Maxwell Technologies, Inc. (NASDAQ:MXWL) Barely Moves Despite Earnings Announcement and Restructuring Plans

Maxwell Technologies, Inc. (NASDAQ:MXWL)

Maxwell Technologies, Inc. (NASDAQ:MXWL) reported, after the close of the market’s regular session, operational and financial results for the three months ended December 31, 2016. Results were generally in line with analyst expectations and MXWL shares barely moved in the after-market – down 1.57% to $5.00. Also announced with Q4 earnings were corporate actions which will likely have a large influence on future earnings.

Total revenues for Q4 2016 were $26.4 million, compared with $25.5 million for Q3 2016 and $49.8 million for the same quarter of the prior year. Net loss for Q4 2016 was $12.2 million, compared with a net loss of $6.9 million for Q3 2016 and a net loss of $2.2 million for the prior year quarter.

San Diego, CA-based Maxwell Technologies, Inc. (NASDAQ:MXWL) develops, manufactures, and markets energy storage and power delivery products globally. The company also provides radiation-hardened microelectronic products consisting of single board computers and components comprising high-density memory and data conversion modules for satellites and spacecraft applications.

Also announced today was the news that Maxwell Technologies, Inc. (NASDAQ:MXWL) will purchase the operating entities of Nesscap Energy, Inc., a developer and manufacturer of ultracapacitor products for use in transportation, renewable energy, industrial and consumer markets, for an aggregate purchase price of $23.175 million, payable in common shares that are subject to a 10% collar adjustment at close. Maxwell expects to benefit from synergies between the two companies that will accelerate revenue and earnings growth, increase the pace of innovation, and create a broader and more advanced product portfolio.

Maxwell Technologies, Inc. (NASDAQ:MXWL) also announced a global restructuring plan which includes a reduction-in-force as well as a consolidation of their manufacturing and supply chains. The company is, however, expanding in one area – the Chinese bus market. Maxwell expanded their agreement with CRRC Qingdao Sifang Rolling Stock Research Institute Co. Ltd. which localizes the manufacturing of ultracapacitor-based modules for use in the China-based bus market.  

2/28/2017
Ticker Symbol MXWL
Last Price a/o 7:53 PM EST  $                      5.00
Average Volume                    166,310
Market Cap (mlns)  $                  161.04
Sales (mlns) $144.70
Shares Outstanding (mlns) 31.7
Share Float (mlns) 31.14
Shortable Yes
Optionable Yes
Inside Ownership 0.70%
Short Float 6.13%
Short Interest Ratio 11.49
Quarterly Return -2.50%
YTD Return -0.78%
Year Return -11.34%

I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 96 hours. All information, or data, is provided with no guarantees of accuracy.

 About the author: Marc has a degree in economics and a MSc. in Finance. Over his 20-year career, Marc has worked for global investment firms in Europe and the United States as an analyst, fund manager, and consultant.

 

Author: Marcus Anderson

Marc has a degree in economics and a MSc. in Finance. Marc worked for global investment firms in Europe and the United States as an analyst, fund manager, and consultant.

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