World Kinect(US:WKC)2025-10-23 20:22Financial Performance - Gross profit for Q3 2025 was $250 million, a decrease of 7% compared to Q3 2024[4] - GAAP net income for Q3 2025 was $26 million, or $0.46 per diluted share, down 19% from $0.57 per diluted share in Q3 2024[5] - Adjusted EBITDA for Q3 2025 was $94 million, a decrease of 6% from $100 million in Q3 2024[5] - Total revenue for Q3 2025 was $9.392 billion, a decline of 10% from $10.491 billion in Q3 2024[5] - Gross profit for Q3 2025 was $249.6 million, down from $268.1 million in Q3 2024, reflecting a gross margin of 2.7%[21] - Net income attributable to World Kinect for Q3 2025 was $25.7 million, compared to $33.5 million in Q3 2024, resulting in a basic earnings per share of $0.46[21] - The company reported a loss from operations of $288.8 million for the nine months ended September 30, 2025, compared to a profit of $180.7 million for the same period in 2024[21] - The company reported a net loss of $(332.2) million for the nine months ended September 30, 2025, compared to a net income of $169.1 million for the same period in 2024[23] - For the three months ended September 30, 2025, the GAAP net income was $28.1 million, compared to $35.0 million in 2024, reflecting a decrease of approximately 19.7%[29] Segment Performance - Aviation segment gross profit increased by 11% to $143 million, driven by higher contributions from operated airport locations in Europe[4] - Land segment gross profit decreased by 20% to $81 million, primarily due to lower contributions from the liquid fuel business in North America[4] - Marine segment gross profit decreased by 32% to $25 million, attributed to lower bunker fuel prices and reduced market volatility[4] - The Aviation segment reported revenue of $4,868.1 million for the three months ended September 30, 2025, a decrease of 6.7% from $5,218.4 million in 2024[25] - The Land segment's revenue decreased by 19.5% to $2,535.6 million for the three months ended September 30, 2025, compared to $3,151.6 million in 2024[25] Cash Flow and Assets - Operating cash flow generated in Q3 2025 was $116 million, with free cash flow of $102 million[4] - Total current assets decreased to $3,637.5 million as of September 30, 2025, from $3,959.2 million as of December 31, 2024[19] - Total liabilities decreased to $4,433.9 million as of September 30, 2025, from $4,775.8 million as of December 31, 2024[19] - Cash and cash equivalents increased to $473.6 million as of September 30, 2025, compared to $382.9 million as of December 31, 2024[19] - Net cash provided by operating activities for the three months ended September 30, 2025, was $116.1 million, a significant increase from a cash outflow of $38.5 million in the same period of 2024[23] - Cash and cash equivalents at the end of the period increased to $473.6 million as of September 30, 2025, compared to $373.8 million at the end of the same period in 2024[23] Expenditures and Impairments - Operating expenses for Q3 2025 were $187 million, a decrease of 5% compared to $196 million in Q3 2024[5] - The company reported capital expenditures of $(14.1) million for the three months ended September 30, 2025, compared to $(18.2) million in 2024, indicating a reduction in investment[23] - The company experienced goodwill and other asset impairments of $443.1 million for the nine months ended September 30, 2025[30] - Restructuring charges for the three months ended September 30, 2025, amounted to $4.9 million, while for the nine months, it was $25.9 million[29] Adjusted Metrics - Adjusted diluted earnings per share for the nine months ended September 30, 2025, was $1.60, compared to $1.56 in 2024, showing a slight increase of 2.6%[29] - The company's EBITDA for the nine months ended September 30, 2025, was $(290.6) million, a significant decline from $352.4 million in 2024[30] - The adjusted non-GAAP gross profit for the nine months ended September 30, 2025, was $712.4 million, compared to $767.5 million in 2024, indicating a decrease of 7.2%[30]