Clean Energy Turns Profits Into Stock Losses
After the close on Wednesday, Clean Energy Fuels Corp. (CLNE) reported a surprising profit for Q113 that sent the stock soaring in after hours trading. By the time the market opened on Thursday, the stock opened down and eventually lost 4.3% for the day. As investors quickly found out from reading the details, the profits only occurred due to the collection of $20.8 million of VTEC revenues for all of 2012 that the company didn't exclude from the non-GAAP numbers.
Per the company, it is the largest provider of natural gas fuel for transportation in North America and a global leader in the expanding natural gas vehicle fueling market. Unfortunately though, that market isn't building out nearly fast enough to make this company profitable. The margins remain razor thin as Clean Energy is forced to pass along all the costs savings of using natural gas to the customers.
The profits and positive EBITDA though alluded to by the company all through the report didn't sit well with investors that quickly deducted the $20.8 million VTEC revenue from 2012 for all of the Q1 numbers. The numbers quickly turned back into the losses alluded to in a previous article (see As Predicted, Larger Losses At Clean Energy Fuels).
Read the full article at Seeking Alpha.
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