PARSIPPANY, N.J., Feb. 16, 2017 /PRNewswire/ -- PBF Energy
Inc. (NYSE:PBF) today reported fourth quarter 2016 income from
operations of $139.8 million as
compared to a loss from operations of $178.4
million for fourth quarter of 2015. Excluding special items,
fourth quarter 2016 loss from operations was $60.7 million as compared to income from
operations of $167.7 million for the
fourth quarter of 2015. Special items in the fourth quarter 2016
results include a net, non-cash, after-tax gain of $122.2 million, or $1.17 per share, lower-of-cost-or-market ("LCM")
inventory adjustment and an after-tax benefit of $9.8 million, or $0.09 per share, related to a change in the tax
receivable liability agreement. Additionally, included in our
results was a net after-tax charge totaling approximately
$7.2 million, or $0.07 per share, related to an inventory layer
decrement.
The company reported fourth quarter 2016 net income of
$71.8 million, and net income
attributable to PBF Energy Inc. of $54.6
million or $0.54 per share.
This compares to net loss of $121.5
million, and net loss attributable to PBF Energy Inc. of
$119.5 million or $1.24 per share for the fourth quarter 2015.
Adjusted fully-converted net loss for the fourth quarter 2016,
excluding special items, was $74.9
million, or $0.71 per share on
a fully-exchanged, fully-diluted basis, as described below,
compared to adjusted fully-converted net income of $71.0 million, or $0.70 per share, for the fourth quarter 2015.
Net income attributable to PBF Energy Inc. for the year-ended
December 31, 2016 was $170.8 million, or $1.74 per share as compared to net income of
$146.4 million, or $1.65 per share, for the year-ended December 31, 2015. Income from operations for the
years ended December 31, 2016 and
2015 were $498.9 million and
$360.1 million, respectively.
Excluding special items, loss from operations was $22.5 million for the year-ended December 31, 2016 as compared to income from
operations of $787.3 million for the
year-ended December 31, 2015.
Adjusted fully-converted net loss for the year 2016, excluding
special items, was $145.7 million, or
$1.41 per share on a fully-exchanged,
fully-diluted basis, as compared to adjusted fully-converted net
income of $402.1 million, or
$4.27 per share, for the fourth
quarter 2015. PBF Energy's financial results reflect the
consolidation of PBF Logistics LP (NYSE: PBFX), a master limited
partnership of which PBF indirectly owns the general partner and
approximately 44.2% of the limited partner interests as of
December 31, 2016.
"Our fourth quarter and full-year 2016 results reflect the
numerous market and regulatory headwinds faced by the independent
refiners and we, as a company, did not operate our assets to the
fullest of their potential," said Tom
Nimbley, PBF Energy's Chairman and CEO, "Looking ahead, with
the proceeds from our recent equity raise, we are pleased to be
starting the year with a strong and flexible balance sheet. We are
committed to the continued integration of both Torrance and
Chalmette, and further optimizing our entire system in 2017."
PBF Logistics will proceed with two organic growth projects
comprised of the construction of a 625,000 barrel tank at PBF
Energy's Chalmette refinery and development of a natural gas
pipeline to supply PBF Energy's Paulsboro refinery. PBF Logistics
expects to spend approximately $82.1 million
dollars to complete both projects at an attractive
return. Both projects will be funded by PBF Logistics and
supported by long-term agreements with minimum volume commitments
from PBF Energy.
PBF Energy Inc. Declares Dividend
The company
announced today that it will pay a quarterly dividend of
$0.30 per share of Class A common
stock on March 13, 2017, to holders
of record as of February 27,
2017.
Outlook
For the first quarter 2017, we expect East
Coast total throughput to average 310,000 to 330,000 barrels per
day; Mid-Continent total throughput is expected to average 135,000
to 145,000 barrels per day; Gulf Coast total throughput is expected
to average 150,000 to 160,000 barrels per day and West Coast total
throughput is expected to average 145,000 to 155,000 barrels per
day. These figures include the impact of the previously
announced planned turnarounds at the Delaware City and Chalmette
refineries.
Non-GAAP Measures
This earnings release, and the
discussion during the management conference call, may include
references to non-GAAP (Generally Accepted Accounting Principles)
measures including Adjusted Fully-Converted Net Income, Adjusted
Fully-Converted Net Income per fully-exchanged, fully-diluted
share, gross refining margin, gross refining margin per barrel of
throughput, EBITDA (Earnings before Interest, Income Taxes,
Depreciation and Amortization), Adjusted EBITDA and projected
EBITDA related to the refinery acquisitions. PBF believes that
non-GAAP financial measures provide useful information about its
operating performance and financial results. However, these
measures have important limitations as analytical tools and should
not be viewed in isolation or considered as alternatives for, or
superior to, comparable GAAP financial measures. PBF's non-GAAP
financial measures may also differ from similarly named measures
used by other companies. See the accompanying tables and footnotes
in this release for additional information on the non-GAAP measures
used in this release and reconciliations to the most directly
comparable GAAP measures.
Adjusted Fully-Converted Results
Adjusted
fully-converted results assume the exchange of all PBF Energy
Company LLC Series A Units and dilutive securities into shares of
PBF Energy Inc. Class A common stock on a one-for-one basis,
resulting in the elimination of the noncontrolling interest and a
corresponding adjustment to the company's tax provision.
Conference Call Information
PBF Energy's senior
management will host a conference call and webcast regarding
quarterly results and other business matters on Thursday,
February 16, 2017, at 8:30 a.m.
ET. The call is being webcast and can be accessed at
PBF Energy's website, http://www.pbfenergy.com. The call can also
be heard by dialing (888) 632-3382 or (785) 424-1677, conference
ID: PBFQ416. The audio replay will be available two hours
after the end of the call through March 6,
2017, by dialing (800) 283-5758 or (402) 220-0863.
Forward-Looking Statements
Statements in this press
release relating to future plans, results, performance,
expectations, achievements and the like are considered
"forward-looking statements" within the meaning of the Private
Securities Litigation Reform Act of 1995. These forward-looking
statements involve known and unknown risks, uncertainties and other
factors, many of which may be beyond the company's control, that
may cause actual results to differ materially from any future
results, performance or achievements expressed or implied by the
forward-looking statements. Factors and uncertainties that may
cause actual results to differ include but are not limited to the
risks disclosed in the company's filings with the SEC, as well as
the risk disclosed in PBF Logistics LP's SEC filings and any impact
PBF Logistics LP may have on the company's credit rating, cost of
funds, employees, customer and vendors; risk relating to the
securities markets generally; and the impact of adverse market
conditions affecting the company, unanticipated developments,
regulatory approvals, changes in laws and other events that
negatively impact the company. All forward-looking statements speak
only as of the date hereof. The company undertakes no obligation to
revise or update any forward-looking statements except as may be
required by applicable law.
About PBF Energy Inc.
PBF Energy Inc. (NYSE:PBF) is
one of the largest independent refiners in North America, operating, through its
subsidiaries, oil refineries and related facilities in California, Delaware, Louisiana, New
Jersey and Ohio. Our
mission is to operate our facilities in a safe, reliable and
environmentally responsible manner, provide employees with a safe
and rewarding workplace, become a positive influence in the
communities where we do business, and provide superior returns to
our investors.
PBF Energy Inc. also currently indirectly owns the general
partner and approximately 44.2% of the limited partnership interest
of PBF Logistics LP (NYSE: PBFX).
|
PBF ENERGY INC.
