![](/cdn/assets/images/search/clock.png)
We could not find any results for:
Make sure your spelling is correct or try broadening your search.
Share Name | Share Symbol | Market | Type |
---|---|---|---|
Martin Midstream Partners LP | NASDAQ:MMLP | NASDAQ | Common Stock |
Price Change | % Change | Share Price | Bid Price | Offer Price | High Price | Low Price | Open Price | Shares Traded | Last Trade | |
---|---|---|---|---|---|---|---|---|---|---|
-0.02 | -0.55% | 3.64 | 3.59 | 3.69 | 3.71 | 3.61 | 3.66 | 94,947 | 21:00:05 |
Martin Midstream Partners L.P. (Nasdaq: MMLP) (“MMLP” or the “Partnership”) today announced its financial results for the second quarter of 2024.
Bob Bondurant, President and Chief Executive Officer of Martin Midstream GP LLC, the general partner of the Partnership, stated, “For the second quarter of 2024, the Partnership exceeded guidance by $0.5 million with adjusted EBITDA of $31.7 million compared to guidance of $31.2 million. Within our Transportation Services segment the land division continued to outperform projections assisted by higher than forecasted mileage along with lower maintenance expense. The marine division, however, was negatively impacted by a casualty loss reserve of $0.5 million from a bridge allision that occurred in May. The marine division also experienced lower fleet utilization this quarter as a result of both the allision and extended time of equipment in dry dock for regulatory inspection compared to forecasted duration.”
“The Sulfur Services segment results were above guidance as the division benefited from strong fertilizer margins and high sulfur production from the Gulf Coast refineries. Results in the Specialty Products segment were in line with guidance as strength in our grease division offset underperformance by the packaged lubricants business. Finally, the Terminalling and Storage segment results were below guidance as a direct result of a $1.5 million casualty loss reserve related to the previously announced crude oil spill from a crude pipeline that connects our Sandyland Terminal to the Smackover refinery.”
SECOND QUARTER 2024 OPERATING RESULTS BY BUSINESS SEGMENT
Operating Income
(Loss) ($M)
Adjusted EBITDA,
After Giving Effect to
the Exit of the Butane
Optimization
Business ($M)
Adjusted EBITDA ($M)
Three Months Ended June 30,
2024
2023
2024
2023
2024
2023
(Amounts may not add or recalculate due to rounding)
Business Segment:
Terminalling and Storage
$
3.3
$
4.4
$
8.0
$
9.6
$
8.0
$
9.6
Transportation
8.0
9.0
11.2
12.1
11.2
12.1
Sulfur Services
7.5
5.3
10.6
8.0
10.6
8.0
Specialty Products
4.9
2.5
5.7
5.9
5.7
(0.4
)
Unallocated Selling, General and Administrative Expense
(3.8
)
(3.9
)
(3.8
)
(3.9
)
(3.8
)
(3.9
)
$
19.9
$
17.3
$
31.7
$
31.8
$
31.7
$
25.5
Terminalling and storage adjusted EBITDA decreased $1.6 million, primarily reflecting the $1.5 million casualty loss reserve related to the crude oil spill from a crude pipeline that connects our Sandyland Terminal to the Smackover refinery. This casualty loss reserve was coupled with higher employee-related expenses across our divisions, offset by increased throughput in our shore-based terminals and underground NGL storage divisions.
Transportation adjusted EBITDA decreased $0.9 million, reflecting higher expenses in our marine division related to a casualty loss reserve of $0.5 million stemming from a bridge allision that occurred in May. This was coupled with lower fleet utilization as a result of both the allision and an acceleration of equipment into dry dock for regulatory inspection. Our marine division was positively impacted during the quarter by higher day rates. The land division experienced increased operating expenses, offset by increased mileage and transportation rates.
Sulfur services adjusted EBITDA increased $2.6 million, primarily reflecting increased fertilizer margins and high sulfur production from the Gulf Coast refineries.
Specialty products adjusted EBITDA, after giving effect to the exit of the butane optimization business, decreased $0.2 million, reflecting decreased margins in our NGL marketing business, offset by higher margins in our grease division.
Unallocated selling, general, and administrative expense decreased $0.1 million, reflecting reduced overhead expenses allocated from Martin Resource Management.
