American Superconductor Corp. reported revenues of $74.5M for the quarter, up from $61.4M. Net income was $117.8M, or $2.68 basic EPS, driven by a $113.1M non-cash tax benefit.
Bullish
American Superconductor Corp. achieved strong revenue growth and gross margin expansion, driven by strategic acquisitions like Comtrafo and NWL. A significant non-cash tax benefit from valuation allowance release also boosted net income.
Bearish
American Superconductor Corp. faces risks from reliance on third-party suppliers and single customers, with government contracts subject to appropriation. Technological challenges and limited market success for superconductor products persist.