AND SUBSIDIARIES
|
|
EARNINGS RELEASE
TABLES
|
|
CONSOLIDATED
STATEMENTS OF OPERATIONS
|
|
(Unaudited, in
thousands, except share and per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Year
Ended
|
|
|
|
|
|
|
December
31,
|
|
December
31,
|
|
|
|
|
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
Revenues
|
|
$
|
4,748,568
|
|
|
$
|
3,360,489
|
|
|
$
|
15,920,424
|
|
|
$
|
13,123,929
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Costs and
expenses:
|
|
|
|
|
|
|
|
|
|
|
Cost of sales,
excluding depreciation
|
|
4,074,222
|
|
|
3,162,210
|
|
|
13,598,341
|
|
|
11,481,614
|
|
|
Operating expenses,
excluding depreciation
|
|
433,902
|
|
|
268,577
|
|
|
1,423,198
|
|
|
904,525
|
|
|
General and
administrative expenses
|
|
41,477
|
|
|
54,919
|
|
|
166,452
|
|
|
181,266
|
|
|
(Gain) loss on sale
of assets
|
|
(7)
|
|
|
129
|
|
|
11,374
|
|
|
(1,004)
|
|
|
Depreciation and
amortization expense
|
|
59,147
|
|
|
53,016
|
|
|
222,176
|
|
|
197,417
|
|
|
|
|
|
|
|
4,608,741
|
|
|
3,538,851
|
|
|
15,421,541
|
|
|
12,763,818
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) from
operations
|
|
139,827
|
|
|
(178,362)
|
|
|
498,883
|
|
|
360,111
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other income
(expense)
|
|
|
|
|
|
|
|
|
|
|
Change in tax
receivable agreement liability
|
|
16,051
|
|
|
20,365
|
|
|
12,908
|
|
|
18,150
|
|
|
Change in fair value
of catalyst lease
|
|
5,978
|
|
|
1,202
|
|
|
1,422
|
|
|
10,184
|
|
|
Interest expense,
net
|
|
(38,051)
|
|
|
(29,093)
|
|
|
(150,045)
|
|
|
(106,187)
|
|
|
Income (loss)
before income taxes
|
|
123,805
|
|
|
(185,888)
|
|
|
363,168
|
|
|
282,258
|
|
|
Income tax expense
(benefit)
|
|
52,043
|
|
|
(64,347)
|
|
|
137,650
|
|
|
86,725
|
|
|
Net income
(loss)
|
|
71,762
|
|
|
(121,541)
|
|
|
225,518
|
|
|
195,533
|
|
|
Less: net income
(loss) attributable to noncontrolling
interest
|
|
17,204
|
|
|
(2,012)
|
|
|
54,707
|
|
|
49,132
|
|
|
Net income (loss)
attributable to PBF Energy Inc.
stockholders
|
|
$
|
54,558
|
|
|
$
|
(119,529)
|
|
|
$
|
170,811
|
|
|
$
|
146,401
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income (loss)
available to Class A common stock per
share:
|
|
|
|
|
|
|
|
|
|
Basic
|
|
$
|
0.55
|
|
|
$
|
(1.24)
|
|
|
$
|
1.74
|
|
|
$
|
1.66
|
|
|
Diluted
|
|
$
|
0.54
|
|
|
$
|
(1.24)
|
|
|
$
|
1.74
|
|
|
$
|
1.65
|
|
|
Weighted-average
shares outstanding-basic
|
|
99,854,984
|
|
|
96,135,314
|
|
|
98,334,302
|
|
|
88,106,999
|
|
|
Weighted-average
shares outstanding-diluted
|
|
104,815,217
|
|
|
96,135,314
|
|
|
103,606,709
|
|
|
94,138,850
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Dividends per common
share
|
|
$
|
0.30
|
|
|
$
|
0.30
|
|
|
$
|
1.20
|
|
|
$
|
1.20
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted
fully-converted net income (loss) and adjusted
fully-converted net income (loss) per fully exchanged,
fully diluted shares outstanding (Note 1):
|
|
|
|
|
|
|
|
|
|
Adjusted
fully-converted net income (loss)
|
|
$
|
57,086
|
|
|
$
|
(125,738)
|
|
|
$
|
179,893
|
|
|
$
|
155,012
|
|
|
Adjusted
fully-converted net income (loss) per fully exchanged, fully
diluted share
|
|
$
|
0.54
|
|
|
$
|
(1.23)
|
|
|
$
|
1.74
|
|
|
$
|
1.65
|
|
|
Adjusted
fully-converted shares outstanding - diluted
|
|
104,815,217
|
|
|
102,010,309
|
|
|
103,606,709
|
|
|
94,138,850
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
See Footnotes to
Earnings Release Tables
|
|
PBF ENERGY INC.
AND SUBSIDIARIES
|
|
RECONCILIATION OF
AMOUNTS REPORTED UNDER U.S. GAAP
|
|
(Unaudited, in
thousands, except share and per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Year
Ended
|
|
RECONCILIATION OF
NET INCOME (LOSS) TO
|
December
31,
|
|
December
31,
|
|
ADJUSTED
FULLY-CONVERTED NET (LOSS) INCOME (Note 1)
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
Net income (loss)
attributable to PBF Energy Inc. stockholders
|
$
|
54,558
|
|
|
$
|
(119,529)
|
|
|
$
|
170,811
|
|
|
$
|
146,401
|
|
|
Add: Net
income (loss) attributable to the noncontrolling interest
(Note 2)
|
4,149
|
|
|
(10,279)
|
|
|
14,903
|
|
|
14,257
|
|
|
Less: Income
tax (expense) benefit (Note 3)
|
(1,621)
|
|
|
4,070
|
|
|
(5,821)
|
|
|
(5,646)
|
|
|
Adjusted
fully-converted net income (loss)
|
$
|
57,086
|
|
|
$
|
(125,738)
|
|
|
$
|
179,893
|
|
|
$
|
155,012
|
|
|
Special items (Note
4):
|
|
|
|
|
|
|
|
|
Add: Non-cash
LCM inventory adjustment (Note 5)
|
(200,515)
|
|
|
346,079
|
|
|
(521,348)
|
|
|
427,226
|
|
|
Add: Change
in tax receivable agreement liability (Note 15)
|
(16,051)
|
|
|
(20,365)
|
|
|
(12,908)
|
|
|
(18,150)
|
|
|
Less: Recomputed
income taxes on special items (Note 5, Note 15)
|
84,593
|
|
|
(128,983)
|
|
|
208,686
|
|
|
(161,994)
|
|
|
Adjusted
fully-converted net (loss) income excluding special items (Note
4)
|
$
|
(74,887)
|
|
|
$
|
70,993
|
|
|
$
|
(145,677)
|
|
|
$
|
402,094
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted-average
shares outstanding of PBF Energy Inc.
|
99,854,984
|
|
|
96,135,314
|
|
|
98,334,302
|
|
|
88,106,999
|
|
|
Conversion of PBF LLC
Series A Units (Note 6)
|
4,591,968
|
|
|
5,046,988
|
|
|
4,865,133
|
|
|
5,530,568
|
|
|
Common stock
equivalents (Note 7)
|
368,265
|
|
|
828,007
|
|
|
407,274
|
|
|
501,283
|
|
|
Fully-converted
shares outstanding - diluted
|
104,815,217
|
|
|
102,010,309
|
|
|
103,606,709
|
|
|
94,138,850
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted
fully-converted net income (loss) (per fully exchanged, fully
diluted shares outstanding)
|
$
|
0.54
|
|
|
$
|
(1.23)
|
|
|
$
|
1.74
|
|
|
$
|
1.65
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted
fully-converted net (loss) income excluding special items (per
fully exchanged, fully diluted shares outstanding) (Note
4)
|
$
|
(0.71)
|
|
|
$
|
0.70
|
|
|
$
|
(1.41)
|
|
|
$
|
4.27
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Year
Ended
|
|
RECONCILIATION OF
INCOME (LOSS) FROM OPERATIONS TO
|
December
31,
|
|
December
31,
|
|
(LOSS) INCOME FROM
OPERATIONS EXCLUDING SPECIAL ITEMS
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
Income (loss) from
operations
|
$
|
139,827
|
|
|
$
|
(178,362)
|
|
|
$
|
498,883
|
|
|
$
|
360,111
|
|
|
Special items (Note
4):
|
|
|
|
|
|
|
|
|
Add: Non-cash
LCM inventory adjustment (Note 5)
|
(200,515)
|
|
|
346,079
|
|
|
(521,348)
|
|
|
427,226
|
|
|
(Loss) income from
operations excluding special items (Note 4)
|
$
|
(60,688)
|
|
|
$
|
167,717
|
|
|
$
|
(22,465)
|
|
|
$
|
787,337
|
|
|
|
|
|
|
|
|
|
|
See Footnotes to
Earnings Release Tables
|
|
PBF ENERGY INC.
