Areas of Interest in Maxwell Technologies Inc. (MXWL)’s Upcoming 4Q Earnings Report

As Maxwell Technologies Inc. (NASDAQ:MXWL) reports earnings its 4th quarter earnings on Thursday, February 5th, investors should watch out for the performance of the ultra-capacitor segment and an update on the partnership deal, with Corning Incorporated (NYSE:GLW), which was initiated in 2014. Wall Street has already weighed in on the numbers to expect in the coming earnings report.

Ultra-capacitor segment

In the previous quarter, 3Q, Maxwell Technologies Inc. (NASDAQ:MXWL) reported sales of $28.8 million in the ultra-capacitor segment. Performance in the segment decreased 15% and 22% sequentially and YoY, respectively. The management blamed the decline in the Chinese market, especially in the hybrid bus segment. It will be interesting for the investors to see how the company fared in the segment in the latest quarter and what the management has to say about it.

Ultra-capacitor segment is the largest contributor to overall revenue at Maxwell Technologies Inc. (NASDAQ:MXWL).

Partnership with Corning

Earlier last year, Maxwell Technologies partnered with glassmaker Corning. The collaboration involved the manufacturing of high-voltage products and better capacitors. Wall Street had cited that the deal was more valuable for Maxwell Technologies than it was for Corning. It would be interesting for the shareholders to see how that partnership has helped or is helping Maxwell Technologies to achieve its performance goals.

Earnings estimate

Maxwell Technologies Inc. (NASDAQ:MXWL) is expected to post revenue of $50.5 million in 4Q representing 29.6% increase compared with the same quarter a year earlier. The company is expected to post a loss of $0.15 per share on revenue of $184.2 million, representing 4.8% decline from the previous year.

In the previous quarter, Maxwell Technologies Inc. (NASDAQ:MXWL) reported a loss of $0.11, ahead of the Wall Street estimate of a loss of $0.13. However, the company fell short of its performance a year earlier during which it earned $0.23 a share. Higher operating expenses impacted earnings in the previous quarter. An update on costs and expenses will also be a key area to watch out for in the forthcoming earnings.

Viraj Shah

Viraj Shah has completed M.Com (Finance) and is currently pursuing his CFP. He tracks US markets along with other global markets like India very closely. He is very passionate about stocks, real estate, and technology. He also believes that money can always be made in the market.

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