- Net income for the fourth quarter
and Fiscal 2017 was $26.5 million and $143.9 million, respectively,
compared to a net loss of $207.0 million and $187.1 million,
respectively, for the fourth quarter and Fiscal 2016
- Adjusted EBITDA for the fourth
quarter of Fiscal 2017 was $121.0 million and $380.8 million for
all of Fiscal 2017, compared to $154.0 million for the fourth
quarter of Fiscal 2016 and $424.1 million for Fiscal 2016
- Distributable Cash Flow for the
fourth quarter of Fiscal 2017 was $84.0 million and totaled $234.8
million for the year
- Growth capital expenditures and
other investments totaled approximately $84 million during the
fourth quarter, the majority of which was related to the
acquisition of the natural gas liquid terminals from Murphy Energy
Corporation
- Fiscal 2018 Adjusted EBITDA guidance
of approximately $500 million to $525 million and expected
distribution coverage of approximately 1.3x
NGL Energy Partners LP (NYSE:NGL) (“NGL” or the “Partnership”)
today reported net income for the quarter ended March 31, 2017
of $26.5 million, compared to a net loss for the quarter ended
March 31, 2016 of $207.0 million. Adjusted EBITDA was $121.0
million for the quarter ended March 31, 2017, a 21% year over
year decrease when compared to Adjusted EBITDA of $154.0 million
for the quarter ended March 31, 2016. Distributable Cash Flow
was $84.0 million for the quarter ended March 31, 2017,
compared to $122.5 million for the quarter ended March 31,
2016. Net income for the fiscal year ended March 31, 2017 was
$143.9 million with Adjusted EBITDA for the year of $380.8 million
compared to a net loss and Adjusted EBITDA of $187.1 million and
$424.1 million, respectively, for the year ended March 31,
2016.
“Our fourth quarter results were adversely impacted by one of
the warmest winters in the United States for the past 100 years
negatively impacting both Retail Propane and Liquids as well as a
decrease in Refined Products' results due to lower than historical
line space values. While neither of these items change our core
business strategies, we did adjust our expectations for the
upcoming fiscal year for the refined products and propane
businesses to account for the potential effects of similar events
occurring in the upcoming year,” stated Mike Krimbill, CEO of the
Partnership. “We had many positive accomplishments during fiscal
2017, including the scheduled startup of Grand Mesa Pipeline,
continued expansion of the Retail Propane, Water and Liquids
businesses and a restructuring of our balance sheet. We look
forward to fiscal 2018 and the continued growth of our
Partnership.”
Quarterly Results of Operations
The following table summarizes operating income (loss) by
operating segment for the three months ended March 31, 2017
and March 31, 2016 (in thousands):
Three Months Ended Three Months Ended
March 31, 2017 March 31, 2016 Crude Oil Logistics $
11,352 $ (53,434 ) Refined Products and Renewables 53,181 167,473
Liquids 10,160 23,353 Retail Propane 38,702 32,111 Water Solutions
(18,549 ) (357,973 ) Corporate and Other (20,392 )
(15,775 ) Total operating income (loss) $ 74,454 $ (204,245
)
The tables included in this release reconcile operating income
(loss) to Adjusted EBITDA for each of our operating segments.
Crude Oil Logistics
The Partnership’s Crude Oil Logistics segment generated Adjusted
EBITDA of $29.5 million during the quarter ended March 31,
2017, compared to Adjusted EBITDA of $16.9 million during the
quarter ended March 31, 2016. The Partnership’s Grand Mesa
Pipeline project commenced commercial operations on November 1,
2016 and contributed Adjusted EBITDA of approximately $26.6 million
during the fourth quarter. For fiscal 2018, the Partnership
anticipates Adjusted EBITDA related to this project to be
approximately $130 million based on current contracts and expected
walk-up volumes. The average contract term on the pipeline is
approximately nine years and all contracts are fee-based with
volume commitments, which step up in the second and third years of
operations.
