Attached files
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| 8-K - CURRENT REPORT - AEMETIS, INC | amtx_8k.htm |
Exhibit 99.1
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External Investor Relations Contact:
Kirin Smith
PCG Advisory Group
(646) 863-6519
ksmith@pcgadvisory.com
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Investor Relations/
Media Contact:
Todd
Waltz
(408) 213-0940
investors@aemetis.com
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Aemetis, Inc. Reports Third Quarter 2018 Financial
Results
CUPERTINO, Calif. – November 7, 2018 - Aemetis, Inc.
(NASDAQ: AMTX), an advanced renewable
fuels and biochemicals company, today announced its financial
results for the three and nine months ended September 30,
2018.
During the third quarter of 2018, revenues increased $5.7 million
compared to the third quarter of 2017.
“Aemetis continues to make solid progress towards producing
below zero carbon, low cost, advanced biofuels,” stated Eric
McAfee, Chairman and CEO of Aemetis, Inc. “Revenue increased
$5.7 million and ethanol volumes increased 8.4% over the third
quarter of 2017, while gross profit improved by
36%.”
Today, Aemetis will host an earnings review call at 11:00 am
Pacific Time. For details on the call, visit: http://www.aemetis.com/investors/conference-call/
Financial Results for the Three Months Ended September 30,
2018
Revenues were $44.6 million for the third quarter of 2018, an
increase of $5.7 million compared to $38.9
million for the
third quarter of 2017. The increase in revenues was driven by an
increase in ethanol sales volume to 16.7 million gallons from 15.4
million gallons during the third quarter of 2017, by stronger
average selling prices of wet distillers grain, and stronger demand
for India biodiesel. The increase in revenues translated to higher
gross profit of $2.7 million for the third quarter of 2018,
compared to gross profit of $2.0 million during the third quarter
of 2017.
Selling, general and administrative expenses were $3.9 million in
the third quarter of 2018, compared to $3.2 million in the third
quarter of 2017.
Operating loss decreased to $1.3 million for the third quarter of
2018, compared to an operating loss of $3.1 million for the third
quarter of 2017.
Net loss was $6.6 million for the third quarter of 2018, an
improvement compared to a net loss of $8.2 million for the third
quarter of 2017.
Interest expense during the third quarter of 2018 was $5.4 million,
compared to interest expense of $5.1 million during the third
quarter of 2017.
Financial Results for the Nine Months Ended September 30,
2018
Revenues were $132.7 million for the first nine months of 2018, an
increase of $21.4 million compared to $111.3 million for the first
nine months of 2017. The increase in revenues was driven by an
increase in ethanol sales volume from 44.5 million gallons to 49.1
million gallons, by stronger average selling prices of wet
distillers grain and stronger demand for India biodiesel. The
increase in revenues translated to higher gross profit of $7.3
million for the first nine months of 2018, compared to gross profit
of $3.1 million during the first nine months of 2017.
Selling, general and administrative expenses were $11.3 million
during the first nine months of 2018, compared to $9.7 million
during the first nine months of 2017.
Operating loss improved to $4.2 million for the first nine months
of 2018, compared to operating loss of $8.7 million for first nine
months of 2017.
Net loss was $24.0 million for the first nine months of 2018,
compared to a net loss of $22.7 million during the first nine
months of 2017.
Interest expense was $19.8 million during the first nine months of
2018, compared to interest expense of $14.0 million during the
first nine months of 2017.
About Aemetis
Headquartered in Cupertino, California, Aemetis is an advanced
renewable fuels and biochemicals company focused on the
acquisition, development and commercialization of innovative
technologies that replace traditional petroleum-based products
through the conversion of ethanol and biodiesel plants into
advanced biorefineries. Founded in 2006, Aemetis owns and operates
a 60 million gallon per year ethanol production facility in the
California Central Valley near Modesto. Aemetis also owns and
operates a 50 million gallon per year renewable chemical and
advanced fuel production facility on the East Coast of India
producing high quality distilled biodiesel and refined glycerin for
customers in India and Europe. Aemetis holds a portfolio of patents
and related technology licenses for the production of renewable
fuels and biochemicals. For additional information about Aemetis,
please visit www.aemetis.com.
