Capstone Distributors Add Record 30.7 MWs of Factory Protection Plan Contracts During the Fourth Quarter of Fiscal Year 2019
April 10 2019 - 08:30AM
Capstone Turbine Corporation (www.capstoneturbine.com) (Nasdaq:
CPST), the world’s leading clean technology manufacturer of
microturbine energy systems, announced today its global distributor
network signed multiple industry-leading Factory Protection Plan
(FPP) service contracts covering a combined total of 30.7 megawatts
(MW) during the fourth quarter of fiscal 2019. This brings the
total Capstone fleet covered under FPP to a record 241.7 MWs.
Capstone’s FPP is a comprehensive maintenance program designed
to give financial peace of mind to microturbine end-use customers
by providing product life cycle costs at a fixed rate for both
scheduled and unscheduled maintenance for the life of the
microturbine system. The FPP enables the customer to have
predictable and stable maintenance costs and protects the customers
from future cost increases associated with changes in replacement
spare parts pricing, commodity price increases, import tariffs, and
interest rate changes.
“Capstone continues to see a high adoption rate of our FPP on
new system sales as customers are informed of the value early in
the sales cycle and are able to better calculate their ROI and
budget accordingly,” said James Crouse, Capstone’s Executive Vice
President of Sales and Marketing.
“With these new FPP contracts, our existing FPP backlog ends the
year at the highest level in the company’s history, eclipsing our
last record at the end of fiscal 2017,” said Jeff Foster,
Capstone’s Senior Vice President of Customer Service and Product
Development. “After our previous FPP backlog record in fiscal 2017,
we followed it with our record year for FPP revenue and gross
margin during fiscal 2018,” added Mr. Foster.
“Our aftermarket business continues to be one of our key drivers
towards sustained profitability over our strategic planning
period,” said Darren Jamison, Capstone’s President and Chief
Executive Officer. “During our two previous adjusted EBITDA
profitable quarters in fiscal 2018 (Q3 and Q4), our aftermarket
business provided record gross margins, so continued growth of our
industry-leading FPP is a good sign we are tracking to our
strategic plan,” concluded Mr. Jamison.
About Capstone Turbine Corporation
Capstone Turbine Corporation (www.capstoneturbine.com) (Nasdaq:
CPST) is the world’s leading producer of low-emission microturbine
systems and was the first to market commercially viable
microturbine energy products. Capstone has shipped over 9,000
Capstone Microturbine systems to customers worldwide. These
award-winning systems have logged millions of documented runtime
operating hours. Capstone is a member of the U.S.
Environmental Protection Agency’s Combined Heat and Power
Partnership, which is committed to improving the efficiency of the
nation's energy infrastructure and reducing emissions of pollutants
and greenhouse gases. A DQS-Certified ISO 9001:2015 and ISO
14001:2015 certified company, Capstone is headquartered in
the Los Angeles area with sales and/or service centers in
the United States, Latin America, Europe, Middle East and
Asia.
For more information about the company, please visit
www.capstoneturbine.com. Follow Capstone Turbine on Twitter,
LinkedIn and YouTube.
Forward-Looking Statements
This press release contains “forward-looking statements,” as
that term is used in the federal securities laws. Forward-looking
statements may be identified by words such as “expects,”
“believes,” “objective,” “intend,” “targeted,” “plan” and similar
phrases. These forward-looking statements are subject to numerous
assumptions, risks and uncertainties described in Capstone’s
filings with the Securities and Exchange Commission that may cause
Capstone’s actual results to be materially different from any
future results expressed or implied in such statements. Capstone
cautions readers not to place undue reliance on these
forward-looking statements, which speak only as of the date of this
release. Capstone undertakes no obligation, and specifically
disclaims any obligation, to release any revisions to any
forward-looking statements to reflect events or circumstances after
the date of this release or to reflect the occurrence of
unanticipated events.
“Capstone” and “Capstone Microturbine” are registered trademarks
of Capstone Turbine Corporation. All other trademarks
mentioned are the property of their respective owners.
CONTACT: |
Capstone Turbine
CorporationInvestor and investment media
inquiries:818-407-3628ir@capstoneturbine.comIntegra Investor
RelationsShawn M. Severson415-226-7747cpst@integra-ir.com |
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