World Fuel Services 2002 Annual Report Download - page 31

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March 31, 2002. Including discontinued operations, net income for the year ended March 31, 2002 increased by $6.6 million, or
62.1%, as compared to the prior year. Diluted earnings per share increased by $0.62, or 62.0%, as compared to the prior year.
Year ended March 31, 2001 compared to Year ended March 31, 2000
Our revenue for the year ended March 31, 2001 was $1.53 billion, an increase of $328.9 million or 27.4%, as compared
to revenue of $1.20 billion for the year ended March 31, 2000. Our revenue increase was primarily due to a substantial
increase in world oil prices. Our revenue during these periods was attributable to the following segments (in thousands):
For the Year Ended March 31,
2001 2000
Marine fuel services 1,004,572$ 738,557$
Aviation fuel services 524,670 461,740
Total 1,529,242$ 1,200,297$
Our marine fuel services segment contributed $1.0 billion in revenue for the year ended March 31, 2001, an increase of
$266.0 million, or 36.0%, over the prior year. The increase in revenue for our marine segment was related to 31.5% and
8.0% increases in the average price per metric ton sold and brokered, respectively. Also contributing to the increase in
revenue for our marine segment was an increase in the volume of metric tons sold of 3.8%. Our aviation fuel services
segment contributed $524.7 million in revenue for the year ended March 31, 2001. This represented an increase in revenue
of $62.9 million, or 13.6%, as compared to the prior year. The increase in revenue results from a 36.2% increase in the
average price per gallon sold, partially offset by a 16.6% decrease in the volume of gallons sold.
Our gross profit of $71.7 million for the year ended March 31, 2001 increased $7.5 million, or 11.7%, as compared to
the prior year. Our gross margin decreased from 5.4% for the year ended March 31, 2000 to 4.7% for the year ended March
31, 2001. Our marine fuel segment achieved a 3.7% gross margin for the year ended March 31, 2001, as compared to a 3.6%
gross margin for the prior year. Our marine segment increased its gross margin despite higher fuel prices, due to an increase
in the average gross profit per metric ton sold and brokered, the result of better pricing and a reduction in low margin
business activity. Our aviation fuel business achieved a 6.6% gross margin for the year ended March 31, 2001, as compared
to 8.2% achieved for the prior year. This decrease resulted from an increase in the average price per gallon sold, partially
offset by an increase in the average gross profit per gallon sold.
Total operating expenses for the year ended March 31, 2001 were $57.6 million, an increase of $263 thousand, or 0.5%,
as compared to the year ended March 31, 2000. The increase resulted from higher compensation, professional fees, and
information technology spending, and a $3.5 million executive severance charge incurred for the year ended March 31, 2001.
Largely offsetting the increase in operating expenses was an $11.3 million decrease in the provision for bad debts.
Our income from operations for the year ended March 31, 2001 was $14.2 million, an increase of $7.2 million, or
104.6%, as compared to the year ended March 31, 2000. Income from operations during the year ended March 31, 2001 and
2000 were attributable to the following segments:
For the Year Ended March 31,
2001 2000
Marine fuel services 13,161$ 7,516$
Aviation fuel services 11,790 4,440
Corporate overhead (10,799) (5,038)
Total 14,152$ 6,918$
Our marine fuel services segment earned $13.2 million in income from operations for the year ended March 31, 2001, an
increase of $5.6 million, or 75.1%, as compared to the prior year. The increase in the marine segment resulted from an
improved gross profit per metric ton on traded and brokered transactions and a volume increase in metric tons sold. Partially
offsetting was a volume decrease in metric tons brokered and increases in operating expenses, including the provision for
bad debts. Our aviation segment’s income from operations was $11.8 million for the year ended March 31, 2001, an increase
of $7.4 million, or 165.5%, as compared to the prior year. This increase resulted from a decrease in the provision for bad
debts and an improvement in the gross profit per gallon sold; partially offset by a decrease in gallons sold and an increase in
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