$FLUX Power Q1 Rev's rise 71% as it initiates sale
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Posted On: 11/11/2016 12:54:03 PM
$FLUX Power Q1 Rev's rise 71% as it initiates sales ramp for lithium forklift batteries
Flux Q1 Release
Flux CEO, Ron Dutt, commented, “The industry response to our UL listed LiFT Packs continues to build in scope and excitement, with new inquiries, proposal requests or distribution interest being demonstrated almost daily. At this point our growth trajectory over the next few quarters is principally a function of our production, operations and sales execution because anticipated demand from our existing customers and the available market is substantially greater than our planned production levels.
“Having completed design, testing, and OEM certifications early in calendar 2016, we have built out a high-quality assembly and testing capability that now supports the production of over 100 packs per month with a wholesale value of approximately $300,000. We are now working to ramp production to 200 packs per month, or roughly $600,000 per month, during Q3 ‘17. We also completed the first step in a series of planned sourcing, economies of scale and design cost reduction initiatives that will put our LiFT Pack business on a solid and profitable gross margin footing.
“While our current focus is on the lead-acid replacement opportunity, our longer term vision is to position Flux LiFT Packs as a distributor/dealer or OEM option for new equipment sales. We are also planning to address on the larger scale, higher average selling price opportunities presented in the Class I and Class II lift equipment markets which we have been encouraged to pursue as we get our Class III business on a strong footing.
“Additionally, the airport ground support equipment (GSE) industry offers future growth opportunities in the next few quarters. A major airline carrier recently completed testing of our ‘GSE Pack’, and initial discussions have commenced with the carrier and our distributor regarding a significant purchase order. Flux is being supported by a leading ground service equipment distributor that has arranged other trials.
“Finally, to further build awareness of Flux and the lithium paradigm shift we are bringing to industrial equipment, we will be participating at the LD Micro Main Event in Los Angeles, on Wednesday, December 7. We look forward to meeting with investors at the conference.”
An estimated 150,000 Class III electric walkie pallet jacks are currently in use in North America, powered by traditional lead-acid battery power. This represents a total addressable market (TAM) for lead-acid replacement of over $500 million, excluding the Class III end rider market opportunity with a TAM over $700 million. The Class I forklift market provides an added future market opportunity well in excess of $1 billion.
Flux Q1 Release
Flux CEO, Ron Dutt, commented, “The industry response to our UL listed LiFT Packs continues to build in scope and excitement, with new inquiries, proposal requests or distribution interest being demonstrated almost daily. At this point our growth trajectory over the next few quarters is principally a function of our production, operations and sales execution because anticipated demand from our existing customers and the available market is substantially greater than our planned production levels.
“Having completed design, testing, and OEM certifications early in calendar 2016, we have built out a high-quality assembly and testing capability that now supports the production of over 100 packs per month with a wholesale value of approximately $300,000. We are now working to ramp production to 200 packs per month, or roughly $600,000 per month, during Q3 ‘17. We also completed the first step in a series of planned sourcing, economies of scale and design cost reduction initiatives that will put our LiFT Pack business on a solid and profitable gross margin footing.
“While our current focus is on the lead-acid replacement opportunity, our longer term vision is to position Flux LiFT Packs as a distributor/dealer or OEM option for new equipment sales. We are also planning to address on the larger scale, higher average selling price opportunities presented in the Class I and Class II lift equipment markets which we have been encouraged to pursue as we get our Class III business on a strong footing.
“Additionally, the airport ground support equipment (GSE) industry offers future growth opportunities in the next few quarters. A major airline carrier recently completed testing of our ‘GSE Pack’, and initial discussions have commenced with the carrier and our distributor regarding a significant purchase order. Flux is being supported by a leading ground service equipment distributor that has arranged other trials.
“Finally, to further build awareness of Flux and the lithium paradigm shift we are bringing to industrial equipment, we will be participating at the LD Micro Main Event in Los Angeles, on Wednesday, December 7. We look forward to meeting with investors at the conference.”
An estimated 150,000 Class III electric walkie pallet jacks are currently in use in North America, powered by traditional lead-acid battery power. This represents a total addressable market (TAM) for lead-acid replacement of over $500 million, excluding the Class III end rider market opportunity with a TAM over $700 million. The Class I forklift market provides an added future market opportunity well in excess of $1 billion.
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David Collins, Managing Director
Catalyst Global Investor Relations
www.catalyst-ir.com
dcc@catatalyst-ir.com
212 924 9800
David Collins, Managing Director
Catalyst Global Investor Relations
www.catalyst-ir.com
dcc@catatalyst-ir.com
212 924 9800
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