TechPrecision Corporation (OTC Bulletin Board: TPCS) ("TechPrecision", or "the Company"), a leading manufacturer of large-scale, high-precision machine metal fabrications with customers in the alternative energy, medical, nuclear, defense, aerospace and other commercial industries, today announced that it has received an order valued at approximately $1.2 million for first articles of mono-crystalline chambers for a large mono-crystalline wafer producer and OEM.
This represents the third new strategic tier-1 customer signed by TechPrecision during fiscal 2011.
In addition, the customer has provided TechPrecision with forecasts to produce more than 100 production units in calendar 2012, ramping to more than 200 production units in calendar 2013. The forecast anticipates a significant portion of this work to be produced by the Company's Wuxi Critical Mechanical Components Co., Ltd. (WCMC) subsidiary. As this customer ramps, the projected volume in two to three years has the potential to exceed the revenue of TechPrecision's largest current customer.
TechPrecision's Ranor and WCMC subsidiaries will be producing mono-crystalline chambers for this customer. Mono-crystalline solar wafers are used to produce the highest efficiency solar cells, thereby increasing the overall power of the solar panel. These high efficiency solar panels enable customers to meet energy requirements and optimize the amount of solar panels required.
"This order has the potential to be one of the most important achievements for the Company since I became CEO, and moves us closer to our goal of four new strategic tier-1 customers this fiscal year," commented James Molinaro, CEO of TechPrecision Corporation. "In addition to diversifying our customer base and increasing our penetration in the rapidly growing solar energy market, it provides the long-term opportunity, based on initial projections, to exceed the revenue from our largest current customer. More importantly, it helps us to increase the production out of our new WCMC subsidiary. First articles will be produced and shipped during calendar 2011, and we expect additional purchase orders covering production manufacturing in calendar 2012, with volumes ramping significantly over the ensuing two years."