TULSA, Okla., Oct. 30, 2009 (GLOBE NEWSWIRE) -- Syntroleum Corporation (Nasdaq:SYNM) today announced financial results for the quarter ended September 30, 2009.
* Cash position of $15.2 million compared to a cash position of $10.1 million at December 31, 2008. * Receivable balance of $6.6 million compared to a receivable balance of $0.5 million at December 31, 2008. * Net cash provided by operating activities was $11.8 million for the first nine months of 2009 compared to net cash used in operating activities of $1.7 million for the same period last year. * Total revenue of $26.3 million for nine months ended September 30, 2009 compared to $3.9 million for the same period last year. * Total net income of $7.1 million for the nine months ended September 30, 2009 compared to a loss of $3.3 million for the same period last year. * Net income per share of $ 0.10 versus a loss of $0.05 for the nine months ended September 30, 2009 and 2008, respectively. * Dynamic Fuels LLC (50/50 venture with Tyson Foods) plant, which is under construction in Geismar, Louisiana, was 76% complete as of September 30, 2009. The plant remains on budget.
We generated $11.8 million in cash flow from our operating activities for the nine months ended September 30, 2009 compared to using $1.7 million in cash flow from operations for the same period last year. Our operating activities have generated cash flows from the execution of key business transactions. Our current receivable balance is $6.6 million from current executed contracts and delivery of technology. We made a $6.0 million investment in Dynamic Fuels on April 1, 2009.
For additional information, see the Company's Form 10-Q for the September 30, 2009 period, filed with the SEC on Friday, October 30, 2009. The 10-K is available through the Investor Relations section of the Company's Web site, www.syntroleum.com.
Conference Call
Syntroleum management plans to hold a conference call with the investment community on Thursday, November 5, 2009, at 2:00 p.m. Central time (3:00 p.m. Eastern). To participate in the teleconference, investors should dial 877-261-8992 about 10 minutes before the start time and reference the Syntroleum conference call. International callers should dial 847-619-6548.
About Syntroleum
Syntroleum Corporation owns the Syntroleum(R) Process for Fischer-Tropsch (FT) conversion of synthesis gas derived from biomass, coal, natural gas and other carbon-based feedstocks into liquid hydrocarbons, the Synfining(R) Process for upgrading FT liquid hydrocarbons into middle distillate products such as synthetic diesel and jet fuels, and the Bio-Synfining(TM) technology for converting animal fat and vegetable oil feedstocks into middle distillate products such as renewable diesel and jet fuel using inedible fats and greases as feedstock. The 50/50 venture -- known as Dynamic Fuels -- was formed to construct and operate multiple renewable synthetic fuels facilities, with production on the first site beginning in 2010. The Company plans to use its portfolio of technologies to develop and participate in synthetic and renewable fuel projects. For additional information, visit the Company's web site at www.syntroleum.com
The Syntroleum Corporation logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=5984
This document includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, as well as historical facts. These forward-looking statements may include statements relating to the Syntroleum(R) Process, the Synfining(R) Process, our renewable fuels Bio-Synfining(TM)technology, plans to use the Company's various technologies, operational activities of the Company, commercialization of the Company's technologies, certification of Fischer-Tropsch and renewable fuels, performance and use of Syntroleum's cobalt catalyst, and performance and use of fuels derived from the Syntroleum(R) Process and technology test results. When used in this document, the words "anticipate," "believe," "estimate," "expect," "intend," "may," "plan," "project," "should" and similar expressions are intended to be among the statements that identify forward-looking statements. Although we believe that the expectations reflected in these forward-looking statements are reasonable, these kinds of statements involve risks and uncertainties. Actual results may not be consistent with these forward-looking statements. Syntroleum undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results over time. Important factors that could cause actual results to differ from these forward-looking statements include the potential that debt or equity financing for anticipated plants may not be available, the schedule for development, construction and operation of proposed plants may not be met, anticipated appropriation and expenditure of federal monies does not occur, commercial-scale plants do not achieve the same results as those demonstrated on a laboratory or pilot basis or that such plants experience technological and mechanical problems, the potential that improvements to Syntroleum's various technologies currently under development may not be successful, the impact on plant economics of operating conditions (including energy prices), construction risks, risks associated with investments and operations in foreign countries, our dependence on strategic relationships with manufacturing and engineering companies, volatility of energy prices, the ability to implement corporate strategies, including the continued availability of adequate working capital, competition, intellectual property risks, our ability to obtain financing and other risks described in the Company's filings with the Securities and Exchange Commission.
(R) "Syntroleum" is registered as a trademark and service mark in the U.S. Patent and Trademark Office.