CAPITALIZATION
June 30, 2024
December 31, 2023
($ in millions)
Debt Outstanding:
Revolving Credit Facility, Due February 2027 1
$
58.0
$
42.5
Finance lease obligations
0.1
—
11.50% Senior Secured Notes, Due February 2028
400.0
400.0
Total Debt Outstanding:
$
458.1
$
442.5
Summary Credit Metrics:
Revolving Credit Facility - Total Capacity
$
150.0
$
175.0
Revolving Credit Facility - Available Liquidity
$
82.9
$
109.0
Total Adjusted Leverage Ratio 2
3.88x
3.75x
Senior Leverage Ratio 2
0.49x
0.36x
Interest Coverage Ratio 2
2.24x
2.19x
1 The Partnership was in compliance with all debt covenants as of June 30, 2024 and December 31, 2023.
2 As calculated under the Partnership's revolving credit facility.
RESULTS OF OPERATIONS SUMMARY (in millions, except per unit amounts)
Period
Net
Income
Net
Income
Per Unit
Adjusted
EBITDA
Adjusted
EBITDA,
After Giving
Effect to the
Exit of the
Butane
Optimization
Business
Net Cash
Provided by
Operating
Activities
Distributable
Cash Flow
Revenues
Three Months Ended June 30, 2024
$
3.8
$
0.09
$
31.7
$
31.7
$
11.8
$
9.5
$
184.5
Three Months Ended June 30, 2023
$
1.1
$
0.03
$
25.5
$
31.8
$
49.5
$
9.7
$
195.6
EBITDA, adjusted EBITDA, distributable cash flow and adjusted free cash flow are non-GAAP financial measures which are explained in greater detail below under the heading "Use of Non-GAAP Financial Information." The Partnership has also included below a table entitled "Reconciliation of EBITDA, Adjusted EBITDA, Distributable Cash Flow and Adjusted Free Cash Flow" in order to show the components of these non-GAAP financial measures and their reconciliation to the most comparable GAAP measurement.
An attachment included in the Current Report on Form 8-K to which this announcement is included contains a comparison of the Partnership’s adjusted EBITDA for the second quarter 2024 to the Partnership's adjusted EBITDA guidance for the second quarter 2024.
QUARTERLY CASH DISTRIBUTION
The Partnership has declared a quarterly cash distribution of $0.005 per unit for the quarter ended June 30, 2024. The distribution is payable on August 14, 2024 to common unitholders of record as of the close of business on August 7, 2024. The ex-dividend date for the cash distribution is August 7, 2024.
Qualified Notice to Nominees
This release is intended to serve as qualified notice under Treasury Regulation Section 1.1446-4(b)(4) and (d). Brokers and nominees should treat one hundred percent (100%) of MMLP’s distributions to non-U.S. investors as being attributable to income that is effectively connected with a United States trade or business. Accordingly, MMLP’s distributions to non-U.S. investors are subject to federal income tax withholding at the highest applicable effective tax rate. For purposes of Treasury Regulation section 1.1446(f)-4(c)(2)(iii), brokers and nominees should treat one hundred percent (100%) of the distributions as being in excess of cumulative net income for purposes of determining the amount to withhold. Nominees, and not Martin Midstream Partners L.P., are treated as withholding agents responsible for any necessary withholding on amounts received by them on behalf of foreign investors.
Investors' Conference Call
Date: Thursday, July 18, 2024 Time: 8:00 a.m. CT (please dial in by 7:55 a.m.) Dial In #: (888) 330-2384 Conference ID: 8536096 Replay Dial In # (800) 770-2030 – Conference ID: 8536096
A webcast of the conference call along with the Second Quarter 2024 Earnings Summary will also be available by visiting the Events and Presentations section under Investor Relations on our website at www.MMLP.com.
About Martin Midstream Partners
Martin Midstream Partners LP, headquartered in Kilgore, Texas, is a publicly traded limited partnership with a diverse set of operations focused primarily in the Gulf Coast region of the United States. MMLP’s primary business lines include: (1) terminalling, processing, and storage services for petroleum products and by-products; (2) land and marine transportation services for petroleum products and by-products, chemicals, and specialty products; (3) sulfur and sulfur-based products processing, manufacturing, marketing and distribution; and (4) marketing, distribution, and transportation services for natural gas liquids and blending and packaging services for specialty lubricants and grease. To learn more, visit www.MMLP.com. Follow Martin Midstream Partners L.P. on LinkedIn, Facebook, and X (formerly known as Twitter).
