Adams

Resources & Energy, Inc.

 

 Rick Abshire
(713) 881-3609
FOR IMMEDIATE RELEASE

 

ADAMS RESOURCES ANNOUNCES FOURTH QUARTER 2015 RESULTS

 

Houston (March 10, 2016) -- Adams Resources & Energy, Inc., (NYSE MKT: AE), announced an unaudited fourth quarter 2015 net loss of $8,404,000 or $1.99 per common share on revenues of $348,255,000.  This compares to an unaudited net loss of $6,670,000 or $1.58 per share on revenues of $849,736,000 for the fourth quarter of 2014.  For the full year 2015, the Company incurred a net loss totaling $1,275,000 or $.30 per share on revenues of $1,944,279,000. 

 

A summary of fourth quarter 2015 and 2014 operating results follows:

 

 

Fourth Quarter

 

2015

2014

Operating Earnings (Loss)

 

 

Marketing..........................................................

$      490,000

$  (1,333,000)

Transportation...................................................

         489,000

      1,156,000

Oil and gas........................................................

   (12,610,000)

     (8,650,000)

Administrative expenses...................................

     (2,189,000)

     (1,912,000)

 

   (13,820,000)

   (10,739,000)

Interest income (expense), net.............................

           82,000

           96,000

Income tax benefit................................................

      5,334,000

      3,669,000

Discontinued operations, net of tax .....................

-

         304,000 

 

 

 

Net earnings (loss)................................................

$  (8,404,000)

$  (6,670,000)

 

 

President and Chief Executive Officer, Thomas S. Smith, stated that 2015 fourth quarter results include a $4.3 million pre-tax write-down of the carrying value of crude oil inventories within the marketing segment and a $10.9 million pre-tax write-down in the carrying value of capitalized oil and gas property costs.  These charges followed declines in the commodity market price for crude oil.  Similarly in the fourth quarter of 2014, crude oil prices dropped and the Company recognized a $12.6 million pretax write-down in the carrying value of crude oil inventories and a $7.4 million pretax write-down in the carrying value of oil and gas properties.  The Company’s financial position remains sound and net cash provided by operating activities totaled $25,477,000 for the full year 2015.  The Company continues to have no bank debt or other forms of debenture obligations and cash balances at December 31, 2015 totaled $91,877,000, an increase from $80,184,000 at December 31, 2014.

 

 

…………………………………………………

 

Cautionary Statement Regarding Forward-Looking Statements

 

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 and potential adverse world economic conditions, (b) fluctuations in hydrocarbon commodity prices and margins, (c) variations between commodity 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, (i) the availability and cost of capital, (j) results of current items of litigation, (k) uninsured items of litigation or losses, (l) uncertainty in reserve estimates and cash flows, (n) successful drilling activity and the ability to replace oil and gas reserves, (m) security issues related to drivers and terminal facilities, (o) demand for chemical based trucking operations, (p) financial soundness of customers and suppliers.  These and other risks are described in the Company’s reports that are on file with the Securities and Exchange Commission.

 

 

UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS

(In thousands, except per share data)

 

 

Year Ended

Three Months Ended

 

December 31,

December 31,

 

2015

2014

2015

2014

 

 

 

 

 

Revenues

   $  1,944,279

   $  4,132,826

  $     348,255

  $     849,736

 

 

 

 

 

Costs, expenses and other

     (1,946,324)

    (4,123,046)

       (361,993)

       (860,379)

Income tax (provision) benefit

                770

           (3,561)

             5,334

             3,669

Earnings (loss) from continuing operations

                                    (1,275)

                                   6,219

 

           (8,404)

 

           (6,974)

Earnings (loss) from discontinued

 

 

 

 

operations, net of tax

                     -

                304

                    -

                304

 

 

 

 

 

Net earnings (loss)

   $       (1,275)

   $         6,523

  $        (8,404)

  $        (6,670)

 

 

 

 

 

 

 

 

 

 

Earnings (loss) per common share:

 

 

 

 

From continuing operations

   $            (.30)

   $           1.48

  $          (1.99)

  $          (1.65)

From discontinued operations

                     -

                  .07

                     -

                 .07

Basic and diluted net earnings

 

 

 

 

per common share

   $            (.30)

   $           1.55

  $          (1.99)

  $          (1.58)

 

 

 

 

 

Dividends per common share

   $             .88

   $             .88

  $              .22

  $              .22

 

 

 

 

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEET

(In thousands)

 

 

December 31,

December 31,

 

2015

2014

ASSETS

 

 

Cash ........................................................................

$        91,877

$        80,184

Other current assets................................................

           84,660

         170,761

Total current assets.........................................

         176,537

         250,945

 

 

 

Net property & equipment..............................................

           59,715

           84,871

Deposits and other assets..............................................

             6,963

             4,998

 

$      243,215

$      340,814

 

 

 

LIABILITIES AND EQUITY

 

 

Total current liabilities...............................................

$        80,197

$      168,603

Deferred taxes and other liabilities...........................

           10,508

           14,714

Shareholders’ equity................................................

         152,510

         157,497

 

$      243,215

$      340,814