World Fuel Services Corporation (NYSE:INT), a leading global fuel logistics company, principally engaged in the marketing, sale and distribution of aviation, marine and land fuel products and related services, today reported third quarter net income of $51.5 million or $0.72 diluted earnings per share compared to $52.7 million or $0.74 diluted earnings per share in the third quarter of 2011. Non-GAAP net income and diluted earnings per share for the third quarter, which exclude share-based compensation and amortization of acquired intangible assets, were $57.9 million and $0.81, respectively, compared to $59.3 million or $0.83 in 2011.
“Our market expertise and value-added service offerings continue to differentiate World Fuel as a solid counterparty to our customers and suppliers worldwide,” stated Michael J. Kasbar, president and chief executive officer of World Fuel Services Corporation. “We were pleased to complete the CarterEnergy acquisition and look to continue to grow our business across all of our segments organically and through further strategic investments.”
The company’s marine segment generated gross profit of $54 million, an increase of approximately $2.2 million or 4% sequentially, and $3.9 million or 8% year-over-year. Our aviation segment generated gross profit of $84.2 million in the third quarter of 2012, an increase of $15 million or 22% sequentially, and flat year-over-year. The company’s land segment posted gross profit of $42.6 million, a decrease of $8.6 million or 17% sequentially, but an increase of $5.8 million or 16% year-over-year.
“We continue to execute on our long-term growth strategy by capitalizing on organic growth opportunities and strategic investments such as CarterEnergy," said Ira M. Birns, executive vice president and chief financial officer. “Our strong balance sheet, solid liquidity profile and strong risk management discipline should continue to serve us well as we navigate the volatile global marketplace.”
Non-GAAP Financial Measures
This press release includes selected financial information that has not been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”). This information includes non-GAAP net income and non-GAAP diluted earnings per share. The non-GAAP financial measures exclude costs associated with share-based compensation and amortization of acquired intangible assets, primarily because we do not believe they are reflective of the company’s core operating results. We believe that these non-GAAP financial measures, when considered in conjunction with our financial information prepared in accordance with GAAP, are useful for investors to evaluate our core operating results and trends.