APG reports fiscal year-to-date results

American Power Group Corporation has announced results for the three and nine months ending 30 June 2014 (FY2014).

Financial highlights

• Total vehicular conversion revenue grew 500% over prior year's quarter.
• Year-to-date vehicular shipments at over 160 units.
• Total stationary units shipped increased 57% over prior year's quarter despite lower quarterly revenue which was due to full turnkey content mix of a 12 unit fracturing rig conversion last year.
• Year-to-date stationary shipments at over 170 units.
• Entering Q4 with a backlog of more than US$ 785,000 all relating to vehicular dual-fuel conversions.

Operational highlights

• Won a competitive run-off for a twelve system frac conversion with a new oil and gas customer.
• Record number of outstanding quotes (US$ 4 million +) for follow-on and new customers.
• APG software upgrade reduces driver variability on net fuel savings.
• Increase in early-adopter orders with APG customers based in 21 US states.
• Early-adopter customers beginning to reorder; APG's Dual Fuel Glider? leading the way.
• Nearing completion of the company’s first EPA IUL approval testing for the Volvo/Mack engine.
• Expansion into the Caribbean, Central and South America with global industrial leaders.

Comments

Commenting on the results, Lyle Jense, APG Corporation’s CEO, stated: "The past 120 days have been very productive with new dealers, expanding regions, more early-adopter customers and optimising field performance of our dual fuel solution with our existing customers.

“We have begun to open up Canada, the Caribbean and the America's with several well-known multi-national vehicular customers who collectively operate thousands of vehicles. We now have over 240 dual fuel trucks operating in over 21 states in the United States with fuelling infrastructure continuing to be the most significant hurdle facing accelerated Class 8 adoption.

“We are expanding our cooperative sales and marketing efforts with many of the major CNG and LNG fuel suppliers in the US and Canada to identify potential customers who through our cost effective dual-fuel solution can allow the suppliers to optimise existing locations and/or justify developing new locations.

"So as we finish up our fourth quarter, fiscal 2014 will have been an important year of early-adopter evaluations, field validation of our dual-fuel system and, most importantly, an increasing acceptance of dual-fuel as a second mainstream fuelling solution for natural gas vehicles.

“While we still have approximately 45 days to book and ship product, we believe the scheduled timing of approximately 150 follow-on dealer/customer vehicular deliveries will slip beyond September into the next fiscal year. This would put fiscal 2014 revenue in the US$ 7 million to US$ 8 million range, exclusive of backlog but with a growing number of early-adopter customers and follow-on customers entering fiscal 2015."

Adapted from press release by Katie Woodward

Read the article online at: https://www.lngindustry.com/small-scale-lng/15082014/american-power-group-fiscal-results-2014-1214/