Adams Resources Announces Fourth Quarter 2004 Earnings
HOUSTON, March 17 /PRNewswire-FirstCall/ -- Adams Resources & Energy, Inc.,
(AMEX:AE), announced unaudited fourth quarter 2004 net earnings of $2,200,000
or $.52 per common share on revenues totaling $562,294,000. This compares to
unaudited fourth quarter 2003 net earnings of $651,000 or $.16 per share on
revenues of $422,429,000. Net earnings for 2004 totaled $8,608,000 or $2.04
per share on revenues of $2,069,788,000.
A summary of operating results follows: Fourth Quarter
2004 2003
Operating earnings (loss)
Marketing $ 3,899,000 $ 2,539,000
Transportation 1,971,000 306,000
Oil and gas 193,000 (395,000)
General & administrative (2,293,000) (1,652,000)
Interest, net (6,000) 27,000
Income tax (provision) benefit (1,564,000) 196,000 Earnings from continuing operations 2,200,000 1,021,000 Loss from discontinued operation --- (370,000) Net earnings $ 2,200,000 $ 651,000 Chairman K.S. "Bud" Adams, Jr., attributed the earnings increase to improved
demand within the Company's petrochemical trucking operation. An improving
United States economy and a weakened U.S. dollar exchange rate has stimulated
demand for the Company's trucking services leading to increased transportation
earnings. Also during the current quarter, the Company sold its claim on the
bankrupt estate of Enron Corp to a third party, recognizing a $470,000 gain on
the transaction. Mr. Adams also reported the results of 2004's oil and gas
exploration efforts. Such efforts yielded estimated oil and gas reserve
additions totaling 121,000 barrels of crude oil and 3,166,000 mcf of natural
gas. Estimated reserve additions for 2004 represent a 224 percent replacement
of 2004's production on an equivalent barrel basis.
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
Company's reports that are on file with the Securities and Exchange Commission.
UNAUDITED CONSOLIDATED STATEMENT OF OPERATIONS
(In thousands, except per share data) Year Ended Three Months Ended
2004 2003 2004 2003 Revenues $2,069,788 $1,721,929 $ 562,294 $ 422,429 Costs, expenses
and other (2,055,868) (1,712,447) (558,530) (421,604)
Income tax (provision)
benefit (5,059) (3,056) (1,564) 196
Earnings from
continuing operations 8,861 6,426 2,200 1,021
Loss from discontinued
operation, net of tax (253) (3,232) --- (370)
Cumulative effect
of accounting change,
net of tax --- (92) --- --- Net earnings $ 8,608 $ 3,102 $ 2,200 $ 651 Earnings (loss) per share
From continuing
operations $ 2.10 $ 1.53 $ .52 $ .24
From discontinued
operation (.06) (.77) --- (.08)
Cumulative effect
of accounting change --- (.02) --- ---
Basic and diluted
net earnings per
Common share $ 2.04 $ .74 $ .52 $ .16 Dividends per common share $ .30 $ .23 $ .30 $ .23 UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEET
(In thousands) December 31, December 31,
2004 2003
ASSETS
Cash $ 19,942 $ 28,342
Other current assets 189,397 157,081
Total current assets 209,339 185,423 Net property & equipment 29,076 24,846
Other assets 439 338
$ 238,854 $ 210,607
LIABILITIES AND EQUITY
Total current liabilities $ 173,550 $ 152,665
Long-term debt 11,475 11,475
Deferred taxes and other 4,254 4,235
Shareholders' equity 49,575 42,232
$ 238,854 $ 210,607 Rick Abshire
(713) 881-3609
DATASOURCE: Adams Resources & Energy, Inc.
CONTACT: Rick Abshire of Adams Resources & Energy, Inc., +1-713-881-3609
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