself will be very happy somewhere down the road. glty and others.
This should not be a 4.50 stock, it a growing profitable Solar company, in a market when all the other solar comps are hurting this one is growing.
$10 stock price should be more appropriate with a 20 pe.
This is so undervalued its not even funny, other solar stocks are either not profitable or if they are they trade at PE's of more than 30.
Wake up people this one is a steal down here.
keep on rocking..news..gl
-----------------------------
Worldwide Energy Clarifies and Reaffirms Fiscal Year 2009 Guidance, Estimates $60 Million in Annual Revenue
SOUTH SAN FRANCISCO, CA and SHANGHAI, CHINA -- (Marketwire) -- 11/18/09 -- Worldwide Energy and Manufacturing USA, Inc. (OTCBB: WEMU), today announced that company management clarifies and reaffirms guidance for the 2009 fiscal year ending December 31, 2009.
Jimmy Wang, chief executive officer of Worldwide Energy and Manufacturing USA, Inc., stated: "The Company reaffirms guidance previously provided in our November 5, 2009, third-quarter earnings conference call that we expect annual revenues of at least $60 million and an EBITDA of $2.8 million for fiscal year 2009."
Wang continued: "Our solar division expects to ship orders totaling at least 10 megawatts, representing approximately $20 million in revenues, in the fourth quarter of 2009. Additionally, our contract manufacturing division should create at least $3 million in revenues for the quarter.
This would bring our total fiscal year 2009 revenues in excess of $60 million. Fiscal year 2009 earnings would come in at about $1.8 million, which results in net earnings per share of $0.50 on a fully diluted basis.
"We continue to see increasing sales growth from the existing and a number of new customers and improving margins from ramping up production at our solar manufacturing facility in China. We expect a strong fourth quarter and continued growth in our solar division, which comprised 83% of our sales in the third quarter. We are encouraged by our progress and continued strong sales performance."
About Worldwide Energy and Manufacturing USA, Inc.
Worldwide Energy and Manufacturing USA, Inc. ("Worldwide"), headquartered in South San Francisco, California, is a 16-year-old engineering-oriented firm specializing in photovoltaic (PV) panel, mechanical, electronics and fiber optic products manufacturing. The company's worldwide customer base includes the industries of solar energy, wireless telecommunications, aerospace, automobiles and medical equipment. Subsidiaries include: Worldwide Energy and Manufacturing Ningbo (Solar factory) Co., Ltd, Shanghai Intech Electro Mechanical Products Co. Ltd., Shanghai Intech Electronics Manufacturing Co. Ltd., Shanghai Intech Precision Mechanical Products Manufacturing Co. Ltd. And Shanghai Intech Electric and Electronics Co., Ltd., located in Shanghai and Ningbo, China.
For further information on Worldwide Energy and Manufacturing USA, Inc., please visit http://www.wwmusa.com.
Forward-looking statements:
The above news release contains forward-looking statements. The statements contained in this document that are not statements of historical fact, including but not limited to, statements identified by the use of terms such as "anticipate," "appear," "believe," "could," "estimate," "expect," "hope," "indicate," "intend," "likely," "may," "might," "plan," "potential," "project," "seek," "should," "will," "would," and other variations or negative expressions of these terms, including statements related to expected market trends and the Company's performance, are all "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 and involve a number of risks and uncertainties. These statements are based on assumptions that management believes are reasonable based on currently available information, and include statements regarding the intent, belief or current expectations of the Company and its management. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performances, and are subject to a wide range of external factors, uncertainties, business risks, and other risks identified in filings made by the company with the Securities and Exchange Commission. Actual results may differ materially from those indicated by such forward-looking statements. The Company expressly disclaims any obligation or undertaking to update or revise any forward-looking statement contained herein to reflect any change in the company's expectations with regard thereto or any change in events, conditions or circumstances upon which any statement is based.
Contact:
At the company:
Worldwide Energy and Manufacturing USA, Inc.
Jimmy Wang
650-794-9888
jimmyw@wwmusa.com
http://www.wwmusa.com
someone needs to pull up the bid on this thing so others will take out the offers!
Keep in mind also that they were still talking possibly $60 million for the year which implies earnings possibly greater for 4th qtr than 3rd qtr as an upper range based on similar profit margin.
sam
I heard 2nd half live. I listened later to the whole replay.
