Aventine Renewables Earnings a Pleasant Surpriseadmin
Shares of ethanol maker Aventine Renewable Energy Inc. soared over 23 percent after its first-quarter revenue and adjusted net income easily beat analyst estimates.
The stock rose $1, or 23.3 percent, to $5.30 in afternoon trading.
The company swung to a first-quarter loss of $10.8 million, or 26 cents per share, compared with a gain of $14.9 million, or 35 cents per share, in the 2007quarter.
But excluding a $21.6 million noncash charge for auction-rate securities, the company’s adjusted earnings were $10.8 million, or 26 cents per share.
Analysts polled by Thomson Financial expected, on average, earnings per share of 8 cents. Those estimates usually exclude one-time charges and gains.
Revenue rose to $509.9 million from $436.7 million. Analysts expected $480 million.
“Overall, revenues, gallons sold, gross margins, (supplies, general and administrative expenses) were all better than we had expected,” Soleil analyst Ian Horowitz wrote in a client note.