Please wait while we load the requested 10-K report or click the link below:
FOR MORE INFORMATION, CONTACT:
Terra Nitrogen Company, L.P. Reports Fourth Quarter
and Full Year 2012 Results
DEERFIELD, IL (Feb. 19, 2013)Terra Nitrogen Company, L.P. (TNCLP) (NYSE: TNH) today reported net earnings of $150.0 million on sales of $206.5 million for the quarter ended December 31, 2012. This compares to net earnings of $129.8 million on sales of $201.0 million for the 2011 fourth quarter. Net income allocable to Common Units was $85.3 million ($4.61 per Common Unit) and $71.5 million ($3.87 per Common Unit) for the 2012 and 2011 fourth quarters, respectively.
Results for the fourth quarter of 2012 included an unrealized mark-to-market gain on natural gas derivatives of $1.0 million compared to a loss of $7.5 million in the fourth quarter of 2011.
For the full year 2012, TNCLP reported net earnings of $560.8 million on sales of $780.1 million. This compares to net earnings of $508.0 million on sales of $798.9 million in 2011. Net income allocable to Common Units was $315.6 million ($17.06 per Common Unit) and $283.6 million ($15.33 per Common Unit) in 2012 and 2011, respectively. The company had very strong operating results during 2012 and set a new ammonia production record.
Analysis of Results
Sales for the 2012 fourth quarter totaled $206.5 million, compared to sales of $201.0 million for the 2011 fourth quarter. This increase was due to higher ammonia and urea ammonium nitrate solution (UAN) product volumes and higher average ammonia selling prices.
Comparing the 2012 to the 2011 fourth quarter, TNCLPs:
· Ammonia average selling prices increased by 28 percent and UAN average selling prices decreased by 16 percent;
· Ammonia and UAN sales volumes increased by 17 and 5 percent, respectively; and
· Realized natural gas cost per MMBtu decreased by 16 percent.
Sales for the full year totaled $780.1 million, compared to sales of $798.9 million in 2011. This decrease was due to lower ammonia and UAN volumes and a lower UAN average selling price. The volume decline was due primarily to the timing impact of the implementation of a new Services and Offtake Agreement with CF Industries on January 1, 2011, which resulted in a one-time increase in sales volume recognized upon adoption of the agreement.
Comparing the full year 2012 to 2011, TNCLPs:
· Ammonia average selling price increased by 16 percent and UAN average selling price decreased by 4 percent;
· Ammonia and UAN sales volumes decreased by 4 and 2 percent, respectively; and
· Realized natural gas cost per MMBtu decreased by 23 percent.
The following information was filed by Terra Nitrogen Co L P De (TNH) on Tuesday, February 19, 2013 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-K Annual Report statement of earnings and operation as management may choose to highlight particular information in the press release.
View differences made from one year to another to evaluate Terra Nitrogen Co L P De's financial trajectory
Compare this 10-K Annual Report to its predecessor by reading our highlights to see what text and tables were
removed , and by Terra Nitrogen Co L P De.