Biotreibstoff-Unternehmen Green Plains: Mehr Umsatz und höhere Produktion
Die untenstehende Meldung ist eine Original-Meldung des Unternehmens. Sie ist nicht von der ECOreporter.de-Redaktion bearbeitet. Die presserechtliche Verantwortlichkeit liegt bei dem meldenden Unternehmen.
Green Plains Reports Third Quarter 2017 Financial Results
- Net income of $34.4 million, or $0.74 per diluted share
- Recognized research and development tax credits totaling $49.5 million, with $40.5 million reported as an income tax benefit and $9.0 million reported as a reduction of operating expenses
- Adjusted net loss of $7.4 million, or $(0.18) per diluted share, from current operations before refinancing expenses of $12.3 million and net research and development tax credits of $49.5 million
- Total company EBITDA of $61.6 million, excluding corporate activity, including $9.0 million of research and development tax credits reported within operations
- Segment EBITDA of $36.0 million, excluding ethanol production and corporate activities
OMAHA, Neb. -- Green Plains Inc. (NASDAQ:GPRE) today announced financial results for the third quarter of 2017. Net income attributable to the company was $34.4 million, or $0.74 per diluted share, for the third quarter of 2017 compared with net income of $7.9 million, or $0.20 per diluted share, for the same period in 2016. Included in the company's third quarter results were expenses related to refinancing and expanding the company's term loan of $12.3 million (cash portion of $2.9 million), and net research and development tax credits ("R&D tax credits") related to qualifying activities totaling $49.5 million. Net loss attributable to the company, excluding these items, net of taxes, was $7.4 million, or $(0.18) per diluted share. Revenues were $901.2 million for the third quarter of 2017 compared with $841.9 million for the same period last year.
"We will continue to flex our production based on market conditions at each individual plant and closely monitor for needed adjustments during the remainder of the fourth quarter and into 2018," commented Todd Becker, president and chief executive officer. "Our food and ingredients, and partnership segments had another strong quarter, led by continued growth in both segments. Our plan remains the same—we will focus on diversification of the platform, while determining optimal ethanol plant operating levels based on market dynamics."
During the third quarter, Green Plains produced 313.6 million gallons of ethanol compared with 292.2 million gallons for the same period in 2016. The consolidated ethanol crush margin was $47.3 million, or $0.15 per gallon, for the third quarter of 2017, including $9.0 million of R&D tax credits, compared with $51.6 million, or $0.17 per gallon, for the same period in 2016. The consolidated ethanol crush margin is the ethanol production segment's operating income before depreciation and amortization, which includes corn oil production, plus intercompany storage, transportation and other fees, net of related expenses.
The company completed an in-depth tax study, covering the periods beginning 2013 through the third quarter of 2017, and concluded it was entitled to certain R&D tax credits. The company recognized these credits during the third quarter of 2017. The company expects the credits to be realized against income tax payments at the state and federal level upon review by the IRS, which the company anticipates will take a year or more.
"We achieved a major milestone this quarter with the new $500 million term loan financing, which gives the company the most simplified term debt structure since inception," Becker added. "In addition, since the 2015 permanent change in the research and development tax credit, we conducted a review of trials and plant improvement projects in our continuous improvement programs for all open tax years with the assistance of our third-party tax advisor, resulting in the credits taken this quarter. These credits are accretive to our shareholders as an adjustment to this year's bottom line."
"Our overall segment EBITDA was approximately $61.6 million for the third quarter of 2017 before corporate costs and was the best quarter this year," Becker continued. "We experienced an improvement in the consolidated crush margin during the third quarter compared with the second quarter of 2017 and we further executed a significant fourth quarter hedging program against our total production capability."
Revenues attributable to the company were $2.7 billion for the nine-month period ended Sept. 30, 2017, compared with $2.5 billion for the same period in 2016. Net income for the nine-month period ended Sept. 30, 2017, was $14.4 million, or $0.48 per diluted share, compared with net loss of $8.0 million, or $(0.21) per diluted share, for the same period in 2016. Excluding the impact of the debt refinancing costs and R&D tax credits, results for the nine-month period ended Sept. 30, 2017, were a net loss of $27.4 million, or $(0.68) per diluted share.
