Ascent Solar Technologies Analysis - Coursework Example

Table of contents Executive summary……………………………………………………………………........…2 History and background 3 Products and services 6 Accounting practices used 8 Financial Summary 10 Work cited 13 Executive summary Ascent Solar Technologies focus on its potency, customers, and the underlying value in increasing the sales. This has seen the company able to raise revenue hence the flourishing marginal sales, cash management, and working capital. The company model of business success is attributed in the renewed vision, strategic focus, and value addition on the objective market segment. The company has been able to establish a plan for improving sales, revenue, and profitability. The company strives to guarantee their clients that the services are ever improving. Globalization and the dynamic business environment have forced the company meets the consumer needs in order to edge competition. The services offered by the company helps in providing customers with quality services that improve and ease work. A step by step plan comprises the summary, products and services, focus on the market segment, forecasts on an action plan and financial management. Our unique feature of addressing the needs of the customers has propelled the company to a leader in Information Technology industry in the region. History and Background Ascent Solar Technologies is a public company that trades on solar energy company with its location in Thornton Colorado. Its main product is a thin-film photovoltaic material on a plastic substrate, which is flexible. ITN Energy founded ascent solar in October 2005 from a company called spinout. Earlier in 1996 ITN founded global solar to manufacture flexible CIGS, which is a thin-film technology have steel substance. This was the foundation of coming up with Ascent Solar thin film. Notably, a CIGS technology on plastic substrates is the product produced by this company using flexible plastic in producing thin-film. Ascent n Mistra started Solar Technologies and ITN Energy systems, Inc. in 2005. The technology behind Ascent solar is the thin-film solar modules, which are manufactured using copper indium gallium (di) selenide (CIGS), which has 19.5% efficiency in real world conditions, What makes it unique is its relative size, flexibility and weight which gives it the greatest weight ratio and power density compared to other photovoltaic products significantly. It has been put into context where size or weight of solar had made this power impracticable: e.g. airplanes, cell phones, space programs, consumer electronics and unmanned vehicles. It was recognised as the 100 Most Innovative Technologies by R&D Magazine for 2010 and 50 Best Inventions by Time Magazine of 2011. Ascent Technologies have teamed up with a range of other companies that have enabled it to enter into the manufacturing for its products. Companies like TFG radiant, which plays a key role of integrating these materials into the range of building and construction materials. In addition, Foxconn is currently manufacturing the iPhone 5 and Bye Aerospace for unmanned aircraft powered by solar. Arguably, Bye Aerospace has begun production of solar powered battery cases for Samsung Galaxy and iPhone smartphones under the name Enerplex. This has resulted to 328% increases in stock value. Enerplex products are made to utilise Ascent solar CIGS solar technology, which is a leading edge to bring solutions to unprecedented and remote places concerning solar charging. The panels in Enerplex products are integrated on a plastic substrate making it rugged, flexible and lightweight providing limitless possibilities for innovation. This offers great solutions to all global citizens for the greater good of turning on lights or saving energy in the world. Ascent solar has had a great history in establishing itself in the corporate sector, after being founded in 2005 it engaged in commercializing its emerging technologies in the energy sector through joint ventures and spin-offs. Its primary focus during its first years was to research on thin-film technology and how it could be manufactured efficiently. Its focus currently is majorly on the production since it is on the leading edge in terms of the efficiency of its technology significantly compared to other players in the photovoltaic sector. It is planning to enter into production with a roll-to-toll production plant, which is to be constructed. Company profile Since its inception, the Ascent solar Company Limited has been a mantra in the Information Technology and consultancy. The company provides exceptional customer value and innovative services that are above reproach. The company has invested heavily on qualified employees who give the client value for their money. The customers are able to trust the company due to its resources, knowledge, and expertise in increasing lasting value to their needs. Moreso, the regional presence of the company has given us insights to practices. This is critical in reducing the operational costs whilst providing superior services to the customers. Ascent solar Company Limited offers cost-effective support that augment asset value and increase returns to stakeholders. This helps in funding managers, clients, and software developers by the blend of established global and local practices. The company upholds high principles of excellence and integrity in international Information Technology organization, transactional and consultative services. This has created the repute for inflexible professionalism by providing par excellence service to the clients. The company has been able to understand the need of the clients and tailor an approach of collaborating with clients. The company foundational beliefs are coined on high ethical principles, reverence for individuals, and an appreciation for long-standing dealings, environment awareness and an obligation to the communities. The company has built strong trust with the customers since innovation alone is not an assurance to future success. There has been a need to respect customers and deliver on our