Calumet Specialty Products Partners, L.P. last Wednesday reported net income for the quarter ended December 31, 2012 of $45.7 million compared to $26.9 million for the same quarter in 2011. These results include $7.6 million of noncash unrealized derivative gains as compared to $13.5 million of noncash unrealized derivative gains in the fourth quarter of 2011. For the year ended December 31, 2012, Calumet reported net income of $205.7 million compared to net income of $43.0 million in 2011. Fiscal year 2012 results include $3.8 million of noncash unrealized derivative losses as compared to both $10.4 million of noncash unrealized derivative losses and $15.1 million of debt extinguishment costs ($14.4 million of which were noncash) in 2011.

Adjusted EBITDA was $91.3 million for the quarter ended December 31, 2012 as compared to $65.0 million for the same quarter in 2011. Distributable Cash Flow for the quarter ended December 31, 2012 was $54.6 million compared to $33.1 million for the same quarter in 2011. The $26.3 million increase in Adjusted EBITDA quarter over quarter was primarily due to a $61.6 million increase in gross profit partially offset by an $18.8 million increase in total in selling and general and administrative expenses ($6.3 million of which was noncash amortization expense) and an $8.9 million increase in realized derivative losses. Adjusted EBITDA resulting from acquisitions consummated in 2012 was $10.1 million for the quarter, while Calumet's legacy assets generated increased Adjusted EBITDA of $16.2 million quarter over quarter.

"Our fourth quarter results reflect an increase in gross profit as compared to the prior year period from both our legacy business and from our acquisitions completed in 2012. We continue to benefit from the Canadian heavy crude oil differentials at both our Superior and Montana refineries. Also, we have started to increase the supply of Bakken crude oil to our Shreveport refinery," said Bill Grube, Calumet's Chief Executive Officer. "We are pleased to add the San Antonio refinery and its employees to Calumet starting in the first quarter of 2013. This acquisition further diversifies our niche refining portfolio," added Grube.

Net income for the quarter ended December 31, 2012 increased $18.9 million quarter over quarter primarily due to a $61.6 million increase in gross profit, as discussed below, partially offset by a $10.9 million increase in selling expenses ($6.3 million of which was noncash amortization expense), a $7.9 million increase in general and administrative expenses, a $6.2 million increase in interest expense and an $8.9 million increase in realized derivative losses. Included in general and administrative expenses were $3.5 million of nonrecurring professional fees related to acquisition activities.

A decrease in specialty products segment gross profit of $1.7 million, or 2.6%, quarter over quarter was due primarily to a decrease in sales volumes for solvents and waxes as well as a decrease in the average sales price per barrel (excluding the impact of our 2012 acquisitions) of lubricating oils, which declined more than the average cost of crude oil. These reductions to gross profit were substantially offset by the additional gross profit generated from our 2012 acquisitions.

Specialty products segment sequential gross profit declined $27.6 million, or 30.5%, from the previous 2012 quarter, due primarily to a 10.4% decrease in sales volumes as well as a decrease in the average sales price per barrel of lubricating oils, which declined more than the average cost of crude oil, and less favorable product mix.

The increase in specialty products segment gross profit of $50.0 million full year over year was due primarily to increased gross profit from newly acquired operations of $16.3 million and an increase in lubricating oils sales volume.

French oil company Total SA reported last Wednesday that net income increased 4% in the fourth quarter 2012 to €2.381 billion ($3.1 billion) from to €2.290 in the same quarter of 2011. Sequentially, the €2.381 billion fourth quarter 2012 net income decreased from €3.066 in the third quarter 2012.

Total's profits fell over the full year, down 13 percent to €10.694 billion from €12.276 billion in 2011, much due to the costs of plugging a gas leak in the Elgin field in the North Sea and losses in its shale gas venture with Barnett Shale in the United States..

Chairman and CEO Christophe de Margerie said "In 2012, Total again delivered solid performance with net income of 12.4 billion euros and reinforced its strong financial position. The environment remained favorable in the Upstream , with Brent prices above $110 per barrel and, in the Downstream refining margins benefited from a temporary rebound at mid-year".