Cheniere Energy (LNG) swung to a net profit for the quarter ended Mar. 31, 2017. The company has made a net profit of $54 million, or $ 0.23 a share in the quarter, against a net loss of $321 million, or $1.41 a share in the last year period.
Revenue during the quarter surged 1,655.07 percent to $1,211 million from $69 million in the previous year period. Gross margin for the quarter contracted 2979 basis points over the previous year period to 48.47 percent.
Operating income for the quarter was $376 million, compared with an operating loss of $91 million in the previous year period.
However, the adjusted EBITDA for the quarter stood at $483 million compared to negative $45 million in the prior year second quarter. At the same time, adjusted EBITDA margin stood at 39.88 percent for the quarter compared to negative 65.22 percent in the last year period.
"Today, I am pleased to announce strong first quarter 2017 earnings, which are underpinned by excellent execution by our Cheniere professionals and LNG sales under our long-term customer contracts," said Jack Fusco, Cheniere's president and chief executive officer. "Train 3 of the SPL Project achieved substantial completion during the quarter, and we commenced commissioning activities on Train 4. We have now safely and efficiently placed three trains into commercial operation in less than a year, and we expect to have Train 4 complete during the second half of 2017.
Working capital turns positiveWorking capital of Cheniere Energy has turned positive to $1,548 million on Mar. 31, 2017 from negative $622.51 million on Mar. 31, 2016. Current ratio was at 2.78 as on Mar. 31, 2017, up from 0.76 on Mar. 31, 2016. Cash conversion cycle (CCC) has increased to 14 days for the quarter from 7 days for the last year period. Days sales outstanding went down to 11 days for the quarter compared with 20 days for the same period last year.
Days inventory outstanding has decreased to 8 days for the quarter compared with 150 days for the previous year period. At the same time, days payable outstanding went down to 6 days for the quarter from 177 for the same period last year.
Debt increases substantiallyCheniere Energy has witnessed an increase in total debt over the last one year. It stood at $24,112 million as on Mar. 31, 2017, up 32.97 percent or $5,978.58 million from $18,133.42 million on Mar. 31, 2016. Total debt was 92.54 percent of total assets as on Mar. 31, 2017, compared with 88.75 percent on Mar. 31, 2016. Debt to equity ratio was at 24.23 as on Mar. 31, 2017, up from 15.05 as on Mar. 31, 2016. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: [email protected]
