July 13 (Bloomberg) -- Ocean Power Technologies Inc., a builder of systems that generate electricity from the motion of waves, fell after sales declined 26 percent in its fiscal fourth quarter.
The company dropped 11 percent to $2.65 at the close in New York and has declined 25 percent in the past two days. The shares surged 72 percent on July 11, the most on record, after Lockheed Martin Corp. announced plans to use Ocean Power’s systems for a 19-megawatt marine-power plant in Australia.
Sales in the quarter ending April 30 were $1.4 million, down from $1.9 million in the same period a year earlier, Pennington, New Jersey-based Ocean Power said today in a statement. Its net loss narrowed 23 percent to $4.1 million.
Revenue declined in part because the company completed a project with the U.S. Navy in the third fiscal quarter, according to the statement.
Ocean Power won a grant of A$66.5 million ($68 million) from Australia’s Department of Resources, Energy and Tourism for the project with Lockheed in Victoria, Australia. The two companies have been collaborating on the technology since 2004. Ocean Power is also developing wave-energy projects in Oregon, Hawaii, Spain and the U.K.
Ocean Power’s PowerBuoys are tethered to the sea bottom and generate power as waves and tides move them up and down.
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