Everything sounded great in the replay as you described, BUT BUT BUT at the very end what I heard twice via the 2 listens was forecast of 44 to 50 cents for 2009.
There was no follow up at the end to that statement.
It makes no sense based on what they said otherwise.
I don't get it. Conservative is no explanation either.
If 44 to 50 cents was not right and how could I mishear twice there should be a clarification press release.
sam
I got an email reply from Jimmy (WEMU CEO): I put quotes around his replies.
Fernando:
Please read my answers below in BOLD. Could you give me the name of the company you are now with?
Thanks
Jimmy
--- On Fri, 11/6/09, Fernando Moraes wrote:
From: Fernando Moraes
Subject: Letter from Shareholder
To: jimmyw@wwmusa.com
Date: Friday, November 6, 2009, 8:38 PM
Dear Jimmy,
We spoke on the phone a few months back. I wanted to congratulate you on a very good quarter, and even more on a great conference call (Thank you for filing the quarter results early!!!). I also deeply appreciate the conservative nature of the guidance, I especially liked the fairly narrow 'range' you were able to give with regards to Megawatts shipped in Q4. It allowed me to make a EPS range of 0.15 to 0.20 for Q4 (Feel free to correct me if this range is a bad assumption!). Anyhow, I have doubled my WEMU position based on what I have seen lately and what I heard in the conference call. If/When I see the Solar industry starting to recover, I would expect to allocate more funds to WEMU. As a side note, I like the new (sadly temporary) CFO. He was very clear and I get a better impression of him than I did from John. I have started mentioning WEMU again to my China-investing group.
" The experience after Q2 announcement gave me a good lessen. From now on, I want to be conservative and my goal is to beat my projection every announcement. As I said in our Q2 conference call, based on our current Backlog, Q4 should beat our Q3 revenue number. But since the solar market is so volatile, I will not jump into the conclusion now and our new audit firm and the counsel do not allow me to say more than what I said in our earning call regarding the numbers."
A couple of points which I noticed and believe should be clarified or emphasized in the future:
1) Many/Most of your others are REPEAT orders from current customers? (This was said in the CC). If true, this is a major point. Not only does it show brand loyalty but it also makes the sales job much easier if you have recurring orders from the same people. I have always wondered how hard it would be to 'ramp up' the orders year after year, if you always had a higher 'benchmark' to equal the previous year. I think this fact should be emphasized more.
" If you check our history, WEMU has experienced a fairly consitent double digit growth since 1998 after which you can't find a single year when the revenue growth was negative. I expect this trend will last for a long time. I can't tell it too far away, but at least for the time when I am the CEO.
Most of the shipment come from the repeated orders from old customers. However, We keep increasing our customer base by adding new customers every month. Last year we only had 7 customers. This year so far we have had 25. I have no problem to predict that our future growth for the next 5 years will be at least as what we have achieved so far."
2) Clarification: What exactly do your customers do? Do they resell the panels or distribute them? Are these 'order repetitions' from a customer putting it in one building, then adding it to another? Some color would be nice in the 'types' of customers you have.
" Mostly big construction and installation companies that work on commercial buildings. Some are distributors. Recently, we are getting into the U.S. market where most of the installers work on residentials. Most of the orders are repeated. The penal we provided is finished product. Customers specify the color and other special devices before ordering from us."
3) Clarification: What is the smallest order size you will accept from the US? Will you be accept tiny orders like solar panels for SMALL (say 5 story) residential buildings? How many watts is the smallest you can do?
" Except for samples, our orders are usually no smaller than 50 panels for a U.S customer. For an offshore customer, no less than a full 40 foot container."
***4) Clarification: How quickly are you running through your order book? With the current book at 12 Mwatt, and you shipping 5-7 in Q4... Are you in danger of running out of orders soon? Do you expect the normally slow Q1 to give you a chance to 'build up' the order book? This is critical of course, if the order book becomes empty it would be disastrous.
" No, not at all. I did not give out the backlog number for the next year. As the solar industry is so volatile now and the orders for the far future might be change in volume and the price. What I said in the earning call, that 12MW was just the backlog in Q4 and was supposed to shipped out by the end of the year, I announced a very conservative number: 5-7MW to prepare for the worst. Most probably, we will surpass 7MW and even surpass it by far."
