US Company Flux Power Holdings Release Quarterly Results
California based Flux Power Holdings, a developer of advanced lithium-ion batteries for commercial and industrial equipment including electric forklifts and airport ground support equipment has reported results for its fiscal year 2020 second quarter ended December 31, 2019 (Q2 ’20).
Highlights include a revenue increase of 33% to $3.6M, reflecting the continuation of strong growth from the rollout of a full product line of packs for forklifts, along with increased unit volume and a higher percentage of larger packs. Gross margins for the period improved by 9.0%,driven by the Company’s gross margin initiative. Meanwhile increased sales efforts generated a record order backlog of approximately $10M at the end of Q2 ’20, driven by orders across the full line of forklifts and airport GSE.
“We are pleased to see recent revenue growth from our full product line of forklifts and airport GSE,” said Flux Power CEO Ron Dutt, “Our relationships with Fortune 500 customers and forklift OEMs continue to expand, and we are nearing completion of UL Listings on our full product lineup for forklifts. Our strategic priority for the next twelve months is to complement such strong revenue growth with significant improvement in our gross profit margins. We are well on our way to achieving this goal.”
Flux Power anticipates FY’20 revenue to continue to increase rapidly reflecting: (i) rollout and growth of full product line of LiFT Packs; (ii) increasing demand for its private label products; and (iii) the strength of its current order backlog. The gross profit margin improvement program is beginning to see traction as the company implements a series of clearly defined activities to advance technology, design, production and purchasing efficiencies. As the customer base increases, Flux Power anticipates seeing a smoother, more stable, growth trajectory based on increasing customers and orders.