Alon USA Continues Righting Its Balance Sheet
DALLAS -- Alon USA Energy Inc. continues to strengthen its financials, recording net income of $54.2 million for the first quarter of 2013, compared to net income of $8.5 million for the same period last year.
"It was a very good quarter for the company," President and CEO Paul Eisman said during the company's earnings call this morning. "We generated record first-quarter earnings. We were able to continue to use cash generated to reduce net debt."
He credited the company's team and their accomplishments for helping Alon USA bring in the record numbers it did, and positioning it well for the future.
"Our balance sheet is getting to where it needs to be and this will allow us to start investing in projects to increase earnings growth," Eisman added.
On the retail front, retail fuel volumes were up 7.5 percent over the first quarter of 2012, while fuel margins were "very good" at 20.3 cents per gallon compared to 18 cents for the same three-month period last year, the chief executive explained.
Inside the stores, merchandise sales were unchanged from the first quarter of 2012, with merchandise margins coming in at 32.3 percent.
The first quarter also saw some activity around the brick-and-mortar aspects of the company’s retail division. Alon USA is continuing with its convenience store remodeling program and completed its first ground-up build in several years with its latest store in El Paso, Texas, Eisman explained.