Sincerely,
Fernando Moraes
p.s. Thank you for clarifying that the price-per-share is too low to consider equity financing. We, as shareholders, will definitely appreciate any warning when you DO consider financing. If I may make a VERY strong suggestion...Perhaps WEMU can do a "Rights Offering" to current shareholders as a financing method before it does a PIPE and dilutes dramatically in the future? I believe a "Rights Offering" would be much *much* better received. This kind of financing is not common in the USA but is used more often in Europe. Basically you give the right to current shareholders to buy more stock (from the company) at a below-market price. Thus anybody who 'puts up the cash' to exercise the rights is not diluted at all. This method also does not 'drag' the stock down in the future like a PIPE does via the warrants (Since PIPEs are usually units of stock+warrant). One example of a "Rights Offering" is what BBX just did, their stock was at around $4 and they did a Rights Offering to buy at $2 (You could buy 5 shares at $2 for every share you owned). You can then always do a reverse-split after the rights offering to pull up the share price. I beg you to consider this method in the future very seriously.
-Fernando
Drexion, nice work. Thanks for doing the math. It looks like they are still growing nicely and they do have a customer base, but the unknown is how competitive WEMU can afford to be versus the many other panel makers in China as solar panel prices continue to drop due oversupply.
I just listened to the WEMU cc. So far they have delivered 13 MegaWatt of panels, and their EPS is 0.38... They are saying 5 to 7 MegaWatt will be done in Q4 (Although its possible they might get over 7, says Jimmy)...
As a very rough estimate:
(5 / 13) * 0.38 = 0.146 EPS
(7 / 13) * 0.38 = 0.205 EPS
Many assumptions in that given the price per megawatt volatility, the changes in cost-of-production, etc etc... But it should be a decent average of what EPS to expect. So for FY 2009...
0.38 + 0.146 = 0.526
0.38 + 0.205 = 0.585
Average of range = 0.5555
Current stock price: $4.2.
P/E of 7.5.
Company has 5M in cash or $1.4 per share, I believe.
(P-C)/E should thus be 5.
-Fernando
I'm slaving away on my investments. I hope to get more out of the cc because you are right about q4 best as I know.
They were talking a possible $16 mil revenue for 4th qtr I think but that part might be pushed into Q1. It seems like they now admit more to uncertainty.
Also they were saying as long as price weakness persists that outsourcing was better than inhouse which I don't really understand.
sam
How you doing Sam? I did not listen to the cc, but if what you are saying is accurate and WEMU is expecting $0.44 - $0.50 for FY2009, then that puts Q4 EPS @ approx $0.06 - $0.12. Funny how they couldn't put earnings guidance in their earnings PR but instead added this remark..."We expect a strong fourth quarter and continued growth in our solar division." after Q3 EPS of $0.25. (Q4 was a loss last year so YoY won't look too shabby, but QoQ will show a decline). And then of course Q1 is their weakest quarter so it may be six months before we see results from another quarter like WEMU just had. Who knows...
2morrow,
Frow what I heard on end of conference call it sounded like 2009 forecast earnings of 44 to 50 cents and minimum expected jump of 30% in 2010.
My view is why should this company sell for more than $5?
sam
Now here is some NEWS...WEEEE..GLTY
--------------------------------------------------------------
Worldwide Energy and Manufacturing USA Announces Third Quarter 2009 Financial Results
Date : 11/05/2009 @ 4:09PM
Source : MarketWire
Stock : Worldwide Energy & amp; Manufacturing USA, Inc. (WEMU)
Quote : 4.23 -0.02 (-0.47%) @ 7:48AM
Worldwide Energy and Manufacturing USA Announces Third Quarter 2009 Financial Results
SOUTH SAN FRANCISCO, CA and SHANGHAI, CHINA -- (Marketwire) -- 11/05/09 -- Worldwide Energy and Manufacturing USA, Inc. (OTCBB: WEMU), a U.S.-based solar module technology and China manufacturing company specializing in products for customers in the industries of solar energy, aerospace, wireless telecommunications, medical equipment and automotive industries, today announced financial results for the third quarter ended September 30, 2009.
A conference call to discuss these results is scheduled for Thursday, November 5, 2009 at 4:05 p.m. Eastern time (1:05 p.m. Pacific time).
Details on accessing the call follow below.
