Aegean Marine Petroleum Network expects to report a net loss of approximately $28.2m for the fourth quarter of 2017. The fourth quarter of 2017 was impacted by approximately $14.5m of non-recurring charges that impeded the company’s performance.
The fourth quarter of 2017 was also impacted by approximately $12m of losses as a result of the Company’s first in, first out (FIFO) reporting method of inventory cost that created a mismatch when compared to the mark-to-market of the Company’s respective hedges at December 31, 2017. This loss was recovered in January 2018 when inventory was sold at market prices and the hedges were closed at market.
In addition, Aegean continues to take proactive steps to cut costs and offset the competitive operating environment that persisted throughout 2017.
Aegean’s President, Jonathan McIlroy said: “Despite what has continued to be a challenging period in our core business, I am proud of the definitive action our management team has taken to offset market weakness. Our expected fourth quarter headline results do not tell the full story of the cost cutting and bold steps we have taken—such as ceasing our physical supply business in Singapore during the quarter. While business was slower to come back in the wake of third quarter’s severe hurricane season and refinery outages in Mexico, our core business showed signs of modest improvement from third quarter’s results. 2018 is likely to be another tough year for our core business, but Aegean is amidst a transformation that we firmly believe will unlock significant value for all shareholders over time”
For more information visit www.ampni.com
28th Feb 2018