Financial Data and Key Metrics Changes - For Q1 2025, the company reported net sales of $143 million, net income of $27 million, and EBITDA of $53 million, with a declared distribution of $2.26 per common unit [5][8] - Ammonia prices increased by 5% year-over-year, while UAN prices declined by 4% due to delayed shipments [6][11] - The company ended the quarter with total liquidity of $172 million, including $122 million in cash [9] Business Line Data and Key Metrics Changes - Consolidated ammonia plant utilization was at 101%, with combined ammonia production of 216,000 gross tons and UAN production of 348,000 tons for Q1 2025 [5][6] - Approximately 336,000 tons of UAN were sold at an average price of $256 per ton, and 60,000 tons of ammonia at an average price of $554 per ton [6][8] Market Data and Key Metrics Changes - The USDA estimates that farmers will plant approximately 95 million acres of corn and 83 million acres of soybeans in spring 2025, with carryout inventory levels below ten-year averages [11][12] - Natural gas prices in Europe have declined to about $12 per MMBtu, while U.S. prices range between $3 and $4.5 per MMBtu [16] Company Strategy and Development Direction - The company is focused on reliability and performance, with ongoing debottlenecking projects aimed at improving production rates and reducing downtime [18][19] - Plans to install a nitrous oxide abatement unit at the Coffeyville plant align with the strategy of reducing the carbon footprint [18] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism for a strong planting season due to favorable weather and solid demand for nitrogen fertilizer [7][11] - Concerns about geopolitical risks and tariffs impacting fertilizer and grain prices were highlighted, with a focus on the potential effects on U.S. farmer economics [12][15] Other Important Information - The company anticipates total capital spending for 2025 to be between $50 million and $60 million, primarily for maintenance capital [9] - The Board of Directors continues to reserve capital for future projects, with expectations for cash flows to support growth initiatives [19] Q&A Session Summary Question: Can you discuss the step down in utilization rates from Q1? - Management explained that the step down is due to the installation of a new control system at the East Dubuque facility, not a performance issue [24] Question: What is the status of growth projects and their impact on ammonia production? - Management indicated that several projects aim to reduce downtime and potentially expand nameplate capacity, leading to increased production over the next two to three years [25][26] Question: Can you provide a cost estimate for the natural gas project? - Management mentioned that the cost is expected to be in the low double digits, with ongoing evaluations of alternatives [27] Question: Should we expect more robust UAN pricing in Q2? - Management confirmed that pricing has been escalating since December and Q2 will reflect higher market prices [32] Question: How will the tight inventory impact summer fill pricing? - Management expressed optimism that tight inventory levels will bode well for summer fill pricing [33][34] Question: What is the perspective on the pricing divergence between urea and ammonia? - Management noted that the Midwest ammonia market is not accurately represented by the Tampa ammonia contract, and the supply-demand balance remains tight [35][36] Question: How will China's reduced corn purchases impact American farmers? - Management indicated that Mexico is a more significant buyer of corn, and while China may reduce soybean purchases, global demand for corn and soybeans remains strong [37][38]

