Core Insights - CVR Partners reported a net income of $39 million, or $3.67 per common unit, for Q2 2025, an increase from $26 million, or $2.48 per common unit, in Q2 2024 [1][9] - The company achieved an EBITDA of $67 million on net sales of $169 million for Q2 2025, compared to an EBITDA of $54 million on net sales of $133 million for Q2 2024 [1][19] - The average realized gate prices for ammonia and UAN increased by 14% and 18% respectively compared to the previous year [4][30] Financial Performance - Net sales for Q2 2025 were $168.6 million, up from $132.9 million in Q2 2024, with fertilizer product sales contributing $153.9 million [19][21] - Operating income for Q2 2025 was $46.3 million, compared to $33.6 million in Q2 2024 [19] - The company declared a cash distribution of $3.89 per common unit for Q2 2025, to be paid on August 18, 2025 [5][37] Production and Operations - Ammonia production decreased to 197,000 tons in Q2 2025 from 221,000 tons in Q2 2024, with 54,000 net tons available for sale [3][26] - The ammonia utilization rate was reported at 91% for Q2 2025, down from 102% in Q2 2024 [25] - The company produced 321,000 tons of UAN in Q2 2025, slightly down from 337,000 tons in Q2 2024 [3][26] Market Conditions - The nitrogen fertilizer market remains tight, with strong pricing continuing through the end of the planting season [2] - Average realized prices for ammonia and UAN were $593 and $317 per ton respectively in Q2 2025, compared to $520 and $268 per ton in Q2 2024 [4][30] - The company is focused on maintaining safe and reliable operations while generating free cash flow [3][2] Cash Flow and Capital Expenditures - Net cash flow from operating activities for Q2 2025 was $24.1 million, compared to $8.6 million in Q2 2024 [23] - Total capital expenditures for Q2 2025 were $10.7 million, up from $4.9 million in Q2 2024 [24] - Available cash for distribution was reported at $41.1 million for Q2 2025, compared to $20.1 million for Q2 2024 [33]

Company Overview - CVR Energy was founded in 2006 and has over 1,550 employees[14] - The company focuses on petroleum refining, nitrogen fertilizer manufacturing, renewable biofuels production, energy transition, and lower carbon emissions[14] - CVR Energy owns the general partner and 37% of the common units of CVR Partners, LP (NYSE: UAN)[17] Petroleum Segment - The petroleum segment has a total nameplate capacity of 206,500 bpd across two refineries[16] - The refineries achieved a 92% crude oil capacity utilization for the twelve months ended December 31, 2023[15, 32] - Approximately 20% of refined product sales were across CVR's refinery racks[36] - Approximately 33% of product sales were across Oneok and NuStar racks[36] - Approximately 47% of product sales were to the bulk market[36] - Total Estimated 2024 Petroleum Segment and Other Capex of $181 million - $202 million[75] - 2024 Turnaround Spending of $60 million - $70 million[76] Renewable Biofuels - Wynnewood renewable diesel unit (RDU) completed in April 2022 with a capacity of 100 million gallons per year[20, 66] - The company plans to retain the flexibility to return the unit to hydrocarbon processing and/or install another reactor on the diesel hydrotreater to regain lost hydrocarbon processing capacity if dictated by the margin environment and otherwise approved[68] Nitrogen Fertilizer Segment - CVR Energy owns 37% of the common units of CVR Partners, LP (NYSE: UAN)[17] - The company estimates planted corn acres to be 91 million in 2024, compared to 946 million in 2023[97] - 2024 Total Capex budget of $44 million - $48 million[113]

Financial Performance - Q4'24 net sales increased to $135 million from $133 million in Q4'23[19] - Adjusted EBITDA for Q4'24 was $38 million, a year-over-year improvement from $25 million in Q4'23[19, 6] - Adjusted EBITDA margin increased to 28% in Q4'24 from 19% in Q4'23[19] - The company repurchased approximately $222 million in principal amount of Senior Secured Notes and 4.6 million shares of common stock over the 24-months ended 12/31/24[28] Market and Pricing Trends - Tampa Ammonia price was $460 per metric ton as of February 26, 2025, compared to $445 per metric ton on February 26, 2024[14] - UAN (NOLA) price was $290 per short ton as of February 26, 2025, compared to $245 per short ton on February 26, 2024[14] - Natural gas price (NYMEX Spot Price) was $3.86 per MMBtu as of February 26, 2025, compared to $1.66 per MMBtu on February 26, 2024[14] 2025 Outlook - Ammonia production is projected to be between 790,000 and 820,000 tons in 2025, compared to 757,000 tons in 2024[29] - AN and Nitric Acid sales volume is expected to be between 590,000 and 620,000 short tons in 2025, compared to 554,000 short tons in 2024[29] - UAN sales volume is projected to be between 620,000 and 650,000 short tons in 2025, compared to 483,000 short tons in 2024[29] - Ammonia sales volume is expected to be between 250,000 and 280,000 short tons in 2025, compared to 321,000 short tons in 2024[29]