commitments since this is an eye on tomorrows potential. The company will approach their customer and involve them in decision-making. Notably, we consider professionalism, honesty, faults, and hindrances as springboard to success. Mission and vision statement The expansion in the scope of the market for the services offered by the company changed the company plan and strategy. The company reflects on contracting outsourcing, employee expertise and support services. The company aims at reducing working costs, cut of fixed expenses, and fixing prevalent staff tribulations such as under performance and malingering. In addition, Ascent Company will work on enabling the customer gain access to excellent and trained staff to proffer strongly, dependable, and flexible service. The strategy of the company is to be a leading provider of the Information Technology services by providing considerable and exceptional value to customers, as well as, consumer satisfaction. Conversely, the Company vision is to empower customers by delivering frontier and support capabilities. The company coins its vision on principles of innovation, dependability, accountability, and flexibility. Products and Services Ascent solar Company Limited has always strived to guarantee customers are satisfied by offering quality services at affordable prices. Providing customers value for their money has been the motivation for the company. The company at all times make sure that the business environment is friendly by caring to clients facility. Meeting the clients needs is the objective of the company since its inception. Globalization and connectivity of the world is evident today and the business needs to change. Additionally, the provide assurance to our customers of reliability, consistency, and confidence. Moreover, we deliver assurance that middle level enterprises are not affected by the inventions of information technology. The services that they offer make the customers have essential needs for business operation. They increase efficiency, reliability of workplace, comfort at homes and confidence. The company serve customers as reliable partners, providing them with the reliability needed for business operation The company is striving to provide par excellent service to their customers at an affordable cost. The essence is to ensure that they offer services that are worth the value of money, as well as, reducing risks. The pursuit of profit seems to the driving force behind the operations of many firms; arguably, this strains organizations to compromise their principles. For instance, rude and unprofessional manager might be tolerated in the organization as long as they enable the firm to make huge profits. The products and services offered by Ascent solar Limited has received a warm reception in Europe and Africa will not be an exception. For a short time, the company has been able to develop products that have provided solution to the clients problems. Ascent solar Limited products have been delivered to too many countries. They have proved to be exceptional. The innovativeness has enabled the company to develop quality and unique products and services. The company has developed cost effective products; therefore, cases of under pricing or over pricing should not be of concern. Ascent solar has a competent workforce and management team able to set up prices that befit the market. Notably, the company develops customized products that attract premium prices. This will help build confidence since customers will get product worth the money Ascent Solar Technologies, Inc is known for developing thin-film photovoltaic modules, which are affordable and flexible in the market. Emphasis on green environment plays a critical role in the success of the company. The company uses green technology in developing products that can be integrated into the space applications, commercial transportation, consumer electronics, and automotive solutions. The company leverages the market in the provision of green technology products. These products enhance efficiency, flexibility, and it is affordable to all people. Moreover, the ability of the company products to integrate in many components plays a critical role in the success of the company. Featured products WaveSol This flexible, mobile, and thin film module is produced for connecting electronic devices to consumer products. Notably, these products are manufactured using ultra-thin plastic substances. This substrate is critical in enhancing flexibility for easy integration to all kinds of plastics and fabrics. Moreover, this technology is critical in providing power space to space shuttle than any other available products in the market. WaveSol Defence Application These products are created to increase efficiency in the military operation by enabling easy movement and assembling. This product enables defence integrators to develop lightweight and durable military equipment. Moreover, these products help in developing equipments that rely to solar and efficient in energy consumption. Accounting Practices The accounting practices used are based on recognised international standards of accounting policies. Cash equivalents: The Company classified all investment, which are short-term in bank accounts, which are interest bearing and debt securities, which are highly liquid and were purchased with original maturity of less than three months or exactly 3months to be cash equivalents. Cash balances, which may be exceeding federally insured limits, the company believes that this is not a credit risk. Restricted Cash: Ascent solar technologies Inc. classified all cash items as restricted cash so long as they a legally restricted to withdrawal or usage. When such funds are used to liquidate long-term liabilities or to acquire non-current assets. They classified them as long-term in the balance sheets. Moreover, the funds that they restricted for the payment of interest, other current liabilities and current maturities of debt were classified as current. Investments: Ascent solar Tech Inc. classified all its investments as available for sale. They