LSB Industries, Inc. announced its third-quarter results for 2024, reporting net sales of $109.217 million, a decrease from $114.287 million in the prior-year period. The company posted a net loss of $(25.382) million, compared to a net loss of $(7.726) million in Q3 2023, resulting in a basic and diluted loss per share of $(0.35). Despite the net loss, adjusted EBITDA saw a significant increase to $17.464 million from $9.199 million in the third quarter of 2023, driven by higher ammonia prices and lower natural gas costs.
Operational improvements were a key focus, with the successful completion of an injury-free turnaround at the Pryor facility, which included the debottlenecking of its urea plant. This enhancement is expected to yield an incremental 75,000 tons per year of UAN production, with ramp-up anticipated over the fourth quarter of 2024. Additionally, LSB completed the construction of 5,000 tons of new nitric acid storage at its El Dorado facility, aiming to optimize sales mix and maximize margins.
Progress on low-carbon initiatives continued, with expectations to begin producing low-carbon products at the El Dorado facility in 2026, pending EPA Class VI permit approval. The company also confirmed an earlier announcement of its first off-take customer for low-carbon ammonium nitrate solution from El Dorado. For the Houston Ship Channel project, LSB completed its Pre-FEED study and is engaging with potential customers, with a full FEED study expected to commence in the first half of 2025.
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