Net Loss in Q4 for Calumet

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A view of Calumet's refinery and base oil plant in Shreveport, Louisiana. Lube Report Staff Photo

Calumet said last week that it expects a net loss for the fourth quarter of 2024 once its yearly results have been given the rubber stamp. The company still recorded healthy sales, it announced.

The Indianapolis-based manufacturer of base oils, solvents and waxes estimates the loss between U.S.$24 million and $54 million while earnings before interest, tax, depreciation and amortization could be $45 million to $60 million.

EBITDA was helped by a $20 million business interruption insurance payout triggered by a crack in a steam drum at Montana Renewables’ plant, a Calumet subsidiary. The company also paid back a $1.44 billion loan from the Department of Energy for the expansion of the Montana Renewables’ SAF fuels plant.

“With the DOE loan closed, and the other strategic catalysts executed in 2024 behind us, we enter 2025 with a clear focus on deleveraging,” Todd Borgmann, CEO of Calumet, said to the media. “Between this recently-closed DOE loan, cash flow from earnings, and our anticipated near-term capital raises, Calumet expects to pay down all of its 2026 notes, continue to de-lever the balance sheet and reduce its financing costs.”