Fuel Systems Solutions (FSYS) Raises Guidance

Fuel Systems Solutions (FSYS) is issuing preliminary results this morning ahead of previous expectations and now expects full year 2009 revenue of about $450 million vs the previous estimate of $415 – $425.  Gross margins are seen at the higher end of the 30 – 32% range.

Fuel Systems will report earnings March 4th.

CEO Mariano Costamagna commented, “Our business gained momentum in the fourth quarter of 2009, benefiting from the uncertain future of the Italian vehicle incentive environment. As a result, we expect our 2009 results to exceed our outlook by a magnitude we felt important to communicate prior to our normal fourth quarter reporting. Drawing on the flexibility inherent in our delayed original equipment manufacturer (DOEM) model, in 2009 we expanded our capacity to supply the growing market in Europe and Italy in particular, and delivered over 183,000 installations, a greater than threefold increase compared to 2008. We will discuss our strategic plan and outlook on our fourth quarter results call.”

After gapping up 6% at the open, FSYS has given it all back and the stock is now trading flat.

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