MANITOWOC, Wis. - Orion Energy Systems, Inc. (NASDAQ: NASDAQ:OESX), a provider of LED lighting solutions, EV charging stations, and maintenance services, has released preliminary financial results for the third quarter of fiscal year 2024, which ended on December 31, 2023. The company anticipates reporting complete financial outcomes on February 7, 2024, with a scheduled investor call on the same day.
Orion's preliminary revenue for Q3 FY24 is estimated between $25.8M and $26.2 million, marking a 28% increase from the $20.3M reported in the same quarter of the previous year. The growth is attributed to expanded contract activity with larger customers, which is expected to continue into FY 2025. Notably, the LED lighting segment's revenue climbed to roughly $18.6M in Q3 FY24, compared to $14.2M in Q3 FY23.
Despite a quarter-to-quarter dip in EV charging solutions revenue, standing at approximately $2.8M in Q3 FY24, the company's Voltrek business has seen growth in its project pipeline and quoting activity. Maintenance services revenue also rose to approximately $4.6M in Q3 FY24, benefiting from a three-year agreement to provide preventative lighting maintenance services for a national retail customer.
The company closed Q3 FY24 with approximately $17.5M in financial liquidity, an improvement from $12.9M at the end of the previous quarter. Orion CEO Mike Jenkins stated that while the company's EV charging business continues to build its project pipeline, results were influenced by the timing of larger projects. Orion has adjusted its full-year revenue guidance to a range of $90M to $95M, a growth of 16-23% from earlier expectations of at least $100M.
Looking ahead, Orion forecasts revenue growth driven by large national account LED lighting projects and the EV charging solutions segment, based on its current project pipeline. However, maintenance services are expected to see a slight decrease due to new pricing on certain legacy customer renewal discussions.
Orion Energy Systems specializes in providing energy-efficient solutions and is committed to operating responsibly across all aspects of its organization. The company will be participating in upcoming investor events, including the Sidoti Microcap Conference and the LD Micro Invitational in New York City.
The information discussed in this article is based on a press release statement from Orion Energy Systems, Inc.
InvestingPro Insights
As Orion Energy Systems positions itself for continued growth in the LED lighting and EV charging sectors, investors may find value in comparing its performance and outlook with that of other companies in similar industries. For instance, W.P. Carey Inc. (NYSE: WPC), a real estate investment trust, also demonstrates a commitment to long-term value creation, as evidenced by their impressive gross profit margins and robust revenue growth. According to InvestingPro data, W.P. Carey boasts a market capitalization of $14.44 billion, a P/E ratio of 18.05, and a significant revenue growth of 22.15% for the last twelve months as of Q3 2023.
InvestingPro Tips highlight W.P. Carey's ability to maintain dividend payments for 26 consecutive years and its strong return over the last three months, which could be indicative of a stable investment in a volatile market. Moreover, the company's liquid assets exceed short-term obligations, providing financial flexibility. For investors seeking additional insights, there are more InvestingPro Tips available, including analysis on the company's low P/E ratio relative to near-term earnings growth, indicating potential undervaluation.
For those interested in deepening their investment strategies, a subscription to InvestingPro is now on a special Cyber Monday sale with a discount of up to 60%. Use coupon code ProW345 to get an additional 10% off a 2-year InvestingPro+ subscription and gain access to a wealth of expert analysis and real-time data.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.