Highlights of Third Quarter Results
-- Shipments of solar modules increased by approximately 2.99 MW for the
period ended September 30, 2009 compared to the same quarter of 2008.-- Solar module revenues were $15.53 million compared to solar module
sales of $15.78 million for the same quarter of 2008.-- EBITDA was $0.42 per share or $1.53 million compared to $0.18 per
share or $560,974 for the same period of 2008.-- Net Income was $903,357 or $0.25 per share for the quarter compared to
$540,608 or $0.17 per share in the September quarter of 2008, an increase
of approximately 67%.-- Net income before tax was $1.43 million compared to $555,237 in the
quarter ended September 30, 2009 and September 30, 2008, respectively, an
increase of $873,636 or approximately 157%.
Highlights of the Nine Months Ended September 30, 2009
-- Nine-month Revenue increased by approximately 25% to $39.22 million
compared to net sales of $31.35 million in the same period of 2008.-- Solar module revenue was $29.43 million compared to solar module sales
of $21.57 million for the same period of 2008 or an increase of over 36%.-- EBITDA was $0.70 per share or $2.52 million compared to $0.53 per
share or $1.31 million.-- Net Income was $1.36 million, or $0.38 cents per share, for the nine-
month period compared to $1.2 million or $0.48 cents per share in the nine-
month period of 2008.
Jimmy Wang, chief executive officer, stated: "Our Solar Division continues to drive our growth representing 83% of our sales for the third quarter 2009, and I am very pleased with our third quarter and nine months results.
We expect a strong fourth quarter and continued growth in our solar division. I firmly believe our technology is better and that is a major reason why our solar division continues to grow while our larger competitors are experiencing shrinking sales. We expect 2010 to be a year of double-digit earnings and revenue growth."
Third Quarter Ended September 30, 2009
Net sales for the three months ended September 30, 2009 were $18.62 million, an increase of 87% over the second quarter of 2009. Though compared to the third quarter of 2008, sales were down slightly, due to due to a drop in market level pricing on Solar Modules the solar MW shipments actually increased by approximately 2.99 MW when comparing these periods.
The decreased volume from the Company's Contract Manufacturing division brought about by lower overall consumption by the Company's customers due to the current economic conditions. The Company continues to focus on the sales and marketing of its solar modules by establishing sales teams in China, United States and European countries. Solar module revenues comprise approximately 83.4% of the Company's gross sales in the three month period ended September 30, 2009 compared to 82.6% in the same period of 2008.
Gross profit increased by $1.50 million, or 109.8% from $1.36 million in the quarter ended September 30, 2008 to $2,861,264 for the three months ended September 30, 2009. The gross profit from solar module sales was $1.8 million for the three months ended September 30, 2009 compared to $437,595 in the same period of 2008. This represents an increase of $1.36 million in gross profit for the Company's energy division or approximately 310%. The gross profit for Contract Manufacturing for the three months ended September 30, 2009 was $1.06 million compared to $926,337 in the same period of 2008, an increase of $138,198 or 14.9%.
Cost of goods sold for the three months ended September 30, 2009 was $15.76 million compared to $17.74 million for the same period in 2008. The decrease is $1.98 million, or approximately 11.2%, was primarily due to the softer sales from both of the Company's divisions and heavy reductions in the cost of materials for solar modules. The cost of goods for solar modules for quarter ended September 30, 2009 was $13.73 million compared to $15.34 million for the same period of 2008. The decrease of $1.60 million reflects the economies achieved by the Company's procurement teams in sourcing the solar components. The costs of goods sold for Contract Manufacturing was $2.02 million for the quarter ended September 30, 2009 compared to cost of goods sold of $2.40 million, a $377,851 reduction due to lower sales volume and aggressive cost reduction measures coming to fruition.
The gross margin was 15.4% for the three months ended September 30, 2009 compared to 7.1% in the same period in 2008 with the increase being attributed to the Company's heavy cost reduction efforts coming to fruition on higher volume. The gross margin for the Company's Solar Division for the quarter ended September 30, 2009 was approximately 11.6% compared to 2.8% for the same period of 2008. This increase is due to the aforementioned cost reductions. The gross margin for contract manufacturing for the quarter ended September 30, 2009 was 34.4% compared to 27.8% in the same period of 2008. The improvement of gross margin in contract manufacturing was due to improved margins at the Electro Mechanical division.
Net income before tax for the three months ended September 30, 2009 was $1.43 million compared to a profit of $555,237 for the three months ended September 30, 2008. The increase of $873,636, or approximately 157.3%, is primarily due to the higher gross profit driven by the Company's material cost reductions.