Forward-Looking Statements
Statements about the Partnership’s outlook and all other statements in this release other than historical facts are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements and all references to financial estimates rely on a number of assumptions concerning future events and are subject to a number of uncertainties, including (i) the effects of the continued volatility of commodity prices and the related macroeconomic and political environment and (ii) other factors, many of which are outside its control, which could cause actual results to differ materially from such statements. While the Partnership believes that the assumptions concerning future events are reasonable, it cautions that there are inherent difficulties in anticipating or predicting certain important factors. A discussion of these factors, including risks and uncertainties, is set forth in the Partnership’s annual and quarterly reports filed from time to time with the Securities and Exchange Commission (the “SEC”). The Partnership disclaims any intention or obligation to revise any forward-looking statements, including financial estimates, whether as a result of new information, future events, or otherwise except where required to do so by law.
Use of Non-GAAP Financial Information
To assist management in assessing our business, we use the following non-GAAP financial measures: earnings before interest, taxes, and depreciation and amortization ("EBITDA"), adjusted EBITDA (as defined below), distributable cash flow available to common unitholders (“distributable cash flow”), and free cash flow after growth capital expenditures and principal payments under finance lease obligations ("adjusted free cash flow"). Our management uses a variety of financial and operational measurements other than our financial statements prepared in accordance with U.S. GAAP to analyze our performance.
Certain items excluded from EBITDA and adjusted EBITDA are significant components in understanding and assessing an entity's financial performance, such as cost of capital and historical costs of depreciable assets.
EBITDA and adjusted EBITDA. We define adjusted EBITDA as EBITDA before unit-based compensation expenses, gains and losses on the disposition of property, plant and equipment, impairment and other similar non-cash adjustments. Adjusted EBITDA is used as a supplemental performance and liquidity measure by our management and by external users of our financial statements, such as investors, commercial banks, research analysts, and others, to assess:
The GAAP measures most directly comparable to adjusted EBITDA are net income (loss) and net cash provided by (used in) operating activities. Adjusted EBITDA should not be considered an alternative to, or more meaningful than, net income (loss), operating income (loss), net cash provided by (used in) operating activities, or any other measure of financial performance presented in accordance with GAAP. Adjusted EBITDA may not be comparable to similarly titled measures of other companies because other companies may not calculate adjusted EBITDA in the same manner.
Adjusted EBITDA does not include interest expense, income tax expense, and depreciation and amortization. Because we have borrowed money to finance our operations, interest expense is a necessary element of our costs and our ability to generate cash available for distribution. Because we have capital assets, depreciation and amortization are also necessary elements of our costs. Therefore, any measures that exclude these elements have material limitations. To compensate for these limitations, we believe that it is important to consider net income (loss) and net cash provided by (used in) operating activities as determined under GAAP, as well as adjusted EBITDA, to evaluate our overall performance.
Distributable cash flow and adjusted free cash flow. We define distributable cash flow as net cash provided by (used in) operating activities less cash received (plus cash paid) for closed commodity derivative positions included in Accumulated Other Comprehensive Income (Loss), plus changes in operating assets and liabilities which (provided) used cash, less maintenance capital expenditures and plant turnaround costs. Distributable cash flow is a significant performance measure used by our management and by external users of our financial statements, such as investors, commercial banks and research analysts, to compare basic cash flows generated by us to the cash distributions we expect to pay unitholders. Distributable cash flow is also an important financial measure for our unitholders since it serves as an indicator of our success in providing a cash return on investment. Specifically, this financial measure indicates to investors whether or not we are generating cash flow at a level that can sustain or support an increase in our quarterly distribution rates. Distributable cash flow is also a quantitative standard used throughout the investment community with respect to publicly-traded partnerships because the value of a unit of such an entity is generally determined by the unit's yield, which in turn is based on the amount of cash distributions the entity pays to a unitholder.
