Uni-Fuels Announces Full Year 2024 Financial Results

Year-Over-Year increases in Sales of Marine Fuels, Total Revenues and Gross Profit April 22, 2025 16:30 ET | Source: Uni-Fuels Holdings Ltd SINGAPORE, April 22, 2025 (GLOBE NEWSWIRE) -- Uni-Fuels Holdings Limited (NASDAQ: UFG), (“Uni-Fuels” or the “Company”), a global provider of marine fuel solutions headquartered in Singapore, today announced its financial results for year ended December 31, 2024. Recent Developments On January 15, 2025, the Company closed its initial public offering (the “Offering”) of 2,100,000 Class A Ordinary Shares at a public offering price of $4.00 per share, for total gross proceeds of $8.4 million, before deducting underwriting discounts and commissions. All of the Class A Ordinary Shares are offered by Uni-Fuels. The Class A Ordinary Shares commenced trading on Nasdaq Capital Market on January 14, 2025, under the ticker symbol “UFG”. On February 4, 2025, the Underwriter exercised the over-allotment option (the “Over-Allotment Option”) in full to purchase additional 315,000 Class A Ordinary Shares from the Company at the public offering price of $4.00 per share, generated gross proceeds of $1.26 million. After giving effect to the full exercise of the Over-Allotment Option, the total number of Class A Ordinary Shares sold by the Company in the Offering increased to 2,415,000 Class A Ordinary Shares and the gross proceeds increased to $9.66 million, before deducting underwriting discounts and commissions. Main Highlights: In 2024, Sales of Marine Fuels reached US$155.2 million, an increase of US$85.0 million, 121% Year-Over-Year, compared to approximately US$70.2 million in 2023. As a result, Total Revenues reached US$155.2 million an increase of US$84.4 million, 119% YOY, versus US$70.8 million in 2023. Cost Of Revenues increased approximately US$83.5 million or 122% from approximately US$68.5 million in 2023 to US$152.0 million in 2024, mainly due to growth in sales of marine fuels with increasing cost to acquire marine fuels for sales. Gross Profit was US$2.3 million in 2023 and increased YOY in 2024 by US$0.9 million, 40%, to US$3.2 million. Total Operating Expenses rose from US$0.9 million in 2023 to approximately US$3.0 million, a YOY increase of US$2.1 million or 236%. As a result of these factors, Net Income decreased from US$1.2 million in 2023 to US$0.2 million in 2024, a YOY decrease of approximately US$1.0 million or 86%. Management Commentary “We are pleased to present our first annual results as a publicly listed company, marking a transformative year for our business and laying the groundwork for accelerated global growth” said Mr. Koh Kuan Hua, Chairman & CEO of Uni-Fuels. “Our listing on Nasdaq on January 14 of this year represents a significant milestone in our corporate journey and a strategic effort to strengthen our capital base and enhance our market presence in an increasingly competitive and globalized industry. Looking ahead, we remain confident in our capacity to capture further market share and scale our operations responsibly and efficiently to build on our early success and deliver sustained value to our shareholders.” The Company anticipates ongoing growth in 2025, driven by its global expansion in key markets and enhanced operational efficiency, positioning it to achieve continuous improvements in revenue and profitability year-over-year. Financial Results for the Year Ended December 31, 2024 Revenues Total revenues increased significantly by 119% from US$70.8 million for the year ended December 31, 2023 to US$155.2 million for the year ended December 31, 2024. This substantial increase was primarily driven by a pronounced rise in sales of marine fuels. This growth was partially offset by a decrease in brokerage commissions, part of a strategic shift in the Company’s revenue mix. Sales of marine fuels – Sales of marine fuels increased by approximately US$85.0 million, or 121%, from approximately US$70.2 million for the year ended December 31, 2023, to approximately US$155.2 million for the year ended December 31, 2024. This increase was attributable to strategic initiatives aimed at strengthening core business activities within the sales sector. The expansion of the Company’s sales and marketing department through additional hiring enabled the Company to conduct its own marine fuels sales. As a result, the Company substantially broadened its customer base and increased the number of ports served during the year ended December 31, 2024. The number of customers for marine fuel sales nearly doubled from 83 customers in the year ended December 31, 2023 to 156 customers in the year ended December 31, 2024, while the number of ports served rose from 51 to 87 over the same period. The successful expansion into new customer bases and supply ports resulted