PARSIPPANY, N.J., Feb. 11, 2021 /PRNewswire/ -- PBF Energy
Inc. (NYSE:PBF) today reported fourth quarter 2020 loss from
operations of $328.1 million as
compared to income from operations of $123.0
million for the fourth quarter of 2019. Excluding special
items, fourth quarter 2020 loss from operations was $499.3 million as compared to income from
operations of $149.8 million for the
fourth quarter of 2019. PBF Energy's financial results reflect the
consolidation of PBF Logistics LP (NYSE: PBFX), a master limited
partnership of which PBF indirectly owned the general partner and
approximately 48% of the limited partner interests as of
December 31, 2020.
The company reported fourth quarter 2020 net loss of
$286.0 million and net loss
attributable to PBF Energy Inc. of $298.4
million or $(2.49) per share.
This compares to net income of $69.1
million, and net income attributable to PBF Energy Inc. of
$53.0 million or $0.44 per share for the fourth quarter of 2019.
Special items in the fourth quarter 2020 results, which decreased
net loss by a net, after-tax benefit of $246.4 million, or $2.04 per share, primarily consisted of a
lower-of-cost-or-market ("LCM") inventory adjustment, a benefit
related to the change in our tax receivable agreement liability, a
net tax expense on remeasurement of deferred tax assets and a gain
on the sale of land at our Torrance refinery, partially offset by
asset write-offs, project abandonments, a LIFO inventory decrement,
severance and other charges primarily associated with the East
Coast Refining Reconfiguration (described below) and a charge
associated with the residual costs on the early return of certain
leased railcars. Adjusted fully-converted net loss for the fourth
quarter 2020, excluding special items, was $547.4 million, or $(4.53) per share on a fully-exchanged,
fully-diluted basis, as described below, compared to adjusted
fully-converted net income of $73.6
million or $0.60 per share,
for the fourth quarter 2019.
Tom Nimbley, PBF Energy's
Chairman and CEO, said, "The unprecedented challenges of 2020
provided PBF with the opportunity to become a better company. Our
employees, contractors and business partners operated under
enormous pressure during the year and their resilience allowed PBF
to operate safely and reliably through what has hopefully been the
worst of the pandemic. We evaluated many aspects of our business
with the goal of reducing operating expenses and driving efficiency
in our capital program. We believe the measures we took in 2020,
and continue to explore, will improve the competitiveness of our
refining system going forward."
Mr. Nimbley continued, "PBF's fourth quarter, and full-year,
results reflect the continuing headwinds brought on by the global
pandemic and attendant demand destruction for our products. We
exited the year with approximately $1.6
billion in cash and other sources of liquidity that will
support our business through the current crisis. Although there are
some signs of improvement, we expect demand to remain depressed
until vaccine distribution is improved so that everyone can return
to their normal routines." Mr. Nimbley concluded, "Until that time,
we will focus on the safety and health of our employees, the
reliability of our operations and the ongoing strategic review of
our entire portfolio."
Loss from operations was $1,416.8
million for the year-ended December
31, 2020 as compared to income from operations of
$649.0 million for the year-ended
December 31, 2019. Excluding special
items, loss from operations was $1,441.2
million for the year-ended December
31, 2020 as compared to income from operations of
$365.7 million for the year-ended
December 31, 2019. Adjusted
fully-converted net loss for the year ended December 31, 2020, excluding special items, was
$1,421.7 million, or $(11.78) per share on a fully-exchanged,
fully-diluted basis, as compared to adjusted fully-converted net
income, excluding special items, of $109.3
million, or $0.90 per share,
for the year ended December 31,
2019.
Liquidity and Financial Position
In response to the pandemic, we took several steps to protect
our balance sheet and increase the financial liquidity of the
company, including the issuance of $250
million of senior secured notes in December 2020. As of December 31, 2020, our liquidity was
approximately $2.3 billion based on
approximately $1.6 billion of cash
and current availability under our asset-based lending
facility. In addition, PBF Logistics LP liquidity included
$36.3 million in cash and
approximately $295.1 million of
availability under its revolving credit facility.
Strategic Update and Outlook
During the fourth quarter, PBF Energy announced the operational
reconfiguration of its East Coast Refining System comprised of its
Delaware City and Paulsboro
refineries. The completed reconfiguration resulted in the idling of
the following units at the Paulsboro refinery: the smaller of two crude
units, coker, fluid catalytic cracker and several smaller units.
Expected annual operating and capital expenditures savings
are approximately $100.0
million and $50.0 million,
respectively, relative to average historic levels.
We realized a one-time working capital benefit as a result of
overall lower inventory levels required to support continuing
operations. We also incurred non-recurring expenses as a result of
unit shutdowns and workforce reductions.
We successfully reduced our system-wide 2020 operating expenses
by $235 million, excluding energy
savings, and exceeded our full-year goal of $140 million in total operating expense
reductions. Including energy, our full-year 2020 operating expense
reductions totaled approximately $325
million. While some of these savings are a result of reduced
operational tempo, the majority are deliberate operating and other
expense reductions. Looking ahead, we expect operating expenses on
a system-wide basis to be reduced by $200 to $225
million annually as a result of our efforts versus historic
levels, including the East Coast Reconfiguration.
During 2020, we aggressively managed our capital expenditures,
with total refining capital expenditures of approximately
$370 million, an almost 50% reduction
to our planned 2020 expenditures. Going forward, we expect refining
capital expenditures to be approximately $150 million for the first six months of 2021 and
we will remain flexible for the balance of the year depending on
the progress of the refining environment.
Our refineries operated at reduced rates during the fourth
quarter and, based on current market conditions, we anticipate
operating our refineries at lower utilization until such time that
sustained product demand justifies higher production. We expect
near-term throughput to be in the 675,000 to 725,000 barrel per day
range for our refining system.
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.
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
excluding special items, Adjusted Fully-Converted Net Income per
fully-exchanged, fully-diluted share, gross refining margin, gross
refining margin excluding special items, gross refining margin per
barrel of throughput, EBITDA (Earnings before Interest, Income
Taxes, Depreciation and Amortization), EBITDA excluding special
items and Adjusted EBITDA. 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.
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 11, 2021, 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 accessed by dialing
(877) 869-3847 or (201) 689-8261. The audio replay will be
available approximately two hours after the end of the call and
will be available through the company's website.
