PIPESTONE, Minn., Aug. 21, 2014 /PRNewswire/ -- Juhl Energy, Inc. (OTCQB: JUHL) (OTCBB: JUHL) (the "Company"), a leading provider of Clean Energy Solutions and the Leader in Community Wind Power, today announced financial results for the second quarter ended June 30th, 2014.
"Our second quarter results continue to show ongoing year-over-year growth due to the strength of our base businesses and our diversification strategy," stated Dan Juhl, Chairman and CEO of Juhl Energy, Inc. "We saw solid operating results from our wind farms and their associated electricity sales. The strong foundation provided by our Juhl Renewable Assets wind farm ownership and operations is precisely why we are so focused on growing our portfolio of wind farms, and is supported by our recent acquisition of two existing projects in Iowa," added Juhl.
"While we continued to post strong growth in the second quarter, we also took important steps to maintain our growth trajectory through the remainder of 2014 and beyond," added John Mitola, President of Juhl Energy. "During the second quarter, we raised additional working capital through the offering and sale of common stock, and provided value propositions that led to Juhl being selected to build a $5.0 million project for the Tooele Army Depot, as well as being named principal rooftop solar system installer for the Solar Chicago program. These successes, coupled with our ongoing work on our $40.0 million Purdue wind farm project, have set the stage for continued growth throughout the latter half of this year."
Financial Highlights for the Three- and Six-Month Period Ended June 30, 2014:
- Total revenue increased by approximately $585,000, or 19.9%, from approximately $2,935,000 for the quarter ended June 30, 2013, to approximately $3,520,000 for the quarter ended June 30, 2014. The increase in revenue is primarily attributable to growth in engineering consulting services to the utility industry, together with sales of solar products associated with the February 2014 PVPower asset acquisition.
- Total revenue increased by approximately $1,269,000 or 23.2% from approximately $5,467,000 for the six months ended June 30, 2013, to approximately $6,736,000 for the six months ended June 30, 2014. The increase in revenue is primarily attributed to development and construction activities relating to the completion of the 3.4 mw wind energy facility in Russells Point, Ohio in the first quarter, combined with revenue increases from electricity sales of our consolidated wind farms due to better than average wind conditions as well as growth in engineering consulting services to the utility industry.
- Gross margins as a percentage of sales for the six months ended June, 2014 are consistent with the gross margin percentage reported for the comparative period one year ago. We have observed higher margins stemming from better wind conditions in 2014, together with growth in gross margin dollars in all of our business areas except tower maintenance services. Tower maintenance services have been significantly impacted by production inefficiencies, winter weather issues and a significant work slowdown earlier this year regarding antenna supply delays by one of the major cellular carriers.
- We experienced additional losses in our tower maintenance business during the second quarter, and we have altered our approach to the type of projects and the scale of our operations to allow for profitability and cash flow of this business unit.
- Operating expenses, as a percentage of our revenue were 51% of revenue for the six month period ended June 30, 2013 as compared to 56% for the six months ended June 30, 2014. The increase is related to higher than normal professional fees, non-cash stock compensation expense, and investments in the expansion of our solar system sales and integration services.
- Operating Loss increased approximately $654,000, from an operating loss of $1,604,000 for the six months ended June 30, 2013 to an operating loss of approximately $2,258,000 for the six months ended June 30, 2014. The increase in loss is primarily attributable to the negative operating margins of Juhl Tower Services as well as increases in stock compensation expense and professional fees, offset by higher margins from electricity sales of our consolidated wind farms.
- Net loss increased by approximately $1,246,000 from a net loss of approximately $1,500,000 for the six months ended June 30, 2013 to a net loss of approximately $2,746,000 for the six months ended June 30, 2014. The increase in net loss which is primarily attributable to a $592,000 swing in the fair value adjustments of the interest rate swap arrangement, together with the reasons cited under operating loss above for tower services, stock compensation expense and professional fees.
- Basic and diluted net loss per share of $0.08 per common share for the six months ended June 30, 2013 compares to the $0.11 net loss per common share for six months ended June 30, 2014.
A full analysis of results for the period ended June 30, 2014 is available in the Company's Form 10-Q, which is available on the Company's website at www.juhlenergy.com or through the Securities and Exchange Commission's Edgar database at www.sec.gov.
About Juhl Energy, Inc.
Juhl Energy is an established leader in the renewable energy industry with a focus on competitive, clean energy solutions and community-based wind power development, ownership and management throughout the United States and Canada. Juhl Energy pioneered community-based wind farms, developing the currently accepted financial, operational and legal structure providing local ownership of medium-to-large scale wind farms in rural America. To date, the Company has completed 23 wind farm projects totaling 240 MW and provides operations management and oversight across the portfolio. Juhl Energy services every aspect of wind farm development from full development and ownership, general consultation, construction management and system operations and maintenance. Juhl Energy also provides a broad range of clean energy solutions.
Juhl Energy operates three primary business segments: renewable energy development, renewable power plant ownership, and energy and field services. Through its Juhl Energy Development Inc. (JEDI) subsidiary, the Company provides medium and large-scale wind, solar, and cogeneration energy development services. The Company holds ownership interests in five wind farm projects comprising approximately 25 MWs of wind power in Minnesota and Iowa, primarily through its subsidiary, Juhl Renewable Assets, Inc. Through its wind farm operations subsidiary, Juhl Energy Services, Inc. (JESI), the Company performs maintenance and management services to over 100 MW of operating wind farms. The acquisition of Power Engineers Collaborative enables the Company to provide a full range of engineering services to the utility industry and for central plant energy systems. The Company also provides full sales and service to smaller, on-site wind and solar projects through its Juhl Renewable Energy Systems division. Juhl leverages the Company's deep experience with wind towers to also provide cell and radio tower services through its Juhl Tower Services division. Juhl Energy is based in Pipestone, Minnesota and has offices in Chicago, Minneapolis, Madison and Milwaukee. Juhl Energy is traded on the OTCBB under the symbol 'JUHL'. Additional information is available at the Company's website at www.juhlenergy.com or by calling +1-507-562-8090.
FORWARD LOOKING STATEMENTS
This news release includes forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 including statements that reflect Juhl Energy's current expectations about its future results, performance, prospects and opportunities. Juhl Energy has tried to identify these forward-looking statements by using words and phrases such as "may," "will," "expects," "anticipates," "believes," "intends," "estimates," "plan," "should," "typical," "preliminary," "hope," or similar expressions. These forward-looking statements are based on information currently available to Juhl Energy and are subject to a number of risks, uncertainties and other factors that could cause Juhl Energy's actual results, performance, prospects or opportunities to differ materially from those expressed in, or implied by, these forward-looking statements and specifically those statements referring to any specific projects, prospective acquisitions and wind farm assets mentioned herein. These risks, as may be described from time to time in Juhl Energy's SEC filings, are incorporated herein by reference.
Juhl Energy Investor Relations
Phone: +1-888-438-JUHL (5845)
SOURCE Juhl Energy, Inc.