The Crude Oil Logistics segment continued to be impacted by
increased competition due to lower production in the majority of
the basins across the United States. The Partnership’s quarterly
results were also impacted by the flattening of the contango curve
for crude oil during the quarter.
Refined Products and Renewables
The Partnership’s Refined Products and Renewables segment
generated Adjusted EBITDA of $12.2 million during the quarter ended
March 31, 2017, compared to Adjusted EBITDA of $52.3 million
during the quarter ended March 31, 2016. The results for the
quarter ended March 31, 2017 were negatively impacted by
decreased demand for diesel fuel, lower than expected results for
biodiesel and an extended decline in gasoline line space values on
the Colonial Pipeline.
Refined product barrels sold during the quarter ended
March 31, 2017 totaled approximately 37.1 million barrels, and
increased by approximately 9.3 million barrels compared to the same
period in the prior year, as a result of the increase in pipeline
capacity rights purchased over the previous year and an expansion
of our refined products operations. Renewable barrels sold during
the quarter ended March 31, 2017 were approximately 1.9
million, compared to approximately 1.7 million during the quarter
ended March 31, 2016.
Liquids
The Partnership’s Liquids segment generated Adjusted EBITDA of
$16.2 million during the quarter ended March 31, 2017,
compared to Adjusted EBITDA of $37.9 million during the quarter
ended March 31, 2016. The significantly warmer than normal
winter resulted in lower margin and lower wholesale demand from
retailers and our butane business continues to be negatively
impacted by lower margins, railcar costs and lower storage
utilization. Total product margin per gallon was $0.033 for the
quarter ended March 31, 2017, compared to $0.071 for the
quarter ended March 31, 2016. Propane volumes increased by
approximately 29.2 million gallons, or 6.9%, during the quarter
ended March 31, 2017 when compared to the quarter ended
March 31, 2016; however, these volumes were lower than
budgeted based on weather-related decreases to demand. Butane
volumes decreased by approximately 2.0 million gallons, or 1.8%,
during the quarter ended March 31, 2017 when compared to the
quarter ended March 31, 2016. Other Liquids volumes increased
by 3.7 million gallons, or 4.4%, during the quarter ended
March 31, 2017 when compared to the same period in the prior
year.
Retail Propane
The Partnership’s Retail Propane segment generated Adjusted
EBITDA of $48.9 million during the quarter ended March 31,
2017, compared to Adjusted EBITDA of $40.8 million during the
quarter ended March 31, 2016. Propane sold during the quarter
ended March 31, 2017 increased by approximately 9.4 million
gallons, or 15%, when compared to the quarter ended March 31,
2016, primarily due increased demand in the pacific northwest and
to acquisitions made during previous quarters. Distillates sold
during the quarter ended March 31, 2017 decreased by
approximately 0.4 million gallons when compared to the quarter
ended March 31, 2016. Total product margin per gallon was
$0.957 for the quarter ended March 31, 2017, compared to
$0.905 for the quarter ended March 31, 2016.
Water Solutions
The Partnership’s Water Solutions segment generated Adjusted
EBITDA of $18.1 million during the quarter ended March 31,
2017, compared to Adjusted EBITDA of $11.6 million during the
quarter ended March 31, 2016. The Partnership processed
approximately 536,000 barrels of water per day during the quarter
ended March 31, 2017, compared to approximately 479,000
barrels of water per day during the quarter ended March 31,
2016. The segment continued to benefit from the increased rig
counts in the basins in which it operates, particularly in the
Permian and DJ Basins. Revenues from recovered hydrocarbons totaled
$11.8 million for the quarter ended March 31, 2017, an
increase of $5.7 million over the prior year period related to
increased crude oil prices and volumes.
Corporate and Other
Adjusted EBITDA for Corporate and Other was a loss of $3.9
million during the quarter ended March 31, 2017, compared to a
loss of $5.5 million during the quarter ended March 31, 2016.
General and administrative expenses for the quarter ended
March 31, 2017 benefited from lower compensation expense and a
reduction in insurance costs.
