UGI Q4 Loss Widens Despite Higher Revenues

(RTTNews) - UGI Corp. (UGI), a distributor and marketer of energy products and services, on Wednesday reported a loss for the fourth quarter that widened from last year despite higher revenues. However, revenues for the quarter missed analysts' expectations. Looking ahead, the company forecast earnings for fiscal 2015 in line with Street estimates.

Fourth-quarter net loss attributable to the company widened to $19.8 million or $0.11 per share from net loss of $14.2 million or $0.08 per share in the prior-year quarter.

Adjusted net loss for the quarter was $13.2 million or $0.08 per share, compared to adjusted loss of $13.8 million or $0.08 per share in the year-ago period. On average, five analysts polled by Thomson Reuters expected the company to report loss of $0.05 per share for the quarter. Analysts' estimates typically exclude special items.

The adjusted net loss in both periods excludes the impact of mark-to-market changes in commodity derivative instruments not associated with current period transactions.

Total revenue for the quarter grew 4 percent to $1.31 billion from $1.26 billion in the same period last year. Analysts had a consensus revenue estimate of $1.33 billion for the quarter.

The results for the latest quarter reflect an increase in operating income at AmeriGas Propane as well as Midstream & Marketing segments in addition to a narrower operating loss at UGI International. However, gas utility operating income declined from last year.

For fiscal 2014, UGI Corp.'s net income rose to $337.2 million or $1.92 per share from $278.1 million or $1.60 per share in the prior year. Adjusted net income was $349.5 million or $1.99 per share, compared to $273.8 million or $1.58 per share last year.

Revenue for the year grew 15 percent to $8.28 billion from $7.19 billion in the prior year.

Street expected the company to report earnings of $2.01 per share for the year on revenues of $8.30 billion.

Looking ahead to fiscal 2015, UGI forecasts earnings in a range of $1.88 to $1.98 per share, which it announced last week. Analysts expect the company to report earnings of $1.92 per share for the year.

UGI said in early July that its French subsidiary has agreed to acquire Totalgaz, French energy giant Total SA's (TTA.L, TTFNF.PK, TOT) LPG business in France. The company expects the transaction to close in the first half of calendar 2015.

UGI closed Wednesday's trading at $37.95, down $0.48 or 1.25 percent on a volume of 1.44 million shares.