XZERES Corp. (XPWR) Announces Q1 Fiscal Year 2012 Financial Results; 57% Sequential Growth

QualityStocks would like to highlight XZERES Corp. (OTCBB:XPWR), a renewable energy and clean energy technology company that designs, develops, manufactures and markets distributed generation, wind power systems for the small wind (2.5kW-100kW) market as well as power management and power efficiency solutions for the commercial, light industrial and residential markets.

In the company’s news yesterday,

XZERES announced its financial results for its fiscal first quarter ended May 31, 2011.

Revenue for the quarter totaled $1,017,217, a 57% sequential increase as compared to the fiscal fourth quarter ending February 28, 2011. Revenue by channel for the first quarter for its wind power systems business grew to 47.2% direct and 52.8% indirect as compared to 32.8% direct and 67.2% indirect for the previous fourth quarter. In future quarters, the company anticipates growing sales of its recently acquired line of power management and power efficiency products.

“During the first quarter, we saw continued growth as we began initial deliveries of our new 442SR next generation 10-kilowatt turbine small wind power systems,” said Frank P. Greco, CEO and President. “We also achieved significant sales model progress in terms of our revenue by channel mix, with an increasing percentage of our sales being direct. This direct sales success is the result of our efforts that began last July, when we decided to initiate a disruptive sales model approach to the conventional, purely dealer-based, distribution model that has been prevalent in the wind turbine business and instead focus more of our efforts upon direct, self-reliant, internally generated business, thereby gaining several distinct advantages.”

He continued, “While we welcome and appreciate dealer business, and our dealer business is growing meaningfully, we will continue to aggressively implement this direct sales model domestically and additionally begin to apply it internationally – initially in the United Kingdom – as we ramp our international sales. We will also apply this direct sales model domestically to our new line of power management and power efficiency solutions,

Business highlights of the quarter include initiating a pilot project deploying its 442SR next generation 10-kilowatt turbine small wind power system for a potentially large, micro-grid, island electrification opportunity in Vietnam; testing its proprietary battery charging controller and solution for remote electrification; shipping its first container (9 units) of 442SR small wind power systems to the United Kingdom and completing initial product sales of recently acquired line of power management and power efficiency devices.

According to the press release, XZERES expects continued strong growth in its distributed energy, small wind power systems business and potentially even faster growth for its power management and power efficiency business segment. The company also said it anticipates that by fiscal year end (February 28, 2012) its power management/power efficiency business will become a meaningful, if not significant, part of overall business on a going-forward, revenue run-rate basis; potentially becoming its fastest growing business segment.

Gross margins are projected to rise substantially from current levels over the next two fiscal years as the company develops, acquires and deploys new products, services and business models. Most notable, however, XZERES maintains its goal for FY 2012 ending February 28, 2012, to significantly more than quadruple revenues, as compared to the recently completed fiscal year 2011.

About QualityStocks

QualityStocks, based in Scottsdale, Arizona, is a free service that collects data from hundreds of Small-Cap and Micro-Cap online Investment Newsletters into one Daily Newsletter Report. QualityStocks is dedicated to assisting emerging public companies with their investor communication efforts and connecting subscribers with companies that have huge potential to succeed in the short and long-term future.

To sign up for “The QualityStocks Daily Newsletter” please visit www.QualityStocks.net

Please see disclaimer on QualityStocks website: http://Disclaimer.QualityStocks.net

Forward-Looking Statement:

This release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All forward-looking statements are inherently uncertain as they are based on current expectations and assumptions concerning future events or future performance of the company. Readers are cautioned not to place undue reliance on these forward-looking statements, which are only predictions and speak only as of the date hereof. Risks and uncertainties applicable to the company and its business could cause the company's actual results to differ materially from those indicated in any forward-looking statements.