PowerSecure International, the Wake Forest energy services firm, reported fourth quarter revenues that were below analysts expectations.
The company reported revenues of $21 million in the fourth quarter, down 19 percent from the same period a year ago. The consensus among Wall Street analysts was $26.6 million.
For the year, PowerSecure reported revenues of $97.5 million, up 14 percent from the prior year.
In January, PowerSecure agreed to sell a subsidiary based in Louisiana for $15.6 million. The sale of Southern Flow, which provides services for natural gas and oil producers, will be recorded in the company's first quarter results.
PowerSecure operates emergency backup diesel generators as alternate power sources for customers. The company is also branching out to energy-efficient illumination that uses light-emitting diodes, or glowing chips that are commonly known as LED lights.
The company's fourth quarter revenues were down due to softness in the retail sector and the fact that more of the company's sales took the form of long-term recurring contracts, CEO Sidney Hinton said in a release.
"However, sales productivity is strong, demonstrated by our growing revenue backlog," he said.
The company's revenue backlog, which is business that will appear as sales in the future, was $150 million in the fourth quarter, up from $138 million in the prior quarter.