CVR Partners (UAN) Q3 2024 earnings summary

Executive summary

• Q3 2024 net sales were $125.2 million, with net income of $4 million and EBITDA of $36 million; nine-month net sales were $385.8 million and net income was $42.6 million.

• The Board declared a Q3 2024 distribution of $1.19 per common unit, payable November 18, 2024.

• Ammonia plant utilization reached 97% in Q3 2024, with strong operational performance and reliability.

• Q3 2024 EBITDA was $35.8 million, up from $32.4 million in Q3 2023.

• Q3 2024 net income was $3.8 million, up from $0.7 million in Q3 2023.

Financial highlights

• Operating income for Q3 2024 was $11 million, up from $8.1 million in Q3 2023.

• Direct operating expenses for Q3 2024 were $55.8 million, down from $58.5 million in Q3 2023.

• Depreciation and amortization for Q3 2024 was $24.7 million, up from $24.1 million in Q3 2023.

• Available cash for distribution was $12.6 million, down from $16.4 million in Q3 2023.

• Q3 2024 capital expenditures totaled $9.7 million, up from $8.3 million in Q3 2023.

Outlook and guidance

• Q4 2024 ammonia utilization expected between 92% and 97%, with some downtime anticipated.

• Direct operating expenses for Q4 projected at $60–$70 million; capital expenditures at $19–$23 million.

• Full-year 2024 capital spending estimated at $39–$42 million, with $31–$33 million for maintenance.

• Management expects continued volatility due to feedstock price uncertainty, inflation, and global supply disruptions.

• Next planned turnarounds are scheduled for late 2025 (Coffeyville) and 2026 (East Dubuque).