Financial Performance - For the first quarter of 2025, CVR Partners reported net income of $27 million, or $2.56 per common unit, and EBITDA of $53 million on net sales of $143 million, compared to net income of $13 million, or $1.19 per common unit, and EBITDA of $40 million on net sales of $128 million for the same period in 2024[2][9]. - Operating income for Q1 2025 was $34.59 million, compared to $20.06 million in Q1 2024, reflecting stronger performance[21]. - Net income for Q1 2025 was $27.1 million, significantly higher than $12.6 million in Q1 2024, leading to an EBITDA of $52.9 million compared to $39.5 million in the prior year[33]. - Available cash for distribution increased to $23.9 million in Q1 2025 from $20.3 million in Q1 2024, reflecting improved financial performance[33]. Production and Sales - The production of ammonia increased to 216,000 tons in Q1 2025, with 64,000 net tons available for sale, compared to 193,000 tons produced in Q1 2024, of which 60,000 net tons were available for sale[4][21]. - Total net sales for Q1 2025 were $142.87 million, an increase from $127.67 million in Q1 2024, driven by higher fertilizer product sales[21][22]. - Consolidated sales volumes for ammonia decreased to 60,000 tons in Q1 2025 from 70,000 tons in Q1 2024, while UAN sales increased to 336,000 tons from 284,000 tons[28]. - Total ammonia production increased to 216,000 tons in Q1 2025 from 193,000 tons in Q1 2024, with net available for sale rising to 64,000 tons from 60,000 tons[28]. Pricing and Costs - Average realized gate prices for ammonia rose by 5% to $554 per ton in Q1 2025, while UAN prices decreased by 4% to $256 per ton[5]. - Ammonia pricing at gate rose to $554 per ton in Q1 2025, up from $528 per ton in Q1 2024, while UAN pricing decreased to $256 per ton from $267 per ton[28]. - Natural gas costs per MMBtu increased to $4.62 in Q1 2025 from $3.10 in Q1 2024, impacting overall production costs[28]. - Ammonia pricing in the Southern plains decreased slightly to $562 per ton in Q1 2025 from $567 per ton in Q1 2024, while pricing in the Corn belt increased to $618 per ton from $598 per ton[30]. Operational Efficiency - The ammonia utilization rate reached 101% in Q1 2025, up from 90% in Q1 2024, indicating improved operational efficiency[26]. - The company continues to focus on high utilization of its plants and generating free cash flow, indicating a strategic emphasis on operational efficiency and financial health[4]. - The ammonia utilization rate for Q2 2025 is forecasted to be between 93% and 97%[32]. Cash Distribution - CVR Partners declared a cash distribution of $2.26 per common unit for Q1 2025, payable on May 19, 2025[6][9]. - The company declared a cash distribution of $2.26 per common unit related to Q1 2025, to be paid in May 2025[34]. Capital Expenditures - Total capital expenditures for Q1 2025 were $5.93 million, compared to $4.61 million in Q1 2024, with maintenance expenditures at $3.69 million[25]. - Direct operating expenses for Q2 2025 are projected to be between $57 million and $62 million, while total capital expenditures are expected to range from $18 million to $22 million[32].

Financial Performance - CVR Energy reported a first quarter 2025 net loss attributable to stockholders of $123 million, or $1.22 per diluted share, compared to a net income of $82 million, or 81 cents per diluted share in the first quarter of 2024 [1][10] - Adjusted loss for the first quarter of 2025 was 58 cents per diluted share, compared to adjusted earnings of 4 cents in the first quarter of 2024 [1][10] - The company's EBITDA loss for the first quarter of 2025 was $61 million, down from an EBITDA of $203 million in the same period of 2024 [1][10] Segment Performance - The Petroleum Segment reported a first quarter 2025 net loss of $160 million and an EBITDA loss of $119 million, compared to a net income of $127 million and EBITDA of $171 million for the first quarter of 2024 [3][11] - The Renewables Segment achieved a net income of less than $1 million and EBITDA of $6 million for the first quarter of 2025, improving from a net loss of $10 million and EBITDA loss of $4 million in the first quarter of 2024 [7][9] - The Nitrogen Fertilizer Segment reported net income of $27 million and EBITDA of $53 million on net sales of $143 million for the first quarter of 2025, compared to net income of $13 million and EBITDA of $40 million on net sales of $128 million for the first quarter of 2024 [11] Operational Metrics - Combined total throughput for the first quarter of 2025 was approximately 120,000 barrels per day, down from approximately 196,000 barrels per day in the first quarter of 2024, primarily due to the turnaround at the Coffeyville refinery [4][46] - The refining margin for the first quarter of 2025 was $(5) million, or (42) cents per total throughput barrel, compared to $290 million, or $16.29 per total throughput barrel during the same period in 2024 [5][45] - The Renewables margin was $16 million, or $1.13 per vegetable oil throughput gallon, for the first quarter of 2025, compared to $4 million, or 65 cents per vegetable oil throughput gallon, for the first quarter of 2024 [9][49] Cash and Debt Position - Consolidated cash and cash equivalents were $695 million at March 31, 2025, a decrease of $292 million from December 31, 2024 [15] - Total debt and finance lease obligations were $1.9 billion at March 31, 2025, including $570 million held by the Nitrogen Fertilizer Segment [15][39] Market Indicators - Average realized gate prices for ammonia increased by 5 percent to $554 per ton in the first quarter of 2025, while UAN prices decreased by 4 percent to $256 per ton [13][55] - The West Texas Intermediate (WTI) crude oil price averaged $71.42 per barrel in the first quarter of 2025, down from $76.91 per barrel in the same period of 2024 [48]

