Active Power reported fourth quarter results with revenue of $16.2 million, a 30 percent increase from the third quarter and an increase of 59 percent from the fourth quarter in 2007.

Full year revenue reached $43.0 million up 28 percent for the year.

Fourth quarter losses fell to $431,000 compared to a loss of $4.1 million in Q3 and $5.9 million for the same period in 2007.

Full year losses were $13.4 million, or 22 cents per share down from a net loss of $20.5 million in 2007.

"We are pleased to have accomplished these significant financial and operational milestones," said Jim Clishem, president and CEO, Active Power. "We have been working diligently to achieve quarterly operating profitability and have achieved positive adjusted EBITDA for the first time in our history. We reached this goal through a focused strategy designed to grow the top line while reducing expenses. Active Power's space and power efficient systems deliver savings in a way unmatched by our competition. Our focus will remain on preserving cash and improving our own operational efficiencies and operating profitability. Despite a challenging economic outlook ahead, we believe that we will continue to grow market share as clients focus now more than ever on improving efficiency and reducing operating expenses."

In the fourth quarter, Active Power reported a record gross profit margin of 32 percent. This compares to a 9 percent gross profit margin in the prior quarter and a negative gross profit margin of 2 percent in fourth quarter 2007. For the full year, Active Power reported a gross profit margin of 19 percent compared to 10 percent in 2007.

Cash and investments declined $0.6 million during the quarter compared to a decrease of $2.4 million in the previous quarter and a decrease of $0.3 million in fourth quarter 2007. Cash and investments at Dec. 31, 2008, were $11.2 million.

The company said first quarter 2009 revenues would be between $11 million and $14 million.

Active Power provides the power for Sun's Modular containerised data center.