Capitalization and Liquidity
In February 2017, the Partnership issued $500.0 million of
6.125% Senior Notes due 2025 and received net proceeds from the
issuance of $491.3 million, which were used to reduce the
outstanding balance on its revolving credit facility. Also in
February 2017, the Partnership issued 10,120,000 common units and
received net proceeds from the issuance of $222.5 million, which
were also used to reduce the outstanding balance on its revolving
credit facility. The Partnership amended and restated its revolving
credit facility during the quarter, which included extending the
maturity to October 2021. Total liquidity (cash plus available
capacity on the revolving credit facility) was approximately $874
million as of March 31, 2017.
Total long-term debt outstanding, excluding working capital
borrowings, was $2,149.0 million at March 31, 2017 compared to
$2,341.0 million at December 31, 2016, a decrease of $192.0
million. Working capital borrowings totaled $814.5 million at
March 31, 2017 compared to $875.5 million at December 31,
2016, a decrease of $61.0 million driven primarily by a reduction
in inventories during the quarter. Working capital borrowings,
which are fully secured by the Partnership’s net working capital,
are subject to a borrowing base and are excluded from the
Partnership’s debt compliance ratios.
Fiscal Year 2018 Guidance
For fiscal 2018, the Partnership expects to generate Adjusted
EBITDA of approximately $500 million to $525 million, which
includes Adjusted EBITDA for Grand Mesa Pipeline of approximately
$130 million. Distributable Cash Flow is expected to be between
$300 million and $325 million and would generate over $100 million,
or about 1.3x, distribution coverage at our current
annualized distribution rate, including distributions on the Class
A Preferred Units. The Partnership currently expects to spend
approximately $150 million to $200 million on growth capital
expenditures during fiscal 2018.
Fourth Quarter Conference Call Information
A conference call to discuss NGL’s results of operations is
scheduled for 11:00 am Eastern Time (10:00 am Central
Time) on Thursday, May 25, 2017. Analysts, investors, and
other interested parties may access the conference call by dialing
(800) 291-4083 and providing access code 22563375. An archived
audio replay of the conference call will be available for 7 days
beginning at 2:00 pm Eastern Time (1:00 pm Central Time)
on May 25, 2017, which can be accessed by dialing
(855) 859-2056 and providing access code 22563375.
Non-GAAP Financial Measures
NGL defines EBITDA as net income (loss) attributable to NGL
Energy Partners LP, plus interest expense, income tax expense
(benefit), and depreciation and amortization expense. NGL defines
Adjusted EBITDA as EBITDA excluding net unrealized gains and losses
on derivatives, lower of cost or market adjustments, gains and
losses on disposal or impairment of assets, gain on early
extinguishment of liabilities, revaluation of investments,
equity-based compensation expense, acquisition expense and other.
We also include in Adjusted EBITDA certain inventory valuation
adjustments related to our Refined Products and Renewables segment,
as discussed below. EBITDA and Adjusted EBITDA should not be
considered alternatives to net income, income before income taxes,
cash flows from operating activities, or any other measure of
financial performance calculated in accordance with GAAP, as those
items are used to measure operating performance, liquidity or the
ability to service debt obligations. NGL believes that EBITDA
provides additional information to investors for evaluating NGL’s
ability to make quarterly distributions to NGL’s unitholders, and
it is presented solely as a supplemental measure. NGL believes that
Adjusted EBITDA provides additional information to investors for
evaluating NGL’s financial performance without regard to NGL’s
financing methods, capital structure and historical cost basis.
Further, EBITDA and Adjusted EBITDA, as NGL defines them, may not
be comparable to EBITDA, Adjusted EBITDA, or similarly titled
measures used by other entities.