Core Insights - CVR Partners reported a net income of $27 million, or $2.56 per common unit, for Q1 2025, a significant increase from $13 million, or $1.19 per common unit, in Q1 2024 [1][9] - The company achieved an EBITDA of $53 million on net sales of $143 million in Q1 2025, compared to an EBITDA of $40 million on net sales of $128 million in Q1 2024 [1][19] - The average realized gate prices for ammonia increased by 5% to $554 per ton, while UAN prices decreased by 4% to $256 per ton compared to the previous year [4][32] Financial Performance - Net sales for Q1 2025 were $142.87 million, up from $127.67 million in Q1 2024 [19] - Operating income rose to $34.59 million in Q1 2025 from $20.06 million in Q1 2024 [19] - The company declared a cash distribution of $2.26 per common unit for Q1 2025, payable on May 19, 2025 [5][9] Production and Operations - CVR Partners produced a total of 216,000 tons of ammonia in Q1 2025, an increase from 193,000 tons in Q1 2024 [3][27] - The ammonia utilization rate reached 101% in Q1 2025, compared to 90% in Q1 2024 [26] - The company upgraded a significant portion of its ammonia production into other fertilizer products, producing 348,000 tons of UAN in Q1 2025, up from 305,000 tons in Q1 2024 [3][27] Market Conditions - The supply and demand for nitrogen fertilizer products remain tight, contributing to rising prices as the spring planting season approaches [2] - The average prices for ammonia and UAN in key markets showed mixed trends, with ammonia prices in the Southern Plains at $562 per ton and UAN prices in the Corn Belt at $324 per ton [29][32] Cash Flow and Capital Expenditures - Net cash flow from operating activities was $55.39 million in Q1 2025, compared to $42.42 million in Q1 2024 [25] - Total capital expenditures for Q1 2025 were $5.93 million, up from $4.61 million in Q1 2024 [26] - Available cash for distribution was reported at $23.93 million for Q1 2025, compared to $20.35 million for Q1 2024 [35]

Group 1 - The article discusses the declining favor of coal in the context of ESG (Environmental, Social, and Governance) initiatives and the "Green New Deal" [1] - It highlights that coal has historically been associated with wrongdoing, dating back to the 19th century, and this sentiment continues into the 21st century [1] Group 2 - The author expresses a personal investment strategy focused on value, with significant holdings in various sectors including energy and alternative assets [1] - The article does not provide specific financial data or performance metrics related to coal or the companies involved [1]

Financial Data and Key Metrics Changes - For Q4 2023, the company reported net sales of $142 million, net income of $10 million, and EBITDA of $38 million, with a distribution of $1.68 per common unit declared [6][10][14] - Full year 2023 results included net sales of $681 million, net income of $172 million, and EBITDA of $281 million, with distributions totaling $17.80 per common unit [12][14][28] Business Line Data and Key Metrics Changes - In Q4 2023, UAN production was 306,000 tons, and ammonia production was 205,000 gross tons, with sales volumes of approximately 320,000 tons of UAN and 98,000 tons of ammonia [13] - The average price for UAN was $241 per ton, and for ammonia, it was $461 per ton, reflecting a decline of approximately 47% and 52% respectively compared to the prior year [8][13] Market Data and Key Metrics Changes - Grain market conditions have softened, with USDA estimating a 4% decrease in corn planting to 91 million acres and a 5% increase in soybean planting to 88 million acres for 2024 [18] - Current grain prices are lower, with May corn at $4.30 per bushel and soybeans at nearly $11.90 per bushel, supporting attractive farmer economics for nitrogen fertilizer demand [19] Company Strategy and Development Direction - The company is considering a dual feed system at the Coffeyville facility to utilize both natural gas and pet coke, aiming for a decision in 2024 [24][33] - The focus remains on improving reliability and redundancy at production facilities, with capital reserved for targeted capacity increases [24] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in strong nitrogen fertilizer demand for the spring 2024 planting season, despite recent softening in grain market conditions [11][20] - Geopolitical risks and natural gas price fluctuations in Europe are noted as potential volatility factors for the nitrogen fertilizer industry [21][22] Other Important Information - The company achieved a 94% ammonia utilization rate for Q4 2023, with ongoing operations at the East Dubuque facility despite a union strike [25][27] - Capital spending for Q4 2023 was $11 million, with full year spending at $29 million, and estimates for 2024 maintenance capital spending between $32 million and $35 million [15] Q&A Session Summary Question: Timing and costs for dual fuel project at Coffeyville - Management aims to make a decision in 2024, with capital costs expected to be manageable and potentially funded from existing reserves [31][32] Question: Inventory levels in the channel - Inventory levels are lower than historical averages, with customers adopting a more ratable buying pattern due to high capital costs [38][40] Question: Ammonia utilization at Coffeyville - A catalyst change is being performed, which is expected to temporarily lower utilization rates but will return to full production thereafter [41]

