, one of the largest distributors of propane, today reported that Adjusted EBITDA for the fiscal fourth quarter ended July 31 increased 17% to $12.2 million from $10.4 million in the year-earlier quarter. The lower seasonal loss in the fiscal quarter primarily reflects a 7% increase in total propane sales volumes, that improved the seasonal loss to $35.1 million, or $0.51 per unit, from $38.8 million, or $0.61 per unit, the year before.
For the full year, the partnership reported record Adjusted EBITDA of $251.1 million, in line with the partnership's guidance of "in the range of $250 million," representing a 13% increase over $221.9 million in fiscal 2008. The previous record Adjusted EBITDA had been $237.1 million in fiscal 2007. Net income for the fiscal year more than doubled to $52.6 million, or $0.79 per unit, from $24.7 million, or $0.39 per unit the year before.
Chief Executive Officer and President Steve Wambold commented, "We are very pleased with the fourth-quarter and full-year results. Our dedicated focus to our strategic plan of disciplined growth and cost containment played a significant role in this year's performance." Wambold further observed, "The most impressive fourth-quarter metric was an increase of nearly 8% in retail propane sales, while our major competitors posted lower sales volumes." He added, "For the full year total propane sales were up more than 4% to 874.8 million gallons, while retail sales were practically unchanged, again outperforming the industry."
Wambold concluded by noting, "With our focus toward growth, our management team remained committed to improved efficiency by keeping a tight rein on costs. Most notably, for the full year general and administrative expense declined more than 9%, while equipment lease expense decreased nearly 25%."
During fiscal 2009, revenues were down 9.7% to $2.07 billion. However, the cost of product sold slipped 16.5%, with gross profit up more than 7% or $0.02 per propane gallon sold.
Senior Vice President and Chief Financial Officer Ryan VanWinkle noted, "In addition to the record financial results, the partnership successfully addressed its near- to mid-term capital structure through the refinancing of a $400 million working capital credit facility due 2012 and the issuance of $300 million of long-term debt due 2017. With these financings and the application of the proceeds, Ferrellgas will not only have addressed all its outstanding debt maturities through 2011 but also increased its liquidity to finance its ongoing business strategies." VanWinkle went on to say, "We are very pleased with our recent acquisition of Vanson, LLC, the fifth retail acquisition since fiscal 2008, as it demonstrates our continued focus on supplementing our organic growth initiative through acquisition."