Los Angeles-Rentech Inc., which owns nitrogen producer Rentech Energy Midwest Corp. (REMC), reported revenue of $42.1 million for its first quarter ending Dec. 31, 2010, compared to the year-ago $27.1 million. “Our exceptionally strong fiscal first quarter results reflect the significant rebound in the fertilizer and agriculture markets,” said Hunt Ramsbottom, Rentech president and CEO. “We expect a continued positive environment for REMC’s products which supports a robust outlook for our business.” First-quarter operating income was $15 million, compared to a year-ago loss of $2 million. The improvement was due to higher gross margins resulting from greater sales prices and volumes. The prior year loss reflected a $4 million turnaround expense. Rentech continues to project REMC fiscal year operating income of at least $50 million and EBITDA of at least $60 million. REMC has signed contracts with fixed prices for the sale of more than 70 percent of its forecasted deliveries for the fiscal year and for the natural gas required to produce that product. Company-wide, Rentech was still in the loss column as it uses REMC cash flow to fund the development of its energy technology business. First-quarter losses were $5.9 million ($.03 per diluted share), versus the year-ago loss of $15.5 million ($.07 per share).
Transparency Across the Fertilizer Value-Chain