USA: Clean Energy Posts 57 Percent Revenue Growth in Q2

Clean Energy Fuels Corp. announced operating results for the second quarter and six months ended June 30, 2011.

Revenue for the second quarter ended June 30, 2011 rose 57% to $69.1 million, up from $44.0 million in the second quarter of 2010. For the six months ended June 30, 2011, revenue totaled $134.5 million, which is an increase of 62% from $83.0 million a year ago.

Andrew J. Littlefair, Clean Energy’s President and Chief Executive Officer, stated, “We believe our business has reached an inflection point as high diesel prices compared to low natural gas prices along with increasing options for natural gas vehicles are bolstering the case for fleet operators to switch to natural gas. With our recently announced plan for building key components of America’s Natural Gas Highway infrastructure, supported by Chesapeake Energy’s $150 million investment in Clean Energy, we can accelerate the roll-out of a natural gas fueling infrastructure along major trucking corridors in the U.S. We believe this effort will be the catalyst that will spur truck operators to make the switch sooner, rather than later.”

Gasoline gallon equivalents (gallons) delivered for the second quarter of 2011, which includes compressed natural gas (CNG), liquefied natural gas (LNG), biomethane and the gallons associated with providing operations & maintenance services, totaled 39.2 million gallons, a 26% increase from 31.1 million gallons delivered in the same period a year ago. For the six months ended June 30, 2011, gallons totaled 74.7 million gallons, up from 59.7 million gallons for the six months ended June 30, 2010.

Adjusted EBITDA for the second quarter of 2011 was $0.9 million, compared with $1.4 million in the second quarter of 2010. For the six months ended June 30, 2011, adjusted EBITDA was $4.8 million, compared with $2.3 million for the same period in 2010.

When comparing periods, the volumetric excise tax credit (VETC) revenue for the second quarter and the first six months of 2011 was $4.7 million and $8.9 million, respectively, and was $0 for the corresponding periods in 2010. The VETC expired in December 2009, and was subsequently reinstated in the fourth quarter of 2010, when it was made retroactive to January 1, 2010. Accordingly, the Company recorded $3.9 million and $7.5 million of VETC revenue in the fourth quarter of 2010 that applied to the second quarter and the first six months of 2010, respectively. Adjusted EBITDA is described below and reconciled to the GAAP measure net income (loss) attributable to Clean Energy.

On a non-GAAP basis, the loss for the second quarter of 2011 was $7.0 million, or $0.10 per share, compared with a non-GAAP loss for the second quarter of 2010 of $3.8 million, or $0.06 per share. For the six months ended June 30, 2011, non-GAAP loss totaled $10.4 million, or $0.15 per share, compared with $7.8 million, or $0.13 per share, for the first six months of 2010. Non-GAAP earnings (loss) per share is described below and reconciled to the GAAP measure net income (loss) attributable to Clean Energy.

On a GAAP basis, net loss for the second quarter of 2011 was $5.6 million, or $0.08 per share, and included a non-cash gain of $4.8 million related to the accounting treatment that requires Clean Energy to value its Series I warrants and mark them to market on a quarterly basis, and a non-cash charge of $3.6 million related to stock-based compensation. Net income for the second quarter of 2010, which included a non-cash gain of $16.6 million related to the mark to market of the Series I warrants and a non-cash stock-based compensation charge of $2.9 million, totaled $9.9 million, or $0.14 per share.

Net loss for the six month period ended June 30, 2011, which included a non-cash gain of $1.5 million related to the valuation of the Series I warrants, and non-cash stock-based compensation charges of $6.9 million, was $15.4 million, or $0.22 per share. This compared with a net loss for the six months ended June 30, 2010 of $14.5 million, or $0.24 per share, which included a non-cash loss for the Series I warrants of $2.0 million, and non-cash stock-based compensation charges of $6.0 million.

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Source: Clean Energy Fuels , August 9, 2011;