We define adjusted free cash flow as distributable cash flow less growth capital expenditures and principal payments under finance lease obligations. Adjusted free cash flow is a significant performance measure used by our management and by external users of our financial statements and represents how much cash flow a business generates during a specified time period after accounting for all capital expenditures, including expenditures for growth and maintenance capital projects. We believe that adjusted free cash flow is important to investors, lenders, commercial banks and research analysts since it reflects the amount of cash available for reducing debt, investing in additional capital projects, paying distributions, and similar matters. Our calculation of adjusted free cash flow may or may not be comparable to similarly titled measures used by other entities.
The GAAP measure most directly comparable to distributable cash flow and adjusted free cash flow is net cash provided by (used in) operating activities. Distributable cash flow and adjusted free cash flow should not be considered alternatives to, or more meaningful than, net income (loss), operating income (loss), Net cash provided by (used in) operating activities, or any other measure of liquidity presented in accordance with GAAP. Distributable cash flow and adjusted free cash flow have important limitations because they exclude some items that affect net income (loss), operating income (loss), and net cash provided by (used in) operating activities. Distributable cash flow and adjusted free cash flow may not be comparable to similarly titled measures of other companies because other companies may not calculate these non-GAAP metrics in the same manner. To compensate for these limitations, we believe that it is important to consider net cash provided by (used in) operating activities determined under GAAP, as well as distributable cash flow and adjusted free cash flow, to evaluate our overall liquidity.
MMLP-F
MARTIN MIDSTREAM PARTNERS L.P. CONSOLIDATED AND CONDENSED BALANCE SHEETS (Dollars in thousands)
June 30, 2024
December 31, 2023
(Unaudited)
(Audited)
Assets
Cash
$
55
$
54
Accounts and other receivables, less allowance for doubtful accounts of $506 and $530, respectively
50,910
53,293
Inventories
41,597
43,822
Due from affiliates
22,151
7,924
Other current assets
10,284
9,220
Total current assets
124,997
114,313
Property, plant and equipment, at cost
939,570
918,786
Accumulated depreciation
(631,219
)
(612,993
)
Property, plant and equipment, net
308,351
305,793
Goodwill
16,671
16,671
Right-of-use assets
63,768
60,359
Investment in DSM Semichem LLC
7,938
—
Deferred income taxes, net
10,174
10,200
Other assets, net
3,179
2,039
Total assets
$
535,078
$
509,375
Liabilities and Partners’ Capital (Deficit)
Current installments of long-term debt and finance lease obligations
$
14
$
—
Trade and other accounts payable
51,874
51,653
Product exchange payables
—
426
Due to affiliates
3,269
6,334
Income taxes payable
1,374
652
Other accrued liabilities
42,178
41,499
Total current liabilities
98,709
100,564
Long-term debt, net
439,397
421,173
Finance lease obligations
62
—
Operating lease liabilities
47,187
45,684
Other long-term obligations
7,589
6,578
Total liabilities
592,944
573,999
Commitments and contingencies
Partners’ capital (deficit)
(57,866
)
(64,624
)
Total liabilities and partners' capital (deficit)
$
535,078
$
509,375
MARTIN MIDSTREAM PARTNERS L.P. CONSOLIDATED AND CONDENSED STATEMENTS OF OPERATIONS (Unaudited) (Dollars in thousands, except per unit amounts)
Three Months Ended
Six Months Ended
June 30,
June 30,
2024
2023
2024
2023
Revenues:
Terminalling and storage *
$
22,375
$
21,684
$
44,892
$
42,542
Transportation *
57,676
54,750
115,983
110,473
Sulfur services
3,477
3,357
6,954
6,715
Product sales: *