Net income for the three months ended September 30, 2009 was $903,357 compared to a net profit of $540,608 for the three months ended September 30, 2008. The increase of $362,749.00 or approximately 67.1% was driven by greater profitability of both the Solar and Contract Manufacturing divisions.
Nine Months Ended September 30, 2009
Net sales for the nine-month period ended September 30, 2009 was $39.22 million compared to sales of $31.35 million in the nine-month period ended September 30, 2008. The increase of $7.87 million, or approximately 25.1%, was the result of an increase in shipments from the Solar division. The Company continues to focus on market penetration for its PV Solar Modules.
Solar modules revenues comprise approximately 75.1% of the Company's gross sales in the nine-month period ended September 30, 2009 compared to 68.8 % in the same period of 2008.
For the nine months ended September 30, 2009, gross profit was $6.56 million compared to gross profit of $3.85 million in the same period of 2008. This represents an increase of $2.71 million, or 70.3%, due primarily to robust sales in the Company's energy division for the period. The gross profit for the nine months ended September 30, 2009 for the solar division was $3.59 million compared to $1.15 million in the same period of 2008.
This represents an increase of $2.44 million in gross profit in the nine months ended September 30, 2009, or an approximate increase of 212.2%. The gross profit for contract manufacturing for the nine months ended September 30, 2009 was $2.97 million compared to $2.70 million in the same period of 2008, an increase of $267,911 or approximately 9.9%.
Cost of goods sold for the nine months ended September 30, 2009 was $32.65 million compared to $27.49 million for the same period of 2008. The increase of $5.16 million, or approximately 18.8%, was the result of greater revenues in the energy division. The cost of goods for solar modules for nine months ended September 30, 2009 was $26.33 million compared to $20.42 million for the same period of 2008. The increase of $5.91 million, or 29%, was due to the higher sales. The costs of goods sold for contract manufacturing was $6.32 million for the nine months ended September 30, 2009 compared to cost of goods sold of $7.08 million in the same period of 2008.
The gross margin was 16.7% for the nine months ended September 30, 2009 compared to 12.3% in the same period of 2008. The increased is due to the planned cost reductions and economies brought about with higher sales volume, both in sales value and megawatts shipped from the Solar Division.
In the nine-month period ended September 30, 2009 there was stock-based compensation of $162,020 compared to $95,000 of stock-based compensation in 2008. Further the Company had depreciation expense of $246,366 in the nine-month period ended September 30, 2009 compared to $10,713 in the same period of 2008, due to the greater amount of depreciable assets owned by the Company.
For the nine-month period ended September 30, 2009, net income before tax was $2.25 million compared to net income of $1.21 million in the same period of 2008. The increase of $1.04 million, or approximately 85.7%, was the result of increase sales for the Company's solar modules and increased gross profit from cost reductions.
Balance Sheet
Cash and cash equivalents totaled $5.1 million on September 30, 2009, compared to $5.1 million at year end 2008. Accounts receivable increased to $15.0 million for the period ended September 30, 2009 compared to $4.79 million at year end 2008.
Total current assets and total assets were $27.99 million and $33.24 million on September 30, 2009. This compared to total current assets of $19.77 million and total assets of $26.01 million in the previous quarter ended June 30, 2009.
Total current liabilities and total liabilities totaled $19.53 million and $20.29 million on September 30, 2009 compared to total current liabilities and total liabilities of $13.35 million and $14.20 million in the previous quarter ended June 30, 2009.
Conference Call and Webcast
The call information follows:
Date: November 5, 2009
Time: 4:05 p.m. Eastern Standard Time
Dial-in number for US/Canada: (888) 549-7704 or (480) 629-9857 for
international calls
Live Webcast: http://www.wwmusa.com or alternately at http://viavid.net.
A replay of the call will be available for two weeks from 7:05 p.m.
November 5, 2009, EST until 11:59 p.m. EST on November 19, 2009. The number for the replay is (800) 406-7325, or (303) 590-3030 for international calls; the passcode for the replay is 4181231. In addition, a recording of the call will be available via the Company's website at http://www.wwmusa.com for one year.
To participate in the call please dial (888) 549-7704, or (480) 629-9857 for international calls, approximately 10 minutes prior to the scheduled start time. Interested parties can also listen via a live Internet webcast, which can be found at the Company's website at http://www.wwmusa.com or alternately at http://viavid.net.