"We remain on track towards our approximately $150 million goal of segment EBITDA for the full year, excluding ethanol production and corporate activities, and continue to look for opportunities to grow each of these businesses," said Becker. "We started to execute on our share repurchase program and ended the quarter with a much stronger cash and liquidity position overall. We also expect our new export terminal in Beaumont, Texas to start operations in November. Export demand remains strong for the products we produce, domestic demand is steady and we expect expanded blends to start gaining traction as more retailers start selling E15, which is now at more than 1,000 stations across 29 states."
- In November 2017, the company anticipates Phase I of the intermodal export and import fuels terminal at Jefferson Gulf Coast Energy Partner's existing Beaumont, Texas terminal to be completed.
- During the third quarter, the company repurchased 335,849 shares of common stock for $5.7 million.
- On Sept. 11, 2017, John Neppl joined the company as chief financial officer of Green Plains and Green Plains Partners, replacing Jerry Peters, who retired. Mr. Peters continues as a member of the board of directors of Green Plains Holdings LLC, the general partner of Green Plains Partners. Mr. Neppl most recently served as chief financial officer of The Gavilon Group, LLC and brings extensive experience in commodity processing and trading businesses.
- On Aug. 29, 2017, Green Plains entered into a $500 million term loan agreement, which matures on August 29, 2023, to refinance $405 million of existing debt. The term loan is secured by substantially all of the company's assets, including 17 ethanol production facilities, vinegar production facilities and a second priority lien on the assets secured under the revolving credit facilities at Green Plains Trade, Green Plains Cattle and Green Plains Grain.
- On July 28, 2017, Green Plains' wholly owned subsidiary, Green Plains Trade, amended its senior secured revolving credit agreement, increasing the maximum commitment from $150 million to $300 million and extending the maturity date from Nov. 26, 2019, to July 28, 2022. The amendment reduces the interest rate spreads, increases inventory advance rates and expands eligible inventory locations and commodities.
Results of Operations
Consolidated revenues increased $59.4 million for the three months ended Sept. 30, 2017, compared with the same period in 2016. Revenues were impacted by increased ethanol volumes sold, plus the additions of Fleischmann's Vinegar during the fourth quarter of 2016 and the cattle feedlots during the first and second quarters of 2017.
Operating income decreased $10.1 million for the three months ended Sept. 30, 2017, compared with the same period last year primarily due to decreased margins on ethanol production, partially offset by the Fleischmann's Vinegar and the cattle feedlot acquisitions. Excluding the impact of $9.0 million of R&D tax credits recorded as a reduction of operating expense, operating income decreased by $19.1 million. Interest expense increased $20.1 million for the three months ended Sept. 30, 2017, compared with the same period in 2016, primarily due to $12.3 million in expense associated with the termination of previous credit facilities, higher average debt outstanding and increased borrowing costs driven by growth in the cattle business and acquisition of Fleischmann's Vinegar. Income tax benefit was $48.8 million, including net R&D tax credits of $40.5 million for the three months ended Sept. 30, 2017, compared with income tax expense of $5.1 million for the same period in 2016.
Earnings before interest, income taxes, depreciation and amortization (EBITDA) for the third quarter of 2017 was $50.4 million (or $41.4 million excluding the impact of $9.0 million of R&D tax credits recognized within operating expense) compared with $49.1 million for the same period last year.
During the fourth quarter of 2016, management restructured its operating segments. The four segments are: (1) ethanol production, which includes ethanol, distillers grains and corn oil production, (2) agribusiness and energy services, which includes grain handling and storage, commodity marketing and merchant trading, (3) food and ingredients, which includes the vinegar, cattle feedlot and food-grade corn oil operations and (4) partnership, which includes fuel storage and transportation services. Intercompany fees charged to the ethanol production segment for storage and logistics services, grain procurement and product sales are included in the partnership, and agribusiness and energy services segments and eliminated upon consolidation. Third party costs of grain consumed and revenues from product sales are reported directly in the ethanol production segment. Prior periods have been reclassified to conform to the revised segment presentation.