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As a subscriber you can listen to articles at work, in the car, or while you work out. Subscribe NowIncreasing sales of its fuel products combined with a drop in the average cost of crude oil helped Indianapolis-based Calumet Specialty Products Partners LP turn a big profit in the second quarter.
The company said Wednesday morning that earnings soared to $65.7 million, or $1.14 per share, compared with a loss of $7.7 million, or 19 cents per share, in the second quarter of 2011.
Revenue for the quarter ended June 30 rose to nearly $1.1 billion, up from $733.8 million a year ago.
The fuel products segment profited from an 82.9-percent increase in sales volume primarily due to Calumet's $442 million acquisition in September of a Superior, Wis., refinery from El Dorado, Ark.-based Murphy Oil Corp.
Calumet said that sales volume of its specialty products increased 24.7 percent while its cost for a barrel of crude oil to make those products decreased 8.8 percent.
Through the first six months of the year, Calumet earned a profit of $117.6 million compared with a loss of $3.5 million in the year-ago period.
The company on July 20 declared a cash dividend of 59 cents per share, which represents a 19.2-percent increase from the second quarter of 2011.
Calumet makes custom lubricants, waxes and solvents. It has a refinery in Shreveport, La., and also sells traditional fuel products.
Calumet shares opened trading Wednesday morning at $25.55 each, off a 52-week high of $27.74 reached in early May.
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