Heritage-Crystal Cleans oil business segment reported $32 million in revenues for its fourth fiscal quarter ending Jan. 2, down 35.6 percent from $49.7 million a year earlier.

During fiscal 2015, oil business segment revenues added up to $123.7 million, down 17.2 percent from $149.3 million.

The revenue decrease was mainly driven by a $38.6 million shortfall in lube oil sales, resulting from lower prices, $7.3 million from lower average selling prices for our by-products and $3.9 million from a lower average [residual fuel oil] selling price, partially offset by higher volume, the company stated in its earnings news release.

Declining prices for crude oil during the fourth quarter of fiscal 2015 caused a decline in the market price for the type of base oil we produce of approximately 15 percent while our RFO pricing decreased by approximately 23 percent compared to the third quarter of 2015, founder, President and CEO Joe Chalhoub said in its earnings news release. These price declines put pressure on our spreads, as we were not able to raise our street price for oil collection enough during the fourth quarter to offset these declines during this transition period. This resulted in a compression of the spread between our net cost of feedstock and the selling of our oil products during the fourth quarter.

Chalhoub noted that through the first eight weeks of the first quarter of fiscal 2016, the company has seen an additional decrease in the market price for the type of base oil it sells by approximately 7 percent. However, he added, the company reported its weighted average street price for the collection of used oil during February was over 30 cents per gallon. This compares to a net charge of less than 5 cents [per gallon] during the fourth quarter of fiscal 2015. While we are happy with this improvement, we will continue to adjust our street price and service fees in an effort to restore the spreads, he stated.

The companys rerefinery in Indianapolis, Indiana, has 2,500 barrels per day of API Group II production capacity.

Elgin, Ill.-based parts cleaning, waste services and rerefining company Heritage doesnt break out net income for its oil business segment. As a whole, the company posted a $2.4 million loss for the fourth quarter, compared to a $9.6 million loss in the year-earlier quarter. The company posted a $1.4 million profit for full year 2015, compared to a $6.9 million loss for 2014.

Milacron

Cincinnati-based Milacron Holdings Corp.s Industrial Fluids segment, which supplies metalworking and industrial fluids, posted operating earnings of $3.6 million for the fourth quarter, down 18.2 percent from $4.4 million a year earlier.

For full year 2015, the Industrial Fluids segment reported $12.9 million in operating earnings, down 4.4 percent.

The segment posted sales of $27.3 million for the fourth quarter, down 11.9 percent from $31 million a year earlier. Excluding $2.4 million of unfavorable effects of currency movements, sales decreased 5.7 percent compared to the prior-year period.

For the year ending Dec. 31, sales reached $115.2 million, down 47.2 percent from $128.8 million for full year 2014. Excluding $12.5 million of unfavorable effects of currency movements, sales for the Industrial Fluids segment were essentially flat to the prior year.