Calumet Specialty posts first quarterly profit in two years

Calumet Specialty Products Partners LP earned an unexpected profit in its latest quarter, breaking a string of seven straight money-losing periods.

The Indianapolis-based refinery company’s second-quarter financial report, released Friday morning, says the company turned a profit of $9.6 million, or 12 cents per share, compared with a loss of $147.9 million, or $1.89 per share, in the second quarter of 2016.

The company hadn't turned a quarterly profit since it earned $2.5 million in the second period of 2015.

A consensus of analysts had expected Calumet to report a loss of 43 cents per share in the latest period.

Calumet produces fuel and specialty products, including oils, waxes, asphalt and solvents. The company said it saw improvement in all of its business segments last quarter, and its oilfield services segment returned to profitability for the first time since 2014.

The company also launched three new specialty oil product lines during the second quarter. 

The improvement comes as welcome news to Calumet, which lost $329 million in 2016.

“We are seeing strong market interest for these new products and have started to ramp up production and our sales and marketing platforms for each,” CEO Tim Go said in a written statement.

Calumet's sales totaled $1.03 billion in the quarter, up from $973 million a year ago. A consensus of analysts had expected quarterly sales of $839 million.

Shares of Calumet were trading at $5.56 Friday morning, up 4 percent from Thursday’s close.