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 risks disclosed in PBF Logistics LP's
SEC filings; the duration and severity of the COVID-19 pandemic and
certain developments in the global oil markets and their impact on
the global macroeconomic conditions, risks relating to the
securities markets generally; risks associated with the East Coast
Refining Reconfiguration and other measures implemented to respond
to the COVID-19 pandemic and macroeconomic conditions and the
recent acquisition of the Martinez refinery, and related logistics
assets; and the impact of adverse market conditions, 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 48% 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
millions, except share and per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Year
Ended
|
|
|
|
|
|
|
December
31,
|
|
December
31,
|
|
|
|
|
|
|
2020
|
|
2019
|
|
2020
|
|
2019
|
Revenues
|
|
$
|
3,655.1
|
|
|
$
|
6,301.5
|
|
|
$
|
15,115.9
|
|
|
$
|
24,508.2
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost and
expenses:
|
|
|
|
|
|
|
|
|
Cost of
products and other
|
|
3,180.6
|
|
|
5,522.3
|
|
|
14,275.6
|
|
|
21,387.5
|
|
Operating
expenses (excluding depreciation and amortization expense as
reflected below)
|
|
472.6
|
|
|
433.6
|
|
|
1,918.3
|
|
|
1,782.3
|
|
Depreciation
and amortization expense
|
|
182.4
|
|
|
110.4
|
|
|
551.7
|
|
|
425.3
|
|
Cost of
sales
|
3,835.6
|
|
|
6,066.3
|
|
|
16,745.6
|
|
|
23,595.1
|
|
General and
administrative expenses (excluding depreciation and amortization
expense as
reflected below)
|
|
61.5
|
|
|
108.1
|
|
|
248.5
|
|
|
284.0
|
|
Depreciation
and amortization expense
|
|
2.9
|
|
|
3.0
|
|
|
11.3
|
|
|
10.8
|
|
Change in fair
value of contingent consideration
|
|
(0.2)
|
|
|
(0.8)
|
|
|
(93.7)
|
|
|
(0.8)
|
|
Impairment
expense
|
|
91.8
|
|
|
—
|
|
|
98.8
|
|
|
—
|
|
(Gain) loss on
sale of assets
|
|
(8.4)
|
|
|
1.9
|
|
|
(477.8)
|
|
|
(29.9)
|
|
Total cost and
expenses
|
|
3,983.2
|
|
|
6,178.5
|
|
|
16,532.7
|
|
|
23,859.2
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) from
operations
|
|
(328.1)
|
|
|
123.0
|
|
|
(1,416.8)
|
|
|
649.0
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other income
(expense):
|
|
|
|
|
|
|
|
|
|
Interest
expense, net
|
|
(73.1)
|
|
|
(38.3)
|
|
|
(258.2)
|
|
|
(159.6)
|
|
Change in Tax
Receivable Agreement liability
|
|
132.9
|
|
|
—
|
|
|
373.5
|
|
|
—
|
|
Change in fair
value of catalyst obligations
|
|
(16.0)
|
|
|
(3.3)
|
|
|
(11.8)
|
|
|
(9.7)
|
|
Debt
extinguishment costs
|
|
—
|
|
|
—
|
|
|
(22.2)
|
|
|
—
|
|
Other
non-service components of net periodic benefit cost
|
|
|
1.1
|
|
|
—
|
|
|
4.3
|
|
|
(0.2)
|
|
Income (loss)
before income taxes
|
|
(283.2)
|
|
|
81.4
|
|
|
(1,331.2)
|
|
|
479.5
|
|
Income tax
expense
|
|
2.8
|
|
|
12.3
|
|
|
2.1
|
|
|
104.3
|
|
Net income
(loss)
|
|
(286.0)
|
|
|
69.1
|
|
|
(1,333.3)
|
|
|
375.2
|
|
Less:
net income attributable to noncontrolling interests
|
|
12.4
|
|
|
16.1
|
|
|
59.1
|
|
|
55.8
|
|
Net income (loss)
attributable to PBF Energy Inc. stockholders
|
|
$
|
(298.4)
|
|
|
$
|
53.0
|
|
|
$
|
(1,392.4)
|
|
|
$
|
319.4
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income (loss)
available to Class A common stock per share:
|
|
|
|
|
|
|
|
|
Basic
|
|
$
|
(2.49)
|
|
|
$
|
0.44
|
|
|
$
|
(11.64)
|
|
|
$
|
2.66
|
|
Diluted
|
|
$
|
(2.49)
|
|
|
$
|
0.44
|
|
|
$
|
(11.64)
|
|
|
$
|
2.64
|
|
Weight-average shares
outstanding-basic
|
|
119,786,599
|
|
|
119,858,394
|
|
|
119,617,998
|
|
|
119,887,646
|
|
Weighted-average shares
outstanding-diluted
|
|
120,757,246
|
|
|
121,987,940
|
|
|
120,660,665
|
|
|
121,853,299
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Dividends per
common share
|
|
$
|
—
|
|
|
$
|
0.30
|
|
|
$
|
0.30
|
|
|
$
|
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)
|
|
$
|
(301.0)
|
|
|
$
|
53.4
|
|
|
$
|
(1,405.0)
|
|
|
$
|
322.2
|
|
Adjusted fully-converted net
income (loss) per fully exchanged, fully diluted share
|
|
$
|
(2.49)
|
|
|
$
|
0.44
|
|
|
$
|
(11.64)
|
|
|
$
|
2.64
|
|
Adjusted
fully-converted shares outstanding - diluted (Note 6)
|
|
120,757,246
|
|
|
121,987,940
|
|
|
120,660,665
|
|
|
121,853,299
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
See Footnotes to
Earnings Release Tables
|
PBF ENERGY INC.
AND SUBSIDIARIES
|
RECONCILIATION OF
AMOUNTS REPORTED UNDER U.S. GAAP
|
(Unaudited, in
millions, except share and per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
RECONCILIATION OF
NET INCOME (LOSS) TO ADJUSTED FULLY-
CONVERTED NET INCOME (LOSS) AND ADJUSTED FULLY-
CONVERTED
NET INCOME (LOSS) EXCLUDING SPECIAL ITEMS
(Note 1)
|
|
Three Months
Ended
|
|
Year
Ended
|
|
December
31,
|
|
December
31,
|
|
2020
|
|
2019
|
|
2020
|
|
2019
|
Net income (loss)
attributable to PBF Energy Inc. stockholders
|
|
$
|
(298.4)
|
|
|
$
|
53.0
|
|
|
$
|
(1,392.4)
|
|
|
$
|
319.4
|
|
Less: Income
allocated to participating securities
|
|
—
|
|
|
0.1
|
|
|
0.1
|
|
|
0.5
|
|
Income (loss)
available to PBF Energy Inc. stockholders - basic
|
|
(298.4)
|
|
|
52.9
|
|
|
(1,392.5)
|
|
|
318.9
|
|
Add: Net
income (loss) attributable to noncontrolling interest (Note
2)
|
|
(3.5)
|
|
|
0.7
|
|
|
(17.1)
|
|
|
4.3
|
|
Less: Income
tax benefit (expense) (Note 3)
|
|
0.9
|
|
|
(0.2)
|
|
|
4.6
|
|
|
(1.0)
|
|
Adjusted
fully-converted net income (loss)
|
|
$
|
(301.0)
|
|
|
$
|
53.4
|
|
|
$
|
(1,405.0)
|
|
|
$
|
322.2
|
|
Special Items (Note
4):
|
|
|
|
|
|
|
|
|
Add: Non-cash
LCM inventory adjustment
|
|
(423.5)
|
|
|
26.8
|
|
|
268.0
|
|
|
(250.2)
|
|
Add: Change
in fair value of contingent consideration
|
|
(0.2)
|
|
|
—
|
|
|
(93.7)
|
|
|
—
|
|
Add: Gain
on sale of hydrogen plants
|
|
—
|
|
|
—
|
|
|
(471.1)
|
|
|
—
|
|
Add: Gain
on Torrance land sales
|
|
(8.1)
|
|
|
—
|
|
|
(8.1)
|
|
|
(33.1)
|
|
Add: Impairment
expense
|
|
91.8
|
|
|
—
|
|
|
98.8
|
|
|
—
|
|
Add: LIFO
inventory decrement
|
|
83.0
|
|
|
—
|
|
|
83.0
|
|
|
—
|
|
Add: Turnaround
acceleration costs
|
|
56.2
|
|
|
—
|
|
|
56.2
|
|
|
—
|
|
Add: Severance
and reconfiguration costs
|
|
17.1
|
|
|
—
|
|
|
30.0
|
|
|
—
|
|
Add: Early
railcar return expense
|
|
12.5
|
|
|
—
|
|
|
12.5
|
|
|
—
|
|
Add: Debt
extinguishment costs
|
|
—
|
|
|
—
|
|
|
22.2
|
|
|
—
|
|
Add: Change
in Tax Receivable Agreement liability
|
|
(132.9)
|
|
|
—
|
|
|
(373.5)
|
|
|
—
|
|
Add: Net
tax (benefit) expense on remeasurement of deferred tax
assets
|
(23.2)
|
|
|
—
|
|
|
259.1
|
|
|
—
|
|
Less: Recomputed
income tax on special items (Note 3)
|
|
80.9
|
|
|
(6.6)
|
|
|
99.9
|
|
|
70.4
|
|
Adjusted
fully-converted net income (loss) excluding special
items
|
|
$
|
(547.4)
|
|
|
$
|
73.6
|
|
|
$
|
(1,421.7)
|
|
|
$
|
109.3
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted-average
shares outstanding of PBF Energy Inc.