AND SUBSIDIARIES
|
|
RECONCILIATION OF
AMOUNTS REPORTED UNDER U.S. GAAP
|
|
EBITDA
RECONCILIATIONS (Note 8)
|
|
(Unaudited, in
thousands, except share and per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Year
Ended
|
|
December
31,
|
|
December
31,
|
|
RECONCILIATION OF
NET INCOME (LOSS) TO EBITDA
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
Net income
(loss)
|
$
|
71,762
|
|
|
$
|
(121,541)
|
|
|
$
|
225,518
|
|
|
$
|
195,533
|
|
|
Add: Depreciation
and amortization expense
|
59,147
|
|
|
53,016
|
|
|
222,176
|
|
|
197,417
|
|
|
Add:
Interest expense, net
|
38,051
|
|
|
29,093
|
|
|
150,045
|
|
|
106,187
|
|
|
Add: Income
tax expense (benefit)
|
52,043
|
|
|
(64,347)
|
|
|
137,650
|
|
|
86,725
|
|
|
EBITDA
|
$
|
221,003
|
|
|
$
|
(103,779)
|
|
|
$
|
735,389
|
|
|
$
|
585,862
|
|
|
Special Items (Note
4):
|
|
|
|
|
|
|
|
|
Add: Non-cash
LCM inventory adjustment (Note 5)
|
(200,515)
|
|
|
346,079
|
|
|
(521,348)
|
|
|
427,226
|
|
|
Add: Change
in tax receivable agreement liability (Note 15)
|
(16,051)
|
|
|
(20,365)
|
|
|
(12,908)
|
|
|
(18,150)
|
|
|
EBITDA excluding
special items (Note 4)
|
$
|
4,437
|
|
|
$
|
221,935
|
|
|
$
|
201,133
|
|
|
$
|
994,938
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Year
Ended
|
|
December
31,
|
|
December
31,
|
|
RECONCILIATION OF
EBITDA TO ADJUSTED EBITDA
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
EBITDA
|
$
|
221,003
|
|
|
$
|
(103,779)
|
|
|
$
|
735,389
|
|
|
$
|
585,862
|
|
|
Add: Non-cash
LCM inventory adjustment (Note 5)
|
(200,515)
|
|
|
346,079
|
|
|
(521,348)
|
|
|
427,226
|
|
|
Add: Stock
based compensation
|
6,325
|
|
|
4,741
|
|
|
22,656
|
|
|
13,497
|
|
|
Add: Change
in tax receivable agreement liability (Note 15)
|
(16,051)
|
|
|
(20,365)
|
|
|
(12,908)
|
|
|
(18,150)
|
|
|
Add: Non-cash
change in fair value of catalyst leases
|
(5,978)
|
|
|
(1,202)
|
|
|
(1,422)
|
|
|
(10,184)
|
|
|
Adjusted
EBITDA
|
$
|
4,784
|
|
|
$
|
225,474
|
|
|
$
|
222,367
|
|
|
$
|
998,251
|
|
|
|
See Footnotes to
Earnings Release Tables
|
|
PBF ENERGY INC.
AND SUBSIDIARIES
|
|
EARNINGS RELEASE
TABLES
|
|
CONSOLIDATED
BALANCE SHEET DATA
|
|
(Unaudited, in
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December
31,
|
|
December
31,
|
|
|
|
|
|
2016
|
|
2015
|
|
Balance Sheet
Data:
|
|
|
|
|
|
Cash, cash
equivalents and marketable securities
|
$
|
786,298
|
|
|
$
|
1,178,578
|
|
|
Inventories
|
1,863,560
|
|
|
1,174,272
|
|
|
Total
assets
|
7,621,927
|
|
|
6,105,124
|
|
|
Total debt
|
2,148,234
|
|
|
1,840,355
|
|
|
|
|
|
|
|
Total
equity
|
$
|
2,570,684
|
|
|
$
|
2,095,857
|
|
|
Total equity
excluding special items (Note 17)
|
$
|
2,912,375
|
|
|
$
|
2,763,118
|
|
|
|
|
|
|
|
Total debt to
capitalization ratio (Note 17)
|
46
|
%
|
|
47
|
%
|
|
Total debt to
capitalization ratio, excluding special items (Note 17)
|
42
|
%
|
|
40
|
%
|
|
Net debt to
capitalization ratio (Note 17)
|
35
|
%
|
|
24
|
%
|
|
Net debt to
capitalization ratio, excluding special items (Note 17)
|
32
|
%
|
|
19
|
%
|
|
|
|
|
|
|
|
|
|
SUMMARIZED
STATEMENT OF CASH FLOW DATA
|
|
(Unaudited, in
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year Ended
December 31,
|
|
|
|
|
|
2016
|
|
2015
|
|
Cash flows provided
by operations
|
$
|
651,934
|
|
|
$
|
560,424
|
|
|
Cash flows used in
investing activities
|
(1,393,935)
|
|
|
(812,113)
|
|
|
Cash flows provided
by financing activities
|
543,955
|
|
|
798,136
|
|
|
Net (decrease)
increase in cash and cash equivalents
|
(198,046)
|
|
|
546,447
|
|
|
Cash and cash
equivalents, beginning of period
|
944,320
|
|
|
397,873
|
|
|
Cash and cash
equivalents, end of period
|
$
|
746,274
|
|
|
$
|
944,320
|
|
|
Marketable
securities
|
40,024
|
|
|
234,258
|
|
|
Net cash, cash
equivalents and marketable securities
|
$
|
786,298
|
|
|
$
|
1,178,578
|
|
|
|
|
|
|
|
|
|
|
See Footnotes to
Earnings Release Tables
|
|
PBF ENERGY INC.