Specialty products
67,288
78,872
133,613
211,141
Sulfur services
33,715
36,973
63,919
69,294
101,003
115,845
197,532
280,435
Total revenues
184,531
195,636
365,361
440,165
Costs and expenses:
Cost of products sold: (excluding depreciation and amortization)
Specialty products *
57,553
71,570
114,783
189,565
Sulfur services *
19,234
25,654
39,633
47,471
Terminalling and storage *
24
25
42
31
76,811
97,249
154,458
237,067
Expenses:
Operating expenses *
65,358
60,737
129,292
123,482
Selling, general and administrative *
10,701
8,447
19,614
19,619
Depreciation and amortization
12,687
12,547
25,336
25,448
Total costs and expenses
165,557
178,980
328,700
405,616
Other operating income (loss), net
953
673
1,161
285
Operating income
19,927
17,329
37,822
34,834
Other income (expense):
Interest expense, net
(14,377
)
(15,263
)
(28,219
)
(30,920
)
Loss on extinguishment of debt
—
—
—
(5,121
)
Other, net
2
11
18
33
Total other expense
(14,375
)
(15,252
)
(28,201
)
(36,008
)
Net income (loss) before taxes
5,552
2,077
9,621
(1,174
)
Income tax expense
(1,772
)
(996
)
(2,568
)
(2,831
)
Net income (loss)
3,780
1,081
7,053
(4,005
)
Less general partner's interest in net income (loss)
(76
)
(22
)
(141
)
80
Less income (loss) allocable to unvested restricted units
(16
)
(4
)
(28
)
12
Limited partners' interest in net income (loss)
$
3,688
$
1,055
$
6,884
$
(3,913
)
Net income (loss) per unit attributable to limited partners - basic and diluted
$
0.09
$
0.03
$
0.18
$
(0.10
)
Weighted average limited partner units - basic
38,832,222
38,772,266
38,833,039
38,771,037
Weighted average limited partner units - diluted
38,891,375
38,777,600
38,872,192
38,771,037
*Related Party Transactions Shown Below
MARTIN MIDSTREAM PARTNERS L.P. CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (Dollars in thousands, except per unit amounts)
*Related Party Transactions Included Above
Three Months Ended
Six Months Ended
June 30,
June 30,
2024
2023
2024
2023
Revenues:*
Terminalling and storage
$
18,078
$
18,077
$
36,627
$
35,579
Transportation
8,318
7,277
16,919
12,788
Product Sales
123
7,497
252
8,422
Costs and expenses:*
Cost of products sold: (excluding depreciation and amortization)
Specialty products
8,368
7,918
14,941
17,428
Sulfur services
2,919
2,644
5,912
5,352
Terminalling and storage
24
25
42
31
Expenses:
Operating expenses
26,501
25,058
52,924
48,885
Selling, general and administrative
8,638
6,556
15,501
15,072
MARTIN MIDSTREAM PARTNERS L.P. CONSOLIDATED AND CONDENSED STATEMENTS OF CAPITAL (DEFICIT) (Unaudited) (Dollars in thousands)
Partners’ Capital (Deficit)
Common Limited
General
Partner
Amount
Units
Amount
Total
Balances - March 31, 2024
39,001,086
$
(63,115
)
$
1,619
$
(61,496
)
Net income
—
3,704
76
3,780
Cash distributions
—
(195
)
(4
)
(199
)
Unit-based compensation
—
49
—
49
Balances - June 30, 2024
39,001,086
(59,557
)
1,691
(57,866
)
Balances - December 31, 2023
38,914,806
$
(66,182
)
$
1,558
$
(64,624
)
Net income
—
6,912
141
7,053
Issuance of restricted units
86,280
—
—
—
Cash distributions
—
(390
)
(8
)
(398
)
Unit-based compensation
—
103
—
103
Balances - June 30, 2024
39,001,086
$
(59,557
)
$
1,691
$
(57,866
)
Partners’ Capital (Deficit)
Common Limited
General
Partner
Amount
Units
Amount
Total
Balances - March 31, 2023
38,914,806
$
(66,236
)
$
1,559
$
(64,677
)
Net income
—
1,059
22
1,081
Cash distributions
—
(195
)
(4
)
(199
)
Unit-based compensation
—
38
—
38
Balances - June 30, 2023
38,914,806
(65,334
)
1,577
(63,757
)
Balances - December 31, 2022
38,850,750
$
(61,110
)
$
1,665
$
(59,445
)
Net loss
—
(3,925
)
(80
)
(4,005
)
Issuance of restricted units
64,056
—
—
—
Cash distributions
—
(389
)
(8
)
(397
)
Unit-based compensation
—
90
—
90
Balances - June 30, 2023
38,914,806
$
(65,334
)
$
1,577
$
(63,757
)
MARTIN MIDSTREAM PARTNERS L.P. CONSOLIDATED AND CONDENSED STATEMENTS OF CASH FLOWS (Unaudited) (Dollars in thousands)