Financial Data and Key Metrics Changes - For Q3 2023, the company reported net sales of $131 million, net income of $1 million, and EBITDA of $32 million, with a distribution of $1.55 per common unit declared [32][34][36] - Compared to Q3 2022, EBITDA increased primarily due to higher production and sales volumes, and lower operating expenses, despite ammonia prices falling 56% and UAN prices falling 48% [33][34] Business Line Data and Key Metrics Changes - UAN production for Q3 2023 was 358,000 tons, with sales of approximately 387,000 tons at an average price of $223 per ton, and 62,000 tons of ammonia sold at an average price of $365 per ton [5][34] - Direct operating expenses for Q3 2023 were $58 million, a decrease of approximately $38 million compared to Q3 2022, driven by lower turnaround and maintenance expenses [7] Market Data and Key Metrics Changes - The nitrogen fertilizer market saw a price reset in July, with prices firming due to strong demand and reduced supply from outages [13][20] - Current USDA estimates indicate 95 million acres of corn were planted in spring 2023, a 7% increase from 2022, supporting favorable conditions for nitrogen fertilizer demand [40] Company Strategy and Development Direction - The company is focusing on reliability and performance, with plans for decarbonization efforts including the installation of a nitrous oxide abatement unit expected to be completed by 2025 [22][24] - The company is exploring CO2 sequestration opportunities and evaluating brownfield development projects for potential capacity increases [23][44] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about nitrogen fertilizer demand for 2024, citing steady grain prices and favorable farmer economics [41][39] - Geopolitical risks and natural gas price fluctuations in Europe are noted as potential challenges for the nitrogen fertilizer industry [21] Other Important Information - The company amended its ABL credit facility to increase maximum availability from $35 million to $50 million, extending maturity to 2028 [35] - Total liquidity at the end of the quarter was $137 million, including $89 million in cash [35] Q&A Session Summary Question: Impact of the strike at East Dubuque on utilization - Management indicated that the strike would not disrupt operations or utilization, as they are fully manned and expect to run continuously [49] Question: Customer purchasing patterns - Management noted that customers are purchasing more ratably and not carrying inventory for long periods, which aligns with their production schedule [50][51] Question: Fourth quarter production and sales - Management refrained from providing specific sales figures but indicated a significant increase in ammonia and UAN sales since July [52] Question: Maintenance CapEx reserves - The buildup in reserves is due to ongoing reliability and expansion projects, with future reserves depending on project outcomes [53][60] Question: Russian imports of UAN - Management stated that the flow of Russian UAN has normalized since mid-2022, with no significant changes impacting the market [61]

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 10-Q (Mark One) ☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to . Commission file number: 001-35120 CVR PARTNERS, LP (Exact name of registrant as specified in its charter) (State or other jurisdiction ...