AND SUBSIDIARIES
|
|
EARNINGS RELEASE
TABLES
|
|
SEGMENT FINANCIAL
INFORMATION (Note 9)
|
|
(Unaudited, in
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
December 31, 2016
|
|
Refining
|
|
Logistics
|
|
Corporate
|
|
Eliminations
|
|
Consolidated
Total
|
|
Revenues
|
$
|
4,743,966
|
|
|
$
|
61,694
|
|
|
$
|
—
|
|
|
$
|
(57,092)
|
|
|
$
|
4,748,568
|
|
|
Depreciation and
amortization
|
52,495
|
|
|
5,234
|
|
|
1,418
|
|
|
—
|
|
|
59,147
|
|
|
Income (loss) from
operations
(Note 18)
|
147,901
|
|
|
35,784
|
|
|
(39,800)
|
|
|
(4,058)
|
|
|
139,827
|
|
|
Interest expense,
net
|
111
|
|
|
7,874
|
|
|
30,066
|
|
|
—
|
|
|
38,051
|
|
|
Capital
expenditures (Note 16)
|
$
|
163,325
|
|
|
$
|
11,653
|
|
|
$
|
3,633
|
|
|
$
|
—
|
|
|
$
|
178,611
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
December 31, 2015
|
|
Refining
|
|
Logistics
|
|
Corporate
|
|
Eliminations
|
|
Consolidated
Total
|
|
Revenues
|
$
|
3,360,489
|
|
|
$
|
37,306
|
|
|
$
|
—
|
|
|
$
|
(37,306)
|
|
|
$
|
3,360,489
|
|
|
Depreciation and
amortization
|
49,330
|
|
|
1,663
|
|
|
2,023
|
|
|
—
|
|
|
53,016
|
|
|
Income (loss) from
operations
|
(152,187)
|
|
|
24,462
|
|
|
(50,637)
|
|
|
—
|
|
|
(178,362)
|
|
|
Interest expense,
net
|
3,674
|
|
|
7,189
|
|
|
18,230
|
|
|
—
|
|
|
29,093
|
|
|
Capital
expenditures
|
$
|
637,351
|
|
|
$
|
864
|
|
|
$
|
6,956
|
|
|
$
|
—
|
|
|
$
|
645,171
|
|
|
|
|
|
|
|
|
|
|
|
|
Year Ended
December 31, 2016
|
|
Refining
|
|
Logistics
|
|
Corporate
|
|
Eliminations
|
|
Consolidated
Total
|
|
Revenues
|
$
|
15,908,537
|
|
|
$
|
187,335
|
|
|
$
|
—
|
|
|
$
|
(175,448)
|
|
|
$
|
15,920,424
|
|
|
Depreciation and
amortization
|
202,185
|
|
|
14,156
|
|
|
5,835
|
|
|
—
|
|
|
222,176
|
|
|
Income (loss) from
operations
(Note 18)
|
550,577
|
|
|
112,055
|
|
|
(158,070)
|
|
|
(5,679)
|
|
|
498,883
|
|
|
Interest expense,
net
|
2,938
|
|
|
30,433
|
|
|
116,674
|
|
|
—
|
|
|
150,045
|
|
|
Capital
expenditures (Note 16)
|
$
|
1,477,962
|
|
|
$
|
114,680
|
|
|
$
|
20,229
|
|
|
$
|
—
|
|
|
$
|
1,612,871
|
|
|
|
|
|
|
|
|
|
|
|
|
Year Ended
December 31, 2015
|
|
Refining
|
|
Logistics
|
|
Corporate
|
|
Eliminations
|
|
Consolidated
Total
|
|
Revenues
|
$
|
13,123,929
|
|
|
$
|
142,102
|
|
|
$
|
—
|
|
|
$
|
(142,102)
|
|
|
$
|
13,123,929
|
|
|
Depreciation and
amortization
|
181,147
|
|
|
6,582
|
|
|
9,688
|
|
|
—
|
|
|
197,417
|
|
|
Income (loss) from
operations
|
441,033
|
|
|
96,376
|
|
|
(177,298)
|
|
|
—
|
|
|
360,111
|
|
|
Interest expense,
net
|
17,061
|
|
|
21,254
|
|
|
67,872
|
|
|
—
|
|
|
106,187
|
|
|
Capital
expenditures
|
$
|
969,895
|
|
|
$
|
2,046
|
|
|
$
|
9,139
|
|
|
$
|
—
|
|
|
$
|
981,080
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance at
December 31, 2016
|
|
Refining
|
|
Logistics
|
|
Corporate
|
|
Eliminations
|
|
Consolidated
Total
|
|
Total Assets (Note
19)
|
$
|
6,428,681
|
|
|
$
|
748,130
|
|
|
$
|
482,979
|
|
|
$
|
(37,863)
|
|
|
$
|
7,621,927
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance at
December 31, 2015
|
|
Refining
|
|
Logistics
|
|
Corporate
|
|
Eliminations
|
|
Consolidated
Total
|
|
Total
Assets
|
$
|
5,087,554
|
|
|
$
|
422,902
|
|
|
$
|
618,617
|
|
|
$
|
(23,949)
|
|
|
$
|
6,105,124
|
|
|
|
|
|
|
|
|
|
|
|
|
See Footnotes to
Earnings Release Tables
|
|
PBF ENERGY INC.
AND SUBSIDIARIES
|
|
EARNINGS RELEASE
TABLES
|
|
MARKET INDICATORS
AND KEY OPERATING INFORMATION
|
|
(Unaudited,
amounts in thousands except as indicated)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Year
Ended
|
|
|
|
|
|
|
December
31,
|
|
December
31,
|
|
Market Indicators
(dollars per barrel) (Note 10)
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
Dated Brent
Crude
|
$
|
49.56
|
|
|
$
|
43.68
|
|
|
$
|
43.91
|
|
|
$
|
52.56
|
|
|
West Texas
Intermediate (WTI) crude oil
|
$
|
49.23
|
|
|
$
|
42.07
|
|
|
$
|
43.34
|
|
|
$
|
48.71
|
|
|
Light Louisiana Sweet
(LLS) crude oil
|
$
|
50.60
|
|
|
$
|
43.53
|
|
|
$
|
45.03
|
|
|
$
|
52.36
|
|
|
Alaska North Slope
(ANS) crude oil
|
$
|
50.06
|
|
|
$
|
43.62
|
|
|
$
|
43.67
|
|
|
$
|
52.44
|
|
|
Crack
Spreads
|
|
|
|
|
|
|
|
|
Dated Brent (NYH)
2-1-1
|
$
|
14.43
|
|
|
$
|
12.16
|
|
|
$
|
13.49
|
|
|
$
|
16.35
|
|
|
WTI (Chicago)
4-3-1
|
$
|
10.30
|
|
|
$
|
13.06
|
|
|
$
|
12.38
|
|
|
$
|
17.91
|
|
|
LLS (Gulf Coast)
2-1-1
|
$
|
11.98
|
|
|
$
|
9.62
|
|
|
$
|
10.75
|
|
|
$
|
14.39
|
|
|
ANS (West Coast)
4-3-1
|
$
|
14.16
|
|
|
$
|
21.73
|
|
|
$
|
16.46
|
|
|
$
|
26.46
|
|
|
Crude Oil
Differentials
|
|
|
|
|
|
|
|
|
Dated Brent (foreign)
less WTI
|
$
|
0.33
|
|
|
$
|
1.61
|
|
|
$
|
0.56
|
|
|
$
|
3.85
|
|
|
Dated Brent less Maya
(heavy, sour)
|
$
|
6.70
|
|
|
$
|
9.35
|
|
|
$
|
7.36
|
|
|
$
|
8.45
|
|
|
Dated Brent less WTS
(sour)
|
$
|
1.24
|
|
|
$
|
1.95
|
|
|
$
|
1.42
|
|
|
$
|
3.59
|
|
|
Dated Brent less ASCI
(sour)
|
$
|
3.59
|
|
|
$
|
4.97
|
|
|
$
|
3.92
|
|
|
$
|
4.57
|
|
|
WTI less WCS (heavy,
sour)
|
$
|
13.79
|
|
|
$
|
12.96
|
|
|
$
|
12.57
|
|
|
$
|
11.87
|
|
|
WTI less Bakken
(light, sweet)
|
$
|
1.98
|
|
|
$
|
1.03
|
|
|
$
|
1.32
|
|
|
$
|
2.89
|
|
|
WTI less Syncrude
(light, sweet)
|
$
|
(0.04)
|
|
|
$
|
(2.07)
|
|
|
$
|
(2.01)
|
|
|
$
|
(1.45)
|
|
|
WTI less ANS (light,
sweet)
|
$
|
(0.83)
|
|
|
$
|
(1.55)
|
|
|
$
|
(0.33)
|
|
|
$
|
(3.73)
|
|
|
Natural gas (dollars
per MMBTU)
|
|
|
$
|
3.18
|
|
|
$
|
2.23
|
|
|
$
|
2.55
|
|
|
$
|
2.63
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Key Operating
Information
|
|
|
|
|
|
|
|
|
Production (barrels
per day ("bpd") in thousands)
|
786.1
|
|
|
636.6
|
|
|
734.3
|
|
|
511.9
|
|
|
Crude oil and
feedstocks throughput (bpd in thousands)
|
775.5
|
|
|
629.9
|
|
|
727.7
|
|
|
516.4
|
|
|
Total crude oil and
feedstocks throughput (millions of
barrels)
|
71.3
|
|
|
57.9
|
|
|
266.4
|
|
|
188.4
|
|
|
Gross margin per
barrel of throughput
|
$
|
2.85
|
|
|
$
|
(1.98)
|
|
|
$
|
2.73
|
|
|
$
|
3.03
|
|
|
Gross refining
margin, excluding special items, per barrel of
throughput (Note 4, Note 11)
|
$
|
5.80
|
|
|
$
|
8.79
|
|
|
$
|
6.09
|
|
|
$
|
10.29
|
|
|
Refinery operating
expense per barrel of throughput (Note
12)
|
$
|
5.86
|
|
|
$
|
4.55
|
|
|
$
|
5.22
|
|
|
$
|
4.72
|
|
|
Crude and feedstocks
(% of total throughput) (Note 13)
|
|
|
|
|
|
|
|
|
Heavy
|
36
|
%
|
|
17
|
%
|
|
26
|
%
|
|
14
|
%
|
|
Medium
|
32
|
%
|
|
47
|
%
|
|
37
|
%
|
|
49
|
%
|
|
Light
|
18
|
%
|
|
22
|
%
|
|
25
|
%
|
|
26
|
%
|
|
Other feedstocks and
blends
|
|
|
14
|
%
|
|
14
|
%
|
|
12
|
%
|
|
11
|
%
|
|
|
Total
throughput
|
|
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
|
Yield (% of total
throughput):
|
|
|
|
|
|
|
|
|
Gasoline and gasoline
blendstocks
|
52
|
%
|
|
50
|
%
|
|
50
|
%
|
|
49
|
%
|
|
Distillates and
distillate blendstocks
|
32
|
%
|
|
35
|
%
|
|
31
|
%
|
|
35
|
%
|
|
Lubes
|
1
|
%
|
|
1
|
%
|
|
1
|
%
|
|
1
|
%
|
|
Chemicals
|
3
|
%
|
|
3
|
%
|
|
3
|
%
|
|
3
|
%
|
|
Other
|
13
|
%
|
|
11
|
%
|
|
15
|
%
|
|
12
|
%
|
|
|
Total
yield
|
101
|
%
|
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
See Footnotes to
Earnings Release Tables
|
|
PBF ENERGY INC.