About Worldwide Energy and Manufacturing USA, Inc.
Worldwide Energy and Manufacturing USA, Inc. ("Worldwide"), headquartered in South San Francisco, California, is a 15-year-old engineering-oriented firm specializing in PV panel, mechanical, electronics and fiber optic products manufacturing. The Company's worldwide customer base includes the industries of solar energy, wireless telecommunications, aerospace, automobiles and medical equipment. Subsidiaries include Shanghai Intech Electro Mechanical Products Co. Ltd., Shanghai Intech Electronics Manufacturing Co. Ltd. and Shanghai Intech Precision Mechanical Products Manufacturing Co. Ltd., located in Shanghai, China.
For further information on Worldwide Energy and Manufacturing USA, Inc., please visit http://www.wwmusa.com. You may register to receive Worldwide Energy and Manufacturing USA, Inc.'s future press releases or request to be added to the Company's distribution list by contacting Jeff Watson.
Forward-looking statements:
The above news release contains forward-looking statements. The statements contained in this document that are not statements of historical fact, including but not limited to, statements identified by the use of terms such as "anticipate," "appear," "believe," "could," "estimate," "expect," "hope," "indicate," "intend," "likely," "may," "might," "plan," "potential," "project," "seek," "should," "will," "would," and other variations or negative expressions of these terms, including statements related to expected market trends and the Company's performance, are all "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 and involve a number of risks and uncertainties. These statements are based on assumptions that management believes are reasonable based on currently available information, and include statements regarding the intent, belief or current expectations of the Company and its management. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performances, and are subject to a wide range of external factors, uncertainties, business risks, and other risks identified in filings made by the company with the Securities and Exchange Commission. Actual results may differ materially from those indicated by such forward-looking statements. The Company expressly disclaims any obligation or undertaking to update or revise any forward-looking statement contained herein to reflect any change in the Company's expectations with regard thereto or any change in events, conditions or circumstances upon which any statement is based.
WORLDWIDE ENERGY AND MANUFACTURING USA, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
AS OF SEPTEMBER 30, 2009 AND DECEMBER 31, 2008 September 30, December 31,
2009 2008
------------ ------------
ASSETS (Unaudited)
Current assets:
Cash and cash equivalents $ 5,067,638 $ 5,092,476
Restricted cash 1,417,356 -
Accounts receivables, net of allowances of
$281,000 and $46,000, respectively 14,985,055 4,790,506
Notes receivables 354,263 269,507
Inventories 4,926,189 3,754,765
Income tax receivable 186,157 -
Advances to suppliers 539,394 99,824
Other receivable 111,006 185,400
Prepaid and other current assets 401,260 206,770
------------ ------------
Total current assets 27,988,318 14,399,248 Property, plant and equipment, net 3,554,610 1,353,539
Intangible assets 1,101,000 1,101,000
Goodwill 285,714 285,714
Investment at cost 51,892 51,892
Deposits paid for contracts in process - 1,673,084
Long term receivable - related party 253,996 260,973
Other assets - 7,559
------------ ------------
Total assets $ 33,235,530 $ 19,133,009
============ ============LIABILITIES AND EQUITY
Current liabilities:
Accounts payable $ 14,481,008 $ 3,400,253
Accrued expenses 1,029,332 867,291
Lines of credit 2,000,000 -
Acquisition cost payable - 285,714
Tax payable 492,516 364,213
Due to related parties 1,351,276 1,243,024
Customer deposits 175,723 964,998
------------ ------------
Total current liabilities 19,529,855 7,125,493Non-current liabilities
Line of credit 763,285 937,075
Loan payable to stockholders - 60,024
------------ ------------
Total non-current liabilities 763,285 997,099
------------ ------------
Total liabilities 20,293,140 8,122,592Stockholders' equity
Common stock (No Par Value; 100,000,000 shares
authorized; 3,621,611 and 3,493,511 shares
issued and outstanding, respectively) 6,270,399 6,108,379
Retained earnings 5,160,166 3,801,921
Accumulated other comprehensive income 665,510 487,478
------------ ------------
Total equity attributable to Worldwide 12,096,075 10,397,778
Non-controlling interest 846,315 612,639
------------ ------------
Total stockholders' equity 12,942,390 11,010,417
------------ ------------
Total liabilities and stockholders' equity $ 33,235,530 $ 19,133,009
============ ============ WORLDWIDE ENERGY AND MANUFACTURING USA, INC. AND SUBSIDIARIES
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND
COMPREHENSIVE INCOME For the Three Months For the Nine Months
