New Fortress Energy, the developer of liquefied natural gas and power projects in Latin America and the Caribbean, narrowed its fourth-quarter losses while revenues rose as it embarked on new LNG import projects in Nicaragua and Mexico and was set to bring a venture on stream in Puerto Rico.
New Fortress said it fourth-quarter losses amounted to $38.4 million compared with $54.4M in the previous quarter ending in September 2019.
Revenues during the three months increased to $69.8M from $49.7M in the previous three months.
“The company had its first quarter of positive operating margin as we continue to transform from a development company to an operating business,” said the earnings statement.
Annual total revenues continued to rise, reaching $189.1M in 2019, from $112.3M in 2018 and $97.2M in 2017.
New Fortress said income increased from the third quarter primarily due to revenue generated from the Old Harbour terminal. There were increases in volumes sold to industrial end-users in Jamaica and additional sales at the Caribbean nation’s Montego Bay LNG terminal.
“The increase was also due to the recognition of revenue of $13.2M for development services in the fourth quarter, primarily attributable to the conversion of our customer’s infrastructure in Puerto Rico,” said New Fortress.
“The decrease in net loss resulted from a positive operating margin in the fourth quarter as well as decreases in selling, general and administrative (SG&A) expenses,” said the company.