Other than for NGL’s Refined Products and Renewables segment,
for purposes of the Adjusted EBITDA calculation, NGL makes a
distinction between realized and unrealized gains and losses on
derivatives. During the period when a derivative contract is open,
NGL records changes in the fair value of the derivative as an
unrealized gain or loss. When a derivative contract matures or is
settled, NGL reverses the previously recorded unrealized gain or
loss and records a realized gain or loss. NGL does not draw such a
distinction between realized and unrealized gains and losses on
derivatives of NGL’s Refined Products and Renewables segment. The
primary hedging strategy of NGL’s Refined Products and Renewables
segment is to hedge against the risk of declines in the value of
inventory over the course of the contract cycle, and many of the
hedges are six months to one year in duration at inception. The
“inventory valuation adjustment” row in the reconciliation table
reflects the difference between the market value of the inventory
of NGL’s Refined Products and Renewables segment at the balance
sheet date and its cost. We include this in Adjusted EBITDA because
the unrealized gains and losses associated with derivative
contracts associated with the inventory of this segment, which are
intended primarily to hedge inventory holding risk and are included
in net income, also affect Adjusted EBITDA.
Distributable Cash Flow is defined as Adjusted EBITDA minus
maintenance capital expenditures, cash income taxes and cash
interest expense. Maintenance capital expenditures represent
capital expenditures necessary to maintain the Partnership’s
operating capacity. Distributable Cash Flow is a performance metric
used by senior management to compare cash flows generated by the
Partnership (excluding growth capital expenditures and prior to the
establishment of any retained cash reserves by the Board of
Directors) to the cash distributions expected to be paid to
unitholders. Using this metric, management can quickly compute the
coverage ratio of estimated cash flows to planned cash
distributions. This financial measure also is important to
investors as an indicator of whether the Partnership is generating
cash flow at a level that can sustain, or support an increase in,
quarterly distribution rates. Actual distribution amounts are set
by the Board of Directors.
Forward Looking Statements
This press release includes “forward-looking statements.” All
statements other than statements of historical facts included or
incorporated herein may constitute forward-looking statements.
Actual results could vary significantly from those expressed or
implied in such statements and are subject to a number of risks and
uncertainties. While NGL believes such forward-looking statements
are reasonable, NGL cannot assure they will prove to be correct.
The forward-looking statements involve risks and uncertainties that
affect operations, financial performance, and other factors as
discussed in filings with the Securities and Exchange Commission.
Other factors that could impact any forward-looking statements are
those risks described in NGL’s Annual Report on Form 10-K,
Quarterly Reports on Form 10-Q, and other public filings. You are
urged to carefully review and consider the cautionary statements
and other disclosures made in those filings, specifically those
under the heading “Risk Factors.” NGL undertakes no obligation to
publicly update or revise any forward-looking statements except as
required by law.
NGL provides Adjusted EBITDA guidance that does not include
certain charges and costs, which in future periods are generally
expected to be similar to the kinds of charges and costs excluded
from Adjusted EBITDA in prior periods, such as income taxes,
interest and other non-operating items, depreciation and
amortization, net unrealized gains and losses on derivatives, lower
of cost or market adjustments, gains and losses on disposal or
impairment of assets, equity-based compensation,
acquisition-related expense, revaluation of liabilities and items
that are unusual in nature or infrequently occurring. The exclusion
of these charges and costs in future periods will have a
significant impact on the Partnership’s Adjusted EBITDA, and the
Partnership is not able to provide a reconciliation of its
Adjusted EBITDA guidance to net income (loss) without unreasonable
efforts due to the uncertainty and variability of the nature and
amount of these future charges and costs and the Partnership
believes that such reconciliation, if possible, would imply a
degree of precision that would be potentially confusing or
misleading to investors.
About NGL Energy Partners LP
NGL Energy Partners LP is a Delaware limited partnership. NGL
owns and operates a vertically integrated energy business with five
primary businesses: Crude Oil Logistics, Water Solutions, Liquids,
Retail Propane and Refined Products and Renewables. NGL completed
its initial public offering in May 2011. For further
information, visit the Partnership’s website at www.nglenergypartners.com.