Ended Ended
September 30, September 30,
2009 2008 2009 2008
----------- ----------- ----------- -----------
Revenue
Sales $18,618,508 $19,102,654 $39,217,288 $31,348,064
Cost of goods sold 15,757,244 17,738,721 32,654,832 27,493,975
----------- ----------- ----------- -----------
Gross profit 2,861,264 1,363,933 6,562,456 3,854,089Operating Expenses
Selling, general and
administrative
expenses 1,316,386 750,983 3,728,136 2,227,502
Management and
professional fees
paid to shareholders 80,000 72,680 260,000 225,680
Stock based
compensation 46,800 (15,000) 162,020 95,000
Depreciation 83,485 2,879 246,366 10,713
----------- ----------- ----------- -----------
Total operating expenses 1,526,671 811,542 4,396,522 2,558,895Net operating income 1,334,593 552,391 2,165,934 1,295,194Other Income (expenses)
Interest income 3,007 8,267 14,164 12,217
Interest expenses (20,114) (1,287) (40,923) (74,375)
Interest expense
paid to shareholders - (9,838) - (27,284)
Other income (expense) 13,391 5,704 6,399 5,704
Exchange gain (loss) 97,996 - 103,421 (691)
----------- ----------- ----------- -----------
Total other expenses 94,280 2,846 83,061 (84,429)
----------- ----------- ----------- -----------Income before income
taxes 1,428,873 555,237 2,248,995 1,210,765
Income taxes (427,497) (8,514) (670,121) (16,813)
----------- ----------- ----------- -----------
Income after taxes 1,001,376 546,723 1,578,874 1,193,952Net income (loss) from
discontinued
operations, net of tax - (6,115) - 2,017
----------- ----------- ----------- -----------
Net income before non-
controlling interest 1,001,376 540,608 1,578,874 1,195,969Net income attributable
to non-controlling
interest (98,019) - (220,629) -
----------- ----------- ----------- -----------
Net income attributable
to Worldwide 903,357 540,608 1,358,245 1,195,969Other comprehensive
income
Foreign currency
translation 83,423 146,017 191,079 102,835
Comprehensive income
(loss) attributable
to non-controlling
interest 524 - (13,047) -
----------- ----------- ----------- -----------
Total other
comprehensive income $ 987,304 $ 686,625 $ 1,536,277 $ 1,298,804
=========== =========== =========== ===========Basic and diluted
earnings per share $ 0.25 $ 0.17 $ 0.38 $ 0.48
=========== =========== =========== ===========
Basic and diluted
weighted average
shares outstanding 3,621,611 3,170,906 3,578,014 2,471,384
=========== =========== =========== ===========
WORLDWIDE ENERGY AND MANUFACTURING USA, INC. AND SUBSIDIARIES
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS For the Nine Months Ended
September 30,
2009 2008
----------- -----------
Cash flows from operating activities:
Net income attributable to Worldwide $ 1,358,245 $ 1,195,969
Net income attributable to non-controlling
interest 220,629 -
Adjustments to reconcile net income to net cash
used in operating activities:
Depreciation 246,564 74,646
Allowance for bad debts 234,796 (20,000)
Stock based compensation 162,020 95,000
Changes in operating assets and liabilities:
Accounts receivable (10,250,963) (2,496,611)
Notes receivable (84,468) -
Inventories (1,167,944) (1,433,804)
Income tax receivable (185,921) (2,375)
Advance to Suppliers (438,754) (4,847)
Related party payable 6,497 -
Prepaid and other current assets (198,622) (277,531)
Accounts payable 11,155,323 1,308,977
Accrued expense and acquisition cost payable (123,636) 105,196
Tax payable 128,152 14,105
Customer deposits (789,339) -
----------- -----------
Net cash provided by (used by) operating
activities 272,579 (1,441,275)Cash flows from investing activities:
Loan to related parties - (207,130)
Capital expenditures (744,218) (648,887)
Deposits paid for investment in subsidiaries - (772,692)
Deposits to restricted account (1,417,356) -
----------- -----------
Net cash used by investing activities (2,161,574) (1,628,709)Cash flows from financing activities:
Proceeds from issuance of common stock - 4,578,494
Repayment of loans payable to shareholders (60,024) (438,788)
Proceeds from related parties 107,521 -
Proceeds / (repayment) from line of credit 2,000,000 1,166,786
Repayment of bank loans (173,790) -
----------- -----------
Net cash flows provided by financing activities: 1,873,707 5,306,492Effect of exchange rate changes on cash and cash
equivalents (9,550) 114,411
----------- -----------
Net (decrease)/increase in cash and cash
equivalents (24,838) 2,350,919
Cash and cash equivalents- beginning of period 5,092,476 2,111,825
----------- -----------
Cash and cash equivalents- end of period $ 5,067,638 $ 4,462,744
=========== ===========Supplemental disclosure of non cash activities:
Cash paid during the period for:
Interest paid in cash $ 40,923 $ 101,659
=========== ===========
Income tax paid in cash $ 390,217 $ 35,758
=========== ===========
The accompanying notes in the Company's filings with the Securities and Exchange Commission are an integral part of these unaudited consolidated financial statements.
