Otter Tail (OTTR) Holding Up Despite Awful Earnings, Optimistic About Wind Energy

Here are the lowlights for the Otter Tail (OTTR) quarter.  The company reports an EPS of .07/share, missing estimates by .04/share and under performing from the year ago quarter by 36%.  Revenues missed estimates badly as well coming in at $247 million vs the estimates of $304 million and representing a 24% drop from the year ago quarter.  To top it off, the company is lowering guidance for 2009 to .70 – 1.10 from .80 – 1.20/share.  Surprisingly, the stock is off the lows and actually trading up currently.

The CEO commented that the rest of 2009 will be a challenge but is optimistic about the longer term prospects of its wind energy business:

“We believe the strong public policy commitment to renewable energy at both the state and federal levels bodes well for the prospects of wind development beyond this year, increasing the opportunities for our companies with significant involvement in the wind-energy business.


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