David Wiesman's Alon Israel Oil Company Ltd. unit Alon USA Energy Inc. (NYSE:ALJ) reported strong revenue and profit growth for the third quarter of 2012, beating analysts' forecasts.
Revenue rose 16% to $2.36 billion for the third quarter from $2 billion for the corresponding quarter of 2011. GAAP-based net profit rose to $43.2 million ($0.76 per share) for the third quarter from $28.6 million for the corresponding quarter, and non-GAAP net profit rose 51% to $43.2 million ($0.84 per share) from $39 million.
The company beat the analysts' consensus of $0.59 earnings per share on $2.18 billion revenue.
Alon USA president and CEO Paul Eisman said, "The company continues to benefit from good operations in a positive margin environment. During the third quarter, we increased throughput at each of our refineries versus the second quarter, and also realized increased sales in both asphalt marketing and Alon brands."
Eisman added, "During the third quarter, we generated over $100 million of cash flow from operating activities, which was used to reduce total debt by $75 million."
Alon USA has filed an amendment to its prospectus of Alon USA Partners LP, and intends to use the net proceeds of the offering to reduce debt.
Published by Globes [online], Israel business news - www.globes-online.com - on November 7, 2012
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