|
|
119,786,599
|
|
|
119,858,394
|
|
|
119,617,998
|
|
|
119,887,646
|
|
Conversion of PBF LLC
Series A Units (Note 5)
|
|
970,647
|
|
|
1,211,310
|
|
|
1,042,667
|
|
|
1,207,581
|
|
Common stock
equivalents (Note 6)
|
|
—
|
|
|
918,236
|
|
|
—
|
|
|
758,072
|
|
Fully-converted
shares outstanding - diluted
|
|
120,757,246
|
|
|
121,987,940
|
|
|
120,660,665
|
|
|
121,853,299
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted
fully-converted net income (loss) per fully exchanged, fully
diluted
shares outstanding (Note 6)
|
|
$
|
(2.49)
|
|
|
$
|
0.44
|
|
|
$
|
(11.64)
|
|
|
$
|
2.64
|
|
|
Adjusted
fully-converted net income (loss) excluding special items per
fully
exchanged, fully diluted shares outstanding (Note 4,
6)
|
|
$
|
(4.53)
|
|
|
$
|
0.60
|
|
|
$
|
(11.78)
|
|
|
$
|
0.90
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Year
Ended
|
RECONCILIATION OF
INCOME (LOSS) FROM OPERATIONS TO
INCOME (LOSS) FROM OPERATIONS EXCLUDING SPECIAL
ITEMS
|
|
December
31,
|
|
December
31,
|
|
2020
|
|
2019
|
|
2020
|
|
2019
|
Income (loss) from
operations
|
|
$
|
(328.1)
|
|
|
$
|
123.0
|
|
|
$
|
(1,416.8)
|
|
|
$
|
649.0
|
|
Special Items (Note
4):
|
|
|
|
|
|
|
|
|
Add: Non-cash
LCM inventory adjustment
|
|
(423.5)
|
|
|
26.8
|
|
|
268.0
|
|
|
(250.2)
|
|
Add: Change
in fair value of contingent consideration
|
|
(0.2)
|
|
|
—
|
|
|
(93.7)
|
|
|
—
|
|
Add: Gain
on sale of hydrogen plants
|
|
—
|
|
|
—
|
|
|
(471.1)
|
|
|
—
|
|
Add: Gain
on Torrance land sales
|
|
(8.1)
|
|
|
—
|
|
|
(8.1)
|
|
|
(33.1)
|
|
Add: Impairment
expense
|
|
91.8
|
|
|
—
|
|
|
98.8
|
|
|
—
|
|
Add: LIFO
inventory decrement
|
|
83.0
|
|
|
—
|
|
|
83.0
|
|
|
—
|
|
Add: Turnaround
acceleration costs
|
|
56.2
|
|
|
—
|
|
|
56.2
|
|
|
—
|
|
Add:
Severance and reconfiguration
costs
|
|
17.1
|
|
|
—
|
|
|
30.0
|
|
|
—
|
|
Add:
Early railcar return expense
|
|
12.5
|
|
|
—
|
|
|
12.5
|
|
|
—
|
|
Income (loss) from
operations excluding special items
|
|
$
|
(499.3)
|
|
|
$
|
149.8
|
|
|
$
|
(1,441.2)
|
|
|
$
|
365.7
|
|
|
|
See Footnotes to
Earnings Release Tables
|
PBF ENERGY INC.
AND SUBSIDIARIES
|
RECONCILIATION OF
AMOUNTS REPORTED UNDER U.S. GAAP
|
EBITDA
RECONCILIATIONS (Note 7)
|
(Unaudited, in
millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Year
Ended
|
|
|
December
31,
|
|
December
31,
|
RECONCILIATION OF
NET INCOME (LOSS) TO EBITDA AND EBITDA
EXCLUDING SPECIAL ITEMS
|
|
2020
|
|
2019
|
|
2020
|
|
2019
|
Net income
(loss)
|
|
$
|
(286.0)
|
|
|
$
|
69.1
|
|
|
$
|
(1,333.3)
|
|
|
$
|
375.2
|
|
Add: Depreciation and amortization expense
|
|
185.3
|
|
|
113.4
|
|
|
563.0
|
|
|
436.1
|
|
Add: Interest expense, net
|
|
73.1
|
|
|
38.3
|
|
|
258.2
|
|
|
159.6
|
|
Add: Income tax expense
|
|
2.8
|
|
|
12.3
|
|
|
2.1
|
|
|
104.3
|
|
EBITDA
|
|
|
$
|
(24.8)
|
|
|
$
|
233.1
|
|
|
$
|
(510.0)
|
|
|
$
|
1,075.2
|
|
Special Items (Note
4):
|
|
|
|
|
|
|
|
|
Add: Non-cash LCM inventory adjustment
|
|
(423.5)
|
|
|
26.8
|
|
|
268.0
|
|
|
(250.2)
|
|
Add: Change in fair value of contingent
consideration
|
|
(0.2)
|
|
|
—
|
|
|
(93.7)
|
|
|
—
|
|
Add: Gain on sale of hydrogen plants
|
|
—
|
|
|
—
|
|
|
(471.1)
|
|
|
—
|
|
Add: Gain on Torrance land sales
|
|
(8.1)
|
|
|
—
|
|
|
(8.1)
|
|
|
(33.1)
|
|
Add: Impairment expense
|
|
91.8
|
|
|
—
|
|
|
98.8
|
|
|
—
|
|
Add: LIFO inventory decrement
|
|
83.0
|
|
|
—
|
|
|
83.0
|
|
|
—
|
|
Add: Severance and reconfiguration costs
|
|
17.1
|
|
|
—
|
|
|
30.0
|
|
|
—
|
|
Add: Early railcar return expense
|
|
12.5
|
|
|
—
|
|
|
12.5
|
|
|
—
|
|
Add: Debt extinguishment costs
|
|
—
|
|
|
—
|
|
|
22.2
|
|
|
—
|
|
Add: Change in Tax Receivable Agreement
liability
|
|
(132.9)
|
|
|
—
|
|
|
(373.5)
|
|
|
—
|
|
EBITDA excluding
special items
|
|
$
|
(385.1)
|
|
|
$
|
259.9
|
|
|
$
|
(941.9)
|
|
|
$
|
791.9
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Year
Ended
|
|
|
|
|
|
|
|
|
December
31,
|
|
December
31,
|
RECONCILIATION OF
EBITDA TO ADJUSTED EBITDA
|
|
2020
|
|
2019
|
|
2020
|
|
2019
|
EBITDA
|
|
$
|
(24.8)
|
|
|
$
|
233.1
|
|
|
$
|
(510.0)
|
|
|
$
|
1,075.2
|
|
Add: Stock-based compensation
|
|
5.1
|
|
|
8.9
|
|
|
34.2
|
|
|
37.3
|
|
Add: Change in fair value of catalyst
obligations
|
|
16.0
|
|
|
3.3
|
|
|
11.8
|
|
|
9.7
|
|
Add: Non-cash LCM inventory adjustment (Note 4)
|
|
(423.5)
|
|
|
26.8
|
|
|
268.0
|
|
|
(250.2)
|
|
Add: Change in fair value of contingent consideration
(Note 4)
|
|
(0.2)
|
|
|
—
|
|
|
(93.7)
|
|
|
—
|
|
Add: Gain on sale of hydrogen plants (Note 4)
|
|
—
|
|
|
—
|
|
|
(471.1)
|
|
|
—
|
|
Add: Gain on Torrance land sales (Note 4)
|
|
(8.1)
|
|
|
—
|
|
|
(8.1)
|
|
|
(33.1)
|
|
Add: Impairment expense (Note 4)
|
|
91.8
|
|
|
—
|
|
|
98.8
|
|
|
—
|
|
Add: LIFO inventory decrement (Note 4)
|
|
83.0
|
|
|
—
|
|
|
83.0
|
|
|
—
|
|
Add: Severance and reconfiguration costs (Note
4)
|
|
17.1
|
|
|
—
|
|
|
30.0
|
|
|
—
|
|
Add: Early railcar return expense (Note 4)
|
|
12.5
|
|
|
—
|
|
|
12.5
|
|
|
—
|
|
Add: Debt extinguishment costs (Note 4)
|
|
—
|
|
|
—
|
|
|
22.2
|
|
|
—
|
|
Add: Change in Tax Receivable Agreement liability (Note
4)
|
|
(132.9)
|
|
|
—
|
|
|
(373.5)
|
|
|
—
|
|
Adjusted
EBITDA
|
|
|
$
|
(364.0)
|
|
|
$
|
272.1
|
|
|
$
|
(895.9)
|
|
|
$
|
838.9
|
|
|
|
See Footnotes to
Earnings Release Tables
|
PBF ENERGY INC.
AND SUBSIDIARIES
|
EARNINGS RELEASE
TABLES
|
CONSOLIDATED
BALANCE SHEET DATA
|
(Unaudited, in
millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December
31,
|
|
December
31,
|
|
|
|
|
|
2020
|
|
2019
|
Balance Sheet
Data:
|
|
|
|
|
Cash and cash
equivalents
|
$
|
1,609.5
|
|
|
$
|
814.9
|
|
Inventories
|
1,686.2
|
|
|
2,122.2
|
|
Total
assets
|
10,499.8
|
|
|
9,132.4
|
|
Total
debt
|
4,661.0
|
|
|
2,064.9
|
|
|
|
|
|
|
Total
equity
|
2,202.3
|
|
|
3,585.5
|
|
Total equity
excluding special items (Note 4, 13)
|
$
|
2,275.9
|
|
|
$
|
3,675.8
|
|
|
|
|
|
|
|
|
|
Total debt to
capitalization ratio (Note 13)
|
68
|
%
|
|
37
|
%
|
Total debt to
capitalization ratio, excluding special items (Note 13)
|
67
|
%
|
|
36
|
%
|
Net debt to
capitalization ratio (Note 13)
|
58
|
%
|
|
26
|
%
|
Net debt to
capitalization ratio, excluding special items (Note 13)
|
57
|
%
|
|
25
|
%
|
|
|
|
|
|
SUMMARIZED
STATEMENT OF CASH FLOW DATA
|
(Unaudited, in
millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year Ended
December 31,
|
|
|
|
|
|
2020
|
|
2019
|
Cash flows (used in)
provided by operations
|
$
|
(631.6)
|
|
|
$
|
933.5
|
|
Cash flows used in
investing activities
|
(1,026.5)
|
|
|
(712.6)
|
|
Cash flows provided
by (used in) financing activities
|
2,452.7
|
|
|
(3.3)
|
|
Net increase in cash
and cash equivalents
|
794.6
|
|
|
217.6
|
|
Cash and cash
equivalents, beginning of period
|
814.9
|
|
|
597.3
|
|
Cash and cash
equivalents, end of period
|
$
|
1,609.5
|
|
|
$
|
814.9
|
|
|
|
|
|
|
See Footnotes to
Earnings Release Tables
|
PBF ENERGY INC.
