Calumet
Calumet Specialty Products Partners, L.P. reported a net loss for the quarter ended December 31, 2014 of $63.5 million, compared to a net loss of $15.5 million for the same quarter in 2013. For the full year 2014, the Partnership reported a net loss of $112.2 million, versus net income of $3.5 million in 2013. Excluding special items, Calumet reported Adjusted net income of $65.5 million, for the fourth quarter 2014, versus an Adjusted net loss of $20.1 million, for the fourth quarter 2013.
The company reported Adjusted EBITDA of $76.4 million in the fourth quarter 2014, versus $53.2 million in the prior year. For the full year 2014, the company generated Adjusted EBITDA of $305.9 million, compared to $241.5 million in 2013. Excluding the special items, Adjusted EBITDA was $136.1 million and $366.8 million in the fourth quarter and full year 2014, respectively, compared to $51.4 million and $235.2 million in the fourth quarter and full year 2013, respectively.
Calumet's specialty products and fuel products segments reported significant growth in Adjusted EBITDA during the fourth quarter 2014, when compared to the prior year period, primarily due to a combination of improved reliability at its key fuels refineries and a significant year-over-year decline in crude oil prices that contributed to improved margins, particularly within the company's specialty products segment. Specialty products gross profit increased 33.2%, or $26.3 million, in the fourth quarter 2014, compared to the fourth quarter 2013. The year over year increase was primarily due to the decreased cost of feedstocks and incremental gross profit generated from the Bel-Ray and United Petroleum acquisitions, partially offset by decreased sales volume, a $0.5 million LCM inventory adjustment and a $6.1 million decreased gain related to the liquidation of LIFO inventory layers.
"Consistently reliable refining operations and elevated specialty products margins contributed to significant growth in Adjusted EBITDA during the fourth quarter 2014, versus the prior year period," stated Bill Grube, Vice Chairman and Chief Executive Officer. "During the first quarter 2015, specialty products margins remain strong, while fuels refining margins are trending higher in the niche, inland markets where we operate. Importantly, each of our key fuels refineries continues to operate on plan, with no major turnarounds scheduled at these refineries until 2018."
Calumet continues to make progress on a project designed to more than double the production capacity of its Louisiana, Missouri esters plant from 35 million pounds per year to an estimated 75 million pounds per year. Calumet expects this project to be completed during the second quarter 2015. Esters are a key base stock used in the aviation, refrigerant and automotive lubricants markets. The current estimated total construction cost of the esters plant expansion is approximately $40.0 million to $45.0 million, while the total estimated annual EBITDA contribution from this project is estimated to be $8.0 million to $12.0 million, the company said.
Nynas
Nynas' full year operating result before non-recurring items amounted to SEK 1,336 (US$160) million compared to SEK 533 million the previous year and net income turned positive again with SEK 279 million compared to a loss of SEK 305 million the previous period.
"2014 has been a good year for Nynas. Following two years with negative results, we managed to turn around our business performance in 2014," commented Gert Wendroth, President and CEO of Nynas.
Fourth quarter net sales increased to SEK 4,985 million compared to SEK 4,711 million mainly due to the positive impact from a weaker Swedish krona. Operating result before depreciation (EBITDA) and excluding non-recurring items reached SEK 345 million compared to SEK 113 million, including unrealized hedge gains of SEK 489 million compared to a loss of SEK 25 million and a write down of the inventory with SEK -219 million.
Full year net sales increased to SEK 22,522 million compared to SEK 19,527 million, positively impacted by increased volumes in bitumen and the exchange rate effect of a weaker Swedish krona. Operating result before depreciation (EBITDA) and excluding non-recurring items increased to SEK 1,336 million compared to SEK 533 million, including unrealized hedge gains of SEK 510 million compared to a loss of SEK 14 million and inventory write downs of SEK -219 million.
Net income was positive with SEK 279 million compared to a loss of SEK 305 million.
