San Diego, Calif. -- Maxwell Technologies, Inc. (Nasdaq: MXWL) today reported revenue of $39.0 million for its fourth quarter ended December 31, 2013, down 12 percent from the $44.5 million recorded in the same period in 2012. Revenue for the fiscal year ended December 31, 2013, totaled $193.5 million, up 22 percent over the $159.3 million recorded in fiscal 2012.
Ultracapacitor revenue decreased by 11 percent, to $26.3 million in Q413, compared with $29.5 million in the same period last year, and totaled $136.3 million for the full year, up 42 percent from the $96.0 million recorded in 2012. Sales of high voltage capacitor and microelectronics products totaled $12.7 million in Q413, down 16 percent from the $15.1 million recorded in Q412; full year sales for those products totaled $57.3 million, down 10 percent from the $63.3 million recorded in 2012.
On a U.S. generally accepted accounting principles (GAAP) basis, operating loss for the fourth quarter 2013 was $2.6 million, compared with operating income of $3.4 million in Q412. GAAP operating income for the full year was $8.6 million, compared with operating income of $9.7 million in 2012. GAAP net loss for Q413 was $2.8 million, or $0.10 per share, compared with net income of $2.9 million, or $0.10 per diluted share, in Q412. GAAP net income for the full year was $6.3 million, or $0.22 per diluted share, compared with net income of $7.2 million, or $0.25 per diluted share, in 2012.
On a non-GAAP basis, the Company reported an operating loss of $1.2 million in Q413 compared with operating income of $3.9 million in Q412. Non-GAAP operating income for the full year was $12.5 million compared with $12.8 million in 2012. Non-GAAP net loss for Q413 was $1.5 million, or $0.05 per share, compared with net income of $3.4 million or $0.12 per diluted share in Q412. Non-GAAP net income for the full year was $10.3 million, or $0.36 per diluted share compared with $10.3 million, or $0.36 per diluted share, in 2012. A reconciliation of GAAP to non-GAAP financial measures is included as an addendum to this release.
GAAP gross margin was 37 percent in Q413, compared with 39 percent in Q412 and 41 percent in Q313. For the full year, gross margin was 39 percent in 2013, compared with 41 percent in 2012. GAAP operating expenses totaled approximately $16.9 million, or 43 percent of revenue, in Q413 compared with $13.9 million, or 31 percent of revenue in Q412. Non-GAAP operating expenses totaled approximately $15.9 million, or 41 percent of revenue, in Q413 compared with $13.5 million, or 30 percent of revenue, in Q412. Cash and cash equivalents totaled $30.6 million as of December 31, 2013, compared with cash and restricted cash of $41.1 million as of September 30, 2013. Complete financial statements and Management's Discussion and Analysis of Financial Condition and Results of Operations will be available with the filing of the Company's Annual Report on Form 10-K with the Securities & Exchange Commission.
Outlook: "We are experiencing strengthening demand in the wind market due to new design wins and increased purchasing activity from existing customers. In addition, we are in the early phases of an anticipated ramp for plug-in hybrid buses in China," said John Warwick, Maxwell's interim president and CEO. "Based on our customer inputs, we expect first quarter total revenue to be flat to slightly up compared with the fourth quarter of 2013."
Non-GAAP Financial Measures: The Company uses non-GAAP financial measures for internal evaluation and to report the results of its business. These non-GAAP financial measures include non-GAAP gross profit, non-GAAP operating expenses, non-GAAP income from operations, non-GAAP net income, and non-GAAP net income per diluted share. These measures are not in accordance with, nor an alternative to, GAAP. These measures are intended to supplement GAAP financial information, and may be computed differently from non-GAAP financial measures used by other companies. The Company believes that these measures provide useful information to its management, board of directors and investors about its operating activities and business trends related to its financial condition and results of operations. The Company believes that it is useful to provide investors with information to understand how specific line items in the statement of operations are affected by certain non-cash or non-recurring items, such as stock-based compensation expense.
In addition, the Company's management and board of directors use these non-GAAP financial measures in developing operating budgets and in reviewing the Company's results of operations, as non-cash and non-recurring items have limited impact on current and future operating decisions. Additionally, the Company believes that inclusion of non-GAAP financial measures provide consistency and comparability with its past reports of financial results. However, investors should be aware that non-GAAP measures have inherent limitations and should be read in conjunction with the Company's consolidated financial statements prepared in accordance with GAAP. Please refer to the accompanying tables for a detailed reconciliation of GAAP to non-GAAP gross profit, operating expenses, income from operations, net income, and net income per share.
Management will conduct a conference call and simultaneous webcast to discuss fourth quarter of 2013 financial results and the future outlook at 5 p.m. (EST) today. The call may be accessed by dialing toll-free, (866) 952-1906 from the U.S. and Canada, or (785) 424-1825 for international callers, and entering the conference ID, MAXWELL. The live web cast and subsequent archived replay may be accessed at the Company's web site via the following link: http://investors.maxwell.com/phoenix.zhtml?c=94560&p=irol-calendar.
Maxwell is a global leader in the development and manufacture of innovative, cost-effective energy storage and power delivery solutions. Our ultracapacitor products provide safe and reliable power solutions for applications in consumer and industrial electronics, transportation, renewable energy and information technology. Our CONDIS® high-voltage grading and coupling capacitors help to ensure the safety and reliability of electric utility infrastructure and other applications involving transport, distribution and measurement of high-voltage electrical energy. Our radiation-mitigated microelectronic products include power modules, memory modules and single board computers that incorporate powerful commercial silicon for superior performance and high reliability in aerospace applications. For more information, visit www.maxwell.com.