Ormat Technologies(US:ORA) ZACKSยท2024-08-07 15:30Core Insights - Ormat Technologies Inc. reported second-quarter 2024 adjusted earnings per share of 40 cents, exceeding the Zacks Consensus Estimate of 37 cents by 8.1% and matching the year-ago quarter's results [1] - The adjusted earnings were supported by higher revenues and improved margins, although offset by increased interest expenses [1] Revenue Performance - The company generated revenues of $213 million, surpassing the Zacks Consensus Estimate by 0.9% and reflecting a 9.3% year-over-year increase, driven by growth across all three segments [3] - Electricity segment revenues reached $166.2 million, up 7% year over year, primarily due to contributions from newly acquired Enel assets and improved operational performance [4] - Product segment revenues increased by 13.1% to $37.8 million, attributed to a higher backlog and enhanced revenue recognition [5] - Energy segment revenues surged 48.1% to $8.9 million, driven by improved pricing from the Pomona 2 tolling agreement and higher merchant prices [5] Operational Metrics - Total operating expenses were $26.3 million, a 3.9% increase from the previous year, while operating income rose 45% year over year to $35.1 million [6] - Total cost of revenues was $151.6 million, up 4.3% year over year, with net interest expenses increasing by 38.2% to $33.7 million [6] Financial Condition - As of June 30, 2024, the company had cash and cash equivalents of $66.3 million, a decrease from $195.8 million as of December 31, 2023 [7] 2024 Guidance - The company updated its 2024 revenue guidance to a range of $875-$910 million, compared to the previous guidance of $860-$910 million, with the Zacks Consensus Estimate at $881.9 million [8] - Electricity segment revenues are now expected to be between $710-$720 million, while product segment revenues are projected to be $130-$145 million [9] - Annual adjusted EBITDA is projected to be in the range of $520-$550 million, an increase from the prior guidance of $515-$545 million [10]