The company pulled in $3.4 million in revenue for its first quarter of fiscal year 2006, representing a 20% percent increase over $2.8 million in its first quarter of fiscal 2005, and an increase of 44% percent from $2.4 million in its fourth quarter of fiscal 2005.
Large-format systems represented 38% of total revenue for the first quarter, up from 8% of revenue last quarter. This signals the beginning of the shift of the revenue base from N-Charge systems to large-format product line.
Valence reported a net loss of $8.2 million, or $0.09 per basic and diluted share, in the first quarter of fiscal 2006 compared to a net loss of $9.2 million, or $0.12 per basic and diluted share, in its first quarter of fiscal 2005, and a net loss available to common stockholders of $9.2 million, or $0.11 per basic and diluted share, in its fourth quarter of fiscal 2005.
Other than record revenue and a decreased loss, other highlights of the first quarter include:
Completion of manufacturing transition to China with two fully operational facilities, one for powder production and one for pack assembly.
Record shipments of battery packs to Segway LLC for three Human Transporter models.
Launch of the industry’s first phosphate-based lithium-ion power cell.
Positive results from evaluation by an electric fleet vehicle company of a new U-Charge Power System made with Saphion power cells.
Completed design of a U-Charge Power System and fuel gauge designed specifically for electric wheelchairs and medical scooters.
Production orders from three plug-in hybrid electric vehicle customers for U-Charge Power Systems
EDrive Systems uses Valence Saphion batteries in their plug-in Prius conversions. (Earlier post.)
The Valence batteries use a phosphate-based cathode material rather than the cobalt-oxide used in traditional Li-ion cells. Phosphates are stable in overcharge or short circuit conditions and have the ability to withstand high temperatures without decomposing. When abuse does occur, phosphates are not prone to thermal runaway and will not burn.
In addition to being more stable and safer, the phosphate-based batteries offer better longevity and discharge than their cobalt-oxide counterparts.