Now, this was the ninth consecutive quarter the company has been profitable on a non-GAAP basis. And Kevin is going to provide you more financial details on all of this in a few minutes.
As noted in our press release, ultracap sales continue to be impacted by economic conditions in Europe and elsewhere. But that softness is being offset by growing demand in China driven mainly by ongoing infrastructure investments in both public transit and wind energy.
Wind turbine deployments in China continue to rebound from the government post slow down, we experience in the second half of last year. In fact, wind-related sales in the first quarter totaled more than the two previous quarter combined and increased further sequentially in Q2.
Looking ahead, China’s five-year plan calls for wind energy to account for 3% to 5% of the country’s total power generation by 2020. So we anticipate same demand for our products. Ultracapacitor sales for hybrid bus drive systems haven’t missed a beat as the Chinese central government and many regional and local governments continue to provide subsidies and policy support for hybridization of public transit vehicles to both improve fuel efficiency and to reduce urban air pollution.We’re well aware that headlines predicting slower growth for the Chinese economy and the upcoming change in leadership raise questions about the sustainability of Maxwell sales into China. But there’s every indication that these infrastructure investments will continue to be a high priority. Information we received recently indicates that the subsidized transit bus privatization program for 25 major cities, has been so successful that the government intends to extend it to a number of additional cities.And with the experience that they have gained through policies supported programs and their advantageous cost position versus competing OEMs in Asia, Europe, and North America, are Chinese wind and bus customers are beginning to win on substantial export business around the world.
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