- Preliminary accessories, parts, aftermarket service, long-term rental, and Distributor Support System (DSS) revenue is $9.5 million, up 20% from $7.9 million in the year-ago quarter, and is the second highest aftermarket revenue in Company history.
- The Company allocated 0.8 MW of new production slots to grow its long-term microturbine rental fleet, which now stands at 7 MW, approaching our 10 MW goal.
- Book-to-bill ratio is 1.2:1 for the third quarter of fiscal 2020 compared to 1.0:1 in the second quarter of fiscal 2020 and 1.3:1 in the year-ago quarter.
- Capstone received approximately $1.9 million for the calendar year 2019 from the DSS program and announces the potential for $2.4 million in the calendar year 2020.
- Total preliminary revenue for the third quarter of fiscal 2020 is $17.4 million compared to $18.0 million in the year-ago third quarter.
- Total cash and cash equivalents as of December 31, 2019, are estimated to be $16.7 million, compared to $20.9 million as of September 30, 2019. The Company received approximately $1.2 million from financing activities during the quarter.
"Our aftermarket service, DSS program, and long-term rental business continues to grow as we planned and is driving the majority of our future margin expansion. Product shipments ebbed during the quarter as many U.S. businesses pushed projects into 2020. In addition, the uncertainty surrounding BREXIT delayed multiple project decisions in the European Union, which are now expected to close since the recent election in the UK," said Darren Jamison, President and Chief Executive Officer of Capstone.
"Based on the continued growth of our aftermarket business we remain committed to achieving our stated goal of reaching positive Adjusted EBITDA in the June 2020 quarter as we continue to make progress on improving our core business model in the areas focused on reoccurring revenues and building a sustainable and profitable business to support our long-term growth and profitability plans," added Mr. Jamison.
Capstone's preliminary results show total revenue for the third quarter of fiscal 2020 decreased by approximately 3%, to $17.4 million compared to $18.0 million in the same period last year. Capstone's preliminary product revenue decreased approximately 22% compared to the same period last year, to approximately $7.9 million. Preliminary accessories, parts, aftermarket service, long-term rental, and Distributor Support System (DSS) revenue increased by approximately 20% compared to the same period last year, to approximately $9.5 million. The decrease in product revenue is expected to negatively impact the net loss and EBITDA results for the quarter.