Ormat Industries Ltd. (TASE: ORMT) subsidiary Ormat Technologies Inc. (NYSE: ORA) reported higher revenue but a lower net profit for the third quarter of 2011, on a jump in financing expenses. Revenue rose 9.2% to $110.8 million for the third quarter from $101.5 million for the corresponding quarter of 2010. The company missed the analysts' consensus of $111.5 million revenue.
Net profit fell to $1 million ($0.02 per share) for the third quarter from $32.4 million for the corresponding quarter. The company attributes the plunge in profit to higher interest expenses due to an $11.6 million loss on an interest rate lock transactions, as well as a $36.9 million capital gain from the acquisition Mammoth geothermal complex in the corresponding quarter. The company missed the analysts' consensus of $0.16 earnings per share.
Product revenue rose 32.6% to $24 million for the third quarter from $18.1 million for the corresponding quarter, and electricity revenue rose 4.1% to $86.8 million from $83.4 million. The company's average revenue rate rose to $95 per megawatt/hour during the third quarter from $87 per megawatt/hour during the corresponding quarter.
Ormat raised its full-year product revenue guidance to $100 million, and reiterated its electricity revenue guidance of $315-325 million
Ormat Technologies had $80.3 million in cash and cash equivalents at the end of September and $102.3 million in unused credit lines out of $409 million in bank credt.
Ormat Technologies' share price rose 2.5% in New York yesterday to $18.74, giving a market cap of $851 million. Ormat Industries' share price rose 1.9% by early afternoon to NIS 22.68, giving a market cap of NIS 2.7 billion.
Published by Globes [online], Israel business news - www.globes-online.com - on November 3, 2011
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