Commodity Price Risks - The company reported a significant reliance on natural gas as the primary raw material for nitrogen-based products, with market prices being volatile and influenced by grain prices and demand fluctuations [284]. - The company faces risks related to the cyclical and highly volatile nature of nitrogen fertilizer prices, which could materially impact financial performance [35]. - The company is exposed to significant market risks due to potential changes in fertilizer product prices, which are subject to fluctuations in commodity markets [284]. - The company has commitments to purchase natural gas through various contracts, indicating a strategic approach to manage commodity price risk [283]. - The company’s future operations may be influenced by geopolitical factors, including the ongoing Russia-Ukraine conflict, which could affect commodity supply chains and pricing [26]. Financial Performance - Net sales for the year ended December 31, 2022, were $835.6 million, a 57% increase from $532.6 million in 2021 [305]. - Operating income for 2022 was $319.9 million, compared to $134.5 million in 2021, reflecting a significant improvement in profitability [305]. - Net income for 2022 reached $286.8 million, up from $78.2 million in 2021, indicating a strong recovery and growth trajectory [305]. - Basic and diluted earnings per common unit for 2022 were $27.07, compared to $7.31 in 2021, showcasing enhanced earnings performance [305]. - Net income for the year ended December 31, 2022, was $286,801,000, a significant increase from $78,155,000 in 2021 [311]. - Net cash provided by operating activities increased to $301,464,000 in 2022 from $188,725,000 in 2021, reflecting a growth of 59.7% [311]. - Total revenue for the year ended December 31, 2022, was $835,584,000, a 57% increase from $532,581,000 in 2021 [383]. Asset and Liability Management - Total assets as of December 31, 2022, were $1.1 billion, a decrease from $1.13 billion in 2021, primarily due to changes in cash and long-term debt [302]. - Total current liabilities decreased to $126.1 million in 2022 from $161.9 million in 2021, indicating improved liquidity management [302]. - Long-term debt decreased to $546.8 million in 2022 from $610.6 million in 2021, reflecting a reduction in leverage [302]. - Cash and cash equivalents as of December 31, 2022, were $86.3 million, down from $112.5 million in 2021, highlighting cash flow dynamics [302]. - The total lease liability as of December 31, 2022, was $10,905,000, with total lease payments amounting to $12,220,000 [363]. Operational Efficiency - The company’s operations are dependent on third-party suppliers, which could adversely affect business continuity and operational efficiency [35]. - The company has limited asset diversification and is dependent on significant customers, which poses risks to revenue stability [30]. - The Partnership incurred turnaround expenses of $33.4 million in 2022, compared to $2.9 million in 2021 and $0.7 million in 2020, indicating a significant increase in maintenance activities [350]. - The Partnership's total property, plant, and equipment, net was $810,994,000 as of December 31, 2022, compared to $850,462,000 in 2021, a decrease of 4.6% [329]. Regulatory and Environmental Factors - The company is subject to environmental regulations that could increase operational costs and impact profitability [35]. - No liabilities have been recognized for environmental remediation matters as of December 31, 2022, indicating no identified probable or estimable issues [342]. - The environmental agreement allows CRRM to manage certain environmental liabilities, with no recorded liabilities as of December 31, 2022 [420]. Shareholder Returns - The Partnership declared a distribution of $10.50 per common unit for the fourth quarter of 2022, totaling $111.0 million, payable on March 13, 2023 [427]. - Total quarterly distributions for 2022 reached $204.8 million, with $129.6 million paid to public unitholders and $75.2 million to CVR Energy [426]. Customer Concentration - The largest concentration of credit for any one customer was approximately 45% of the accounts receivable net balance at December 31, 2022 [324]. - Major customers accounted for 30% and 26% of net sales for the years ended December 31, 2022, and 2020, respectively [387]. Compensation and Employee Costs - Share-based compensation increased to $9,231,000 in 2022 from $5,888,000 in 2021, reflecting a 56% rise [364]. - For the year ended December 31, 2022, the total compensation expense related to phantom unit awards was approximately $25.7 million, compared to $27.0 million in 2021 and $0.6 million in 2020 [393]. - The Partnership recognized personnel costs of $8.3 million for the year ended December 31, 2022, compared to $8.1 million in 2021 and $6.6 million in 2020 [416].

CVR Partners, LP (NYSE:UAN) Q4 2022 Earnings Conference Call February 22, 2023 11:00 AM ET Company Participants Richard Roberts - Vice President, Financial Planning and Analysis and IR Mark Pytosh - Chief Executive Officer Dane Neumann - Chief Financial Officer Conference Call Participants Rob McGuire - Granite Research Operator Greetings. And welcome to the CVR Partners Fourth Quarter 2022 Conference Call. At this time, all participants are in a listen-only mode. A brief question-and-answer session will fo ...