Green Plains Inc (GPRE) swung to a net profit for the quarter ended Dec. 31, 2016. The company has made a net profit of $18.68 million, or $ 0.47 a share in the quarter, against a net loss of $3.59 million, or $0.09 a share in the last year period. Revenue during the quarter grew 25.97 percent to $932.10 million from $739.91 million in the previous year period. Gross margin for the quarter expanded 589 basis points over the previous year period to 13.85 percent. Total expenses were 93.98 percent of quarterly revenues, down from 98.28 percent for the same period last year. This has led to an improvement of 429 basis points in operating margin to 6.02 percent.
Operating income for the quarter was $56.07 million, compared with $12.74 million in the previous year period.
However, the adjusted EBITDA for the quarter stood at $83.47 million compared with $32.54 million in the prior year period. At the same time, adjusted EBITDA margin improved 456 basis points in the quarter to 8.95 percent from 4.40 percent in the last year period.
“Green Plains finished 2016 on a strong note, generating $74.3 million of segment operating income in the fourth quarter as we successfully integrated the acquisitions of three ethanol plants and Fleischmann’s Vinegar Company into our platform,” said Todd Becker, president and chief executive officer. “Each of our business units performed well during the quarter and the year, delivering strong results by continuing to focus on executing our long term strategy of diversification and achieving scale in all of our businesses.”
Operating cash flow improves significantly
Green Plains Inc has generated cash of $82.99 million from operating activities during the year, up 711.53 percent or $72.76 million, when compared with the last year. The company has spent $572.60 million cash to meet investing activities during the year as against cash outgo of $183.20 million in the last year. It has incurred net capital expenditure of $58.11 million on net basis during the year, down 8.27 percent or $5.24 million from year ago.
Cash flow from financing activities was $408.96 million for the year, up 209.04 percent or $276.62 million, when compared with the last year.
Cash and cash equivalents stood at $304.21 million as on Dec. 31, 2016, down 20.96 percent or $80.66 million from $384.87 million on Dec. 31, 2015.
Working capital declines
Green Plains Inc has witnessed a decline in the working capital over the last year. It stood at $405.63 million as at Dec. 31, 2016, down 14.41 percent or $68.28 million from $473.91 million on Dec. 31, 2015. Current ratio was at 1.68 as on Dec. 31, 2016, down from 2.08 on Dec. 31, 2015.
Debt increases substantially
Green Plains Inc has witnessed an increase in total debt over the last one year. It stood at $1,108.89 million as on Dec. 31, 2016, up 67.11 percent or $445.32 million from $663.57 million on Dec. 31, 2015. Total debt was 44.24 percent of total assets as on Dec. 31, 2016, compared with 34.39 percent on Dec. 31, 2015. Debt to equity ratio was at 1.13 as on Dec. 31, 2016, up from 0.69 as on Dec. 31, 2015. Interest coverage ratio improved to 2.99 for the quarter from 1.22 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: editor@irisindia.net
