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Blue Dolphin Energy Co. (BDCO-4.41%) has submitted its 10-Q filing for the quarterly period ended September 30, 2024.
The filing details a net loss of $5.0 million for the third quarter of 2024, compared to a net income of $7.1 million in the same period the previous year. The loss is attributed to less favorable refining margins and lower sales volumes.
Total revenue from operations decreased by 19.9% to $82.1 million in the third quarter of 2024 from $102.6 million in the third quarter of 2023. This decline was primarily due to lower market pricing and sales volumes.
Blue Dolphin reported a total cost of goods sold of $85.4 million for the third quarter of 2024, a decrease from $92.0 million in the same period the previous year, due to higher crude acquisition costs and inventory write-downs.
The company used $0.1 million in cash flow from operations during the third quarter of 2024, primarily due to a buildup of inventory resulting from unfavorable product pricing and limited export opportunities.
Blue Dolphin's working capital improved to $9.9 million as of September 30, 2024, from a deficit of $6.1 million at December 31, 2023, mainly due to the reclassification of certain loans.
The company continues to face challenges related to significant current debt, some of which is in default, and uncertainties in macroeconomic conditions such as inflation and geopolitical tensions.
Blue Dolphin's refining operations segment showed a deficit of $4.0 million in the third quarter of 2024, compared to a segment margin of $9.7 million in the third quarter of 2023, due to less favorable refining margins.
Tolling and terminaling revenue decreased to $0.8 million in the third quarter of 2024 from $1.0 million in the same period the previous year, mainly due to lower tank rental fees.
The company is in technical default under a secured loan agreement for failure to provide standalone audited financial statements for a subsidiary, which may allow the lender to declare the amount owed immediately due and payable.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Blue Dolphin Energy Co. quarterly 10-Q report dated November 14, 2024. To report an error, please email earnings@qz.com.