Pacific Ethanol, Inc., a producer and marketer of low-carbon renewable fuels and high-quality alcohol products in the United States, reported its financial results for the three and nine months ended September 30, 2019.
"Positive ethanol production margins in the current market are supporting our efforts to conclude several strategic initiatives to strengthen our balance sheet and position the company to benefit from increased demand for low carbon, high octane ethanol," says Neil Koehler, Pacific Ethanol’s president and CEO. "We are confident that the final rule for the 2020 Renewable Fuel Standard blending requirements will result in greater ethanol use in the domestic market, and resolution of trade disputes will bolster export demand, putting our company and the industry back on a growth trajectory."
Financial Results for the Three Months Ended September 30, 2019 Compared to 2018
- Net sales were $365.2 million, compared to $370.4 million.
- Total gallons sold of 210.3 million, compared to 212.2 million.
- Total production gallons sold of 130.1 million, compared to 139.9 million.
- Cost of goods sold was $380.0 million, compared to $366.6 million.
- Gross loss was $14.8 million, compared to gross profit of $3.8 million.
- Selling, general and administrative expenses were $8.7 million, compared to $9.0 million.
- Operating loss was $23.5 million, compared to $5.2 million.
- Loss available to common stockholders was $27.6 million, or $0.58 per share, compared to a loss of $7.8 million, or $0.18 per share.
- Adjusted EBITDA of negative $12.4 million, compared to positive $6.3 million.
- Cash and cash equivalents were $18.9 million at September 30, 2019, compared to $26.6 million at December 31, 2018.
Financial Results for the Nine Months Ended September 30, 2019 Compared to 2018
- Net sales were $1.1 billion, compared to $1.2 billion.
- Cost of goods sold was $1.1 billion, compared to $1.2 billion.
- Gross loss was $13.1 million, compared to a gross profit of $5.9 million.
- Selling, general and administrative expenses were $23.6 million, compared to $27.2 million.
- Operating loss was $36.8 million, compared to $21.3 million.
- Loss available to common stockholders was $48.8 million, or $1.04 per share, compared to a loss of $29.2 million, or $0.68 per share.
- Adjusted EBITDA of negative $3.6 million, compared to positive $12.9 million.
