Pacific Ethanol, Inc (PEIX) swung to a net profit for the quarter ended Dec. 31, 2016. The company has made a net profit of $13.08 million, or $ 0.30 a share in the quarter, against a net loss of $0.75 million, or $0.03 a share in the last year period. Revenue during the quarter grew 17.24 percent to $441.72 million from $376.76 million in the previous year period. Gross margin for the quarter expanded 352 basis points over the previous year period to 6.04 percent. Total expenses were 95.74 percent of quarterly revenues, down from 99.87 percent for the same period last year. This has led to an improvement of 413 basis points in operating margin to 4.26 percent.
Operating income for the quarter was $18.81 million, compared with $0.48 million in the previous year period.
However, the adjusted EBITDA for the quarter stood at $27.42 million compared with $10.98 million in the prior year period. At the same time, adjusted EBITDA margin improved 329 basis points in the quarter to 6.21 percent from 2.91 percent in the last year period.
Neil Koehler, the company’s president and Chief executive officer, stated: “Our fourth quarter 2016 performance represents a strong close to a very productive year for Pacific Ethanol. We grew net sales by 17% and improved gross profit by $17.2 million compared to the fourth quarter of 2015. These results reflect the benefits of the acquisition and successful integration of our Midwest assets, and the incremental value we have generated through our efforts to optimize all of our plants. In addition, we successfully refinanced our term debt and improved liquidity dur
Working capital increases sharply
Pacific Ethanol, Inc has recorded an increase in the working capital over the last year. It stood at $156.36 million as at Dec. 31, 2016, up 25.05 percent or $31.33 million from $125.03 million on Dec. 31, 2015. Current ratio was at 2.98 as on Dec. 31, 2016, up from 2.71 on Dec. 31, 2015.
Debt comes down
Pacific Ethanol, Inc has recorded a decline in total debt over the last one year. It stood at $199.87 million as on Dec. 31, 2016, down 12.83 percent or $29.43 million from $229.30 million on Dec. 31, 2015. Total debt was 28.22 percent of total assets as on Dec. 31, 2016, compared with 33.96 percent on Dec. 31, 2015. Debt to equity ratio was at 0.48 as on Dec. 31, 2016, down from 0.62 as on Dec. 31, 2015. Interest coverage ratio improved to 3.26 for the quarter from 0.09 for the same period last year. 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]