AND SUBSIDIARIES
|
EARNINGS RELEASE
TABLES
|
CONSOLIDATING
FINANCIAL INFORMATION (Note 8)
|
(Unaudited, in
millions)
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
December 31, 2020
|
|
Refining
|
|
Logistics
|
|
Corporate
|
|
Eliminations
|
|
Consolidated
Total
|
Revenues
|
$
|
3,636.7
|
|
|
$
|
89.1
|
|
|
$
|
—
|
|
|
$
|
(70.7)
|
|
|
$
|
3,655.1
|
|
Depreciation and
amortization expense
|
165.6
|
|
|
16.8
|
|
|
2.9
|
|
|
—
|
|
|
185.3
|
|
Income (loss) from
operations
|
(311.6)
|
|
|
41.9
|
|
|
(58.4)
|
|
|
—
|
|
|
(328.1)
|
|
Interest expense,
net
|
1.0
|
|
|
10.9
|
|
|
61.2
|
|
|
—
|
|
|
73.1
|
|
Capital
expenditures
|
45.7
|
|
|
2.7
|
|
|
1.5
|
|
|
—
|
|
|
49.9
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
December 31, 2019
|
|
Refining
|
|
Logistics
|
|
Corporate
|
|
Eliminations
|
|
Consolidated
Total
|
Revenues
|
$
|
6,286.2
|
|
|
$
|
92.2
|
|
|
$
|
—
|
|
|
$
|
(76.9)
|
|
|
$
|
6,301.5
|
|
Depreciation and
amortization expense
|
98.4
|
|
|
12.0
|
|
|
3.0
|
|
|
—
|
|
|
113.4
|
|
Income (loss) from
operations
|
184.9
|
|
|
42.9
|
|
|
(104.8)
|
|
|
—
|
|
|
123.0
|
|
Interest expense,
net
|
0.6
|
|
|
13.1
|
|
|
24.6
|
|
|
—
|
|
|
38.3
|
|
Capital
expenditures
|
108.7
|
|
|
8.5
|
|
|
1.9
|
|
|
—
|
|
|
119.1
|
|
|
|
|
|
|
|
|
|
|
|
|
Year Ended
December 31, 2020
|
|
Refining
|
|
Logistics
|
|
Corporate
|
|
Eliminations
|
|
Consolidated
Total
|
Revenues
|
$
|
15,045.0
|
|
|
$
|
360.3
|
|
|
$
|
—
|
|
|
$
|
(289.4)
|
|
|
$
|
15,115.9
|
|
Depreciation and
amortization expense
|
498.0
|
|
|
53.7
|
|
|
11.3
|
|
|
—
|
|
|
563.0
|
|
Income (loss) from
operations
|
(1,450.4)
|
|
|
195.3
|
|
|
(161.7)
|
|
|
—
|
|
|
(1,416.8)
|
|
Interest expense,
net
|
1.7
|
|
|
47.9
|
|
|
208.6
|
|
|
—
|
|
|
258.2
|
|
Capital
expenditures (Note 14)
|
1,546.6
|
|
|
12.3
|
|
|
10.7
|
|
|
—
|
|
|
1,569.6
|
|
|
|
|
|
|
|
|
|
|
|
|
Year Ended
December 31, 2019
|
|
Refining
|
|
Logistics
|
|
Corporate
|
|
Eliminations
|
|
Consolidated
Total
|
Revenues
|
$
|
24,468.9
|
|
|
$
|
340.2
|
|
|
$
|
—
|
|
|
$
|
(300.9)
|
|
|
$
|
24,508.2
|
|
Depreciation and
amortization expense
|
386.7
|
|
|
38.6
|
|
|
10.8
|
|
|
—
|
|
|
436.1
|
|
Income (loss) from
operations (Note 15, 16)
|
767.9
|
|
|
159.3
|
|
|
(270.3)
|
|
|
(7.9)
|
|
|
649.0
|
|
Interest expense,
net
|
1.3
|
|
|
51.1
|
|
|
107.2
|
|
|
—
|
|
|
159.6
|
|
Capital
expenditures
|
708.9
|
|
|
31.7
|
|
|
8.3
|
|
|
—
|
|
|
748.9
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance at
December 31, 2020
|
|
Refining
|
|
Logistics
|
|
Corporate
|
|
Eliminations
|
|
Consolidated
Total
|
Total
Assets
|
$
|
9,565.0
|
|
|
$
|
933.6
|
|
|
$
|
54.4
|
|
|
$
|
(53.2)
|
|
|
$
|
10,499.8
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance at
December 31, 2019
|
|
Refining
|
|
Logistics
|
|
Corporate
|
|
Eliminations
|
|
Consolidated
Total
|
Total Assets (Note
15)
|
$
|
8,154.8
|
|
|
$
|
973.0
|
|
|
$
|
52.7
|
|
|
$
|
(48.1)
|
|
|
$
|
9,132.4
|
|
|
|
|
|
|
|
|
|
|
|
See Footnotes to
Earnings Release Tables
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
PBF ENERGY INC.
AND SUBSIDIARIES
|
EARNINGS RELEASE
TABLES
|
MARKET INDICATORS
AND KEY OPERATING INFORMATION
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Year
Ended
|
|
|
|
|
|
|
December
31,
|
|
December
31,
|
Market Indicators
(dollars per barrel) (Note 9)
|
2020
|
|
2019
|
|
2020
|
|
2019
|
Dated Brent crude
oil
|
$
|
44.27
|
|
|
$
|
63.22
|
|
|
$
|
41.62
|
|
|
$
|
64.34
|
|
West Texas
Intermediate (WTI) crude oil
|
$
|
42.63
|
|
|
$
|
56.88
|
|
|
$
|
39.25
|
|
|
$
|
57.03
|
|
Light Louisiana Sweet
(LLS) crude oil
|
$
|
44.13
|
|
|
$
|
60.65
|
|
|
$
|
41.13
|
|
|
$
|
62.67
|
|
Alaska North Slope
(ANS) crude oil
|
$
|
44.82
|
|
|
$
|
64.32
|
|
|
$
|
42.20
|
|
|
$
|
65.00
|
|
Crack
Spreads:
|
|
|
|
|
|
|
|
Dated Brent (NYH)
2-1-1
|
$
|
8.55
|
|
|
$
|
12.56
|
|
|
$
|
9.11
|
|
|
$
|
12.68
|
|
WTI (Chicago)
4-3-1
|
$
|
5.54
|
|
|
$
|
10.97
|
|
|
$
|
6.30
|
|
|
$
|
15.25
|
|
LLS (Gulf Coast)
2-1-1
|
$
|
7.00
|
|
|
$
|
12.78
|
|
|
$
|
7.59
|
|
|
$
|
12.43
|
|
ANS (West Coast-LA)
4-3-1
|
$
|
10.98
|
|
|
$
|
18.35
|
|
|
$
|
11.30
|
|
|
$
|
18.46
|
|
ANS (West Coast-SF)
3-2-1
|
$
|
10.68
|
|
|
$
|
17.04
|
|
|
$
|
9.99
|
|
|
$
|
17.16
|
|
Crude Oil
Differentials:
|
|
|
|
|
|
|
|
Dated Brent (foreign)
less WTI
|
$
|
1.64
|
|
|
$
|
6.34
|
|
|
$
|
2.37
|
|
|
$
|
7.31
|
|
Dated Brent less Maya
(heavy, sour)
|
$
|
3.23
|
|
|
$
|
10.23
|
|
|
$
|
5.37
|
|
|
$
|
6.76
|
|
Dated Brent less WTS
(sour)
|
$
|
1.18
|
|
|
$
|
6.07
|
|
|
$
|
2.33
|
|
|
$
|
8.09
|
|
Dated Brent less ASCI
(sour)
|
$
|
1.27
|
|
|
$
|
5.56
|
|
|
$
|
1.81
|
|
|
$
|
3.73
|
|
WTI less WCS (heavy,
sour)
|
$
|
11.06
|
|
|
$
|
19.18
|
|
|
$
|
10.72
|
|
|
$
|
13.61
|
|
WTI less Bakken (light,
sweet)
|
$
|
1.95
|
|
|
$
|
1.04
|
|
|
$
|
2.41
|
|
|
$
|
0.66
|
|
WTI less Syncrude
(light, sweet)
|
$
|
3.75
|
|
|
$
|
1.65
|
|
|
$
|
2.13
|
|
|
$
|
0.18
|
|
WTI less LLS (light,
sweet)
|
$
|
(1.50)
|
|
|
$
|
(3.77)
|
|
|
$
|
(1.88)
|
|
|
$
|
(5.64)
|
|
WTI less ANS (light,
sweet)
|
$
|
(2.19)
|
|
|
$
|
(7.44)
|
|
|
$
|
(2.95)
|
|
|
$
|
(7.97)
|
|
Natural gas (dollars
per MMBTU)