SYNTROLEUM CORPORATION AND SUBSIDIARIES
UNAUDITED CONSOLIDATED BALANCE SHEETS
(in thousands)
Sept. 30, Dec. 31,
2009 2008
-------- --------
ASSETS
CURRENT ASSETS:
Cash and cash equivalents $ 15,162 $ 10,101
Restricted cash 502 --
Accounts receivable 6,585 517
Other current assets 212 272
-------- --------
Total current assets 22,461 10,890
PROPERTY AND EQUIPMENT - at cost, net 174 187
INVESTMENT IN DYNAMIC FUELS, LLC 19,473 17,486
OTHER ASSETS, net 10,246 10,275
-------- --------
$ 52,354 $ 38,838
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LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES:
Accounts payable $ 473 $ 662
Accrued liabilities 1,672 858
Current deposits 502 --
Current liabilities of discontinued operations 602 1,661
-------- --------
Total current liabilities 3,249 3,181
NONCURRENT LIABILITIES OF DISCONTINUED
OPERATIONS 603 --
DEFERRED REVENUE 25,280 22,613
COMMITMENTS AND CONTINGENCIES
STOCKHOLDERS' EQUITY:
Preferred stock, $0.01 par value, 5,000
shares authorized, no shares issued -- --
Common stock, $0.01 par value, 150,000
shares authorized, 72,597 and 63,529
shares issued and outstanding at Sept 30,
2009 and December 31, 2008, respectively 726 635
Additional paid-in capital 353,309 350,325
Accumulated deficit (330,813) (337,916)
-------- --------
Total stockholders' equity 23,222 13,044
-------- --------
$ 52,354 $ 38,838
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SYNTROLEUM CORPORATION AND SUBSIDIARIES
UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data)
For the Three For the Nine
Months Ended Months Ended
September 30, September 30,
---------------- ----------------
2009 2008 2009 2008
------- ------- ------- -------
REVENUES:
Technology revenue $ 3,150 $ -- $22,353 $ --
Technical services revenue 687 220 1,487 533
Technical services revenue from
Dynamic Fuels 574 662 2,233 2,008
Other revenues -- 565 222 1,355
------- ------- ------- -------
Total revenues 4,411 1,447 26,295 3,896
------- ------- ------- -------
COSTS AND EXPENSES:
Engineering 629 946 2,835 3,274
Depreciation, depletion and
amortization 88 133 276 436
General, administrative and other
(including non-cash equity
compensation of $583 and $180
for the three months ended
Sept 30, 2009 and 2008,
respectively, and $3,594 and
$914 for the nine months ended
Sept 30, 2009 and 2008,
respectively.) 2,141 1,684 9,378 5,765
------- ------- ------- -------
OPERATING INCOME (LOSS) 1,553 (1,316) 13,806 (5,579)
INVESTMENT AND INTEREST INCOME 20 87 83 476
(LOSS) FROM DYNAMIC INVESTMENT (844) 33 (4,013) (424)
OTHER INCOME, net 50 8 58 22
FOREIGN CURRENCY EXCHANGE (1,021) 2,106 (2,733) 833
------- ------- ------- -------
INCOME (LOSS) FROM CONTINUING
OPERATIONS BEFORE INCOME TAXES (242) 918 7,201 (4,672)
INCOME TAXES -- -- -- --
------- ------- ------- -------
INCOME (LOSS) FROM CONTINUING
OPERATIONS (242) 918 7,201 (4,672)
------- ------- ------- -------
INCOME (LOSS) FROM DISCONTINUED
OPERATIONS (28) (80) (98) 1,387
------- ------- ------- -------
NET INCOME (LOSS) $ (270) $ 838 $ 7,103 $(3,285)
======= ======= ======= =======
BASIC NET INCOME (LOSS) PER SHARE:
Income (loss) from continuing
operations $ 0.00 $ 0.02 $ 0.10 $ (0.07)
Income (loss) from discontinued
operations $ 0.00 $ 0.00 $ 0.00 $ 0.02
------- ------- ------- -------
Net income (loss) $ 0.00 $ 0.02 $ 0.10 $ (0.05)
======= ======= ======= =======
DILUTED NET INCOME (LOSS) FROM
CONTINUING OPERATIONS PER SHARE: $ 0.00 $ 0.02 $ 0.10 $ (0.05)
======= ======= ======= =======
WEIGHTED AVERAGE COMMON SHARES
OUTSTANDING:
Basic 72,540 62,643 70,015 62,620
======= ======= ======= =======
Diluted 72,540 62,643 72,536 62,620
======= ======= ======= =======
SYNTROLEUM CORPORATION AND SUBSIDIARIES
UNAUDITED CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)
For the Nine Months
Ended September 30,
---------------------
2009 2008
-------- --------
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss) $ 7,103 $ (3,285)
Income (loss) from discontinued operations (98) 1,387
-------- --------
Income (loss) from continuing operations 7,201 (4,672)
Adjustments to reconcile net income (loss)
to net cash provided by (used in)
operating activities:
Depreciation, depletion and amortization 276 436
Foreign currency exchange 2,733 (833)
Non-cash compensation expense 3,594 914
Non-cash loss in equity method investee 4,013 424
Loss on sale of assets 81 --
Changes in assets and liabilities:
Accounts and notes receivable (6,068) (193)
Other assets (41) 175
Accounts payable (189) (202)
Accrued liabilities and other 814 (381)
Deferred revenue (197) 2,949
-------- --------
Net cash provided by continuing
operations 12,217 (1,383)
Net cash used in discontinued operations (424) (336)
-------- --------
Net cash provided by operating activities 11,793 (1,719)
-------- --------
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchase of property and equipment (718) (202)
Proceeds from disposal of property and
equipment 505 --
Investment in Dynamic Fuels, LLC (6,000) (14,000)
-------- --------
Net cash (used in) continuing operations (6,213) (14,202)
Net cash provided by discontinued
operations -- 8,670
-------- --------
Net cash (used in) provided by investing
activities (6,213) (5,532)
-------- --------
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from sale of common stock,
warrants and option exercises 426 --
Repurchase of stock option awards (945) --
-------- --------
Net cash used in financing activities (519) --
-------- --------
NET CHANGE IN CASH AND CASH EQUIVALENTS 5,061 (7,251)
CASH AND CASH EQUIVALENTS, beginning of
period 10,101 18,405
-------- --------
CASH AND CASH EQUIVALENTS, end of period $ 15,162 $ 11,154
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