CHICAGO, July 30 (Reuters) - Pacific Ethanol Inc is bullish on its margins for the rest of the year after they improved during the last few weeks, Chief Executive Officer Neil Koehler said on a conference call with analysts on Thursday.
Increased domestic demand for gasoline and strong export demand for ethanol helped to boost profitability for the company, which late on Wednesday reported lower-than-expected second-quarter earnings.
Koehler said ethanol profit margins dipped into negative territory in parts of the United States earlier this year before climbing into “double-digit market territory now.”
He added that the company would consider adding to hedges if margins reached historical levels of 20 cents per gallon of ethanol produced. (Reporting by Michael Hirtzer; Editing by Lisa Von Ahn)