NON-GAAP FINANCIAL INFORMATION
We have provided non-GAAP measures as a supplement to financial
results based on GAAP. A reconciliation of the non-GAAP measures to
the most directly comparable GAAP measures is included in the
accompanying supplemental data. Adjusted EBITDA is
defined as net income/(loss) plus (to the extent deducted in
calculating such net income) interest expense, loss on
extinguishment, income tax expense, intangible and other
amortization expense, depreciation expense and share-based
compensation expense.
Adjusted EBITDA is not calculated in accordance with GAAP and
should not be considered as an alternative to net income/(loss),
operating income or any other performance measures derived in
accordance with GAAP or to cash flows from operating, investing or
financing activities as an indicator of cash flows or as a measure
of liquidity. Adjusted EBITDA is presented solely as a supplemental
disclosure because management believes that it is a useful
performance measure that is widely used within the industry in
which we operate. In addition, management uses Adjusted EBITDA for
reviewing financial results and for budgeting and planning
purposes. EBITDA measures are not calculated in the same manner by
all companies and, accordingly, may not be an appropriate measure
for comparison between companies.
Safe Harbor Statement
This news release contains forward-looking statements, including
statements regarding our assumptions, projections, expectations,
targets, intentions or beliefs about future events or other
statements that are not historical facts. Forward-looking
statements in this news release include, without limitation,
expectations for the development of our cellulosic ethanol business
in North America. Words or phrases such as
“anticipates,” “may,” “will,”
“should,” “believes,”
“estimates,” “expects,”
“intends,” “plans,” “predicts,”
“projects,” “showing signs,”
“targets,” “view,” “will likely
result,” “will continue” or similar expressions
are intended to identify forward-looking statements. These
forward-looking statements are based on current assumptions and
predictions and are subject to numerous risks and uncertainties.
Actual results or events could differ materially from those set
forth or implied by such forward-looking statements and related
assumptions due to certain factors, including, without limitation,
competition in the ethanol, biodiesel and other industries in which
we operate, commodity market risks including those that may result
from current weather conditions, financial market risks, customer
adoption, counter-party risks, risks associated with changes to
federal policy or regulation, and other risks detailed in our
reports filed with the Securities and Exchange Commission,
including our Annual Report on Form 10-K for the year ended
December 31, 2017, our Quarterly Report on Form 10-Q for the
quarter ended June 30, 2018 and in our subsequent filings with the
SEC. We are not obligated, and do not intend, to update any of
these forward-looking statements at any time unless an update is
required by applicable securities laws.
(Tables follow)
AEMETIS, INC.
CONSOLIDATED CONDENSED STATEMENTS OF OPERATIONS
(unaudited, in thousands except per share data)
|
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Three months
ended
|
Nine months
ended
|
||
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September
30,
|
September
30,
|
||
|
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2018
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2017
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2018
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2017
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Revenues
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$44,635
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$38,935
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$132,681
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$111,273
|
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Cost of goods
sold
|
41,967
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36,980
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125,379
|
108,200
|
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Gross
profit
|
2,668
|
1,955
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7,302
|
3,073
|
|
|
|
|
|
|
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Research and
development expense
|
74
|
1,876
|
191
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2,072
|
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Selling, general
and admin. expense
|
3,893
|
3,182
|
11,289
|
9,739
|
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Operating
loss
|
(1,299)
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(3,103)
|
(4,178)
|
(8,738)
|
|
|
|
|
|
|
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Interest
expense
|
|
|
|
|
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Interest rate
expense
|
4,692
|
3,867
|
13,395
|
9,873
|
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Amortization
expense
|
719
|
1,265
|
6,395
|
4,112
|
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Other (income)
expense
|
(61)
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(18)
|
2
|
2
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Loss before income
taxes
|
(6,649)
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(8,217)
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(23,970)
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(22,725)
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|
|
|
|
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Income tax
expense
|
--
|
--
|
6
|
6
|
|
|
|
|
|
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Net
loss
|
$(6,649)
|
$(8,217)
|
$(23,976)
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$(22,731)
|
|
|
|
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Less: Net loss
attributable to non-controlling interest
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(792)
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(707)
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(2,386)
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(707)
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Net loss
attributable to Aemetis, Inc.
|
$(5,857)
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$(7,510)
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$(21,590)
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$(22,024)
|
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Net loss per common
share
|
|
|
|
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Basic
|
$(0.29)
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$(0.38)
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$(1.07)
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$(1.11)
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Diluted
|
$(0.29)
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$(0.38)
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$(1.07)
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$(1.11)
|
|
|
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|
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Weighted average
shares outstanding
|
|
|
|
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Basic
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20,252
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19,804
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20,220
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19,760
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Diluted
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20,252
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19,804
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20,220
|
19,760
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AEMETIS, INC.
