(713)
881-3609
Houston
(March 31, 2006) -- Adams Resources & Energy, Inc., (AMEX-AE), announced
unaudited fourth quarter 2005 net earnings of
$7,607,000 or $1.80 per common share on revenues totaling $657,988,000. This compares to unaudited fourth quarter 2004 net earnings of $2,200,000 or
$.52 per share on revenues of $562,146,000. Net earnings for 2005 totaled
$17,641,000 or $4.18 per share.
Revenues for 2005 totaled
$2,364,833,000.
A summary of operating results follows:
|
|
Fourth
Quarter | |
|
|
2005 |
2004 |
|
Operating
earnings |
|
|
|
Marketing |
$
10,462,000 |
$
3,868,000 |
|
Transportation |
1,489,000 |
1,971,000 |
|
Oil
and gas |
2,174,000 |
193,000 |
|
General
& administrative |
(3,174,000) |
(2,293,000) |
|
Interest,
net |
24,000 |
(6,000) |
|
Income
tax (provision) |
(3,961,000) |
(1,553,000) |
|
|
|
|
|
Earnings
from continuing operations |
7,014,000 |
2,180,000 |
|
|
|
|
|
Income
from discontinued operations |
593,000 |
20,000 |
|
|
|
|
|
Net
earnings |
$
7,607,000 |
$
2,200,000 |
Chairman
K.S. "Bud" Adams, Jr., attributed a substantial portion of the fourth quarter
2005 earnings increase to certain non-recurring items within the Companys
marketing segment. During the
current quarter, the Company reduced expenses by an after tax amount totaling
$2,210,000 from the reversal of previously recorded accrual items following the
final true-up of the accounting for such items. Further, the Company collected and
recognized as a reduction in after-tax expenses some $1,011,000 of previously
disputed and fully reserved items.
In addition, income from discontinued operations included a net after tax
gain of $601,000 following the sale of certain oil and gas properties. The Company does not anticipate the
recurrence of similar such items in 2006.
The Company also benefited from improved earnings in its oil and gas
segment during the fourth quarter of 2005 due to increased prices for crude oil
and natural gas.
The
information in this release includes certain forward-looking statements that are
based on assumptions that in the future may prove not to have been accurate. A
number of factors could cause actual results or events to differ materially from
those anticipated. Such factors
include, among others, (a) general economic conditions, (b) fluctuations in
hydrocarbon prices and margins, (c) variations between crude oil and natural gas
contract volumes and actual delivery volumes, (d) unanticipated environmental
liabilities or regulatory changes, (e) counterparty credit default, (f)
inability to obtain bank and/or trade credit support, (g) availability and cost
of insurance, (h) changes in tax laws, and (i) the
availability of capital, (j) changes in regulations, (k) results of current
items of litigation, (l) uninsured items of litigation or losses, (m)
uncertainty in reserve estimates and cash flows, (n) ability to replace oil and
gas reserves, (o) security issues related to drivers and terminal facilities,
(p) commodity price volatility and (q) successful completion of drilling
activity. These and other risks are
described in the Companys reports that are on file with the Securities and
Exchange Commission.
|
UNAUDITED
CONDENSED CONSOLIDATED STATEMENTS OF
OPERATIONS | ||||
|
(In
thousands, except per share data) | ||||
|
| ||||
|
|
Year Ended
|
Three
Months Ended | ||
|
|
December
31, |
December
31, | ||
|
|
2005 |
2004 |
2005 |
2004 |
|
|
|
|
|
|
|
Revenues
|
$ 2,364,833 |
$ 2,069,087 |
$ 657,988 |
$
562,146 |
|
|
|
|
|
|
|
Costs,
expenses and other |
(2,339,481) |
(2,055,353) |
(647,013) |
(558,413) |
|
Income
tax (provision) |
(8,583) |
(4,996) |
(3,961) |
(1,553) |
|
Earnings
from continuing operations |
16,769 |
8,738 |
7,014 |
2,180 |
|
Income
(loss) from discontinued |
|
|
|
|
|
operations,
net of tax |
872 |
(130) |
593 |
20 |
|
|
|
|
|
|
|
Net
earnings |
$
17,641 |
$
8,608 |
$
7,607 |
$
2,200 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings
(loss) per share |
|
|
|
|
|
From
continuing operations |
$
3.97 |
$
2.07 |
$
1.66 |
$
.51 |
|
From
discontinued operations |
.21 |
(.03) |
.14 |
.01 |
|
|
|
|
|
|
|
Basic
and diluted net earnings per |
|
|
|
|
|
Common
share |
$
4.18 |
$
2.04 |
$
1.80 |
$
.52 |
|
|
|
|
|
|
|
Dividends
per common share |
$
.37 |
$
.30 |
$
.37 |
$
.30 |
|
UNAUDITED
CONDENSED CONSOLIDATED BALANCE SHEETS | ||
|
(In
thousands) | ||
|
|
|
|
|
|
December
31, |
December
31, |
|
|
2005 |
2004 |
|
ASSETS |
|
|
|
Cash |
$
18,817 |
$
19,942 |
|
Other
current assets |
251,633 |
189,397 |
|
Total
current assets |
270,450 |
209,339 |