3Q21 Results: +65.4% Revenue Growth and Overall Performance Improvement with Focus on Customer Diversification
|52 Week Range||$3.82-$30.82|
|Avg. Daily Vol. (30 day)||770.150|
|Shares Out (MM)||12.79|
|Market Cap (MM)||$61.9|
|Enterprise Value ($MM)||$50.29|
|Debt to Equity||7.58|
|Revenue TTM (MM)||$14.82|
|Fiscal Year End||December|
- Polar’s unique DC power systems are focused on applications in telecom (the largest vertical today), power generation for autonomous vehicles, electric vehicle rapid charging, marine and RV, in addition to power for industrial and residential applications.
- On November 15, 2021, Polar Power reported 3Q21 earnings results. The company reported an overall improvement in performance compared to last year.
- Revenue grew 65.4% y/y to $4.1 million. Higher sales of DC power systems to Tier 1 US telecom customers in support of their 5G infrastructure buildout and recovery from the pandemic have propelled the growth.
- As of September 30, 2021, the company's revenue backlog stood at $11.4 million, with 66% attributable to Tier 1 US telecom customers, 28% to advanced mobility applications in commercial vehicles, 4% to advanced mobility applications in military vehicles, 1% to marine customers, and 1% to other customers.
- Gross profit improved to $0.96 million or 23.4% of revenue in the quarter as higher sales volumes led to an increase in factory overhead absorption and improved production facility utilization.
- Net income increased $5.6 million y/y and $1.8 million q/q to $0.9 million, mainly from higher revenue and reversal of $1.7 million debt liability on account of PPP loan forgiveness. Basic & Diluted EPS turned positive to $0.07 per share from -$0.42 in 3Q20.
- As of September 30, 2021, cash on hand stood at $7.7 million, and debt outstanding was $1.7 million, including leases. Management believes it has enough funds for its expected liquidity needs for the next 12 months.
- Polar plans to wrap up the development of natural gas and propane-fueled CHP generators. However, no timetable for further launches has been provided by the management.
- Our prior content on POLA can be accessed HERE.
Polar’s unique DC power systems are focused on applications in telecom (the largest vertical today), power generation for autonomous vehicles, electric vehicle rapid charging, marine and RV, in addition to power for industrial and residential applications.
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