World Fuel Services Corporation Reports First Quarter 2018 Results
MIAMI—April 26, 2018-- World Fuel Services Corporation (NYSE: INT)
First-Quarter 2018 Highlights
GAAP net income of $31.2 million or $0.46 per diluted share
Adjusted net income of $35.0 million, or $0.52 per diluted share
Total of 4.9 billion gallons of fuel sold
Total gross profit of $243.4 million, up 5% year-over-year
Adjusted EBITDA of $80.9 million, up 5% year-over-year
“We are off to a good start in 2018, benefiting from seasonal increases in our land business and solid performance by our aviation and marine segments,” stated Michael J. Kasbar, chairman and chief executive officer of World Fuel Services Corporation. “While we are pleased with our first quarter results, we remain focused on increasing levels of profitability and returns by continuing to sharpen our portfolio and drive greater cost efficiencies.”
For the first quarter, the company’s aviation segment generated gross profit of $110.0 million, an increase of 10% year-over-year, primarily driven by our government-related business and increased volume and profitability in our international fueling operations. The company’s marine segment generated gross profit of $31.2 million a decrease of 7% year-over-year, primarily driven by the continued challenges in the maritime industry and our strategy to reduce business in certain regions where we were not generating satisfactory returns on capital. The company’s land segment generated gross profit of $102.2 million, up 4% year-over-year, primarily driven by the solid seasonal performance in our land business in the United Kingdom.
“Our continued cost savings initiatives contributed to year-over-year growth in adjusted operating income in all three operating segments in the first quarter,” said Ira M. Birns, executive vice president and chief financial officer. “We believe that our commitment to a higher standard of operational excellence will allow us to drive further efficiencies in our business model and result in greater operating leverage in the next 12 to 24 months, accelerating EBITDA growth.”
Liquidity and Capital
Cash flow used in operating activities was $229 million for the first quarter 2018, primarily due to higher fuel prices combined with seasonal and strategic investments in inventory of $108 million, as well as approximately $121 million resulting from a newly adopted statement of cash flows accounting standard. Our net debt to adjusted EBITDA ratio stood at 2.2x at March 31, 2018 up from 1.8x at December 31, 2017.
The following information was filed by World Fuel Services Corp (INT) on Thursday, April 26, 2018 as an 8K 2.02 statement, which is an earnings press release pertaining to results of operations and financial condition. It may be helpful to assess the quality of management by comparing the information in the press release to the information in the accompanying 10-Q Quarterly Report statement of earnings and operation as management may choose to highlight particular information in the press release.
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Ticker: INT CIK: 789460 Form Type:10-Q Quarterly Report Accession Number: 0001628280-18-005281 Submitted to the SEC: Fri Apr 27 2018 7:15:41 PM EST Accepted by the SEC: Mon Apr 30 2018 Period: Saturday, March 31, 2018 Industry: Wholesale Petroleum And Petroleum Products No Bulk Stations