Pure play geothermal equipment and electricity generator Ormat (ORA) turned in a very strong Q1 earnings result today. The company increased the top line from $62M to $69M Y/Y despite the fact that the product segment revenue fell by 50% in the same period. This was offset by an increase in the generation segment due to greater MWh produced and higher prices being secured for that energy.

Even better for long-term shareholders, costs were controlled tightly and were down $9M overall. But the electricity segment was down $1.1M while net output from the unit increased making it significantly more profitable. Profits for the quarter were $10M after taxes compared to -$5.8M in the same period last year.

No matter how you cut it, this was a stellar quarter for Ormat.

Disclosure: The author holds no position in Ormat.

This entry was posted on Wednesday, May 7th, 2008 at 6:49 am and is filed under Business, Geothermal.