|
$
|
2.76
|
|
|
$
|
2.41
|
|
|
$
|
2.13
|
|
|
$
|
2.53
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Key Operating
Information
|
|
|
|
|
|
|
|
Production (barrels
per day ("bpd") in thousands)
|
689.6
|
|
|
852.1
|
|
|
737.1
|
|
|
825.2
|
|
Crude oil and
feedstocks throughput (bpd in thousands)
|
677.3
|
|
|
843.0
|
|
|
727.7
|
|
|
823.1
|
|
Total crude oil and
feedstocks throughput (millions of barrels)
|
62.3
|
|
|
77.5
|
|
|
266.3
|
|
|
300.4
|
|
Consolidated gross
margin per barrel of throughput
|
$
|
(2.89)
|
|
|
$
|
3.04
|
|
|
$
|
(6.12)
|
|
|
$
|
3.04
|
|
Gross refining
margin, excluding special items, per barrel of throughput (Note 4,
Note 10)
|
$
|
0.98
|
|
|
$
|
9.31
|
|
|
$
|
3.23
|
|
|
$
|
8.51
|
|
Refinery operating
expense, per barrel of throughput (Note 11)
|
$
|
7.25
|
|
|
$
|
5.28
|
|
|
$
|
6.89
|
|
|
$
|
5.61
|
|
Crude and feedstocks
(% of total throughput) (Note 12)
|
|
|
|
|
|
|
|
Heavy
|
39
|
%
|
|
33
|
%
|
|
42
|
%
|
|
32
|
%
|
Medium
|
28
|
%
|
|
25
|
%
|
|
26
|
%
|
|
28
|
%
|
Light
|
18
|
%
|
|
28
|
%
|
|
17
|
%
|
|
26
|
%
|
Other feedstocks and
blends
|
15
|
%
|
|
14
|
%
|
|
15
|
%
|
|
14
|
%
|
Total
throughput
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
Yield (% of total
throughput)
|
|
|
|
|
|
|
|
Gasoline and gasoline
blendstocks
|
56
|
%
|
|
51
|
%
|
|
51
|
%
|
|
49
|
%
|
Distillates and
distillate blendstocks
|
28
|
%
|
|
33
|
%
|
|
30
|
%
|
|
32
|
%
|
Lubes
|
1
|
%
|
|
1
|
%
|
|
1
|
%
|
|
1
|
%
|
Chemicals
|
2
|
%
|
|
2
|
%
|
|
1
|
%
|
|
2
|
%
|
Other
|
15
|
%
|
|
14
|
%
|
|
18
|
%
|
|
16
|
%
|
Total
yield
|
102
|
%
|
|
101
|
%
|
|
101
|
%
|
|
100
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
See Footnotes to
Earnings Release Tables
|
PBF ENERGY INC.
AND SUBSIDIARIES
|
EARNINGS RELEASE
TABLES
|
SUPPLEMENTAL
OPERATING INFORMATION
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Year
Ended
|
|
|
|
|
|
|
December
31,
|
|
December
31,
|
|
|
|
|
|
|
2020
|
|
2019
|
|
2020
|
|
2019
|
Supplemental
Operating Information - East Coast Refining System (Delaware City
and
Paulsboro)
|
|
|
|
|
|
|
|
Production (bpd in
thousands)
|
230.8
|
|
|
355.2
|
|
|
262.6
|
|
|
330.9
|
|
Crude oil and
feedstocks throughput (bpd in thousands)
|
229.2
|
|
|
357.0
|
|
|
263.0
|
|
|
336.4
|
|
Total crude oil and
feedstocks throughput (millions of barrels)
|
21.1
|
|
|
32.8
|
|
|
96.2
|
|
|
122.8
|
|
Gross margin per
barrel of throughput
|
$
|
(6.33)
|
|
|
$
|
3.73
|
|
|
$
|
(5.91)
|
|
|
$
|
0.33
|
|
Gross refining
margin, excluding special items, per barrel of throughput (Note 4,
Note 10)
|
$
|
0.09
|
|
|
$
|
8.16
|
|
|
$
|
3.56
|
|
|
$
|
5.90
|
|
Refinery operating
expense, per barrel of throughput (Note 11)
|
$
|
6.36
|
|
|
$
|
4.43
|
|
|
$
|
5.47
|
|
|
$
|
4.92
|
|
Crude and feedstocks
(% of total throughput) (Note 12):
|
|
|
|
|
|
|
|
Heavy
|
30
|
%
|
|
25
|
%
|
|
27
|
%
|
|
22
|
%
|
Medium
|
31
|
%
|
|
28
|
%
|
|
33
|
%
|
|
40
|
%
|
Light
|
14
|
%
|
|
29
|
%
|
|
18
|
%
|
|
20
|
%
|
Other feedstocks and
blends
|
25
|
%
|
|
18
|
%
|
|
22
|
%
|
|
18
|
%
|
Total
throughput
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
Yield (% of total
throughput):
|
|
|
|
|
|
|
|
Gasoline and gasoline
blendstocks
|
52
|
%
|
|
47
|
%
|
|
47
|
%
|
|
45
|
%
|
Distillates and
distillate blendstocks
|
27
|
%
|
|
36
|
%
|
|
32
|
%
|
|
33
|
%
|
Lubes
|
3
|
%
|
|
2
|
%
|
|
2
|
%
|
|
2
|
%
|
Chemicals
|
2
|
%
|
|
1
|
%
|
|
2
|
%
|
|
1
|
%
|
Other
|
17
|
%
|
|
13
|
%
|
|
17
|
%
|
|
17
|
%
|
Total
yield
|
101
|
%
|
|
99
|
%
|
|
100
|
%
|
|
98
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Supplemental
Operating Information - Mid-Continent (Toledo)
|
|
|
|
|
|
|
|
Production (bpd in
thousands)
|
113.9
|
|
|
152.2
|
|
|
98.3
|
|
|
155.5
|
|
Crude oil and
feedstocks throughput (bpd in thousands)
|
111.2
|
|
|
149.6
|
|
|
96.7
|
|
|
153.0
|
|
Total crude oil and
feedstocks throughput (millions of barrels)
|
10.2
|
|
|
13.8
|
|
|
35.4
|
|
|
55.9
|
|
Gross margin per
barrel of throughput
|
$
|
0.50
|
|
|
$
|
3.93
|
|
|
$
|
(10.34)
|
|
|
$
|
7.24
|
|
Gross refining
margin, excluding special items, per barrel of throughput (Note 4,
Note 10)
|
$
|
2.17
|
|
|
$
|
9.42
|
|
|
$
|
0.51
|
|
|
$
|
12.26
|
|
Refinery operating
expense, per barrel of throughput (Note 11)
|
$
|
5.31
|
|
|
$
|
5.11
|
|
|
$
|
6.54
|
|
|
$
|
5.10
|
|
Crude and feedstocks
(% of total throughput) (Note 12):
|
|
|
|
|
|
|
|
Medium
|
41
|
%
|
|
30
|
%
|
|
39
|
%
|
|
30
|
%
|
Light
|
54
|
%
|
|
69
|
%
|
|
58
|
%
|
|
69
|
%
|
Other feedstocks and
blends
|
5
|
%
|
|
1
|
%
|
|
3
|
%
|
|
1
|
%
|
Total
throughput
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
Yield (% of total
throughput):
|
|
|
|
|
|
|
|
Gasoline and gasoline
blendstocks
|
59
|
%
|
|
54
|
%
|
|
54
|
%
|
|
52
|
%
|
Distillates and
distillate blendstocks
|
32
|
%
|
|
37
|
%
|
|
30
|
%
|
|
36
|
%
|
Chemicals
|
5
|
%
|
|
6
|
%
|
|
4
|
%
|
|
6
|
%
|
Other
|
6
|
%
|
|
5
|
%
|
|
14
|
%
|
|
8
|
%
|
Total
yield
|
102
|
%
|
|
102
|
%
|
|
102
|
%
|
|
102
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
See Footnotes to
Earnings Release Tables
|
PBF ENERGY INC.
