The company secured the $2 million order from the Republic of Korea to provide uninterruptible power supply (UPS) systems for Military Afloat Reach and Sustainability tankers. The tankers will be built by Daewoo Shipbuilding and Marine Engineering. Each of the four tankers requires a total of eight UPS systems of various ratings.
"After nine months of hard work by our Republic of Korea partner, C&A Electric, and us, we are pleased to have secured this important contract," managing director of Digital Power Limited Jake Moir said in a press release. "This order will be a major part of our forward order book for the next two years and provides us with a platform to develop additional new products for customers worldwide. Our defense business continues to grow with customers in markets that include Spain, France, Australia, India and now South Korea."
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TheStreet Ratings team rates DIGITAL POWER CORP as a Sell with a ratings score of D+. TheStreet Ratings Team has this to say about their recommendation:
"We rate DIGITAL POWER CORP (DPW) a SELL. This is driven by several weaknesses, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its feeble growth in its earnings per share, deteriorating net income and disappointing return on equity."