NGL ENERGY PARTNERS LP AND
SUBSIDIARIES
Consolidated Balance Sheets
(in Thousands, except unit
amounts)
(Unaudited)
March 31, December 31,
2017 2016 ASSETS CURRENT ASSETS: Cash and cash
equivalents $ 12,264 $ 28,927 Accounts receivable-trade, net of
allowance for doubtful accounts of $5,234 and $5,578, respectively
800,607 765,290 Accounts receivable-affiliates 6,711 20,008
Inventories 561,432 613,993 Prepaid expenses and other current
assets 103,193 134,485 Total current
assets 1,484,207 1,562,703 PROPERTY, PLANT AND EQUIPMENT,
net of accumulated depreciation of $375,594 and $348,136,
respectively 1,790,273 1,746,925 GOODWILL 1,451,716 1,462,116
INTANGIBLE ASSETS, net of accumulated amortization of $414,605 and
$388,517, respectively 1,163,956 1,164,749 INVESTMENTS IN
UNCONSOLIDATED ENTITIES 187,423 187,514 LOAN RECEIVABLE-AFFILIATE
3,200 2,700 OTHER NONCURRENT ASSETS 239,604
251,369 Total assets $ 6,320,379 $ 6,378,076
LIABILITIES AND EQUITY CURRENT LIABILITIES: Accounts
payable-trade $ 658,021 $ 650,886 Accounts payable-affiliates 7,918
22,917 Accrued expenses and other payables 207,125 196,033 Advance
payments received from customers 35,944 63,509 Current maturities
of long-term debt 29,590 33,501 Total
current liabilities 938,598 966,846 LONG-TERM DEBT, net of
debt issuance costs of $33,458 and $24,574, respectively, and
current maturities 2,963,483 3,216,505 OTHER NONCURRENT LIABILITIES
184,534 186,280 COMMITMENTS AND CONTINGENCIES CLASS A 10.75%
CONVERTIBLE PREFERRED UNITS, 19,942,169 and 19,942,169 preferred
units issued and outstanding, respectively 63,890 61,170 REDEEMABLE
NONCONTROLLING INTEREST 3,072 — EQUITY: General partner,
representing a 0.1% interest, 120,300 and 109,201 notional units,
respectively (50,529 ) (50,785 ) Limited partners, representing a
99.9% interest, 120,179,407 and 109,091,710 common units issued and
outstanding, respectively 2,192,413 1,969,113 Accumulated other
comprehensive loss (1,828 ) (97 ) Noncontrolling interests
26,746 29,044 Total equity 2,166,802
1,947,275 Total liabilities and equity $
6,320,379 $ 6,378,076
NGL ENERGY PARTNERS LP AND
SUBSIDIARIES
Consolidated Statements of
Operations
(in Thousands, except unit and per unit
amounts)
(Unaudited)
Three Months Ended Year Ended
March 31, March 31, 2017
2016 2017
2016 REVENUES: Crude Oil Logistics $ 505,142 $
362,292 $ 1,666,884 $ 3,217,079 Water Solutions 43,756 37,776
159,601 185,001 Liquids 529,504 332,975 1,439,088 1,194,479 Retail
Propane 172,978 135,179 413,109 352,977 Refined Products and
Renewables 2,596,534 1,456,756 9,342,702 6,792,112 Other 165
462 844 462 Total
Revenues 3,848,079 2,325,440 13,022,228 11,742,110 COST OF SALES:
Crude Oil Logistics 464,428 341,477 1,572,015 3,111,717 Water
Solutions 197 752 4,068 (7,336 ) Liquids 502,895 282,961 1,334,116
1,037,118 Retail Propane 85,570 60,340 191,589 156,757 Refined
Products and Renewables 2,545,527 1,391,448 9,219,721 6,540,599
Other 100 182 400
182 Total Cost of Sales 3,598,717 2,077,160 12,321,909
10,839,037 OPERATING COSTS AND EXPENSES: Operating 82,517 93,177
307,925 401,118 General and administrative 28,489 24,727 116,566
139,541 Depreciation and amortization 62,929 53,152 223,205 228,924
Loss (gain) on disposal or impairment of assets, net (5,744 )
