Albuquerque solar manufacturer Array Technologies (NASDAQ: ARRY) will have a new chief executive after an appointment announced ahead of its quarterly investor call Tuesday.
Kevin Hostetler will become Array's CEO on April 18 in addition to joining the company's board of directors. His leadership will follow that of CEO Jim Fusaro.
“Array is a great intersection of my deep experience in engineered products and actuation and my passion for the environment. Array’s innovative products are key to important constituents across the solar industry," Hostetler said in a statement provided by Array Technologies.
Hostetler was previously an executive advisor to private equity firm Wind Point Partners, according to a new release from Array Technologies. He also held leadership positions at IDEX Corp. and spent seven years at energy, medical, air and fluid tech company Ingersoll Rand, according to a Tuesday release.
The news of an executive switch came on the same day Array Technologies posted fourth-quarter and full-year financial results for 2021. The company produces solar tracking systems, which orient solar panels based on the position of the sun.
Array's revenue stood at $219.9 million for the fourth quarter and surpassed $853 million for the year. That said, its revenue was "adversely impacted by approximately $7 million from the shifting of revenue into future periods" due to a restatement of the first, second and third quarters of last year, according to a statement from Fusaro.
In March, the company filed an SEC document stating the three financial reports "should not be relied upon" and that an audit committee of the board of directors "concluded that a material error was made related to the recognition of revenue."
Those errors arose partly from an "incorrect conclusion" regarding the "identification and recognition of performance obligations for customer contracts," the document continues.
According to Fusaro, last year was a difficult one.
"The company recognized slightly higher than expected material costs in the quarter due to changes in our supply chain plan to maintain customer delivery schedules,” according to Fusaro's statements. “Despite a challenging 2021 it is important to re-iterate that the foundation of Array’s growth remains stronger than ever. This is most evident by the fact that we enter 2022 with $1.8 billion in executed contracts and awarded orders," he added.
Array announced Fusaro's plan to retire back in November. The same month, it revealed the acquisition of solar tracker company Soluciones Técnicas Integrales Norland, S.L. for €351,000,000 in cash — roughly $399.6 million as of Nov. 15 — plus 13.9 million shares of Array's common stock. Array announced in January that it completed the acquisition.
For this year, Array expects revenue to be "in the range of" $1.45 billion to $1.75 billion, according to a Tuesday release.
Shares of Array's stock closed at $10.57 on Wednesday.
