Broadwind Announces $16 Million in New Tower Orders

Rhea-AI Summary

Broadwind (NASDAQ: BWEN) announced $16 million in new tower orders from a leading wind turbine manufacturer, securing over 40% of its optimal annual tower production for 2022. The company anticipates additional bookings as OEM customers prepare for increased demand. CEO Eric Blashford noted rising interest for production capacity in H2 2022 and moderating raw material costs, which may boost project development. Broadwind views a potential extension of the production tax credit as a key growth catalyst.

Positive

• Secured $16 million in new tower orders.
• Over 40% of annual production capacity is sold.
• Expecting additional bookings due to increasing demand.
• Raw material costs showing signs of moderation.

Negative

• None.

CICERO, Ill., Feb. 08, 2022 (GLOBE NEWSWIRE) -- Broadwind (NASDAQ: BWEN), a diversified precision manufacturer of specialized components and solutions serving global industries, today announced that the Company has received $16 million in new tower orders from a leading global wind turbine manufacturer.

Including these new orders, Broadwind has sold greater than 40% of its full-year 2022 optimal annual tower production capacity. Broadwind expects to schedule additional 2022 bookings over the coming months, as OEM customers seek to secure additional production capacity.

“Recently, we have begun to receive increased interest from our wind turbine OEM customers regarding tower capacity for the second half of 2022.” stated Eric Blashford, President and CEO of Broadwind. “Although we remain in the early phase of a broader recovery in onshore wind tower demand, we are encouraged by these new orders, which will go into production at our Abilene plant during the third quarter of 2022. Further, some raw materials used in turbine production have shown signs of moderating, which should incentivize increased project development, over time.”

“As before, we continue to view a potential, multi-year extension of the production tax credit as a significant catalyst for our business and industry,” continued Blashford. “We look forward to seeing Congress pass pro-climate legislation, whether as part of a broader policy package or as a standalone bill, capable of providing developers with long-term certainty around incentives.”

ABOUT BROADWIND

Broadwind (NASDAQ: BWEN) is a precision manufacturer of structures, equipment and components for clean tech and other specialized applications. With facilities throughout the U.S., our talented team is committed to helping customers maximize performance of their investments—quicker, easier and smarter. Find out more at www.bwen.com

FORWARD-LOOKING STATEMENTS

This release contains “forward looking statements”—that is, statements related to future, not past, events—as defined in Section 21E of the Securities Exchange Act of 1934, as amended, that reflect our current expectations regarding our future growth, results of operations, financial condition, cash flows, performance, business prospects and opportunities, as well as assumptions made by, and information currently available to, our management. Forward looking statements include any statement that does not directly relate to a current or historical fact. We have tried to identify forward looking statements by using words such as “anticipate,” “believe,” “expect,” “intend,” “will,” “should,” “may,” “plan” and similar expressions, but these words are not the exclusive means of identifying forward looking statements.

Our forward-looking statements may include or relate to our beliefs, expectations, plans and/or assumptions with respect to the following: (i) state, local and federal regulatory frameworks affecting the industries in which we compete, including the wind energy industry, and the related extension, continuation or renewal of federal tax incentives and grants and state renewable portfolio standards, as well as new or continuing tariffs on steel or other products imported into the United States; (ii) our customer relationships and our substantial dependency on a few significant customers and our efforts to diversify our customer base and sector focus and leverage relationships across business units; (iii) our ability to continue to grow our business organically and through acquisitions; (iv) the production, sales, collections, customer deposits and revenues generated by new customer orders and our ability to realize the resulting cash flows; (v) the sufficiency of our liquidity and alternate sources of funding, if necessary; (vi) our ability to realize revenue from customer orders and backlog; (vii) our ability to operate our business efficiently, comply with our debt obligations, manage capital expenditures and costs effectively, and generate cash flow; (viii) the economy and the potential impact it may have on our business, including our customers; (ix) the state of the wind energy market and other energy and industrial markets generally and the impact of competition and economic volatility in those markets; (x) the effects of market disruptions and regular market volatility, including fluctuations in the price of oil, gas and other commodities; (xi) competition from new or existing industry participants including, in particular, increased competition from foreign tower manufacturers with access to lower cost steel; (xii) the effects of the change of administrations in the U.S. federal government; (xiii) our ability to successfully integrate and operate companies and to identify, negotiate and execute future acquisitions; (xiv) the potential loss of tax benefits if we experience an “ownership change” under Section 382 of the Internal Revenue Code of 1986, as amended; (xv)  the limited trading market for our securities and the volatility of market price for our securities; and (xvi) the impact of future sales of our common stock or securities convertible into our common stock on our stock price. These statements are based on information currently available to us and are subject to various risks, uncertainties and other factors that could cause our actual growth, results of operations, financial condition, cash flows, performance, business prospects and opportunities to differ materially from those expressed in, or implied by, these statements. We are under no duty to update any of these statements. You should not consider any list of such factors to be an exhaustive statement of all of the risks, uncertainties or other factors that could cause our current beliefs, expectations, plans and/or assumptions to change.

FAQ

What new orders did Broadwind announce on February 8, 2022?

Broadwind announced $16 million in new tower orders from a leading wind turbine manufacturer.

What percentage of production capacity has Broadwind sold for 2022?

Broadwind has sold over 40% of its optimal annual tower production capacity for 2022.

Why is Broadwind optimistic about future bookings?

Broadwind expects additional bookings as wind turbine OEM customers seek to secure more production capacity.

What does Broadwind see as a catalyst for growth?

Broadwind views a potential multi-year extension of the production tax credit as a significant growth catalyst for the business.