VeraSun Energy Corporation (NYSE: VSE), one of the nation’s
largest ethanol producers, announced record revenues for the quarter ending June 30, 2008.
The Company increased revenues by
499% over 2Q07, to $1.015 billion, and generated
earnings of $.15 per diluted share.
Net income increased to $24 million for 2Q08, or $.15 per diluted share, as compared to $15 million for 2Q07.
"VeraSun exceeded one billion dollars in revenues this quarter," said VeraSun CEO Donald L. Endres. "More importantly, our large scale allowed us to capture $73 million in EBITDA, more than double last year, in a challenging operating environment."
During the quarter, VeraSun completed the merger with US BioEnergy effective April 1, adding five facilities and 420 million gallons to operations. The company also completed construction at its Hankinson, North Dakota, Welcome, Minnesota and Hartley, Iowa biorefineries, with a combined capacity of 330 million gallons per year. Upon completion of two additional ethanol production facilities in Dyersville, Iowa and Janesville, Minnesota, the company expects to have a capacity of 1.64 billion gallons of ethanol through 16 production facilities by the end of 2008.
Net sales from ethanol increased $710.4 million, or 499.4%, to $852.7 million for 2Q08 compared with $142.3 million for 2Q07. Of the increase, $588.2 million was driven by additional volumes of ethanol sold. The increased volume resulted from additional production at the Linden, Albion, and Bloomingburg facilities, which came on line since June 30, 2007, output from the US BioEnergy facilities acquired April 1, 2008, and ethanol that was purchased and resold to our customers. Higher ethanol prices contributed $122.2 million of the increased revenue. The average price of ethanol sold was $2.59 per gallon for 2Q08, compared to $2.21 per gallon for 2Q07.
About VeraSun Energy Corporation
VeraSun Energy Corp., headquartered in Brookings, S.D., is a producer and marketer of ethanol and distillers grains. Founded in 2001, the company has a fleet of 16 production facilities in eight states, of which two are still under construction. VeraSun Energy is scheduled to have an annual production capacity of approximately 1.64 billion gallons of ethanol and more than five million tons of distillers grains by the end of 2008.
VeraSun markets E85, a blend of 85% ethanol and 15e% gasoline for use in Flexible Fuel Vehicles (FFVs), directly to fuel retailers under the brand VE85®.
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