in a substantial increase in both the number of customers and ports where the Company arranged marine fuels supplies, subsequently leading to substantial revenue growth. Brokerage commissions – Brokerage commissions decreased by approximately US$0.6 million or 98% to US$12,150 for the year ended December 31, 2024, from approximately US$0.6 million for the year ended December 31, 2023. This decline was primarily due to a strategic shift towards enhancing sales activities. By allocating more resources through recruiting sales and marketing specialists and other personnel, the Company decided to leverage its resources for sales instead of referring deals to other parties for brokerage commissions during the year ended December 31, 2024. The significant reduction in the number of brokerage transactions referred, which dropped to 1 for the year ended December 31, 2024, from 85 for the year ended December 31, 2023, is reflected in the decrease in the Company’s brokerage commissions. Cost of revenues Cost of revenues increased by approximately US$83.5 million or 122% from approximately US$68.5 million for the year ended December 31, 2023 to US$152.0 million for the year ended December 31, 2024. The increase was mainly attributable to the growth in sales of marine fuels with increasing costs to acquire marine fuels for sales. Gross profit Gross profit increased by approximately US$0.9 million or 40%, from approximately US$2.3 million for the year ended December 31, 2023 to approximately US$3.2 million for the year ended December 31, 2024. The total gross profit margin for the year ended December 31, 2024, was approximately 2.1%, compared to approximately 3.2% for the year ended December 31, 2023. Gross profit margin for sales of marine fuels decreased to 2.1% for the year ended December 31, 2024 from 2.3% for the year ended December 31, 2023. This decline was primarily due to the strategic focus on expanding market presence and capturing additional market share for the reselling business. As part of the Company’s growth strategy, resources were dedicated to acquiring new customers by offering competitive prices in line with market conditions to increase market share. Despite decreases in gross profit and gross profit margin, these decisions were part of a strategy to drive sales, expand market share, and adapt to prevailing market dynamics. By offering more competitive pricing and strategically allocating resources, the Company is able to strengthen its market position and enhance long-term profitability. Operating expenses Selling and marketing expenses increased to US$0.7 million for the year ended December 31, 2024, from US$0.2 million for the year ended December 31, 2023, primarily driven by the expansion of sales activities. Personnel were added in the sales and marketing department to strengthen customer relationships. Additionally, efforts in building and nurturing relationships with customers and business partners increased, along with business travel and marketing activities, contributing to the substantial increase. General and administrative expenses increased by US$1.7 million to US$2.3 million for the year ended December 31, 2023, compared to US$0.7 million for the year ended December 31, 2023. One significant factor was the expansion of the workforce through the recruitment of administrative staff and key management personnel to enhance operational efficiency. Professional fees related to auditing consolidated financial statements, consulting services regarding leasing new office premises, and negotiating banking facilities for business financing also contributed to the increase. These factors collectively increased total general and administrative expenses compared to the preceding year, reflecting the Company’s concerted efforts to support operational growth and strategic initiatives. Other income Other income increased by US$46,046 from US$9,037 for the year ended December 31, 2023 to US$55,083 for the year ended December 31, 2024. The increase was mainly due to interest income earned from fixed deposits and an increase in other ancillary service income not within the scope of ASC 606. Income before income taxes Income before income taxes of US$0.3 million and US$1.4 million for the years ended December 31, 2024 and 2023, respectively. The decrease was primarily due to lower margins resulting from increased sales activities and higher operating costs during the expansion of the Company’s operations through the recruitment of staff and additional operating expenses to support growth initiatives and enhance overall capabilities during the year ended December 31, 2024. Income tax expense Income tax expense decreased from US$0.2 million for the year ended December 31, 2023 to US$0.1 million for the year ended December 31, 2024. The decrease was