Contact:
At the Company:
Worldwide Energy and Manufacturing USA
Jimmy Wang
650-794-9888, Ext. 221
jimmyw@wwmusa.com
http://www.wwmusa.com
Investor relations:
Dave Gentry
RedChip Companies, Inc.
1-800-REDCHIP (733-2447), Ext. 104
info@redchip.com
http://www.RedChip.com
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Company Overview:
Worldwide USA, together with its Chinese subsidiaries, is a contract manufacturer, engineering firm and direct manufacturer. A contract manufacturer supplies components and assemblies, either through direct manufacturing or through sub contracting to other manufacturers, according to the customers’ designs, drawings and quality criteria. When utilizing our subcontractors, they will provide the plant, equipment, manufacturing working capital and factory labor and Worldwide provides the sales, management, production control and technical support for the products. Worldwide’s goal is to provide timely delivery and high quality components at manufacturing costs less than what Worldwide’s customers would pay for similar parts in the United States.
Worldwide provides its services to several companies in the United States, Europe and South Korea primarily in the solar module, aerospace, automotive, and electronics industries. Although Worldwide historically focused on manufacturing components for high tech industries, in 2008 the Company expanded into the solar module markets. Worldwide’s CEO, Jimmy Wang, realizes that the solar module industry provided Worldwide with a unique opportunity to use its core strength of providing high quality components and assemblies, with timely delivery, to develop a solar module team capable of successfully entering the solar module markets. The Company’s solar module brand “AmeriSolar” has already earned numerous quality certifications including IEC612215, TUV, CE and has recently applied for the UL certification. These solar modules meet or exceed all industry norms for performance, quality and functional life in the field.
Worldwide currently employs approximately 450 employees, including 33 staff engineers and 12 administrative personnel at Worldwide’s wholly owned subsidiary Intech in Shanghai, China and 400 employees who work at our factories in China. The remaining 13 employees work at the California office in South San Francisco. Five of these employees are in sales with the remaining eight employees working in support and administrative roles. All employees are full time.
Net sales for the year ending December 31, 2008 were $45,913,957 compared to $12,132,710 for the year ending December 31, 2007, an increase of $33,781,247 or approximately 278.4%. The primary reason for the increase was due to our energy division which started in February 2008 and generating sales of $30,999,962. Additionally, the acquisition of Detron generated sales of $1,720,965 for the Company in the fourth quarter.
Net profit for the year ending December 31, 2008 was $1,459,875 compared to $575,674 for the year ending December 31, 2007. The increase of $884,201 or 153.6% was the result of higher sales from our solar division. Net profit from this division was approximately 3%. It is expected that gross margins will improve as the Company continues its transition to becoming a direct manufacturer for its solar module products as the newly established factory becomes operational. Further, the outlook for solar modules margins looks to improve as raw material necessary for production of modules are expected to decline.
Company website: http://www.wwmusa.com/
Outstanding shares: 3,493,512 as of 3-31-09 per the 10-K
Investor Relations: RedChip Companies, Inc. - Dave Gentry (407)644-4256 ext. 104 e-mail: dave@redchip.com http://www.redchip.com/home.aspx
Link to 3-10-09 shareholder letter from the CEO, focusing on the company outlook: http://finance.yahoo.com/news/Worldwide-Energy-and-iw-14595262.html
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