AND SUBSIDIARIES
|
|
EARNINGS RELEASE
TABLES
|
|
SUPPLEMENTAL
OPERATING INFORMATION
|
|
(Unaudited,
amounts in thousands except as indicated)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Year
Ended
|
|
|
|
|
|
|
December
31,
|
|
December
31,
|
|
|
|
|
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
Supplemental
Operating Information - East Coast
(Delaware City and Paulsboro)
|
|
|
|
|
|
|
|
|
Production (bpd in
thousands)
|
323.6
|
|
|
345.6
|
|
|
322.9
|
|
|
322.9
|
|
|
Crude oil and
feedstocks throughput (bpd in thousands)
|
324.5
|
|
|
346.6
|
|
|
327.0
|
|
|
330.7
|
|
|
Total crude oil and
feedstocks throughput (millions of
barrels)
|
29.9
|
|
|
31.9
|
|
|
119.7
|
|
|
120.7
|
|
|
Gross margin per
barrel of throughput
|
$
|
2.01
|
|
|
$
|
(1.06)
|
|
|
$
|
1.28
|
|
|
$
|
1.34
|
|
|
Gross refining
margin, excluding special items, per barrel of
throughput (Note 4, Note 11)
|
$
|
4.66
|
|
|
$
|
9.16
|
|
|
$
|
5.07
|
|
|
$
|
9.28
|
|
|
Refinery operating
expense per barrel of throughput (Note
12)
|
$
|
4.40
|
|
|
$
|
4.39
|
|
|
$
|
4.42
|
|
|
$
|
4.67
|
|
|
Crude and feedstocks
(% of total throughput) (Note 13):
|
|
|
|
|
|
|
|
|
Heavy
|
35
|
%
|
|
18
|
%
|
|
22
|
%
|
|
18
|
%
|
|
Medium
|
38
|
%
|
|
60
|
%
|
|
52
|
%
|
|
58
|
%
|
|
Light
|
10
|
%
|
|
5
|
%
|
|
11
|
%
|
|
9
|
%
|
|
Other feedstocks and
blends
|
17
|
%
|
|
17
|
%
|
|
15
|
%
|
|
15
|
%
|
|
|
Total
throughput
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
|
Yield (% of total
throughput):
|
|
|
|
|
|
|
|
|
Gasoline and gasoline
blendstocks
|
47
|
%
|
|
49
|
%
|
|
47
|
%
|
|
47
|
%
|
|
Distillates and
distillate blendstocks
|
35
|
%
|
|
34
|
%
|
|
31
|
%
|
|
34
|
%
|
|
Lubes
|
2
|
%
|
|
2
|
%
|
|
2
|
%
|
|
2
|
%
|
|
Chemicals
|
2
|
%
|
|
2
|
%
|
|
2
|
%
|
|
2
|
%
|
|
Other
|
14
|
%
|
|
13
|
%
|
|
17
|
%
|
|
14
|
%
|
|
|
Total
yield
|
100
|
%
|
|
100
|
%
|
|
99
|
%
|
|
99
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Supplemental
Operating Information - Mid-Continent
(Toledo)
|
|
|
|
|
|
|
|
|
Production (bpd in
thousands)
|
143.1
|
|
|
159.1
|
|
|
161.8
|
|
|
155.8
|
|
|
Crude oil and
feedstocks throughput (bpd in thousands)
|
139.3
|
|
|
156.9
|
|
|
159.1
|
|
|
153.8
|
|
|
Total crude oil and
feedstocks throughput (millions of barrels)
|
12.8
|
|
|
14.4
|
|
|
58.3
|
|
|
56.1
|
|
|
Gross margin per
barrel of throughput
|
$
|
1.59
|
|
|
$
|
(7.37)
|
|
|
$
|
2.57
|
|
|
$
|
5.16
|
|
|
Gross refining
margin, excluding special items, per barrel of
throughput (Note 4, Note 11)
|
$
|
3.22
|
|
|
$
|
7.67
|
|
|
$
|
5.28
|
|
|
$
|
12.69
|
|
|
Refinery operating
expense per barrel of throughput (Note
12)
|
$
|
5.29
|
|
|
$
|
4.97
|
|
|
$
|
4.59
|
|
|
$
|
4.88
|
|
|
Crude and feedstocks
(% of total throughput) (Note 13):
|
|
|
|
|
|
|
|
|
Medium
|
43
|
%
|
|
32
|
%
|
|
36
|
%
|
|
35
|
%
|
|
Light
|
56
|
%
|
|
65
|
%
|
|
62
|
%
|
|
63
|
%
|
|
Other feedstocks and
blends
|
1
|
%
|
|
3
|
%
|
|
2
|
%
|
|
2
|
%
|
|
|
Total
throughput
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
|
Yield (% of total
throughput):
|
|
|
|
|
|
|
|
|
Gasoline and gasoline
blendstocks
|
55
|
%
|
|
55
|
%
|
|
53
|
%
|
|
52
|
%
|
|
Distillates and
distillate blendstocks
|
36
|
%
|
|
36
|
%
|
|
35
|
%
|
|
36
|
%
|
|
Chemicals
|
6
|
%
|
|
5
|
%
|
|
5
|
%
|
|
5
|
%
|
|
Other
|
6
|
%
|
|
5
|
%
|
|
9
|
%
|
|
8
|
%
|
|
|
Total
yield
|
103
|
%
|
|
101
|
%
|
|
102
|
%
|
|
101
|
%
|
|
|
See Footnotes to
Earnings Release Tables
|
|
PBF ENERGY INC.