in tandem with the decrease in income before income taxes. Net income As a result of the foregoing factors, net income decreased by 86% from US$1.2 million for the year ended December 31, 2023 to US$0.2 million for the year ended December 31, 2024. About Uni-Fuels Holdings Limited Uni-Fuels is a fast-growing global provider of marine fuel solutions, helping shipping companies optimize fuel procurement across all markets and time zones. Founded in 2021, Uni-Fuels has evolved from modest beginnings into a dynamic, forward-thinking company. Backed by a passionate team and a growing presence across multiple locations, it has forged trusted partnerships with customers, supporting them in achieving their operational objectives with confidence, from shore to shore. For more information, visit www.uni-fuels.com. Forward-Looking Statements This press release contains “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995You can identify forward-looking statements by the fact that they do not relate strictly to historical or current facts. These statements may include words such as “anticipate”, “estimate”, “expect”, “project”, “plan”, “intend”, “believe”, “may”, “will”, “should”, “can have”, “likely” and other words and terms of similar meaning. Forward-looking statements represent Uni-Fuels’ current expectations regarding future events and are subject to known and unknown risks and uncertainties that could cause actual results to differ materially from those implied by the forward-looking statements. These statements are subject to uncertainties and risks including, but not limited to, the uncertainties related to market conditions and other factors discussed in the “Risk Factors” section of the registration statement filed by the Company with the SEC. For these reasons, among others, investors are cautioned not to place undue reliance upon any forward-looking statements in this press release. Additional factors are discussed in the Company's filings with the SEC, which are available for review at www.sec.gov. The Company undertakes no obligation to publicly revise these forward-looking statements to reflect events or circumstances that arise after the date hereof. Contact Information For Investor Relations: Uni-Fuels Holdings LtdEmail: investors@uni-fuels.com Skyline Corporate Communications Group, LLCEmail: info@skylineccg.com Uni-Fuels Holdings Limited Consolidated Balance Sheets(Expressed in U.S. Dollars, except for the number of shares) As of December 31, 2024 2023 Assets Current Assets Cash $4,324,956 $2,564,850 Restricted cash - 1,500,000 Accounts receivable, net 11,458,689 12,807,009 Prepayments and other assets, net 229,928 120,910 Total current assets 16,013,573 16,992,769 Property and equipment, net 329,585 395,056 Operating lease right-of-use assets 133,103 197,863 Prepayments and other assets, net 4,457 30,576 Deferred initial public offering (“IPO”) costs 482,183 112,900 Total assets $16,962,901 $17,729,164 Liabilities and shareholders’ equity Liabilities Current liabilities Accounts payable $10,092,160 $11,196,384 Short-term bank loans 1,510,249 1,195,149 Amounts due to related parties 269,467 278,001 Income tax payables 91,025 272,437 Operating lease liabilities, current 104,267 85,382 Accrued expenses and other liabilities 291,464 177,737 Total current liabilities 12,358,632 13,205,090 Operating lease liabilities, non-current 41,011 127,834 Accrued expenses and other liabilities, non-current 10,153 9,700 Deferred tax liabilities, net 8,243 13,420 Total liabilities 12,418,039 13,356,044 Commitments and contingencies Shareholders’ equity Class A ordinary shares (US$0.0001 par value, 450,000,000 shares authorized; 7,350,000 and nil shares issued and outstanding as of December 31, 2024 and 2023, respectively) * 735 - Class B ordinary shares (US$0.0001 par value, 50,000,000 shares authorized; 22,650,000 and 30,000,000 shares issued and outstanding as of December 31, 2024 and 2023, respectively) * 2,265 3,000 Additional paid-in capital 3,997,000 3,997,000 Accumulated other comprehensive income 145 - Retained earnings 544,717 373,120 Total shareholders’ equity 4,544,862 4,373,120 Total liabilities and shareholders’ equity $16,962,901 $17,729,164 * Shares and per share data are presented on a retroactive basis to reflect the ordinary shares issuance and share split. Uni-Fuels Holdings Limited Consolidated Statements of Income and Comprehensive Income(Expressed in U.S. dollar, except for the number of shares) For the Years Ended December 31, 2024 2023 2022 Revenues Sales of marine fuels $155,180,863 67,966,869 $19,137,919 Sales of marine fuels -related party - 2,184,911 10,424,827 Brokerage commissions 12,150 142,479 - Brokerage commissions -related parties - 491,269 1,255,725 Total revenues 155,193,013 70,785,528 30,818,471 Cost of revenues (152,009,204) (68,505,327) (28,414,153) Gross profit 3,183,809 2,280,201 2,404,318 Operating expenses Selling and marketing (661,892) (210,957) (146)General and administrative (2,307,275) (672,131) (45,532)Total operating expenses (2,969,167) (883,088) (45,678) Income from operations 214,642 1,397,113 2,358,640 Other income Interest expense, net (4,801) (1,907) - Other income 59,884 10,944 4,813 Total other income, net 55,083 9,037 4,813 Income before income tax expense 269,725 1,406,150 2,363,453 Income tax expense (98,128) (194,363) (386,321)Net income 171,597 1,211,787 1,977,132 Other comprehensive income Foreign currency translation adjustments 145 - - Total comprehensive income $171,742 1,211,787 $1,977,132 Earnings per share* Class A ordinary shares – basic and diluted $0.07 - $- Class B ordinary shares – basic and diluted 0.01 0.04 0.07 Weighted average shares outstanding used in calculating basic and diluted earnings per share* Class A ordinary shares – basic and diluted 2,318,630 - - Class B ordinary shares – basic and diluted 27,681,370 30,000,000 30,000,000 * Shares and per share data are presented on a retroactive basis to reflect the ordinary shares issuance and share split. Uni-Fuels Holdings Limited Consolidated Statements of Changes in Shareholders’ Equity(Expressed in U.S. dollar, except for the number of shares) Class A ordinary share Class B ordinary share* Additional Paid-In Accumulated other comprehensive Retained Share Amount Share Amount Capital* income earnings Total Balance as of December 31, 2021 - $- 30,000,000 $3,000 $97,001 $- $284,200 $384,201 Net income - - - - - - 1,977,132 1,977,132 Balance as of December 31, 2022 - - 30,000,000 3,000 97,001 - 2,261,332 2,361,333 Net income - - - - - - 1,211,787 1,211,787 Capital contribution from shareholder - - - - 3,899,999 - - 3,899,999 Dividend distribution - - - - - - (3,099,999) (3,099,999) Balance as of December 31, 2023 - $- 30,000,000 $3,000 $3,997,000 $- $373,120 $4,373,120 Net income - - - - - - 171,597 171,597 Foreign currency translation adjustment - - - - - 145 - 145 Conversion of ordinary shares 7,350,000 735 (7,350,000) (735) - - - - Balance as of December 31, 2024 7,350,000 $735 22,650,000 $2,265 $3,997,000 $145 $544,717 $4,544,862 * Shares and per share data are presented on a retroactive basis to reflect the ordinary shares issuance and share split. Uni-Fuels Holdings Limited Consolidated Statements of Cash Flows(Expressed in U.S. dollar) For the Years Ended December 31, 2024 2023 2022 Cash flows from operating activities: Net income $171,597 $1,211,787 $1,977,132 Adjustments to reconcile net profit to net cash (used in) provided by operating activities: Depreciation 74,490 32,275 - Allowance for credit losses (1,733) 8,473 4,221 Non-cash operating lease expenses 94,099 61,406 - Deferred tax expenses (benefits) (5,177) 14,339 (717) Change in operating assets and liabilities: Accounts receivable, net 1,351,178 (11,719,074) 347,634 Prepayments and other assets, net (84,024) (133,851) (725)Accounts payable (1,104,224) 9,773,464 144,080 Income tax payables (181,412) (173,012) 387,038 Operating lease liabilities (138,287) (46,053) - Accrued expenses and other liabilities 155,336 4,452 168,193 Net cash provided by (used in) operating activities 331,843 (965,794) 3,026,856 Cash flows from investing activities: Purchases of property and equipment (9,020) (427,331) - Net cash used in investing activities (9,020) (427,331) - Cash flows from financing activities: Proceeds from short-term bank loans 14,117,030 7,551,546 - Repayments of short-term bank loans (13,801,930) (6,356,397) - Payment of offering costs related to Initial Public Offering (“IPO”) (369,283) (112,900) - Capital contribution from shareholder - 800,000 - Borrowings from a related party - 678,259 - Repayment of borrowings to a related party (8,534) (400,258) - Net cash (used in) provided by financing activities (62,717) 2,160,250 - Net increase in cash and restricted cash 260,106 767,125 3,026,856 Cash and restricted cash, beginning of year 4,064,850 3,297,725 270,869 Cash and restricted cash, end of year 4,324,956 4,064,850 3,297,725 Reconciliation of cash and restricted cash to the consolidated balance sheets Cash $4,324,956 2,564,850 $3,297,725 Restricted cash - 1,500,000 - Total cash and restricted cash $4,324,956 4,064,850 $3,297,725 Supplemental disclosures of cash flow information: Income tax paid $284,717 361,841 $- Interest expenses paid 83,973 18,280 - Supplemental disclosure of non-cash investing and financing activities: Dividend distribution against capital contribution from shareholder $- 3,099,999 $- Operating lease right-of-use assets obtained in exchange for operating lease liabilities 29,338 259,269 -

Uni-Fuels Announces Full Year 2024 Financial Results

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