World Kinect (NYSE:WKC) Posts Quarterly Earnings Results

World Kinect (NYSE:WKC) released its quarterly earnings results on Thursday. The company reported $0.99 earnings per share for the quarter, beating analysts’ consensus estimates of $0.96 by $0.03, FiscalAI reports. World Kinect had a positive return on equity of 11.24% and a negative net margin of 0.43%. The company had revenue of $13.27 billion for the quarter, compared to analysts’ expectations of $12.34 billion.

Here are the key takeaways from World Kinect’s conference call:

• Record third-quarter results included adjusted EPS of $0.99, up 83% year over year, and adjusted gross profit of $279 million, up 12%. The company raised full-year adjusted EPS guidance to $3.52–$3.62 from $3.20–$3.40.
• Marine gross profit surged 131% year over year to $59 million, while aviation gross profit increased 4% to $148 million. Land adjusted operating income more than doubled to $28 million, reflecting portfolio simplification and strong performance in retail and cardlock.
• The company generated $175 million of operating cash flow and $164 million of free cash flow in the quarter, aided by improved working-capital discipline. Management said stronger cash conversion increases flexibility to invest, pursue opportunities, and return capital to shareholders.
• Management expects marine gross profit and land adjusted operating income to decline sequentially in the fourth quarter as market-related benefits and favorable volatility moderate, while aviation is expected to be broadly flat sequentially. Higher interest expense and elevated rates also remain headwinds, and management cautioned that third-quarter working-capital benefits may not be repeated.

World Kinect Price Performance

WKC stock traded up $0.62 during trading hours on Thursday, hitting $37.23. 1,064,084 shares of the stock traded hands, compared to its average volume of 977,414. The stock has a 50-day simple moving average of $35.91 and a 200 day simple moving average of $30.68. World Kinect has a one year low of $22.21 and a one year high of $41.20. The company has a market cap of $1.90 billion, a P/E ratio of -11.60, a P/E/G ratio of 0.56 and a beta of 1.21. The company has a current ratio of 1.06, a quick ratio of 0.91 and a debt-to-equity ratio of 0.58.

World Kinect Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Friday, October 16th. Stockholders of record on Monday, September 28th were issued a $0.23 dividend. The ex-dividend date was Monday, September 28th. This represents a $0.92 annualized dividend and a dividend yield of 2.5%. World Kinect’s dividend payout ratio is -28.66%.

Insider Transactions at World Kinect

In other World Kinect news, EVP Jose-Miguel Tejada sold 6,000 shares of the company’s stock in a transaction dated Thursday, August 13th. The shares were sold at an average price of $37.16, for a total value of $222,960.00. Following the completion of the sale, the executive vice president directly owned 35,676 shares of the company’s stock, valued at approximately $1,325,720.16. This represents a 14.40% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Chairman Michael J. Kasbar sold 10,000 shares of the firm’s stock in a transaction dated Monday, August 3rd. The shares were sold at an average price of $39.41, for a total transaction of $394,100.00. Following the transaction, the chairman owned 976,450 shares of the company’s stock, valued at approximately $38,481,894.50. This trade represents a 1.01% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last ninety days, insiders have sold 36,000 shares of company stock worth $1,327,760. 3.80% of the stock is owned by corporate insiders.

Wall Street Analysts Forecast Growth

Several brokerages have weighed in on WKC. Zacks Research downgraded World Kinect from a “strong-buy” rating to a “hold” rating in a research note on Monday, September 28th. Morgan Stanley set a $30.00 price target on World Kinect in a research note on Wednesday, July 29th. Wall Street Zen lowered World Kinect from a “strong-buy” rating to a “buy” rating in a report on Saturday, October 10th. Finally, Weiss Ratings restated a “sell (d)” rating on shares of World Kinect in a research note on Monday. One analyst has rated the stock with a Hold rating and two have given a Sell rating to the stock. According to MarketBeat.com, World Kinect currently has an average rating of “Sell” and an average target price of $30.00.

World Kinect Company Profile

World Kinect Corporation (NYSE:WKC) is an energy management company that supplies, distributes and manages fuel and other energy products for commercial customers around the world. The company serves the aviation, marine and land transportation sectors, as well as commercial, industrial and government customers.

Its offerings include conventional and renewable fuels, natural gas, electricity, lubricants, fuel-management services and related environmental solutions. World Kinect also provides procurement, logistics, payment-processing and transaction-management services designed to help customers manage energy supply, costs and operational requirements.

The company was founded as World Fuel Services in 1985 and adopted the World Kinect name in 2024.