317,726 (209,177 ) 320,766 Revaluation of liabilities 6,717
(36,257 ) 6,717 (82,673 )
Operating Income (Loss) 74,454 (204,245 ) 255,083 (104,603 ) OTHER
INCOME (EXPENSE): Equity in earnings of unconsolidated entities
1,358 2,113 3,084 16,121 Revaluation of investments — — (14,365 ) —
Interest expense (45,162 ) (34,540 ) (150,478 ) (133,089 ) Gain
(loss) on early extinguishment of liabilities, net (6,163 ) 28,532
24,727 28,532 Other income, net 1,902 2,634
27,762 5,575 Income (Loss)
Before Income Taxes 26,389 (205,506 ) 145,813 (187,464 ) INCOME TAX
BENEFIT (EXPENSE) 97 (1,479 ) (1,939 )
367 Net Income (Loss) 26,486 (206,985 ) 143,874
(187,097 ) LESS: NET (INCOME) LOSS ATTRIBUTABLE TO NONCONTROLLING
INTERESTS (741 ) 2,853 (6,832 )
(11,832 ) NET INCOME (LOSS) ATTRIBUTABLE TO NGL ENERGY PARTNERS LP
25,745 (204,132 ) 137,042 (198,929 ) LESS: DISTRIBUTIONS TO
PREFERRED UNITHOLDERS (9,184 ) — (30,142 ) — LESS: NET (INCOME)
LOSS ALLOCATED TO GENERAL PARTNER (52 ) 178
(232 ) (47,620 ) NET INCOME (LOSS) ALLOCATED TO
COMMON UNITHOLDERS $ 16,509 $ (203,954 ) $ 106,668 $
(246,549 ) BASIC INCOME (LOSS) PER COMMON UNIT $ 0.14 $
(1.94 ) $ 0.99 $ (2.35 ) DILUTED INCOME (LOSS) PER COMMON
UNIT $ 0.14 $ (1.94 ) $ 0.95 $ (2.35 ) BASIC WEIGHTED
AVERAGE COMMON UNITS OUTSTANDING 114,131,764
104,930,260 108,091,486 104,838,886
DILUTED WEIGHTED AVERAGE COMMON UNITS OUTSTANDING
120,198,802 104,930,260 111,850,621
104,838,886
EBITDA, ADJUSTED EBITDA AND DISTRIBUTABLE
CASH FLOW RECONCILIATION
(Unaudited)
The following table reconciles NGL’s net
income (loss) to NGL’s EBITDA, Adjusted EBITDA and Distributable
Cash Flow:
Three Months Ended Year Ended
March 31, March 31, 2017 2016
2017 2016 (in thousands) Net income
(loss) $ 26,486 $ (206,985 ) $ 143,874 $ (187,097 ) Less: Net
(income) loss attributable to noncontrolling interests (741
) 2,853 (6,832 ) (11,832 ) Net income
(loss) attributable to NGL Energy Partners LP 25,745 (204,132 )
137,042 (198,929 ) Interest expense 45,221 33,606 150,504 126,514
Income tax (benefit) expense (97 ) 1,480 1,939 (420 ) Depreciation
and amortization 66,837 55,165
238,583 217,893 EBITDA 137,706 (113,881 )
528,068 145,058 Net unrealized (gains) losses on derivatives (2,601
) 5,749 (3,338 ) 1,255 Inventory valuation adjustment (1) (33,184 )
21,559 7,368 24,390 Lower of cost or market adjustments (2,122 )
(13,257 ) (1,283 ) (5,932 ) (Gain) loss on disposal or impairment
of assets, net (5,744 ) 317,727 (209,213 ) 320,783 Loss (gain) on
early extinguishment of liabilities, net 6,163 (28,532 ) (24,727 )
(28,532 ) Revaluation of investments — — 14,365 — Equity-based
compensation expense (2) 13,243 6,104 53,102 58,816 Acquisition
expense (3) 232 1,131 1,771 2,002 Other (4) 7,306
(42,559 ) 14,687 (93,725 ) Adjusted
EBITDA 120,999 154,041 380,800 424,115 Less: Cash interest expense
28,810 28,419 117,912 117,185 Less: Cash income taxes 37 522 2,022
2,300 Less: Maintenance capital expenditures (5) 8,172
2,629 26,073 30,422
Distributable Cash Flow
$ 83,980 $ 122,471 $ 234,793 $ 274,208
____________
(1) Amount reflects the difference between the market value of
the inventory of NGL’s Refined Products and Renewables segment at
the balance sheet date and its cost. See “Non-GAAP Financial
Measures” section above for a further discussion.
