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Bullboard - Stock Discussion Forum Methanex Corp T.MX

Alternate Symbol(s):  MEOH

Methanex Corporation is a producer and supplier of methanol to international markets in North America, Asia Pacific, Europe and South America. The Company’s operations consist of the production and sale of methanol, a commodity chemical. It operates production sites in Canada, Chile, Egypt, New Zealand, Trinidad and Tobago and the United States. It has three plants in New Zealand, Motunui 1... see more

TSX:MX - Post Discussion

Methanex Corp > Record Fourth Quarter 2021 Results
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Post by Betteryear2 on Jan 26, 2022 5:28pm

Record Fourth Quarter 2021 Results

Except where otherwise noted, all currency amounts are stated in United States dollars.

  • Generated outstanding 2021 financial results of net income attributable to Methanex shareholders of $482 million and Adjusted EBITDA of $1,108 million.
  • Robust methanol prices coupled with strong production leading to records for both net income attributable to Methanex shareholders of $201 million and Adjusted EBITDA of $340 million in the fourth quarter.
  • Higher production in Chile, New Zealand and record production in Geismar led to a 31% increase in production in the fourth quarter compared to the third quarter.
  • Construction of the Geismar 3 project progressing to plan and is well-positioned to be completed on-time and on budget by late 2023/early 2024.
  • In the fourth quarter returned $68 million to shareholders through our share repurchase program and dividend.
  • Received all regulatory approvals for the strategic shipping partnership with Mitsui O.S.K. Lines, Ltd. and expect to receive proceeds of approximately $145 million in the first quarter of 2022.

VANCOUVER, British Columbia, Jan. 26, 2022 (GLOBE NEWSWIRE) -- For the fourth quarter of 2021, Methanex (TSX:MX) (NASDAQ:MEOH) reported net income attributable to Methanex shareholders of $201 million ($2.51 net income per common share on a diluted basis) compared to net income of $71 million ($0.93 net income per common share on a diluted basis) in the third quarter of 2021. The increase in net income is primarily due to the higher average realized price and higher sales of Methanex-produced methanol. Adjusted EBITDA for the fourth quarter of 2021 was $340 million, and Adjusted net income was $185 million ($2.43 Adjusted net income per common share). This compares with Adjusted EBITDA of $264 million and Adjusted net income of $99 million ($1.29 Adjusted net income per common share) for the third quarter of 2021.

In the fourth quarter, strong market conditions supported high methanol prices while cost pressures from higher natural gas and coal prices led to restrictions in methanol industry production. We increased our average realized price to $445 per tonne in the fourth quarter, a 14% or $55 per tonne increase compared to $390 per tonne in the third quarter.

For the year ended December 31, 2021, Methanex reported significantly higher net income attributable to Methanex shareholders of $482 million ($6.13 net income per common shares on a diluted basis), Adjusted EBITDA of $1,108 million and an Adjusted net income of $460 million ($6.03 Adjusted net income per common share). This compares with a net loss attributable to Methanex shareholders of $157 million ($2.06 net loss per common share on a diluted basis), Adjusted EBITDA of $346 million and an Adjusted net loss of $123 million ($1.62 Adjusted net loss per common share) for the year ended December 31, 2020.

We ended the quarter with $932 million in cash and returned $68 million to shareholders through our regular dividend and share purchase program. We repurchased 1,435,193 common shares, of the approved 3,810,464, for approximately $63 million since the start of the normal course issuer bid on September 16, 2021.

John Floren, President & CEO of Methanex, said, “I am extremely proud of the record financial results we delivered in 2021 amid the continuing impact of COVID-19. In 2021, we took actions to strengthen our asset portfolio by restarting the construction of G3, restarting Chile IV and completing the G2 debottlenecking project. In the fourth quarter, the strong fundamentals of the methanol industry, coupled with our high levels of production and strong and consistent execution of our strategy enabled us to generate strong free cash flow and deliver one of the strongest operational and financial performances in our history." Mr. Floren continued, "Our capital allocation priorities remain the same. We are well positioned to maintain our business, pursue attractive growth opportunities and continue our long track record of returning excess cash to shareholders through a sustainable dividend and share buybacks."


https://www.globenewswire.com/news-release/2022/01/26/2373881/0/en/Methanex-Reports-Record-Fourth-Quarter-2021-Results.html

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