KiOR Earnings: Here’s Why Investors are Selling Shares Now

KiOR Inc (NASDAQ:KIOR) had a loss and missed Wall Street’s expectations, AND came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are down 8.03%.

KiOR Inc Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased to $-0.36 in the quarter versus EPS of $-0.22 in the year-earlier quarter.

Revenue: Decreased 0% to $240,000 from the year-earlier quarter.

Actual vs. Wall St. Expectations: KiOR Inc reported adjusted EPS loss of $0.36 per share. By that measure, the company missed the mean analyst estimate of $-0.34. It missed the average revenue estimate of $1.07 million.

Quoting Management: “I am happy to report that Columbus has made significant operational progress and is continuing to build its on-stream performance and reliability,” said Fred Cannon, KiOR’s President and Chief Executive Officer. “In addition to making our first shipment of cellulosic gasoline in the second quarter, we more than doubled the run time of our core technology, the Biomass Fluid Catalytic Cracking Unit (BFCC), to 43% in the quarter, up from 20% in the first quarter.”
“In total,” Cannon continued, “we shipped over 75,000 gallons of cellulosic fuel from Columbus. The BFCC unit is running now and producing high quality oil that we are preparing to upgrade into fuel and ship to our customers. Over the next few months, we will focus on further building that progress and we look to push the facility closer to its nameplate capacity.”

Key Stats (on next page)…

Revenue increased 242.86% from $70,000 in the previous quarter. EPS increased to $-0.36 in the quarter versus EPS of $-0.30 in the previous quarter.

Looking Forward: Analysts have a more negative outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has fallen from a loss of $0.27 to a loss $0.28. For the current year, the average estimate has moved down from a loss of $1.15 to a loss of $1.18 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)