AND SUBSIDIARIES
|
|
EARNINGS RELEASE
TABLES
|
|
SUPPLEMENTAL
OPERATING INFORMATION
|
|
(Unaudited,
amounts in thousands except as indicated)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Year
Ended
|
|
|
|
|
|
|
December
31,
|
|
December
31,
|
|
|
|
|
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
Supplemental
Operating Information - Gulf Coast
(Chalmette) (Note 14)
|
|
|
|
|
|
|
|
|
Production (bpd in
thousands)
|
168.8
|
|
|
199.0
|
|
|
175.6
|
|
|
199.0
|
|
|
Crude oil and
feedstocks throughput (bpd in thousands)
|
163.5
|
|
|
190.8
|
|
|
169.3
|
|
|
190.8
|
|
|
Total crude oil and
feedstocks throughput (millions of barrels)
|
15.0
|
|
|
11.6
|
|
|
61.9
|
|
|
11.6
|
|
|
Gross margin per
barrel of throughput
|
$
|
2.18
|
|
|
$
|
(0.83)
|
|
|
$
|
2.69
|
|
|
$
|
(0.83)
|
|
|
Gross refining
margin, excluding special items, per barrel of
throughput (Note 4, Note 11)
|
$
|
6.10
|
|
|
$
|
9.17
|
|
|
$
|
6.67
|
|
|
$
|
9.17
|
|
|
Refinery operating
expense per barrel of throughput (Note
12)
|
$
|
6.37
|
|
|
$
|
4.48
|
|
|
$
|
5.55
|
|
|
$
|
4.48
|
|
|
Crude and feedstocks
(% of total throughput) (Note 13):
|
|
|
|
|
|
|
|
|
Heavy
|
35
|
%
|
|
35
|
%
|
|
38
|
%
|
|
35
|
%
|
|
Medium
|
29
|
%
|
|
32
|
%
|
|
20
|
%
|
|
32
|
%
|
|
Light
|
17
|
%
|
|
18
|
%
|
|
26
|
%
|
|
18
|
%
|
|
Other feedstocks and
blends
|
19
|
%
|
|
15
|
%
|
|
16
|
%
|
|
15
|
%
|
|
|
Total
throughput
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
|
Yield (% of total
throughput):
|
|
|
|
|
|
|
|
|
Gasoline and gasoline
blendstocks
|
48
|
%
|
|
49
|
%
|
|
47
|
%
|
|
49
|
%
|
|
Distillates and
distillate blendstocks
|
31
|
%
|
|
35
|
%
|
|
31
|
%
|
|
35
|
%
|
|
Chemicals
|
6
|
%
|
|
5
|
%
|
|
6
|
%
|
|
5
|
%
|
|
Other
|
15
|
%
|
|
12
|
%
|
|
16
|
%
|
|
12
|
%
|
|
|
Total
yield
|
100
|
%
|
|
101
|
%
|
|
100
|
%
|
|
101
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Supplemental
Operating Information - West Coast
(Torrance) (Note 14)
|
|
|
|
|
|
|
|
|
Production (bpd in
thousands)
|
150.6
|
|
|
N/A
|
|
|
147.1
|
|
|
N/A
|
|
|
Crude oil and
feedstocks throughput (bpd in thousands)
|
148.2
|
|
|
N/A
|
|
|
143.9
|
|
|
N/A
|
|
|
Total crude oil and
feedstocks throughput (millions of
barrels)
|
13.6
|
|
|
N/A
|
|
|
26.5
|
|
|
N/A
|
|
|
Gross margin per
barrel of throughput
|
$
|
2.18
|
|
|
N/A
|
|
|
$
|
3.00
|
|
|
N/A
|
|
|
Gross refining
margin, excluding special items, per barrel of
throughput (Note 4, Note 11)
|
$
|
10.36
|
|
|
N/A
|
|
|
$
|
11.14
|
|
|
N/A
|
|
|
Refinery operating
expense per barrel of throughput (Note
12)
|
$
|
9.04
|
|
|
N/A
|
|
|
$
|
9.46
|
|
|
N/A
|
|
|
Crude and feedstocks
(% of total throughput) (Note 13):
|
|
|
|
|
|
|
|
|
Heavy
|
74
|
%
|
|
N/A
|
|
|
77
|
%
|
|
N/A
|
|
|
Medium
|
11
|
%
|
|
N/A
|
|
|
9
|
%
|
|
N/A
|
|
|
Other feedstocks and
blends
|
15
|
%
|
|
N/A
|
|
|
14
|
%
|
|
N/A
|
|
|
|
Total
throughput
|
100
|
%
|
|
N/A
|
|
|
100
|
%
|
|
N/A
|
|
|
Yield (% of total
throughput):
|
|
|
|
|
|
|
|
|
Gasoline and gasoline
blendstocks
|
63
|
%
|
|
N/A
|
|
|
62
|
%
|
|
N/A
|
|
|
Distillates and
distillate blendstocks
|
25
|
%
|
|
N/A
|
|
|
25
|
%
|
|
N/A
|
|
|
Other
|
14
|
%
|
|
N/A
|
|
|
16
|
%
|
|
N/A
|
|
|
|
Total
yield
|
102
|
%
|
|
N/A
|
|
|
103
|
%
|
|
N/A
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
See Footnotes to
Earnings Release Tables
|
|
PBF ENERGY INC.
AND SUBSIDIARIES
|
|
RECONCILIATION OF
AMOUNTS REPORTED UNDER U.S. GAAP
|
|
GROSS REFINING
MARGIN / GROSS REFINING MARGIN PER BARREL OF THROUGHPUT (Note
11)
|
|
(Unaudited, in
thousands, except per barrel amounts)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Three Months
Ended
|
|
|
|
|
|
|
|
December 31,
2016
|
|
December 31,
2015
|
|
|
|
|
|
|
|
|
|
per barrel
of
|
|
|
|
per barrel
of
|
|
RECONCILIATION OF
GROSS MARGIN TO GROSS
REFINING MARGIN
|
$
|
|
throughput
|
|
$
|
|
throughput
|
|
Gross
margin
|
$
|
203,455
|
|
|
$
|
2.85
|
|
|
$
|
(114,877)
|
|
|
$
|
(1.98)
|
|
|
Less: Revenues of
PBFX
|
(61,694)
|
|
|
(0.86)
|
|
|
(37,306)
|
|
|
(0.64)
|
|
|
Add: Affiliate Cost
of sales of PBFX
|
1,215
|
|
|
0.02
|
|
|
2,340
|
|
|
0.04
|
|
|
Add: Refinery
operating expense
|
418,359
|
|
|
5.86
|
|
|
263,826
|
|
|
4.55
|
|
|
Add: Refinery
depreciation
|
52,532
|
|
|
0.74
|
|
|
49,330
|
|
|
0.85
|
|
|
Gross refining
margin
|
$
|
613,867
|
|
|
$
|
8.61
|
|
|
$
|
163,313
|
|
|
$
|
2.82
|
|
|
Special Items (Note
4):
|
|
|
|
|
|
|
|
|
Add: Non-cash LCM
inventory adjustment (Note 5)
|
(200,515)
|
|
|
(2.81)
|
|
|
346,079
|
|
|
5.97
|
|
|
Gross refining
margin excluding special items (Note 4)
|
$
|
413,352
|
|
|
$
|
5.80
|
|
|
$
|
509,392
|
|
|
$
|
8.79
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year
Ended
|
|
Year
Ended
|
|
|
|
|
|
|
|
December 31,
2016
|
|
December 31,
2015
|
|
|
|
|
|
|
|
|
|
per barrel
of
|
|
|
|
per barrel
of
|
|
RECONCILIATION OF
GROSS MARGIN TO GROSS
REFINING MARGIN
|
$
|
|
throughput
|
|
$
|
|
throughput
|
|
Gross
margin
|
$
|
727,496
|
|
|
$
|
2.73
|
|
|
$
|
571,524
|
|
|
$
|
3.03
|
|
|
Less: Revenues of
PBFX
|
(187,335)
|
|
|
(0.70)
|
|
|
(138,719)
|
|
|
(0.74)
|
|
|
Add: Affiliate Cost
of sales of PBFX
|
8,701
|
|
|
0.03
|
|
|
8,734
|
|
|
0.05
|
|
|
Add: Refinery
operating expense
|
1,390,582
|
|
|
5.22
|
|
|
889,368
|
|
|
4.72
|
|
|
Add: Refinery
depreciation
|
204,005
|
|
|
0.77
|
|
|
181,423
|
|
|
0.96
|
|
|
Gross refining
margin
|
$
|
2,143,449
|
|
|
$
|
8.05
|
|
|
$
|
1,512,330
|
|
|
$
|
8.02
|
|
|
Special Items (Note
4):
|
|
|
|
|
|
|
|
|
Add: Non-cash LCM
inventory adjustment (Note 5)
|
(521,348)
|
|
|
(1.96)
|
|
|
427,226
|
|
|
2.27
|
|
|
Gross refining margin
excluding special items (Note 4)
|
$
|
1,622,101
|
|
|
$
|
6.09
|
|
|
$
|
1,939,556
|
|
|
$
|
10.29
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
See Footnotes to
Earnings Release Tables
|
|
PBF ENERGY INC.
