This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Inergy Reports Third Quarter Results

Inergy, L.P. (NYSE:NRGY) (“Inergy”) today reported results of operations for the quarter ended June 30, 2012, the third quarter of fiscal 2012. These results of operations are presented on a consolidated basis including the results of Inergy Midstream, L.P.

As discussed below, on August 1, 2012, Inergy closed on its definitive agreement to contribute its retail propane operations to Suburban Propane Partners, L.P. (NYSE:SPH) (“SPH”).

Inergy reported Adjusted EBITDA of $54.4 million for the quarter ended June 30, 2012, an increase of $12.0 million, or approximately 28%, from $42.4 million for the quarter ended June 30, 2011. Included in Adjusted EBITDA is a one-time business interruption insurance recovery amount of approximately $3.6 million received this quarter from an occurrence in our midstream operations in December 2010. Net loss was $17.7 million for the quarter ended June 30, 2012, and $35.5 million in the same quarter of last year.

For the nine-month period ended June 30, 2012, Adjusted EBITDA decreased approximately 17% to $279.1 million from $335.5 million for the same prior-year period. Net income was $22.7 million for the nine months ended June 30, 2012, and $39.6 million in the same prior-year period.

“Today’s announcement of the closing of the contribution of our retail propane operations to Suburban Propane is a major milestone for the partnership,” said John Sherman, President and CEO of Inergy. “Our investors participate in propane industry consolidation through the transaction, and Inergy’s balance sheet is strengthened considerably. From a position of financial strength and flexibility, we look forward to executing on our midstream growth strategy on behalf of our unitholders.”

Quarterly Results

In the quarter ended June 30, 2012, retail propane gallon sales were 38.9 million gallons compared to 45.7 million gallons sold in the same quarter of the prior year. Retail propane gallon sales in the current period were negatively impacted by the above-average temperatures experienced in our areas of operations as well as customer conservation. Retail propane gross profit, excluding certain items as discussed below, was $48.3 million for the quarter ended June 30, 2012, compared to $49.0 million for the quarter ended June 30, 2011. Items excluded from retail propane gross profit are certain non-cash charges of $0.5 million and $0.1 million, respectively, and depreciation and amortization. Gross profit (excluding depreciation and amortization) from other propane operations, including wholesale, appliances, service, transportation, distillates, and other was $25.3 million in the quarter ended June 30, 2012, compared to $23.3 million for the same quarter in the prior year.

1 of 5

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $94.47 -0.55%
FB $101.57 2.00%
GOOG $685.78 1.10%
TSLA $144.46 -2.60%
YHOO $27.18 1.40%


Chart of I:DJI
DOW 15,942.40 -71.98 -0.45%
S&P 500 1,858.94 +6.73 0.36%
NASDAQ 4,305.3090 +36.5460 0.86%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs