CVR Energy (CVI) Q3 2024 earnings summary

Executive summary

• Reported Q3 2024 net loss of $124 million and loss per share of $1.24; EBITDA loss of $35 million, impacted by unplanned downtime, negative RFS mark-to-market, and inventory revaluation.

• Board suspended the quarterly dividend to preserve cash amid challenging refining markets and upcoming major turnaround at Coffeyville; no dividend declared for Q3 2024.

• Operating loss for Q3 2024 was $113 million versus operating income of $445 million in Q3 2023.

• Focus remains on maintaining liquidity, cost control, and preparing for post-turnaround market improvements.

• Results were impacted by unplanned downtime and external power outages at refining facilities.

Financial highlights

• Q3 2024 net sales were $1.83 billion, down from $2.52 billion in Q3 2023; adjusted EBITDA was $63 million, with adjusted loss per share of $0.50.

• Cash and cash equivalents at September 30, 2024, were $534 million; total liquidity was $863 million.

• Free cash flow for Q3 2024 was $13 million, primarily from the fertilizer segment.

• Net cash provided by operating activities for the first nine months was $306 million, down from $984 million in the prior year period.

• Q3 2024 basic and diluted loss per share was $(1.24), compared to earnings per share of $3.51 in Q3 2023.

Outlook and guidance

• Q4 2024 petroleum throughput expected at 200,000–215,000 barrels per day; direct operating expenses $100–$110 million; capital spending $38–$42 million.

• Fertilizer segment Q4 ammonia utilization rate estimated at 92–97%, with direct operating expenses of $60–$70 million and capital spending of $19–$23 million.

• Full-year 2024 consolidated capital spending forecast reduced to $170–$195 million; turnaround spending $50–$60 million.

• Management expects continued volatility in refining margins and nitrogen fertilizer prices due to global geopolitical events, regulatory uncertainty, and increased refining capacity.

• Turnaround at Coffeyville Refinery planned for early 2025, with an estimated cash outlay of $175–$200 million.