Americas News
Nustar Fuels Revenue Down, Profit Up
NuStar Energy LP (NuStar) Friday released its 2014 full year results, showing a decline in revenue from fuel sales, but significantly better margins.
Fuel sales, which includes bunkers, fell 18.5 percent to $2 billion in 2014 compared with $2.5 billion the previous year.
However, margins for the Fuels Marketing segment increased significantly, producing operation income of $24.8 million in 2014 compared to a loss of $126,000 in 2013.
The partnership earned total revenues of $3.1 billion in 2014, generating net profit of $210.4 million.
According to separate reports, the partnership beat analyst expectations for the fourth quarter of 2014 by almost two percent, achieving $0.54 per unit versus an expected $0.53.
"2014 was a great year for NuStar," said Brad Barron, NuStar's President and CEO.
He added that the results were a product of a "renewed focus on our core, fee-based pipeline and terminals businesses and by significantly reducing our exposure to margin-based operations," suggesting that Fuels Marketing may be a lower priority in future.
In December NuStar was reported to be a significant creditor of now defunct marine fuel supplier OW Bunker who filed for bankruptcy in November 2014.
