EXHIBIT 99.1
SHARON COPELAND
(713) 881-3611
FOR IMMEDIATE RELEASE
ADAMS RESOURCES INCREASES DIVIDEND AND ANNOUNCES THIRD QUARTER EARNINGS
Houston (November 13, 2003) -- Adams Resources & Energy, Inc.,
(AMEX-AE), announced unaudited third quarter 2003 net earnings of $673,000 or
$.16 per common share on revenues totaling $399,243,000. This compares to
unaudited third quarter 2002 net earnings of $189,000 or $.05 per share. For the
nine months ended September 30, 2003, net earnings were $2,451,000. Net cash
flow provided by operating activities for the first nine months of 2003 totaled
$12,609,000.
A summary of operating results follows:
<Table>
<Caption>
Third Quarter
---------------------------
2003 2002
----------- -----------
Operating earnings (loss)
Marketing ................................ $ 2,444,000 $ 1,266,000
Transportation ........................... (463,000) 518,000
Oil and gas .............................. 860,000 (190,000)
General & administrative ....................... (1,640,000) (1,454,000)
Interest, net .................................. 19,000 (2,000)
Income tax provision ........................... (393,000) (33,000)
----------- -----------
Earnings from continuing operations ............ 827,000 105,000
Earnings (loss) from discontinued operation,
net of tax ............................... (154,000) 84,000
----------- -----------
Net earnings ............................. $ 673,000 $ 189,000
=========== ===========
</Table>
Chairman and President, K.S. "Bud" Adams, Jr., attributed the earnings
increase to higher commodity prices and increased production volumes from the
Company's oil and gas exploration segment. Most notably, recent drilling results
increased natural gas production volumes by 12 percent to 293,100 mcf while
crude oil production volumes increased by 44 percent to 19,000 barrels for the
quarter. In addition, average natural gas price realizations increased to $5.52
per mcf during the current quarter, up from a $3.10 per unit average in the
third quarter of 2002. The oil and gas earnings improvement was partially
offset, however, by operating losses sustained by our petrochemical trucking
operation, Mr. Adams added. The company's transportation operation sustained
losses totaling $463,000 in the current quarter versus operating earnings of
$518,000 in last year's third quarter. A reduction in demand for the Company's
transportation services was the direct cause of the loss. Beginning in October
2003, the Company has experienced an increase in demand, however, consistent
with the reported general improvement in the overall United States economy. We
are hopeful the recent marketplace strengthening continues.
The Company also announced its Board of Directors has declared an
annual cash dividend in the amount of $.23 per common share, payable on December
15, 2003 to shareholders of record as of December 3, 2003. The amount of the
dividend is increased by 77 percent, or $.10 per share, over last year. Chairman
and President, K. S. "Bud" Adams, Jr., said the Company's continued strength and
the recent changes in tax laws led to the dividend increase.
UNAUDITED CONSOLIDATED STATEMENT OF OPERATIONS
(In thousands, except per share data)
<Table>
<Caption>
Nine Months Ended Three Months Ended
September 30, September 30,
---------------------------- ----------------------------
2003 2002 2003 2002
------------ ------------ ------------ ------------
Revenues ................................... $ 1,299,500 $ 1,374,344 $ 399,243 $ 502,720
Costs, expenses and other .................. 1,290,843 1,369,962 398,023 502,582
Income tax provision ....................... 3,252 1,616 393 33
------------ ------------ ------------ ------------
Earnings from continuing operations ........ 5,405 2,766 827 105
Income (loss) for discontinued operation,
net of tax .............................. (2,862) (1,427) (154) 84
Cumulative effect of accounting change,
net of tax .............................. (92) -- -- --
------------ ------------ ------------ ------------
Net earnings ............................... $ 2,451 $ 1,339 $ 673 $ 189
============ ============ ============ ============
Earnings (loss) per share
From continuing operations .............. $ 1.28 $ .66 $ .20 $ .03
From discontinued operation ............. (.68) (.34) (.04) .02
Cumulative effect of accounting change .. (.02) -- -- --
------------ ------------ ------------ ------------
Basic and diluted net earnings per
common share ............................ $ .58 $ .32 $ .16 $ .05
============ ============ ============ ============
Dividends per common share ................. $ -- $ -- $ -- $ --
============ ============ ============ ============
</Table>
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEET
(In thousands)
<Table>
<Caption>
September 30, December 31,
2003 2002
------------- ------------
ASSETS
Cash ......................................... $ 34,422 $ 27,262
Other current assets ......................... 132,335 152,138
------------ ------------
Total current assets .................... 166,757 179,400
Net property & equipment ..................... 24,259 22,304
Other assets ................................. 415 416
------------ ------------
$ 191,431 $ 202,120
============ ============
LIABILITIES AND EQUITY
Total current liabilities .................... $ 134,800 $ 148,084
Long-term debt ............................... 11,475 11,475
Deferred taxes and other ..................... 2,605 2,461
Shareholders' equity ......................... 42,551 40,100
------------ ------------
$ 191,431 $ 202,120
============ ============
</Table>
The information in this release includes certain forward-looking
statements that are based on assumptions that in the future may prove not
to have been accurate. A number of factors could cause actual results or
events to differ materially from those anticipated. Such factors include,
among others, (a) general economic conditions, (b) fluctuations in
hydrocarbon prices and margins, (c) variations between crude oil and
natural gas contract volumes and actual delivery volumes, (d)
unanticipated environmental liabilities or regulatory changes, (e)
counterparty credit default, (f) inability to obtain bank and/or trade
credit support, (g) availability and cost of insurance, (h) changes in tax
laws, (i) the availability of capital, among others (j) changes in
regulations, (k) results of current items of litigation, (l) uninsured
items of litigation or losses, (m) uncertainty in reserve estimates and
cash flows, (n) ability to replace oil and gas reserves, (o) security
issues related to drivers and terminal facilities and (p) commodity price
volatility. These and other risks are described in the Company's reports
that are on file with the Securities and Exchange Commission.