were carried as fair value based on quoted market price. While the losses and unrealized holding gains were reported as other comprehensive income in other words losses during the statement of operations and losses. This specified identification method was used in the computation of realized gains and losses on sale of securities his made the company typically invest in securities with low probabilities of failure. The company also evaluates the fall in market value, which can be a potential of impairment. If the fall results in costs above the value and is regarded not temporary, the investment become written to its impaired value, which leads to a new cost basis establishment. Fair Value Estimates; which is defined as the exchange price received for an asset or paid to transfer a an exit price in the most advantageous market, The company used fair value based on levels of input, these three levels of inputs which the first two are observable and the last regarded as unobservable to measure fair value. The ascent solar Inc. is a party to several agreements, the company has mergers with other companies including a Joint Development, a services Agreement with TFG Radiant Investment Group limited, contract manufacturing Agreement and supply agreement. All this transactions are under the defined accounting policies. Foreign Currencies: the companys account balances held in foreign currencies are converted to US dollars according the exchange rate and utilising that period. Losses and gains incurred with the connection of currencies in foreign state are recorded in "other incomes or expenses on the comprehensive income or loss and the statement of operation Financial Summary Ascent solar technology Inc. has a diverse field of financial operations; its revenue recognition is based on product revenue and Government revenues. Notably, the revenues on products are generated from the sales of PV integrated consumer electronics and flexible PV models. The distribution channel is based on companys website and through online distributors and retailers. Revenue is also generated from government research and development contracts. Sometimes if the actual and estimated costs of completing a contract indicate a loss this stipulates for a provision, which is made for the anticipated loss resulting from the company Inventory: all the inventories of this company are stated on the lower market cost is determined using the weighted average approach. Inventory does not include the overhead allocation, labor since this company is in development stages. Financial Summary Ascent solar technology Inc. has a diverse field of financial operations; its revenue recognition is based on product revenue and Government revenues. Product revenues are generated from the sales of PV integrated consumer electronics and flexible PV models. Products of the company are sold on company’s website and through online distributors and retailers. Revenue is also generated from government research and development contracts. Sometimes if the actual and estimated costs of completing a contract indicate a loss this stipulates for a provision, which is made for the anticipated loss resulting from the contract. The cash flow of the company are as follows since the year 2011 to 2013. Period Ending Dec 31, 2013 Dec 31, 2012 Dec 31, 2011 Net Income (30,131) (28,769) (105,743) Operating Activities, Cash Flows Provided By Depreciation 6,226   6,166   7,542   Adjustments To Net Income 1,747   4,908   80,012   Changes In Accounts Receivables 217   (354) 145   Changes In Liabilities 2,232   (84) (1,431) Changes In Inventories 272   310   (592) Changes In Other Operating Activities (912) 163   134   Total Cash Flow From Operating Activities (20,350) (17,662) (19,931) Investing Activities, Cash Flows Provided By Capital Expenditures (520) (6,267) (9,682) Investments -   12,615   4,872   Other Cash flows from Investing Activities (414) 1,215   1,772   Total Cash Flows From Investing Activities (934) 7,563   (3,038) Financing Activities, Cash Flows Provided By Dividends Paid -   -   -   Sale Purchase of Stock 12,245   12,069   7,548   Net Borrowings (265) (648) (582) Other Cash Flows from Financing Activities -   -   -   Total Cash Flows From Financing Activities 11,980   11,421   6,965   Effect Of Exchange Rate Changes -   -   -   Change In Cash and Cash Equivalents (9,303) 1,323   (16,004) The income statement of Ascent technologies provides the financial income summary of the year ending 31 December 2011 to 31 December 2013 which reflects the current state of the company finance in comparison with the past. Period Ending Dec 31, 2013 Dec 31, 2012 Dec 31, 2011 Total Revenue 1,316   1,197   3,950   Cost of Revenue -   -   -   Gross Profit 1,316   1,197   3,950   Operating Expenses Research Development 21,343   20,729   24,122   Selling General and Administrative 7,391   5,008   7,131   Non Recurring 822   3,402   78,000   Others -   -   -   Total Operating Expenses -   -   -   Operating Income or Loss (28,239) (27,941) (105,302) Income from Continuing Operations Total Other Income/Expenses Net (1,892) (828) (440) Earnings Before Interest And Taxes (30,131) (28,769) (105,743) Interest Expense -   -   -   Income Before Tax (30,131) (28,769) (105,743) Income Tax Expense -   -   -   Minority Interest -   -   -   Net Income From Continuing Ops (30,131) (28,769) (105,743) Non-recurring Events Discontinued Operations -   -   -   Extraordinary Items -   -   -   Effect Of Accounting Changes -   -   -   Other Items -   -   -   Net Income (30,131) (28,769) (105,743) Preferred Stock And Other Adjustments (5,936) -   -   Net Income Applicable To Common Shares (36,067) (28,769) (105,743) Work cited Cook, Rupert. Selling Your Technology Company for Maximum Value: A Comprehensive Guide for Entrepreneurs. New York: Harriman House Limited, 2011. Rosenberg, Seymour L. The New Technology Company: Surviving Infancy; an Evaluation of Perceived Success/failure Factors with the Objective of Finding Approaches which May Assist the New Technology Company to Survive Infancy. Bradford: University of Bradford, 2010. Read More