AND SUBSIDIARIES
|
|
EARNINGS RELEASE
TABLES
|
|
FOOTNOTES TO
EARNINGS RELEASE TABLES
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|
|
(1) Adjusted
fully-converted information is presented in this table as
management believes that these Non-GAAP measures, when presented in
conjunction with comparable GAAP measures, are useful to investors
to compare the company's results across the periods presented and
facilitates an understanding of the company's operating results.
The company also uses these measures to evaluate its operating
performance. These measures should not be considered a substitute
for, or superior to, measures of financial performance prepared in
accordance with GAAP. The differences between adjusted
fully-converted and GAAP results are explained in footnotes 2
through 7 and footnote 15.
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(2) Represents
the elimination of the noncontrolling interest associated with the
ownership by the members of PBF Energy Company LLC other than PBF
Energy Inc., as if such members had fully exchanged their Series A
Units for shares of PBF Energy's Class A common stock.
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(3) Represents an
adjustment to reflect the company's statutory corporate tax rate of
approximately 39.1% and 39.6% for the 2016 and 2015 periods,
respectively, applied to the net income (loss) attributable to the
noncontrolling interest for all periods presented. The
adjustment assumes the full exchange of existing PBF Energy Company
LLC Series A Units as described in footnote 2.
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(4) The Non-GAAP
measures presented include adjusted fully-converted net income
excluding special items, income from continuing operations
excluding special items, EBITDA excluding special items, and gross
refining margin excluding special items. The special items for the
periods presented relate to lower of cost or market (LCM)
adjustments and changes in the tax receivable agreement liability
(TRA). LCM is a GAAP guideline related to inventory valuation that
requires inventory to be stated at the lower of cost or market. Our
inventories are stated at the lower of cost or market. Cost is
determined using last-in, first-out (LIFO) inventory valuation
methodology, in which the most recently incurred costs are charged
to cost of sales and inventories are valued at base layer
acquisition costs. Market is determined based on an assessment of
the current estimated replacement cost and net realizable selling
price of the inventory. In periods where the market price of our
inventory declines substantially, cost values of inventory may
exceed market values. In such instances, we record an adjustment to
write down the value of inventory to market value in accordance
with GAAP. In subsequent periods, the value of inventory is
reassessed and an LCM adjustment is recorded to reflect the net
change in the LCM inventory reserve between the prior period and
the current period. Changes in the TRA reflect charges or benefits
attributable to changes in our obligation under the tax receivable
agreement due to factors out of our control such as changes in tax
rates. Although we believe that Non-GAAP financial measures
excluding the impact of special items provide useful supplemental
information to investors regarding the results and performance of
our business and allow for useful period-over-period comparisons,
such Non-GAAP measures should only be considered as a supplement
to, and not as a substitute for, or superior to, the financial
measures prepared in accordance with GAAP.
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|
(5) During the year
ended December 31, 2016, the company recorded an adjustment to
value its inventories to the lower of cost or market which resulted
in a net pre-tax benefit of $521.3 million reflecting the change in
the lower of cost or market inventory reserve from $1,117.3 million
at December 31, 2015 to $596.0 million at December 31, 2016. During
the three months ended December 31, 2016, the company recorded an
adjustment to the lower of cost or market which resulted in a net
pre-tax benefit of $200.5 million reflecting the change in the
lower of cost or market inventory reserve from $796.5 million at
September 30, 2016 to $596.0 million at December 31,
2016.
During the year ended
December 31, 2015, the company recorded an adjustment to value its
inventories to the lower of cost or market which resulted in a net
pre-tax charge of $427.2 million reflecting the change in the lower
of cost or market inventory reserve from $690.1 million at December
31, 2014 to $1,117.3 million at December 31, 2015. During the three
months ended December 31, 2015, the company recorded an adjustment
to the lower of cost or market which resulted in a net pre-tax
charge of $346.1 million reflecting the change in the lower of cost
or market inventory reserve from $771.3 million at September 30,
2015 to $1,117.3 million at December 31, 2015.
The net impact of
these LCM inventory adjustments are included in the Refining
segment's operating income, but are excluded from the operating
results presented in the table in order to make such information
comparable between periods. Income taxes related to the net LCM
adjustment were recalculated using the company's statutory
corporate tax rate of approximately 39.1% and 39.6% for the 2016
and 2015 periods, respectively.
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|
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(6) Represents an
adjustment to weighted-average diluted shares outstanding to assume
the full exchange of existing PBF LLC Series A Units as described
in footnote 2 above.
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|
|
(7) Represents
weighted-average diluted shares outstanding assuming the full
exchange of common stock equivalents, including options and
warrants for PBF LLC Series A Units and options for shares of PBF
Energy Class A common stock as calculated under the treasury stock
method (to the extent the impact of such exchange would not be
anti-dilutive). Common stock equivalents excludes the effects of
warrants and options to purchase 5,701,750 and 2,943,750 shares of
PBF Energy Class A common stock because they are anti-dilutive
for the years ended December 31, 2016 and 2015, respectively.
Common stock equivalents excludes the effects of warrants and
options to purchase 5,923,625 and 1,335,000 shares of PBF Energy
Class A common stock because they are anti-dilutive for the
three months ended December 31, 2016 and 2015,
respectively.
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|
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|
|
(8) EBITDA (Earnings
before Interest, Income Taxes, Depreciation and Amortization) and
Adjusted EBITDA are supplemental measures of performance that are
not required by, or presented in accordance with, GAAP. We
use these Non-GAAP financial measures as a supplement to our GAAP
results in order to provide additional metrics on factors and
trends affecting our business. EBITDA and Adjusted EBITDA are
measures of operating performance that are not defined by GAAP and
should not be considered substitutes for net income as determined
in accordance with GAAP. In addition, because EBITDA and
Adjusted EBITDA are not calculated in the same manner by all
companies, they are not necessarily comparable to other similarly
titled measures used by other companies. EBITDA and Adjusted
EBITDA have their limitations as an analytical tool, and you should
not consider them in isolation or as substitutes for analysis of
our results as reported under GAAP.
