Power Solutions Intl Inc Stock Price, News & Analysis

Power Solutions International (PSIX) has appointed Dino Xykis, previously Chief Technical Officer, as Interim CEO effective June 1, 2022, following the resignation of Lance Arnett. The Board expressed confidence in Xykis's leadership as it seeks a permanent CEO. Under Xykis, PSI aims for at least 3% sales growth and a 5 percentage point improvement in gross profit margins for 2022 compared to 2021. Xykis brings over 30 years of experience in engineering and management, reinforcing the company’s commitment to expand its engine portfolio and enhance financial performance.

Power Solutions International (PSIX) unveiled its new 8.8-liter, 200 kWe natural gas engine at the 2022 POWERGEN trade show in Dallas, Texas, showcasing its highest output yet for such displacement. The engine, developed in partnership with Moteurs Baudouin, boasts a 100% power increase over similar natural aspirated variants and 60% more than turbocharged options. This robust design incorporates patented features for enhanced performance and cooling. With a focus on standby power generation, the engine is tailored for emergency applications, augmenting PSI's existing product lineup.

Power Solutions International (PSI) reported its first-quarter 2022 results, showing sales of $98.9 million, a slight decline of 1% year-over-year, impacted by a $25.8 million drop in transportation sales. However, the power systems and industrial end markets grew by 52% and 33%, respectively. Gross profit soared by 136% to $9.6 million, lifting gross margin to 16.9%. Operating expenses fell by 27%, leading to a reduced net loss of $2.6 million. The company aims for at least a 3% sales increase in 2022, despite ongoing supply chain issues and inflationary pressures.

Power Solutions International (PSIX) announced the Fourth Shareholder’s Loan Agreement with its majority stockholder, Weichai America Corp., providing access to up to $30 million in credit. This agreement, effective April 20, 2022, matures on March 31, 2023. Interest will be based on the Secured Overnight Financing Rate (SOFR) plus 4.65% per annum. PSI aims to use these funds to bolster working capital. CEO Lance Arnett expressed satisfaction with the liquidity support from Weichai as the company strives for improved financial outcomes. More details are available in the company's Form 8-K filing.

Power Solutions International (PSIX) has announced that its 6.0-liter gasoline-powered industrial mobile engine has received certification from the U.S. Environmental Protection Agency (EPA) and California Air Resources Board (CARB). This engine delivers 174 hp (130 kW) and a peak torque of 315 ft-lbs (427 N-m), designed for a variety of industrial applications including material handling and construction. Planned offerings also include liquid propane versions later in 2022. The new engine is built on the GM 'LS' platform, promising higher output and efficiency for OEMs.

Power Solutions International, Inc. (PSIX) reported Q4 2021 sales of $127 million, up 21% year-over-year, driven by transportation and industrial markets. However, gross profit fell by 49% to $9.1 million, with a gross margin shrinking to 7.6% due to increased warranty, freight, and material costs. The company recorded a net loss of $7.6 million, compared to a $3.1 million loss in Q4 2020. For 2022, PSIX anticipates at least 3% sales growth, targeting improved gross profit margins despite ongoing supply chain challenges and inflation. CEO Lance Arnett emphasized actions to enhance operations and reduce costs.

Power Solutions International (PSIX) announced the appointment of Matthew Thomas as interim CFO effective April 8, 2022, following Donald P. Klein's resignation to pursue other interests. Thomas, who has over 12 years of experience in accounting and finance, has been with the company since 2018, serving as corporate controller since May 2021. The company plans to file its Form 10-K for the fiscal year ending December 31, 2021, on March 31, 2022.

Power Solutions International (PSIX) announced an amended $130 million senior secured revolving credit agreement with Standard Chartered Bank. This agreement extends the maturity date to March 24, 2023. The previous default related to financial covenants has been waived without additional fees. The agreement mandates minimum EBITDA and interest coverage ratios. Additionally, PSIX amended two shareholder loan agreements with Weichai America, extending maturities and securing $130 million for repayment purposes. As of March 24, 2022, no borrowings were made under the First Shareholder's Loan Agreement.

Power Solutions International, Inc. (OTC Pink: PSIX) announced an international distribution agreement with Société Internationale des Moteurs Baudouin to expand its global reach in the marine and power generation sectors. Baudouin will market and sell PSI's 2.4L to 53L emissions-certified engines, emphasizing natural gas-powered options. This partnership provides wider access to European, Middle Eastern, and African markets. Notably, PSI's new 8.8L engine has achieved a power output of 200 kWe, the highest for its displacement class, enhancing the offerings available to clients.