AND SUBSIDIARIES
|
EARNINGS RELEASE
TABLES
|
SUPPLEMENTAL
OPERATING INFORMATION
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Year
Ended
|
|
|
|
|
|
|
December
31,
|
|
December
31,
|
|
|
|
|
|
|
2020
|
|
2019
|
|
2020
|
|
2019
|
Supplemental
Operating Information - Gulf Coast (Chalmette)
|
|
|
|
|
|
|
|
Production (bpd in
thousands)
|
122.6
|
|
|
171.0
|
|
|
141.2
|
|
|
179.1
|
|
Crude oil and
feedstocks throughput (bpd in thousands)
|
118.8
|
|
|
167.7
|
|
|
137.7
|
|
|
177.9
|
|
Total crude oil and
feedstocks throughput (millions of barrels)
|
10.9
|
|
|
15.4
|
|
|
50.4
|
|
|
64.9
|
|
Gross margin per
barrel of throughput
|
$
|
(3.19)
|
|
|
$
|
0.76
|
|
|
$
|
(4.25)
|
|
|
$
|
0.93
|
|
Gross refining margin, excluding special items, per barrel of
throughput (Note 4, Note 10)
|
$
|
(1.64)
|
|
|
$
|
6.05
|
|
|
$
|
3.71
|
|
|
$
|
5.87
|
|
Refinery operating
expense, per barrel of throughput (Note 11)
|
$
|
6.35
|
|
|
$
|
5.16
|
|
|
$
|
5.43
|
|
|
$
|
4.95
|
|
Crude and feedstocks
(% of total throughput) (Note 12):
|
|
|
|
|
|
|
|
Heavy
|
22
|
%
|
|
36
|
%
|
|
37
|
%
|
|
35
|
%
|
Medium
|
40
|
%
|
|
28
|
%
|
|
36
|
%
|
|
23
|
%
|
Light
|
26
|
%
|
|
20
|
%
|
|
16
|
%
|
|
25
|
%
|
Other feedstocks and
blends
|
12
|
%
|
|
16
|
%
|
|
11
|
%
|
|
17
|
%
|
Total
throughput
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
Yield (% of total
throughput)
|
|
|
|
|
|
|
|
Gasoline and gasoline
blendstocks
|
47
|
%
|
|
46
|
%
|
|
43
|
%
|
|
45
|
%
|
Distillates and
distillate blendstocks
|
30
|
%
|
|
33
|
%
|
|
33
|
%
|
|
33
|
%
|
Chemicals
|
2
|
%
|
|
1
|
%
|
|
2
|
%
|
|
2
|
%
|
Other
|
24
|
%
|
|
22
|
%
|
|
25
|
%
|
|
21
|
%
|
Total
yield
|
103
|
%
|
|
102
|
%
|
|
103
|
%
|
|
101
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Supplemental
Operating Information - West Coast (Torrance and
Martinez)
|
|
|
|
|
|
|
|
Production (bpd in
thousands)
|
222.3
|
|
|
173.7
|
|
|
235.0
|
|
|
159.7
|
|
Crude oil and
feedstocks throughput (bpd in thousands)
|
218.1
|
|
|
168.7
|
|
|
230.3
|
|
|
155.8
|
|
Total crude oil and
feedstocks throughput (millions of barrels)
|
20.1
|
|
|
15.5
|
|
|
84.3
|
|
|
56.8
|
|
Gross margin per
barrel of throughput
|
$
|
(3.25)
|
|
|
$
|
(0.09)
|
|
|
$
|
(8.16)
|
|
|
$
|
3.96
|
|
Gross refining margin, excluding special items, per barrel of
throughput (Note 4, Note 10)
|
$
|
2.72
|
|
|
$
|
14.85
|
|
|
$
|
3.71
|
|
|
$
|
13.38
|
|
Refinery operating
expense, per barrel of throughput (Note 11)
|
$
|
9.65
|
|
|
$
|
7.34
|
|
|
$
|
9.47
|
|
|
$
|
8.34
|
|
Crude and feedstocks
(% of total throughput) (Note 12):
|
|
|
|
|
|
|
|
Heavy
|
77
|
%
|
|
77
|
%
|
|
81
|
%
|
|
80
|
%
|
Medium
|
11
|
%
|
|
10
|
%
|
|
8
|
%
|
|
8
|
%
|
Other feedstocks and
blends
|
12
|
%
|
|
13
|
%
|
|
11
|
%
|
|
12
|
%
|
Total
throughput
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
Yield (% of total
throughput):
|
|
|
|
|
|
|
|
Gasoline and gasoline
blendstocks
|
63
|
%
|
|
63
|
%
|
|
61
|
%
|
|
60
|
%
|
Distillates and
distillate blendstocks
|
25
|
%
|
|
24
|
%
|
|
26
|
%
|
|
26
|
%
|
Other
|
14
|
%
|
|
16
|
%
|
|
15
|
%
|
|
17
|
%
|
Total
yield
|
102
|
%
|
|
103
|
%
|
|
102
|
%
|
|
103
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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
10)
|
(Unaudited, in
millions, except per barrel amounts)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Three Months
Ended
|
|
|
|
|
|
|
|
December 31,
2020
|
|
December 31,
2019
|
RECONCILIATION OF
CONSOLIDATED GROSS MARGIN TO GROSS
REFINING MARGIN AND GROSS REFINING MARGIN EXCLUDING
SPECIAL ITEMS
|
$
|
|
per barrel
of
throughput
|
|
$
|
|
per barrel
of
throughput
|
Calculation of
consolidated gross margin:
|
|
|
|
|
|
|
|
Revenues
|
$
|
3,655.1
|
|
|
$
|
58.66
|
|
|
$
|
6,301.5
|
|
|
$
|
81.26
|
|
Less: Cost of
sales
|
3,835.6
|
|
|
61.55
|
|
|
6,066.3
|
|
|
78.22
|
|
Consolidated gross
margin
|
$
|
(180.5)
|
|
|
$
|
(2.89)
|
|
|
$
|
235.2
|
|
|
$
|
3.04
|
|
Reconciliation of
consolidated gross margin to gross refining margin:
|
|
|
|
|
|
|
|
Consolidated gross
margin
|
$
|
(180.5)
|
|
|
$
|
(2.89)
|
|
|
$
|
235.2
|
|
|
$
|
3.04
|
|
Add:
PBFX operating expense
|
24.4
|
|
|
0.39
|
|
|
31.8
|
|
|
0.41
|
|
Add:
PBFX depreciation expense
|
16.8
|
|
|
0.27
|
|
|
12.0
|
|
|
0.15
|
|
Less:
Revenues of PBFX
|
(89.1)
|
|
|
(1.43)
|
|
|
(92.2)
|
|
|
(1.19)
|
|
Add:
Refinery operating expense
|
451.6
|
|
|
7.25
|
|
|
409.4
|
|
|
5.28
|
|
Add:
Refinery depreciation expense
|
165.6
|
|
|
2.66
|
|
|
98.4
|
|
|
1.27
|
|
Gross refining
margin
|
$
|
388.8
|
|
|
$
|
6.25
|
|
|
$
|
694.6
|
|
|
$
|
8.96
|
|
Special
Items (Note 4):
|
|
|
|
|
|
|
|
Add:
Non-cash LCM inventory adjustment
|
(423.5)
|
|
|
(6.80)
|
|
|
26.8
|
|
|
0.35
|
|
Add:
LIFO inventory decrement
|
83.0
|
|
|
1.33
|
|
|
—
|
|
|
—
|
|
Add:
Early railcar return expense
|
12.5
|
|
|
0.20
|
|
|
—
|
|
|
—
|
|
Gross refining
margin excluding special items
|
$
|
60.8
|
|
|
$
|
0.98
|
|
|
$
|
721.4
|
|
|
$
|
9.31
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year
Ended
|
|
Year
Ended
|
|
|
|
|
|
|
|
December 31,
2020
|
|
December 31,
2019
|
RECONCILIATION OF
CONSOLIDATED GROSS MARGIN TO GROSS REFINING MARGIN AND GROSS
REFINING MARGIN EXCLUDING SPECIAL ITEMS
|
$
|
|
per barrel
of
throughput
|
|
$
|
|
per barrel
of
throughput
|
Calculation of
consolidated gross margin:
|
|
|
|
|
|
|
|
Revenues
|
$
|
15,115.9
|
|
|
$
|
56.76
|
|
|
$
|
24,508.2
|
|
|
$
|
81.58
|
|
Less: Cost of
sales
|
16,745.6
|
|
|
62.88
|
|
|
23,595.1
|
|
|
78.54
|
|
Consolidated gross
margin
|
$
|
(1,629.7)
|
|
|
$
|
(6.12)
|
|
|
$
|
913.1
|
|
|
$
|
3.04
|
|
Reconciliation of
consolidated gross margin to gross refining margin:
|
|
|
|
|
|
|
|
Consolidated gross
margin
|
$
|
(1,629.7)
|
|
|
$
|
(6.12)
|
|
|
$
|
913.1
|
|
|
$
|
3.04
|
|
Add:
PBFX operating expense
|
99.9
|
|
|
0.38
|
|
|
118.7
|
|
|
0.40
|
|
Add:
PBFX depreciation expense
|
53.7
|
|
|
0.19
|
|
|
38.6
|
|
|
0.13
|
|
Less:
Revenues of PBFX
|
(360.3)
|
|
|
(1.35)
|
|
|
(340.2)
|
|
|
(1.13)
|
|
Add:
Refinery operating expense
|
1,835.2
|
|
|
6.89
|
|
|
1,684.3
|
|
|
5.61
|
|
Add: Refinery
depreciation expense
|
498.0
|
|
|
1.87
|
|
|
386.7
|
|
|
1.29
|
|
Gross refining
margin
|
$
|
496.8
|
|
|
$
|
1.86
|
|
|
$
|
2,801.2
|
|
|
$
|
9.34
|
|
Special
Items (Note 4):
|
|
|
|
|
|
|
|
Add:
Non-cash LCM inventory adjustment
|
268.0
|
|
|
1.01
|
|
|
(250.2)
|
|
|
(0.83)
|
|
Add:
LIFO inventory decrement
|
83.0
|
|
|
0.31
|
|
|
—
|
|
|
—
|
|
Add:
Early railcar return expense
|
12.5
|
|
|
0.05
|
|
|
—
|
|
|
—
|
|
Gross refining
margin excluding special items
|
$
|
860.3
|
|
|
$
|
3.23
|
|
|
$
|
2,551.0
|
|
|
$
|
8.51
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
See Footnotes to
Earnings Release Tables
|
PBF ENERGY INC.