(2) Equity-based compensation expense in the table above may
differ from equity-based compensation expense reported in the
footnotes to our consolidated financial statements included in our
Annual Report on Form 10-K. Amounts reported in the table
above include expense accruals for bonuses expected to be paid in
common units, whereas the amounts reported in the footnotes to our
consolidated financial statements only include expenses associated
with equity-based awards that have been formally granted.
(3) During the quarters and years ended March 31, 2017 and
2016, we incurred expenses related to legal and advisory costs
associated with acquisitions.
(4) The amount for the quarter ended March 31, 2017
represents non-cash operating expenses related to our Grand Mesa
Pipeline project. The amount for the year ended March 31, 2017
represents non-cash operating expenses related to our Grand Mesa
Pipeline project and also includes adjustments related to
noncontrolling interests. Amounts for the quarter and year ended
March 31, 2016 represent the non-cash valuation adjustment of
contingent consideration liabilities, offset by the cash payments,
related to royalty agreements acquired as part of acquisitions in
our Water Solutions segment, and amounts attributable to
noncontrolling interests.
(5) Excludes TLP maintenance capital expenditures of $0.2
million and $11.6 million during the quarter and year ended
March 31, 2016, respectively.
ADJUSTED EBITDA RECONCILIATION BY SEGMENT
Three Months Ended March 31, 2017 Crude
OilLogistics WaterSolutions
Liquids
RetailPropane
RefinedProductsandRenewables
CorporateandOther
Consolidated (in thousands) Operating income
(loss) $ 11,352 $ (18,549 ) $ 10,160 $ 38,702 $ 53,181 $ (20,392 )
$ 74,454 Depreciation and amortization 19,648 25,045 5,848 11,195
325 868 62,929 Amortization recorded to cost of sales 100 — 196 —
1,434 — 1,730 Net unrealized (gains) losses on derivatives (2,464 )
50 (23 ) (164 ) — — (2,601 ) Inventory valuation adjustment — — — —
(33,184 ) — (33,184 ) Lower of cost or market adjustments — — — —
(2,122 ) — (2,122 ) (Gain) loss on disposal or impairment of
assets, net (3,913 ) 6,398 (17 ) (191 ) (8,024 ) 3 (5,744 )
Equity-based compensation expense — — — — — 13,243 13,243
Acquisition expense — — — — — 232 232 Other income (expense), net
177 (785 ) 6 165 164 2,175 1,902 Adjusted EBITDA attributable to
unconsolidated entities 3,938 115 — (39 ) 432 — 4,446 Adjusted
EBITDA attributable to noncontrolling interest — (868 ) — (799 ) —
— (1,667 ) Other 664 6,717 —
— — — 7,381
Adjusted EBITDA $ 29,502 $ 18,123 $ 16,170
$ 48,869 $ 12,206 $ (3,871 ) $ 120,999
Three Months Ended March 31, 2016
Crude OilLogistics
WaterSolutions
Liquids
RetailPropane
RefinedProductsandRenewables
CorporateandOther
Consolidated (in thousands) Operating (loss)
income $ (53,434 ) $ (357,973 ) $ 23,353 $ 32,111 $ 167,473 $
(15,775 ) $ (204,245 ) Depreciation and amortization 9,267 24,779
4,356 9,281 4,041 1,428 53,152 Amortization recorded to cost of
sales 63 — 261 — 1,274 — 1,598 Net unrealized losses (gains) on