CONSOLIDATED CONDENSED BALANCE SHEETS
(in thousands)
|
|
September 30,
2018
(Unaudited)
|
December 31,
2017
|
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Assets
|
|
|
|
Current
assets:
|
|
|
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Cash and cash
equivalents
|
$68
|
$428
|
|
Accounts
receivable
|
1,494
|
2,219
|
|
Inventories
|
7,682
|
5,737
|
|
Prepaid and other
current assets
|
1,501
|
3,078
|
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Total current
assets
|
10,745
|
11,462
|
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Property,
plant and equipment, net
|
76,812
|
78,837
|
|
Other
assets
|
4,173
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4,032
|
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Total
assets
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$91,730
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$94,331
|
|
|
|
|
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Liabilities
and stockholders' deficit
|
|
|
|
Current
liabilities:
|
|
|
|
Accounts
payable
|
$13,348
|
$10,457
|
|
Current portion of
long term debt, notes and working capital
|
19,402
|
15,625
|
|
Mandatorily
redeemable Series B stock
|
3,022
|
2,946
|
|
Other current
liabilities
|
7,486
|
6,988
|
|
Total current
liabilities
|
43,258
|
36,016
|
|
|
|
|
|
Total long term
liabilities
|
152,236
|
138,176
|
|
|
|
|
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Total Aemetis
stockholders’ deficit
|
(99,909)
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(78,392)
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|
Total Goodland
Advanced Fuels, Inc. deficit
|
(3,855)
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(1,469)
|
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Total
liabilities and stockholders' deficit
|
$91,730
|
$94,331
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RECONCILIATION OF ADJUSTED EBITDA TO NET INCOME/(LOSS)
(unaudited, in thousands)
|
|
Three Months
Ended
September
30,
|
Nine Months
Ended
September
30,
|
||
|
|
2018
|
2017
|
2018
|
2017
|
|
Net loss
attributable to Aemetis, Inc.
|
$(5,857)
|
$(7,510)
|
$(21,590)
|
$(22,024)
|
|
Adjustments:
|
|
|
|
|
|
Interest
expense
|
4,708
|
4,548
|
17,725
|
13,401
|
|
Depreciation
expense
|
1,158
|
1,173
|
3,457
|
3,471
|
|
Share-based
compensation
|
202
|
196
|
805
|
800
|
|
Intangibles and
other amortization
expense
|
35
|
34
|
105
|
98
|
|
Income tax
expense
|
--
|
--
|
6
|
6
|
|
Total
adjustments
|
6,103
|
5,951
|
22,098
|
17,776
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|
Adjusted
EBITDA
|
$246
|
$(1,559)
|
$508
|
$(4,248)
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PRODUCTION AND PRICE PERFORMANCE
(unaudited)
|
|
Three months
ended
September
30,
|
Nine months
ended
September
30,
|
||
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2018
|
2017
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2018
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2017
|
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Ethanol
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|
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Gallons sold (in
millions)
|
16.7
|
15.4
|
49.1
|
44.5
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Average sales
price/gallon
|
$1.78
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$1.81
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$1.79
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$1.79
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Wet
Distillers Grain
|
|
|
|
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Tons sold (in
thousands)
|
108.5
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104.7
|
316.5
|
300.2
|
|
Average sales
price/ton
|
$75
|
$66
|
$77
|
$63
|
|
Delivered
cost of corn
|
|
|
|
|
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Bushels ground (in
millions)
|
5.8
|
5.5
|
17.1
|
15.8
|
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Average delivered
cost / bushel
|
$4.78
|
$4.65
|
$4.91
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$4.78
|
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Biodiesel
|
|
|
|
|
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Metric tons sold
(in thousands)
|
6.0
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3.0
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15.2
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8.5
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Average sales
price/metric ton
|
$867
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$837
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$893
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$873
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Refined
glycerin
|
|
|
|
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Metric tons sold
(in thousands)
|
1.0
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0.4
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3.7
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3.1
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Average sales
price/metric ton
|
$852
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$905
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$1,010
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$770
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