AND SUBSIDIARIES
|
EARNINGS RELEASE
TABLES
|
FOOTNOTES TO
EARNINGS RELEASE TABLES
|
|
(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
our results across the periods presented and facilitates an
understanding of our operating results. We also use
these measures to evaluate our 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 6.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(2) Represents the
elimination of the noncontrolling interest associated with the
ownership by the members of
PBF Energy Company LLC ("PBF LLC") other than PBF Energy Inc., as
if such members had fully exchanged
their PBF LLC Series A Units for shares of PBF Energy's Class A
common stock.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(3) Represents an
adjustment to reflect PBF Energy's annualized statutory corporate
tax rate of approximately
26.6% and 24.9% for the 2020 and 2019 periods, respectively,
applied to net income (loss) attributable to
noncontrolling interest for all periods presented. The adjustment
assumes the full exchange of existing PBF LLC
Series A Units as described in footnote 2.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(4) The Non-GAAP
measures presented include adjusted fully-converted net income
(loss) excluding special
items, income (loss) from operations excluding special items,
EBITDA excluding special items and gross
refining margin excluding special items. Special items for the
periods presented relate to LCM inventory
adjustments, change in fair value of contingent consideration, gain
on sale of hydrogen plants, gain on sale of
assets related to the Torrance land sales, impairment expense, LIFO
inventory decrement, turnaround
acceleration costs, severance and reconfiguration costs, early
railcar return expense, debt extinguishment costs,
changes in the Tax Receivable Agreement liability, net tax
(benefit) expense on remeasurement of deferred tax
assets, and recomputed income tax on special items, all as
discussed further below. Additionally, the cumulative
effects of all current and prior period special items on equity are
shown in footnote 13.
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.
Special
Items:
LCM inventory
adjustment - LCM is a GAAP requirement related to
inventory valuation that mandates 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
inventory adjustment is recorded to reflect the net change in the
LCM inventory reserve between the prior period
and the current period.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The following table
includes the LCM inventory reserve as of each date presented (in
millions):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2020
|
|
2019
|
January 1,
|
|
$
|
401.6
|
|
|
$
|
651.8
|
|
September
30,
|
|
1,093.1
|
|
|
374.8
|
|
December
31,
|
|
669.6
|
|
|
401.6
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The following table
includes the corresponding impact of changes in the LCM inventory
reserve on income
(loss) from operations and net income (loss) for the periods
presented (in millions):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
December 31,
|
|
Year Ended
December 31,
|
|
|
|
|
|
|
|
|
|
2020
|
|
2019
|
|
2020
|
|
2019
|
Net LCM inventory
adjustment benefit (charge)
in income (loss) from operations
|
$
|
423.5
|
|
|
$
|
(26.8)
|
|
|
$
|
(268.0)
|
|
|
$
|
250.2
|
|
Net LCM inventory
adjustment benefit (charge)
in net income (loss)
|
310.8
|
|
|
(20.2)
|
|
|
(196.7)
|
|
|
188.0
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Change in Fair
Value of Contingent Consideration - During the three
months and year ended December 31,
2020, we recorded changes in fair value of contingent consideration
related to estimated earn-out liabilities
associated with the Martinez acquisition and the PBFX acquisition
of the East Coast Storage Assets. These
changes in estimate increased income from operations by $0.2
million and $93.7 million ($0.1 million and $68.8
million, net of tax), respectively. Change in fair value of
contingent consideration during the three months and
year ended December 31, 2019 was not significant.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gain on sale of
Hydrogen Plants - During the year ended December 31, 2020,
we recorded a gain on the sale of
five hydrogen plants. The gain increased income from operations and
net income by $471.1 million and $345.8
million, respectively. There were no such gains in any of the other
periods presented.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gain on Torrance
land sales - During the three months and year ended
December 31, 2020, we recorded a gain
on the sale of a separate parcel of real property acquired as part
of the Torrance refinery, but not part of the
refinery itself. The gain increased income from operations and net
income by $8.1 million and $5.9 million,
respectively. During the year ended December 31, 2019, we
recorded a gain on the sale of a parcel of real
property acquired as part of the Torrance refinery, but not part of
the refinery itself. The gain increased income
from operations and net income by $33.1 million and $24.9 million,
respectively. There was no such gain during
the three months ended December 31, 2019.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Impairment
expense - During the three months and year ended
December 31, 2020, we recorded an impairment
charge which decreased income from operations by $91.8 million and
$98.8 million ($67.4 million and $72.5
million, net of tax), respectively, resulting from the write-down
of certain assets associated with the East Coast
Refining Reconfiguration, project abandonments and the write-down
of certain PBFX long-lived assets. There
were no such charges during the three months and year ended
December 31, 2019.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LIFO inventory
decrement- As part of our overall reduction in throughput in
2020 and our reduction in inventory
volume as of December 31, 2020, we recorded a pre-tax charge
to cost of materials and other related to a LIFO
inventory layer decrement. The majority of the decrement related to
our East Coast LIFO inventory layer and the
reduction to our East Coast inventory experienced as part of the
East Coast Refining Reconfiguration. These
charges decreased income from operations and net income by
$83.0 million and $60.9 million, respectively, for
both the three months ended and the year ended December 31,
2020. Decrements recorded in the year ended
December 31, 2019 were not significant.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Turnaround
acceleration costs- During the three months and year ended
December 31, 2020, we accelerated the
recognition of turnaround amortization associated with units that
were temporarily idled as part of the East Coast
Refining Reconfiguration. These costs decreased income from
operations and net income by $56.2 million and
$41.3 million,
respectively. There were no such costs in the three months and year
ended December 31, 2019.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Severance and
Reconfiguration Costs - During the three months and year
ended December 31, 2020, we
recorded severance charges related to reductions in our workforce.
