CVR Reports 4Q, Annual Loss on Lower Prices
Nitrogen producer CVR Partners LP, Sugar Land, Texas, reported a fourth-quarter net loss of $27.4 million ($0.24 cents per common unit), on net sales of $78.2 million, compared to a year-ago net loss of $14.5 million ($0.13 cents per unit), on net sales of $84.9 million.
CVR had a full year net loss of $72.8 million ($0.64 per unit), on net sales of $330.8 million, compared to 2016’s net loss of $26.9 million ($0.26 per unit) on net sales of $356.3 million.
Lower UAN and ammonia prices were reported for both the fourth quarter and the year. Fourth-quarter ammonia volumes were up but UAN were down. Both were up for the year.
“We were pleased with the overall operating performance of our Coffeyville plant during the 2017 fourth quarter,” said Mark Pytosh, CVR CEO. “The fall ammonia application was much stronger in the 2017 fourth quarter than the previous year, leading to lower customer product inventories compared to last year.”
“So far in 2018, we have seen lower nitrogen product imports, steady customer demand and increasing prices for nitrogen,” he added. “For the spring, most industry participants are expecting approximately 90 million corn acres to be planted.”