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|
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|
|
|
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|
|
|
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|
|
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|
|
(9) We operate in two
reportable segments; Refining and Logistics. Our operations that
are not included in the Refining and Logistics segments are
included in Corporate. As of December 31, 2016, the Refining
segment includes the operations of our oil refineries and related
facilities in Delaware City, Delaware, Paulsboro, New Jersey,
Toledo, Ohio, New Orleans, Louisiana and Torrance, California. The
Logistics segment includes the operations of PBF Logistics LP
("PBFX"), a growth-oriented master limited partnership which owns
or leases, operates, develops and acquires crude oil and refined
petroleum products terminals, pipelines, storage facilities and
similar logistics assets. PBFX's assets consist of rail and truck
terminals and unloading racks, tank farms and pipelines that were
acquired from or contributed by PBF LLC and are located at, or
nearby, the Company's refineries. Additionally, PBFX acquired the
East Coast Terminals in 2016 which was its first third party
acquisition. Further in 2016, PBFX acquired from PBF LLC 50% of the
issued and outstanding limited liability company interests of TVPC,
whose assets consist of the Torrance Valley Pipeline. PBFX provides
various rail, truck and marine terminaling services, pipeline
transportation services and storage services to PBF Holding and/or
its subsidiaries and third party customers through fee-based
commercial agreements. Apart from the East Coast Terminals, PBFX
currently does not generate significant third party revenue and, as
such, intersegment related-party revenues are eliminated in
consolidation. Prior to the PBFX Offering, PBFX was not considered
to be a separate reportable segment. From a PBF Energy perspective,
the Company's chief operating decision maker evaluates the
Logistics segment as a whole without regard to any of PBFX's
individual segments.
|
|
|
(10) As
reported by Platts.
|
|
|
(11) Gross
refining margin and gross refining margin per barrel of throughput
are Non-GAAP measures because they exclude refinery operating
expenses, refinery depreciation and amortization and gross margin
of PBFX. Gross refining margin per barrel is gross refining margin,
divided by total crude and feedstocks throughput. We believe they
are important measures of operating performance and they provide
useful information to investors because gross refining margin per
barrel is a helpful metric comparison to the industry refining
margin benchmarks shown in the Market Indicators Tables, as the
industry benchmarks do not include a charge for refinery operating
expenses and depreciation. Other companies in our industry may not
calculate gross refining margin and gross refining margin per
barrel in the same manner. Gross refining margin and gross refining
margin per barrel of throughput have their limitations as an
analytical tool, and you should not consider them in isolation or
as substitutes for analysis of our results as reported under
GAAP.
|
|
|
(12) Represents
refinery operating expenses, excluding depreciation and
amortization, divided by total crude oil and feedstocks
throughput.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(13) We define heavy
crude oil as crude oil with an American Petroleum Institute (API)
gravity less than 24 degrees. We define medium crude oil as
crude oil with an API gravity between 24 and 35 degrees. We
define light crude oil as crude oil with an API gravity higher than
35 degrees.
|
|
|
(14) Includes
activity for the Torrance refinery subsequent to its acquisition on
July 1, 2016 and activity for the Chalmette refinery subsequent to
its acquisition on November 1, 2015.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(15) The company
recorded pre-tax adjustments related to the change in the tax
receivable agreement liability of $12.9 million and $18.2 million
for the years ended December 31, 2016 and 2015, respectively, and
$16.1 million and $20.4 million for the three months ended December
31, 2016 and 2015, respectively. Income taxes related to the change
in the tax receivable agreement liability were recalculated using
the company's statutory corporate tax rate of approximately 39.1%
and 39.6% for the 2016 and 2015 periods presented,
respectively.
|
|
|
(16) The Refining
segment includes capital expenditures of $2.7 million for the
working capital settlement related to the acquisition of the
Chalmette refinery that was finalized in the first quarter of 2016
and $971.9 million for the acquisition of the Torrance refinery in
the third quarter of 2016. The Logistics segment includes capital
expenditures of $98.4 million for the PBFX Plains Asset Purchase in
the second quarter of 2016.
|
|
|
(17) The total debt
to capitalization ratio is calculated by dividing total debt by the
sum of total debt and total equity. This ratio is a measurement
which is presented in our annual and interim filings and management
believes this ratio is useful to investors in analyzing our
leverage. Net debt and the net debt to capitalization ratio are
Non-GAAP measures. Net debt is calculated by subtracting cash and
cash equivalents and marketable securities from total debt. We
believe these measurements are also useful to investors since we
have the ability to and may decide to use a portion of our cash and
cash equivalents to retire or pay down our debt. Marketable
securities included in net debt fully collateralize PBFX's Term
Loan. Additionally, as described in footnote 4 above, we have also
presented the total debt to capitalization and net debt to
capitalization ratios excluding the cumulative effects of special
items on equity.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December
31,
|
|
December
31,
|
|
|
|
|
|
|
|
|
|
|
|
|
2016
|
|
2015
|
|
Total debt
|
$
|
2,148,234
|
|
|
$
|
1,840,355
|
|
|
Total
equity
|
2,570,684
|
|
|
2,095,857
|
|
|
Total
Capitalization
|
$
|
4,718,918
|
|
|
$
|
3,936,212
|
|
|
|
|
|
|
Total debt
|
2,148,234
|
|
|
1,840,355
|
|
|
Total equity
excluding special items
|
2,912,375
|
|
|
2,763,118
|
|
|
Total capitalization
excluding special items
|
5,060,609
|
|
|
4,603,473
|
|
|
|
|
|
|
Total
equity
|
2,570,684
|
|
|
2,095,857
|
|
|
Special Items (Note
4):
|
|
|
|
|
Add: Non-cash LCM
inventory adjustment (Note 5)
|
595,988
|
|
|
1,117,336
|
|
|
Add: Change in tax
receivable agreement liability (Note 4)
|
(25,508)
|
|
|
(12,600)
|
|
|
Less: Recomputed
income taxes on special items (Note 5, Note 15)
|
(228,789)
|
|
|
(437,475)
|
|
|
Net impact of special
items to equity
|
$
|
341,691
|
|
|
$
|
667,261
|
|
|
Total equity
excluding special items (Note 4)
|
$
|
2,912,375
|
|
|
$
|
2,763,118
|
|
|
|
|
|
|
Total debt
|
2,148,234
|
|
|
1,840,355
|
|
|
Less: Cash, cash
equivalents and marketable securities
|
786,298
|
|
|
1,178,578
|
|
|
Net debt
|
1,361,936
|
|
|
661,777
|
|
|
|
|
|
|
Total debt to
capitalization ratio
|
46
|
%
|
|
47
|
%
|
|
Total debt to
capitalization ratio, excluding special items
|
42
|
%
|
|
40
|
%
|
|
Net debt to
capitalization ratio
|
35
|
%
|
|
24
|
%
|
|
Net debt to
capitalization ratio, excluding special items
|
32
|
%
|
|
19
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(18) The Logistics
segment includes 100% of the income from operations of the Torrance
Valley Pipeline Company LLC ("TVPC"), as TVPC is consolidated by
PBFX. PBFX records net income attributable to noncontrolling
interest for the 50% equity interest in TVPC held by PBF Holding.
PBF Holding (included in the Refining segment) records equity
income in investee related to its 50% noncontrolling ownership
interest in TVPC. For the purposes of the consolidated PBF Energy
financial statements, PBF Holding's equity income in investee and
PBFX's net income attributable to noncontrolling interest eliminate
in consolidation. As TVPC was acquired by PBF Holding in connection
with the Torrance Acquisition on July 1, 2016, there was no impact
on comparative 2015 disclosures.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(19) The Logistics
segment includes 100% of the assets of TVPC as TVPC is consolidated
by PBFX. PBFX records a noncontrolling interest for the 50% equity
interest in TVPC held by PBF Holding. PBF Holding (included in the
Refining segment) records an equity investment in TVPC reflecting
its noncontrolling ownership interest. For the purposes of the
consolidated PBF Energy financial statements, PBFX's noncontrolling
interest in TVPC and PBF Holding's equity investment in TVPC
eliminate in consolidation. As the acquisition of PBFX's 50%
interest in TVPC was completed in the third quarter of 2016, there
was no impact on comparative 2015 disclosures.
|
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/pbf-energy-reports-fourth-quarter-2016-results-declares-dividend-of-030-per-share-300408633.html
SOURCE PBF Energy Inc.