Broadwind Energy, Inc. Announces Second Quarter 2011 Results

Broadwind Energy, Inc. (NASDAQ: BWEN) reported sales of $39.3 million for the second quarter of 2011, a 17% increase compared to $33.6 million in the second quarter of 2010. The increase was attributable to a 48% increase in Tower segment revenues in response to higher demand compared to the prior year second quarter.

The Company reported a net loss from continuing operations of $4.4 million or $0.04 per share in the second quarter of 2011 compared to a loss of $13.2 million or $0.12 per share during the second quarter of 2010. The improvement against second quarter 2010 was the result of the beneficial impact of increased sales, a higher margin mix and the absence of a $4.6 million impairment recognized in the prior year.

The Company reported non-GAAP adjusted EBITDA (earnings before interest, taxes, depreciation, amortization and stock-based compensation) of $0.1 million during the second quarter of 2011 compared to a loss of $3.2 million during the second quarter of 2010, due to improved Tower and Gearing segment results, and lower corporate expenses.

Peter C. Duprey, president and chief executive officer, stated, “We are continuing to make progress with the business transformation. With three sequential EBITDA positive quarters behind us, we feel good about the operational momentum we have gained. Our Tower business had a 48% increase in revenue in a difficult market, and in our Gears business, sales to industrial customers exceeded wind customers. Our Gearing and Services businesses had new orders well in excess of sales; our enhanced focus on sales and diversification efforts are starting to have an impact. While we continue to face a challenging wind energy market, we remain focused on the diversification of our customer base and the expansion of our services business where we have strong core competencies.”

For the six months ended June 30, 2011, the Company reported revenue of $82.9 million compared to $55.3 million in the prior year. The increase in revenues was primarily attributable to an 84% increase in Tower segment revenues due to higher production compared to the prior year.