Forward-looking statements are based on management’s reasonable expectations and assumptions as of the date of this call. The company disclaims any obligation or undertaking to disseminate any updates or revisions to any forward-looking statements made during this conference call to reflect any changes in management assumptions, belief or expectations or any change in event, conditions or circumstances upon which any forward-looking statements are based.Alan Niedzwiecki Thank you, Bonnie. I’ll turn it over now to Brian Olson for the financial results of the quarter. Brian Olson Thank you, Alan. Revenues increase is 9.1 million or 233% from 3.9 million in the second quarter of fiscal 2012 to 13 million in the second quarter of fiscal 2012 and increased 12.4 million or 168% from 7.4 million in the first six months of fiscal 2011 to $19.8 million in the first six months of fiscal 2012. Product sales for our Electric Drive and Fuel System segment increased $8.4 million during the second quarter as we shipped our Q-Drive hybrid system of Fisker Automotive for production released vehicles and increased shipments of high-pressure fuel storage systems for natural gas applications. Contract revenues for the electric drive and fuel system segment increased $0.8 million or 27% from $3 million in the second quarter of fiscal 2011 to $3.8 million in the second quarter of fiscal 2012. Contract revenues derived primarily from system development application engineering and qualification test for products and systems under funded contracts with Fisker Automotive, General Motors, Daimler and other funded contract work with other OEM customers and government agencies. This segment had operating income of 1.7 million in the second quarter of fiscal 2012 representing $3.9 million improvement over the second quarter last year. For the first six months of fiscal 2012, this segment had an operating income of 1.9 million or 6.1 million improvement over the same period in fiscal 2011.
Our financial results include the activities of our wholly-owned subsidiary Schneider Power, which is reported as the company’s renewable energy segment.Schneider Power recognized approximately $0.1 million of revenue during the second quarter of fiscal 2012 from energy sales. Operating loss for this segment was $8.1 million in the second quarter of fiscal 2012, which included estimated impairment charges of $7.5 million of which $5 million was to reduce the carrying value of intangible asset associated with the renewable energy product portfolio. And $2.5 million was the fully right-off goodwill allocated to the renewable energy segment. The impairment charges are the result of industry wide factors and access to sufficient funding required to advance development to search Schneider Power renewable energy projects. Corporate segment expenses increased $0.2 million from $2.2 million in the second quarter of fiscal 2011 to $2.4 million in the second quarter of fiscal 2012. Corporate expenses increased 2.7 million from $4.6 million in the first six months of fiscal 2011, the $7.3 million in the first six months of fiscal 2012. The increased turn in the first six months of fiscal 2012 is primarily due to a one-time $128 million facility exit obligation related to some of these agreements that company entered into to reduce overhead and a $0.9 million impairment of solar equipment deposits. Shared-based compensation expense is $0.2 million and depreciation and amortization expense is $.04 million in the second quarter of fiscal 2012. The company’s overall operating loss increased $3.9 million from $4.9 million in the second quarter of fiscal 2011 to $8.8 million in the second quarter of fiscal 2012. Read the rest of this transcript for free on seekingalpha.com