Pacific Ethanol, Inc. (NASDAQ: PEIX) was a soaring eagle today ahead of earnings with a 16% gain to $1.61. It is giving it all back now. The ethanol player turned in its fourth quarter earnings report showing $241.8 million in revenues (representing about 80% in total sales growth) and it reported a loss of -$0.03 in earnings per share. Total gallons sold (of ethanol) were 116.3 million and that represents growth of 53%.
The headwinds were lower gasoline demand (causing lower ethanol demand) as well as lower ethanol prices and lower ethanol margins.
Operating income was listed as being up to $3.7 million in the quarter and $4.0 million for the year but those figures did have some items in the reported figures.
What is interesting is the reaction. With such a small market cap and small share price, there are hardly an analyst estimates. The 16% gain to $1.61 is now being shown to be a 27% loss in the after-hours to $1.17.