Energy services provider Echelon has reported revenues of $23.8m in the fourth quarter (Q4) of 2012, down from $40.5m in the same quarter of 2011.
Revenues from systems sales, reflecting sales to Echelon’s utility customers, were $10.7m for the quarter ended 31 December 2012, down from $26.4m in the comparable period a year ago.
Sub-systems sales revenues, largely from commercial customers, stood at $13.1m during the quarter. During the fourth quarter of 2011, revenues from sub-systems totaled $14.2m.
For the full year of 2012, total revenues slipped to $134m from $156.5m, while system and sub-system revenues both decreased 14% to $85.2m and $48.8m, respectively.
Echelon chairman and chief executive Ron Sege remarked that 2012 was "challenging" for the smart grid market.
"We ended the fourth quarter with a number of promising system and sub-system pilots and deployments, indicating that our strategy of targeting geographies with strong fundamentals for investment in grid modernization is sound," Sege added.
"As we expect 2013 to be another year of modest demand in the smart grid market, we will continue the difficult task of restructuring our operations while investing in our strategic initiatives."
During the year, the company had entered new territories with its subsystems strategy, developed new advanced metering products and implemented cost saving initiatives.