Exhibit 99.1
| | | | |
| Contact: | | Allen & Caron Inc | | World Fuel Services Corporation |
| | Michael Mason (Investors) | | Robert S. Tocci, EVP & CFO |
| | michaelm@allencaron.com | | btocci@wfscorp.com |
| | (212) 691-8087 | | (305) 428-8000 |
| | or | | |
| | Len Hall (Media) | | |
| | len@allencaron.com | | |
| | (949) 474-4300 | | |
WORLD FUEL SERVICES CORPORATION REPORTS
RECORD QUARTERLY EARNINGS
MIAMI (May 10, 2006) … World Fuel Services Corporation (NYSE:INT), a global leader in the marketing and sale of marine, aviation and land fuel products and related services, today reported that net income for the first quarter ended March 31, 2006 was $15.0 million, or $0.52 per diluted share, compared to $7.4 million, or $0.31 per diluted share, for the same quarter in the prior year.
“We are very pleased with our record results, which represent a good start to 2006,” said Paul Stebbins, Chairman and Chief Executive Officer.
FIRST QUARTER FINANCIAL HIGHLIGHTS
($ in thousands, except per share data)
| | | | | | |
| | | Quarter Ended March 31, |
| | | 2006 | | 2005 |
Revenue | | $ | 2,534,006 | | $ | 1,774,586 |
Income from operations | | $ | 19,953 | | $ | 8,723 |
Net income | | $ | 14,978 | | $ | 7,382 |
Diluted earnings per share | | $ | 0.52 | | $ | 0.31 |
- Continued -
WORLD FUEL SERVICES CORPORATION REPORTS
RECORD QUARTERLY EARNINGS
Page 2
Continued
About World Fuel Services Corporation
Headquartered in Miami, Florida, World Fuel Services Corporation is a global leader in the marketing and sale of marine, aviation and land fuel products and related services. World Fuel Services provides fuel and related services at more than 2,500 airports, seaports and tanker truck loading terminals worldwide. With 42 offices strategically located throughout the world, World Fuel Services offers its customers a value-added outsource service for the supply, quality control, logistical support and price risk management of marine, aviation and land fuel.
The Company’s global team of market makers provides deep domain expertise in all aspects of marine, aviation and land fuel management. World Fuel Services’ marine customers include international container and tanker fleets and time-charter operators, as well as the United States and foreign governments. Aviation customers include commercial airlines, cargo carriers and corporate clientele, as well as the United States and foreign governments. Land customers are primarily petroleum distributors. For more information, call (305) 428-8000 or visithttp://www.wfscorp.com.
With the exception of historical information in this news release, this document includes forward-looking statements that involve risks and uncertainties, including, but not limited to, quarterly fluctuations in results, the management of growth, fluctuations in world oil prices or foreign currency, major changes in political, economic, regulatory, or environmental conditions, the loss of key customers, suppliers or key members of senior management, uninsured losses, competition, credit risk associated with accounts and notes receivable, and other risks detailed from time to time in the Company’s Securities and Exchange Commission filings. Actual results may differ materially from any forward-looking statements set forth herein.
TABLES FOLLOW
WORLD FUEL SERVICES CORPORATION REPORTS
RECORD QUARTERLY EARNINGS
Page 3
WORLD FUEL SERVICES CORPORATION AND SUBSIDIARIES
CONSOLIDATED CONDENSED STATEMENTS OF INCOME
(UNAUDITED - IN THOUSANDS, EXCEPT PER SHARE DATA)
| | | | | | | | |
| | | For the Three Months Ended
March 31, | |
| | | 2006 | | | 2005 | |
Revenue | | $ | 2,534,006 | | | $ | 1,774,586 | |
Cost of sales | | | 2,484,261 | | | | 1,739,075 | |
| | | | | | | | |
Gross profit | | | 49,745 | | | | 35,511 | |
| | | | | | | | |
Operating expenses: | | | | | | | | |
Compensation and employee benefits | | | 18,744 | | | | 16,734 | |
Provision for bad debts | | | 508 | | | | 2,491 | |
General and administrative | | | 10,540 | | | | 7,563 | |
| | | | | | | | |
| | | 29,792 | | | | 26,788 | |
| | | | | | | | |
Income from operations | | | 19,953 | | | | 8,723 | |
Other expense, net | | | (28 | ) | | | (310 | ) |
| | | | | | | | |
Income before income taxes | | | 19,925 | | | | 8,413 | |
Provision for income taxes | | | 5,116 | | | | 944 | |
| | | | | | | | |
| | | 14,809 | | | | 7,469 | |
Minority interest in (loss) income of consolidated subsidiaries | | | (169 | ) | | | 87 | |
| | | | | | | | |
Net income | | $ | 14,978 | | | $ | 7,382 | |
| | | | | | | | |
Basic earnings per share | | $ | 0.56 | | | $ | 0.33 | |
| | | | | | | | |
Basic weighted average shares | | | 26,963 | | | | 22,410 | |
| | | | | | | | |
Diluted earnings per share | | $ | 0.52 | | | $ | 0.31 | |
| | | | | | | | |
Diluted weighted average shares | | | 28,642 | | | | 23,941 | |
| | | | | | | | |
- Continued -
WORLD FUEL SERVICES CORPORATION REPORTS
RECORD QUARTERLY EARNINGS
Page 4
WORLD FUEL SERVICES CORPORATION AND SUBSIDIARIES
CONSOLIDATED CONDENSED BALANCE SHEETS
(UNAUDITED - IN THOUSANDS)
| | | | | | |
| | | As of |
| | | March 31,
2006 | | December 31,
2005 |
ASSETS | | | | | | |
CURRENT ASSETS: | | | | | | |
Cash and cash equivalents | | $ | 149,677 | | $ | 133,284 |
Short-term investments | | | 10,000 | | | 10,000 |
Accounts and notes receivable, net | | | 758,513 | | | 688,129 |
Inventories | | | 44,145 | | | 35,802 |
Prepaid expenses and other current assets | | | 105,011 | | | 81,095 |
| | | | | | |
Total current assets | | | 1,067,346 | | | 948,310 |
| | |
PROPERTY AND EQUIPMENT, NET | | | 13,925 | | | 11,579 |
| | |
OTHER ASSETS | | | 58,538 | | | 54,112 |
| | | | | | |
| | $ | 1,139,809 | | $ | 1,014,001 |
| | | | | | |
LIABILITIES AND STOCKHOLDERS’ EQUITY | | | | | | |
CURRENT LIABILITIES: | | | | | | |
Current maturities of long-term debt | | $ | 5 | | $ | 737 |
Accounts payable | | | 617,140 | | | 534,064 |
Customer deposits | | | 51,017 | | | 23,776 |
Payables related to derivative contracts | | | 41,253 | | | 23,637 |
Accrued expenses | | | 36,562 | | | 53,342 |
| | | | | | |
Total current liabilities | | | 745,977 | | | 635,556 |
| | |
LONG-TERM LIABILITIES | | | 25,108 | | | 25,098 |
| | |
STOCKHOLDERS’ EQUITY | | | 368,724 | | | 353,347 |
| | | | | | |
| | $ | 1,139,809 | | $ | 1,014,001 |
| | | | | | |
