DENVER, Colo. May 10, 2002 — Metretek Technologies Inc. on Friday reported a 24% increase in revenues for the first quarter ended March 31, 2002 — to $6.4 million from $5.1 million a year ago.
Net loss applicable to common shareholders was $544,000 (including a $201,000 preferred stock deemed dividend), or $0.09 per share, compared to a net loss applicable to common shareholders of $1.1 million (including an $180,000 preferred stock deemed dividend), or $0.18 per share, a year ago. The first-quarter 2002 net loss reflects amortization expenses that were $165,000 lower than in the first three months of 2001, due primarily to the Company’s adoption of FAS No. 142 on January 1, 2002.
First-quarter 2002 revenues include: $1.6 million in sales at PowerSecure, Inc., a distributed generation subsidiary that commenced operations in September 2000 and for which there were no revenues in the first quarter of 2001; $3.1 million in sales at Southern Flow Companies, Inc.; and $1.7 million in sales at Metretek, Incorporated (“Metretek Florida”). Consolidated first-quarter 2001 results reflected $234,000 in sales and $287,000 in operating loss at PowerSpring, a subsidiary that was discontinued as an operating entity on March 31, 2001, and whose monitoring products and services are now part of Metretek Florida.
According to W. Phillip Marcum, president and CEO, the Company continues to be challenged by the operational performance of Metretek Florida, which contributed $276,000 to first-quarter consolidated losses. “Resolving this problem is currently one of the Company’s highest management priorities,” said Marcum, who added that he was very pleased by the performance of both Southern Flow and PowerSecure. “Although, PowerSecure reported a net loss of approximately $81,000 for the quarter, sales and operating performance were within expectations.” Marcum noted that PowerSecure’s quarterly performance can and does fluctuate significantly based upon the timing of large projects, and certain seasonality issues.
Metretek Technologies, Inc. through its subsidiaries — Southern Flow Companies, Inc.; PowerSecure, Inc.; and Metretek, Incorporated (Metretek Florida) — is a diversified provider of energy measurement products, services and data management systems to industrial and commercial users and suppliers of natural gas and electricity.