These charges decreased income from
operations $11.8 million and $24.7 million ($8.7 million and
$18.1 million, net of tax), respectively. There were
no such costs in the three months and year ended December 31,
2019. During the three months and year ended
December 31, 2020, we recorded reconfiguration charges related
to the temporary idling of certain assets as part
of the East Coast Refining System. These charges decreased income
from operations and net income by $5.3
million and $3.9 million, respectively. There were no such costs in
the three months and year ended
December 31, 2019.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Early Return of
Railcars- During the three months and year ended
December 31, 2020, we recognized expenses
within Cost of sales associated with the voluntary early return of
certain leased railcars. These charges decreased
income from operations and net income by $12.5 million and $9.2
million, respectively. There were no such costs
in the three months and year ended December 31,
2019.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Debt
Extinguishment Costs - During the year ended
December 31, 2020, we recorded pre-tax debt
extinguishment costs of $22.2 million related to the redemption of
the 2023 Senior Notes. These nonrecurring
charges decreased net income by $16.3 million for the year ended
December 31, 2020. There were no such costs
in any of the other periods presented.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Change in Tax
Receivable Agreement liability - During the three months
and year ended December 31, 2020, we
recorded a change in the Tax Receivable Agreement liability that
increased income before income taxes by
$132.9 million and $373.5 million ($97.5 million and $274.1
million, net of tax), respectively. There were no
such changes during the three months and year ended December 31,
2019. The changes in the Tax Receivable
Agreement liability reflect charges or benefits attributable to
changes in PBF Energy's obligation under the Tax
Receivable Agreement due to factors out of our control such as
changes in tax rates, as well as periodic
adjustments to our liability based, in part, on an updated estimate
of the amounts that we expect to pay, using
assumptions consistent with those used in our concurrent estimate
of the deferred tax asset valuation allowance.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net tax (benefit)
expense on remeasurement of deferred tax assets - During the
three months ended December 31,
2020, we recorded a
deferred tax valuation allowance of $12.1 million in accordance
with ASC 740, Income
Taxes. This amount includes tax expense of approximately
$35.3 million related to our net change in the Tax
Receivable Agreement liability or a net tax benefit of
$23.2 million related primarily to the remeasurement of
deferred tax assets. During the year ended December 31, 2020,
we recorded a deferred tax valuation allowance
of $358.4 million in accordance with ASC 740, Income
Taxes. This amount includes tax expense of
approximately $99.3 million related to our net change in the
Tax Receivable Agreement liability or a net tax
expense of $259.1 million related primarily to the
remeasurement of deferred tax assets. There was no such
expense/benefit in the three months and year ended
December 31, 2019.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Recomputed Income
tax on special items - The income tax impact on special
items was calculated using the tax
rates shown in footnote 3 above.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(5) 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.
|
|
(6) Represents
weighted-average diluted shares outstanding assuming the conversion
of all common stock
equivalents, including options and warrants for PBF LLC Series A
Units and performance share 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) for
the three months and years ended December
31, 2020 and 2019, respectively. Common stock equivalents exclude
the effects of performance share units and
options and warrants to purchase 14,468,284 and 14,446,894 shares
of PBF Energy Class A common stock and
PBF LLC Series A Units because they are anti-dilutive for the three
months and year ended December 31, 2020,
respectively. Common stock equivalents exclude the effects of
performance share units and options and warrants
to purchase 6,734,276 and 6,765,526 shares of PBF Energy
Class A common stock and PBF LLC Series A Units
because they are anti-dilutive for the three months and year ended
December 31, 2019, respectively. For periods
showing a net loss, all common stock equivalents and unvested
restricted stock are considered anti-dilutive.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(7) 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. Adjusted
EBITDA is defined as EBITDA before adjustments for items such as
stock-based compensation expense, the
non-cash change in the fair value of catalyst obligations, gain on
sale of hydrogen plants, the write down of
inventory to the LCM, severance and one-time reconfiguration costs,
changes in the liability for Tax Receivable
Agreement due to factors out of our control such as changes in tax
rates, debt extinguishment costs related to
refinancing activities, and certain other non-cash items. 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.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(8) 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, 2020, the Refining segment
includes the operations of our oil refineries and related
facilities in Delaware City, Delaware, Paulsboro, New
Jersey, Toledo, Ohio, Chalmette, Louisiana, Torrance, California
and Martinez, 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 primarily consist of rail and truck terminals
and unloading racks, storage facilities and pipelines, a
substantial portion of which were acquired from or
contributed by PBF LLC and are located at, or nearby, our
refineries. 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.
PBFX currently does
not generate significant third party revenue and intersegment
related-party revenues are
eliminated in consolidation. From a PBF Energy perspective, our
chief operating decision maker evaluates the
Logistics segment as a whole without regard to any of PBFX's
individual operating segments.
|
|
(9) As reported by
Platts.
|
|
(10) Gross refining
margin and gross refining margin per barrel of throughput are
Non-GAAP measures because
they exclude refinery operating expenses, 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 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.
|
|
(11) Represents
refinery operating expenses, including corporate-owned logistics
assets, excluding depreciation
and amortization, divided by total crude oil and feedstocks
throughput.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(12) We define heavy
crude oil as crude oil with American Petroleum Institute (API)
gravity less than 24
degrees. We define medium crude oil as crude oil with API gravity
between 24 and 35 degrees. We define light
crude oil as crude oil with API gravity higher than 35
degrees.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(13) 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 that management believes 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 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. Additionally, 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,
|
|
|
|
|
2020
|
|
2019
|
|
|
(in
millions)
|
Total debt
|
$
|
4,661.0
|
|
|
$
|
2,064.9
|
|
Total
equity
|
2,202.3
|
|
|
3,585.5
|
|
Total
capitalization
|
$
|
6,863.3
|
|
|
$
|
5,650.4
|
|
|
|
|
|
Total debt
|
$
|
4,661.0
|
|
|
$
|
2,064.9
|
|
Total equity
excluding special items
|
2,275.9
|
|
|
3,675.8
|
|
Total capitalization
excluding special items
|
$
|
6,936.9
|
|
|
$
|
5,740.7
|
|
|
|
|
|
Total
equity
|
$
|
2,202.3
|
|
|
$
|
3,585.5
|
|
Special Items
(Note 4)
|
|
|
|
Add: Non-cash LCM
inventory adjustments
|
669.6
|
|
|
401.6
|
|
Add: Change in fair
value of contingent consideration
|
(93.7)
|
|
|
—
|
|
Add: Gain on sale of
hydrogen plants
|
(471.1)
|
|
|
—
|
|
Add: Gain on Torrance
land sales
|
(85.0)
|
|
|
(76.9)
|
|
Add: Impairment
expense
|
98.8
|
|
|
—
|
|
Add: LIFO inventory
decrement
|
83.0
|
|
|
—
|
|
Add: Turnaround
acceleration costs
|
56.2
|
|
|
—
|
|
Add: Severance and
reconfiguration costs
|
30.0
|
|
|
—
|
|
Add: Early railcar
return expense
|
64.8
|
|
|
52.3
|
|
Add: Debt
extinguishment costs
|
47.7
|
|
|
25.5
|
|
Add: Change in Tax
Receivable Agreement liability
|
(663.9)
|
|
|
(290.4)
|
|
Less: Recomputed
income tax on special items
|
57.9
|
|
|
(42.0)
|
|
Add: Net tax expense
on remeasurement of deferred tax assets
|
259.1
|
|
|
—
|
|
Add: Net tax expense on TCJA related special items
|
20.2
|
|
|
20.2
|
|
Net impact of
special items to equity
|
73.6
|
|
|
90.3
|
|
Total equity
excluding special items
|
$
|
2,275.9
|
|
|
$
|
3,675.8
|
|
|
|
|
|
|
|
|
Total debt
|
$
|
4,661.0
|
|
|
$
|
2,064.9
|
|
Less: Cash and cash equivalents
|
1,609.5
|
|
|
814.9
|
|
Net debt
|
|
|
|
$
|
3,051.5
|
|
|
$
|
1,250.0
|
|
|
|
|
|
|
|
|
Total debt to
capitalization ratio
|
68
|
%
|
|
37
|
%
|
Total debt to
capitalization ratio, excluding special items
|
67
|
%
|
|
36
|
%
|
Net debt to
capitalization ratio
|
58
|
%
|
|
26
|
%
|
Net debt to
capitalization ratio, excluding special items
|
57
|
%
|
|
25
|
%
|
(14) The Refining
segment includes capital expenditures of $1,176.2 million for the
acquisition of the Martinez
refinery in the first quarter of 2020.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(15) On April 24,
2019, PBFX entered into a contribution agreement with PBF LLC (the
"TVPC Contribution
Agreement"), pursuant to which PBF LLC contributed to PBFX all of
the issued and outstanding limited
liability company interests of TVP Holding Company LLC ("TVP
Holding") for total consideration of $200.0
million (the "TVPC Acquisition"). Prior to the TVPC Acquisition,
TVP Holding owned a 50% equity interest in
Torrance Valley Pipeline Company LLC ("TVPC"). Subsequent to the
closing of the TVPC Acquisition on May
31, 2019, PBFX owns 100% of the equity interest in
TVPC.
|
|
(16) Prior to the
TVPC Contribution Agreement, the Logistics segment included 100% of
the income from
operations of TVPC, as TVPC was consolidated by PBFX. PBFX recorded
net income attributable to
noncontrolling interest for the 50% equity interest in TVPC held by
PBF Holding. PBF Holding (included in the
Refining segment) recorded equity income in investee related to its
50% noncontrolling ownership interest in
TVPC. For purposes of our Consolidated Financial Statements, PBF
Holding's equity income in investee and
PBFX's net income attributable to noncontrolling interests
eliminated in consolidation.
|
View original content to download
multimedia:http://www.prnewswire.com/news-releases/pbf-energy-reports-fourth-quarter-2020-results-301226740.html
SOURCE PBF Energy Inc.