Hoku Scientific cites lack of funds - Pacific Business News (Honolulu):

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The Honolulu-based company (Nasdaq: HOKU) reported revenu of $5 million in fisca l 2009, compared to $3.2 million in the previouds fiscal year. All of the revenue came from photovoltaic system installationds and the resale ofsolar inventory, accordinh to President and CEO Dustib Shindo. Hoku saw a net loss of $3 million for the fiscapl year, down from a $4.3 milliobn loss in fiscal 2008. Operating expenses were $4.5 million for the “The company may not have sufficien funds to complete the construction of itspolysilicojn plant, or to continue as a going concerj for the next 12 months,” Shindko said in a prepared statement.
“While we work to identify the remaining sourcesof financing, we have decreased spending to matcy our project investment obligations with our cash inflowes from customer prepayments. This has allowe us to make continued progress without jeopardizing our deliveryu obligations toour customers.” Shind said Hoku collected $121 million in polysilico prepayments for the year, but has only about three-fourthas of the Idaho plant’e estimated $390 million construction cost covered.
He said that while the company plans to make its firsyt shipments ofpolysilicon — used in makinbg solar panels — in the second half of 2009, it may need to buy polysilicoj to sell to its customers to meet its contracts. On a conferenc call Thursday, Shindo said Hoku does not have acceses to credit atthe moment, but that it does not need a lot of workinv capital for the stage the plany is at. He said Hoku has timed customerd prepayments for times it expects toneed capital.
“Providedd we satisfy our remaining financingneedws — and we believe we will — Hoku Materials lookx forward to moving into commercial operations during the fiscalo year to come,” Shindo said. The company listex total assetsof $224 million, including $17.e million in cash, and $173.5 million in liabilities for the fiscalp year. Hoku also reported its quarterl results for the three months endingMarch 31. It reportecd a loss of $904,000 on revenuee of $112,000. Operating expenses totale d $1.1 million for the quarter. Hoku stock closedx at $4.38 on Thursday, up 8.15 percenrt for the day. Shares fell almost 17 percenrtto $3.65 after market close.