Metretek increases 2006 projections
The Denver Business Journal - December 23, 2005
Metretek Technologies Inc. is increasing its revenue guidance for 2006 by more than $30 million.
In its Nov.14 release of third-quarter financial results, Metretek (AMEX:MEK) projected that 2006 consolidated revenues would be approximately $49 million, $30.5 million of which was expected to come from its PowerSecure subsidiary. Subsequently, on Nov. 21, the company reported that PowerSecure had received two verbal orders for distributed generation projects that are expected to earn more than $45 million for 2006 revenues.
"Documentation of these orders is progressing and is now at a point where we feel confident that all the projects that were the subject of the Nov. 21 release will be completed next year," said W. Phillip Marcum, president and CEO of Metretek, in a statement "Accordingly, our current expectation is that consolidated revenues in 2006 will be in the range of $80 million to $85 million."
Marcum noted that PowerSecure's revenues are now projected to be in the range of $60 million to $65 million in 2006.
"In part for competitive reasons," said Marcum in the statement, "we are not currently updating our guidance regarding consolidated net income in 2006; however, when we do so, we anticipate that such guidance will be substantially higher than the Nov. 14 net income guidance of approximately $3.8 million, given the anticipated increase in revenues."
According to Marcum, guidance for 2005 remains unchanged, with net income from continuing operations expected to be approximately $2.4 million, or 19 cents per basic share, on revenues of $42 million to $44 million.
Metretek Technologies Inc. through its subsidiaries PowerSecure Inc., Metretek Inc. and Southern Flow Companies Inc. provides energy technology products, services and data management systems to industrial and commercial users and suppliers of natural gas and electricity.
