Energy Recovery Q2 revenue misses estimates as megaproject sales drop
ERII•Outlook
The company did not provide specific guidance in the press release.
Key reported figures
| Metric | Actual | Consensus Estimate |
|---|---|---|
| Q2 Revenue | $12 mln | $19.52 mln |
| Q2 Loss Per Share | $0.06 | |
| Q2 Net Loss | $3.20 mln | |
| Q2 Adjusted EBITDA | -$2.60 mln | |
| Q2 Gross Margin | 74.70% | |
| Q2 EBIT Margin | -49.00% |
Margins improve while expenses decline
Gross margin rose to 74.7% from 64.0%, helped by channel mix and lower indirect manufacturing costs, partly offset by lower volume.
Operating expenses fell 10% due to lower employee compensation and consulting costs, partially offset by restructuring charges.
Q2 revenue misses as megaproject sales fall
U.S. energy-saving tech maker Energy Recovery said second-quarter revenue dropped 57%, missing analyst expectations.
The company posted a second-quarter net loss and negative adjusted EBITDA. Revenue decline was driven by lower megaproject sales, primarily due to the war in Iran, the company said.
