Energy Focus, Inc. (EFOI) swung to a net loss for the quarter ended Dec. 31, 2016. The company has made a net loss of $7.80 million, or $ 0.67 a share in the quarter, against a net profit of $1.28 million, or $0.11 a share in the last year period.
Revenue during the quarter plunged 58.34 percent to $7.19 million from $17.25 million in the previous year period. Gross margin for the quarter stood at negative 14.92 percent as compared to a positive 43.89 percent for the previous year period.
Operating loss for the quarter was $7.79 million, compared with an operating income of $1.49 million in the previous year period.
Dr. Ted Tewksbury, Chairman, Chief Executive Officer and President, commented, "Our fourth quarter and full year 2016 financial results were very disappointing, falling well short of expectations. Military maritime sales, which represented 80% of revenue in 2015, dropped significantly in 2016 due to a slowdown in demand and excess inventory at our distributor. Facing continuing demand uncertainty and a changing competitive landscape for our military Intellitube®, we wrote down inventory and equipment values to reflect our expectation that these sales will not be significant going forward."
Operating cash flow turns negative
Energy Focus, Inc. has spent $16.56 million cash to meet operating activities during the year as against cash inflow of $3.76 million in the last year.
The company has spent $1.60 million cash to meet investing activities during the year as against cash outgo of $2.06 million in the last year.
Cash flow from financing activities was $0.15 million for the year, down 99.43 percent or $25.36 million, when compared with the last year.
Cash and cash equivalents stood at $16.63 million as on Dec. 31, 2016, down 51.99 percent or $18.01 million from $34.64 million on Dec. 31, 2015.
Working capital drops significantly
Energy Focus, Inc. has witnessed a decline in the working capital over the last year. It stood at $27.69 million as at Dec. 31, 2016, down 35.49 percent or $15.23 million from $42.92 million on Dec. 31, 2015. Current ratio was at 6.61 as on Dec. 31, 2016, up from 5.16 on Dec. 31, 2015.
Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