derivatives 5,337 1,922 (1,845 ) 335 — — 5,749 Inventory valuation
adjustment — — — — 21,559 — 21,559 Lower of cost or market
adjustments — — — — (13,257 ) — (13,257 ) Loss (gain) on disposal
or impairment of assets, net 52,837 380,759 11,785 (245 ) (127,410
) — 317,726 Equity-based compensation expense — — — — 15 5,786
5,801 Acquisition expense — — — — — 1,131 1,131 Other (expense)
income, net (293 ) 792 2 177 (1 ) 1,957 2,634 Adjusted EBITDA
attributable to unconsolidated entities 3,080 (90 ) — (38 ) 3,977 —
6,929 Adjusted EBITDA attributable to noncontrolling interest —
(867 ) — (786 ) (5,328 ) — (6,981 ) Other —
(37,755 ) — — — —
(37,755 ) Adjusted EBITDA $ 16,857 $ 11,567
$ 37,912 $ 40,835 $ 52,343 $ (5,473 ) $
154,041
OPERATIONAL DATA
(Unaudited)
Three Months Ended Year Ended
March 31, March 31, 2017 2016
2017 2016 (in thousands, except per day
amounts) Crude Oil Logistics: Crude oil sold (barrels)
9,374 11,300 34,212 67,211 Crude oil transported on owned pipelines
(barrels) 4,755 — 6,365 — Crude oil storage capacity - owned and
leased (barrels) (1) 7,024 6,115 Crude oil inventory (barrels) (1)
2,844 2,123
Water Solutions: Water processed (barrels
per day) Eagle Ford Basin 211,448 208,695 208,649 236,792 Permian
Basin 192,456 147,950 184,702 179,413 DJ Basin 85,845 78,589 68,253
107,353 Other Basins 46,254 43,844 40,185 45,949 Total 536,003
479,078 501,789 569,507 Solids processed (barrels per day) 4,319
3,533 3,056 3,149 Skim oil sold (barrels per day) 2,827 2,557 1,989
2,935
Liquids: Propane sold (gallons) 453,586 424,402
1,267,076 1,244,529 Butane sold (gallons) 108,728 110,768 456,586
483,206 Other products sold (gallons) 86,914 83,245 343,365 360,716
Liquids storage capacity - leased and owned (gallons) (1) 358,537
292,110 Propane inventory (gallons) (1) 48,351 56,584 Butane
inventory (gallons) (1) 9,438 14,629 Other products inventory
(gallons) (1) 6,426 6,297
Retail Propane: Propane
sold (gallons) 71,666 62,300 177,599 152,238 Distillates sold
(gallons) 12,496 12,929 30,001 30,674 Propane inventory (gallons)
(1) 8,180 7,314 Distillates inventory (gallons) (1) 1,148 1,223
Refined Products and Renewables: Gasoline sold
(barrels) 25,727 16,114 91,004 58,650 Diesel sold (barrels) 11,402
11,665 49,817 40,338 Ethanol sold (barrels) 1,414 1,106 4,605 4,199
Biodiesel sold (barrels) 465 545 2,413 1,595 Refined Products and
Renewables storage capacity - leased (barrels) (1) 9,419 7,188
Gasoline inventory (barrels) (1) 2,993 1,602 Diesel inventory
(barrels) (1) 1,464 2,059 Ethanol inventory (barrels) (1) 727 766
Biodiesel inventory (barrels) (1) 471 350
____________
(1) Information is presented as of March 31, 2017 or
March 31, 2016 in the year-to-date columns above.
View source
version on businesswire.com: http://www.businesswire.com/news/home/20170525005453/en/
NGL Energy Partners LPTrey Karlovich, 918-481-1119Chief
Financial Officer and Executive Vice PresidentTrey.Karlovich@nglep.com
NGL Energy Partners (NYSE:NGL)
Historical Stock Chart
From Aug 2024 to Sep 2024
NGL Energy Partners (NYSE:NGL)
Historical Stock Chart
From Sep 2023 to Sep 2024