BioFuel Energy Corp.: Fourth quarter and year end 2010 results
Denver - BioFuel Energy Corp. (Nasdaq:BIOF - News), an ethanol production company, today announced its fourth quarter and year end 2010 results. For the year ended December 31, 2010, the net loss was $25.2 million on revenues of $453.4 million, compared with a net loss of $19.7 million on revenues of $415.5 million for the year ended December 31, 2009. For the quarter ended December 31, 2010, the net loss was $1.1 million on revenues of $141.4 million, compared with net income of $8.8 million on revenues of $120.4 million in the year-ago quarter. For the year ended December 31, 2010, the net loss attributable to common shareholders was $20.0 million, or $.79 per share, while for the fourth quarter the net loss attributable to common shareholders was $1.0 million, or $.04 per share.
For the full year 2010, the Company's operating loss was $13.6 million, which resulted from $454.6 million in cost of goods sold, including $323.9 million for corn, and $12.4 million in general and administrative expenses. During the year the Company had $11.6 million in interest expense which resulted in a net loss of $25.2 million. Operating income for the fourth quarter 2010 was $2.5 million, which resulted from $136.3 million in cost of goods sold, including $104.8 million for corn, and $2.6 million in general and administrative expenses. The Company also had $3.5 million of interest expense in the fourth quarter, which resulted in a net loss of $1.1 million.
Scott H. Pearce, the Company's President and Chief Executive Officer, stated: "During the quarter we launched the rights offering at the end of December, which successfully closed in early February and improved our balance sheet. While we are disappointed with our net loss for the year, we think our entire operations team can be proud of showing significant improvement in driving out operating costs over the course of the year."
At December 31, 2010, the Company had $189.4 million in term loans outstanding under its senior debt facility, $20.0 million borrowed under its bridge loan facility, and $21.4 million borrowed under its subordinated debt facility. At December 31, 2010, the Company held $7.4 million of cash and equivalents and equity totaled $54.4 million, including $0.3 million of noncontrolling interest. As previously announced, the Company completed its rights offering and concurrent LLC private placement on February 4, 2011, which generated aggregate gross proceeds of $46.0 million. The Company used the proceeds to repay in full its bridge loan facility and subordinated debt facility and to make certain other payments.
The Company plans to host a conference call on Tuesday, March 29, 2011 beginning at 1:00 p.m. (EDT) to discuss the results. To participate, please dial (800) 944-8766. The participant code for the call is 13119. Approximately 90 minutes following the call, a phone playback will be available for 30 days by dialing (866) 281-6782. The access code for the replay is 153871.
This release contains certain forward-looking statements within the meaning of the Federal securities laws. Such statements are based on management's current expectations, estimates and projections, which are subject to a wide range of uncertainties and business risks. Forward-looking statements should not be read as a guarantee of future performance or results, and will not necessarily be accurate indications of whether, or the times by which, our performance or results may be achieved. Factors that could cause actual results to differ from those anticipated are discussed in our Exchange Act filings and our Annual Report on Form 10-K.
BioFuel Energy currently has two 110 million gallons per year ethanol plants in the Midwestern corn belt. The Company's goal is to become a leading ethanol producer in the United States by acquiring, developing, owning and operating ethanol production facilities.
Kelly G. Maguire
For more information:
Executive Vice President &
Chief Financial Officer
BioFuel Energy Corp.
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(a) Includes common shares and Class B common shares, net of 809,606 shares held in treasury.