Renewable Energy

Solazyme Slumps Most on Record on Delays at Brazil Plant

Solazyme Inc. (SZYM), a producer of renewable oils from algae, declined the most on record after its third-quarter revenue fell short expectations

Bloomberg
07/11/2014 19:03
Visualizações: 2242 (0) (0) (0) (0)

Solazyme Inc. (SZYM), a producer of renewable oils from algae, declined the most on record after its third-quarter revenue fell short expectations and it said sales next year will miss estimates even more.

 

Solazyme tumbled 58 percent to $3.14 at the close in New York, the most since its May 2011 initial public offering and the lowest price on record.

 

Revenue in the third quarter was $17.6 million, South San Francisco, California-based Solazyme said in a statement after the close of trading yesterday. That was lower than the $19.6 million average of eight analysts’ estimates compiled by Bloomberg.

 

Production issues at the company’s plant in Moema, Brazil, led Solazyme to lower its revenue forecast for 2015 to about $75 million, well short of the $300 million estimate from Jeff Osborne, an analyst with Cowen & Co.

 

“The loss of Moema’s rapid volume-growth expectations” were among the “primary concerns for our more cautious view on the stock,” Osborne wrote in a note to investors today. He lowered his rating to the equivalent of hold with a 12-month price target of $7. Solazyme also was downgraded today by Robert W. Baird & Co. and yesterday by Pacific Crest Securities LLC.

 

Excluding some items, the company’s loss of 45 cents a share was three cents more than the average of nine estimates compiled by Bloomberg.

 

The company began commercial production of oil and lubricants at Moema in May, and said it expected to reach full capacity of 100,000 metric tons a year within 12 to 18 months.

 

“Management has noted that despite delays, it expects to fully bring Moema onto its balance sheet in 2016, albeit not producing at the previously intended annual capacity,” Osborne said. “We expect the Moema run rate to fall short of 20,000 metric tons a year by 2016.”

 

Most Read Today
see see
Petrobras
Museum of Petroleum and New Energies will operate in the...
19/03/26
Macaé Energy
Macaé Energy: debates focus on the strategic role of nat...
18/03/26
Macaé Energy
Macaé Energy 2026 strengthens the municipality’s positio...
17/03/26
Macaé Energy
With record-breaking attendance, the Macaé Energy trade ...
17/03/26
Offshore Technology & Subsea Engineering
Trendsetter Vulcan Offshore Customizes Tethered BOP Tech...
17/03/26
Macaé Energy
FIRJAN: Technical Conference is a Highlight of Macaé Ene...
16/03/26
Permanent Offer
Inclusion of 15 New Blocks in Permanent Offer (OPP) Bid ...
14/03/26
Rio de Janeiro
Rio City Hall Signs Agreement to Transfer Automóvel Club...
13/03/26
Result
Porto do Açu Sets Historic Record in Cargo Handling
13/03/26
Environment
Following COP30, IBP Organizes Meeting to Debate Brazil'...
13/03/26
Jet Fuel
Resolution Approved to Revise Aviation Kerosene Quality ...
13/03/26
Biofuels
ANP to Participate in Research Project on Increasing Bio...
13/03/26
Results
Petrobras Paid R$ 277.6 Billion in Taxes and Government ...
13/03/26
North Sea
Two new discoveries in the North Sea
11/03/26
Macaé Energy
At Macaé Energy 2026, FIRJAN Promotes Special Edition of...
09/03/26
iBEM26
Innovation, ESG, and Sustainability
06/03/26
iBEM26
Artificial Intelligence drives increased demand for elec...
02/03/26
FIRJAN
Despite Tariff Hikes, Oil Drives Rio's Trade Flow Up 9% ...
27/02/26
Royalties
December Production Royalty Payments Distributed to Stat...
26/02/26
Award
BRAVA Energia Wins Top Honor at OTC Houston for Atlanta ...
26/02/26
Strategic Agenda
ABPIP Presents 2026 Strategic Agenda to Chairman of the ...
26/02/26
VEJA MAIS
Newsletter TN

Contact us

We use cookies to ensure you have the best experience on our website. If you continue to use this site, we will assume that you agree with our Privacy Policy, terms of use and cookies.