Beacon Power Shares Jump on 3Q Sales Surge

Shares of Beacon Power Corp. (Nasdaq: BCON) surged over 11% when the company reported sharply higher revenue for the third quarter. BCON stock now trades for $2.11, up from 36 cents a year ago. Shares hit a 52-week high of $5.35 in August.

Although losses grew a bit from $1.9 million last year to $2.1 million, revenue surged to $304.1 million from $80.9 million.

Beacon – which makes energy storage systems for uninterrupted electricity for communications networks, computers and manufacturing – recently raised $15 million in a private offering to institutional investors. The company plans to use the funds to developed a product called the “smart energy 25 flywheel.”

“The recent investment of $15 million in Beacon is a vote of confidence by the investment community in our technology, our products and our people,” said Bill Capp, Beacon president and CEO. “During the quarter we shipped and installed our first Smart Energy Matrix demonstration system in California, and on October 7th we were awarded a $750,000 contract from the United States Air Force Research Laboratory and the Department of Defense’s Defense Advanced Research Projects Agency to design a flywheel for space applications.

“By continuing to pursue research and development contracts while simultaneously developing our next-generation flywheel system, we can add revenue, improve our technology, expand our energy storage product offerings and provide greater value to shareholders,” Capp added.

Beacon Power Corporation designs sustainable energy storage and power conversion solutions that would provide reliable electric power for the utility, renewable energy, and distributed generation markets. Beacon’s Smart Energy Matrix is a design concept for a megawatt-level, utility-grade flywheel-based energy storage solution that would provide sustainable power quality services for frequency regulation, and support the demand for reliable, distributed electrical power. Beacon is a publicly traded company with its research, development and manufacturing facility in the U.S.