NTR's Green Plains Renewable Energy, Inc. Reports First Quarter 2010 Financial Results
- Net income of $15.6 million
- Diluted EPS of $0.58
NTR’s investment in the bio-ethanol sector, Green Plains Renewable Energy, Inc. (NASDAQ: GPRE) announced its financial results for the first quarter of 2010. Net income attributable to Green Plains was $15.6 million, or $0.58 per diluted share, compared to a net loss of $9.3 million, or $(0.38) per share, for the same period of 2009. Revenues were $426.5 million for the first quarter of 2010, compared to revenues of $221.1 million for the same period in 2009.
“The financial results for the quarter demonstrate the benefits of our risk management strategy and our focus on operational excellence,” said Todd Becker, President and Chief Executive Officer. “We produced 124.3 million gallons of ethanol, which is above our expected operating capacity, as a result of our continuous improvement process to increase ethanol production. We expect to see higher production and efficiency levels going forward.”
“Although ethanol margins compressed during the first quarter, operating income for our ethanol production segment exceeded fourth quarter levels as a result of our risk management philosophy of locking in forward margins when possible,” commented Becker. “This strategy has provided a core level of profitability this quarter to position us for a solid start in 2010. Recently, margins have expanded from the lows experienced late in the first quarter and we believe they should continue to improve as the summer driving season begins. We also expect passage of the proposed E15 waiver would have a positive impact on demand for the rest of the year.”
EBITDA, which is defined as earnings before interest, income taxes, noncontrolling interests, depreciation and amortization, was $33.2 million for the quarter ended March 31, 2010, compared with $(0.6) million for the same period in 2009. Green Plains had available liquidity of $228.8 million, including $190.1 million total cash and equivalents, and $38.7 million available under committed loan agreements (subject to satisfaction of specified lending conditions and covenants) at March 31, 2010.
“We continue to look for opportunities to grow our business in 2010,” Becker added. “With the successful completion of our stock offering, we have the capital to take advantage of current market conditions and expand our diversified platform. We are seeking further opportunities to add to our ethanol production segment and our agribusiness operations.”
2010 Business Highlights
- On March 10, 2010, the Company completed the sale of 6,325,000 shares priced at $13.50 with net proceeds of $79.8 million after discounts and offering expenses. Green Plains intends to use the proceeds for general corporate purposes and to acquire or invest in additional facilities, assets or technologies consistent with its growth strategy.
- On April 22, 2010, Green Plains completed the acquisitions of five grain elevators in western Tennessee with federally licensed grain storage capacity of 11.7 million bushels, increasing existing storage capacity of the agribusiness segment by 63% to 30.3 million bushels. All of the grain elevators are located within 50 miles of the Company’s Obion, Tennessee ethanol production facility.
- Upon closing of the Tennessee grain elevator acquisitions, certain agribusiness subsidiaries entered into an amended and restated credit agreement of $85 million. The credit facility was used to partially fund the purchase of the Tennessee assets, provide working capital for the acquired operations, refinance an existing agribusiness term loan, and refinance and expand an existing agribusiness working capital facility.
Ends
About NTR plc
NTR plc, the international renewable energy group, builds and runs green energy and resource-sustaining businesses. Founded in 1978, NTR has evolved from being a developer and operator of infrastructure in Ireland to an international developer and operator of renewable energy (wind, solar and ethanol) and sustainable waste management businesses in the USA, UK, and Ireland. The Group employs over 4,100 people.
www.ntrplc.com
About Green Plains Renewable Energy, Inc.
Green Plains Renewable Energy, Inc. (NASDAQ: GPRE) is North America’s fourth largest ethanol producer, operating a total of six ethanol plants in Indiana, Iowa, Nebraska and Tennessee with annual expected operating capacity totaling approximately 480 million gallons. Green Plains also markets and distributes ethanol for four third-party ethanol producers with annual expected operating capacity totaling approximately 360 million gallons. Green Plains owns 51% of Blendstar, LLC, a biofuel terminal operator which operates nine blending or terminaling facilities with approximately 495 million gallons per year of total throughput capacity in seven states in the south central United States. Green Plains operates grain storage facilities and complementary agronomy and petroleum businesses in northern Iowa and southern Minnesota.
www.gpreinc.com