Six Months Ended
June 30,
2024
2023
Cash flows from operating activities:
Net income (loss)
$
7,053
$
(4,005
)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation and amortization
25,336
25,448
Amortization of deferred debt issuance costs
1,539
2,435
Amortization of debt discount
1,200
1,000
Deferred income tax expense
26
1,867
Gain on disposition or sale of property, plant and equipment, net
(1,161
)
(285
)
Loss on extinguishment of debt
—
5,121
Non cash unit-based compensation
103
90
Change in current assets and liabilities, excluding effects of acquisitions and dispositions:
Accounts and other receivables
2,383
22,619
Inventories
2,031
58,933
Due from affiliates
(14,227
)
5,654
Other current assets
174
5,296
Trade and other accounts payable
523
(19,459
)
Product exchange payables
(426
)
278
Due to affiliates
(3,065
)
(6,641
)
Income taxes payable
722
(215
)
Other accrued liabilities
(1,196
)
1,907
Change in other non-current assets and liabilities
922
(1,269
)
Net cash provided by operating activities
21,937
98,774
Cash flows from investing activities:
Payments for property, plant and equipment
(24,194
)
(17,024
)
Payments for plant turnaround costs
(6,705
)
(661
)
Investment in DSM Semichem LLC
(6,938
)
—
Proceeds from sale of property, plant and equipment
738
4,275
Net cash used in investing activities
(37,099
)
(13,410
)
Cash flows from financing activities:
Payments of long-term debt
(113,000
)
(519,197
)
Payments under finance lease obligations
(1
)
(9
)
Proceeds from long-term debt
128,577
448,489
Payment of debt issuance costs
(15
)
(14,238
)
Cash distributions paid
(398
)
(397
)
Net cash provided by (used in) financing activities
15,163
(85,352
)
Net increase in cash
1
12
Cash at beginning of period
54
45
Cash at end of period
$
55
$
57
Non-cash additions to property, plant and equipment
$
2,641
$
1,679
Non-cash contribution of land to DSM Semichem LLC
$
1,000
$
—
MARTIN MIDSTREAM PARTNERS L.P. SEGMENT OPERATING INCOME (Unaudited) (Dollars and volumes in thousands, except BBL per day)
Terminalling and Storage Segment
Comparative Results of Operations for the Three Months Ended June 30, 2024 and 2023
Three Months Ended June 30,
Variance
Percent Change
2024
2023
(In thousands, except BBL per day)
Revenues
$
24,402
$
23,906
$
496
2
%
Cost of products sold
24
25
(1
)
(4
)%
Operating expenses
15,522
13,932
1,590
11
%
Selling, general and administrative expenses
820
333
487
146
%
Depreciation and amortization
5,729
5,195
534
10
%
2,307
4,421
(2,114
)
(48
)%
Other operating income, net
995
25
970
3,880
%
Operating income
$
3,302
$
4,446
$
(1,144
)
(26
)%
Shore-based throughput volumes (gallons)
42,491
42,434
57
—
%
Smackover refinery throughput volumes (guaranteed minimum BBL per day)
6,500
6,500
—
—
%
Comparative Results of Operations for the Six Months Ended June 30, 2024 and 2023
Six Months Ended June 30,
Variance
Percent Change
2024
2023
(In thousands, except BBL per day)
Revenues
$
48,687
$
47,825
$
862
2
%
Cost of products sold
42
31
11
35
%
Operating expenses
30,557
28,240
2,317
8
%
Selling, general and administrative expenses
1,102
882
220
25
%
Depreciation and amortization
11,124
10,794
330
3
%
5,862
7,878
(2,016
)
(26
)%
Other operating income (loss), net
1,097
(324
)
1,421
439
%
Operating income
$
6,959
$
7,554
$
(595
)
(8
)%
Shore-based throughput volumes (gallons)
88,260
85,783
2,477
3
%
Smackover refinery throughput volumes (guaranteed minimum) (BBL per day)
6,500
6,500
—
—
%
Transportation Segment
Comparative Results of Operations for the Three Months Ended June 30, 2024 and 2023
Three Months Ended June 30,
Variance
Percent Change
2024
2023
(In thousands)
Revenues
$
61,467
$
58,395
$
3,072
5
%
Operating expenses
47,783
44,285
3,498
8
%
Selling, general and administrative expenses
2,527
1,981
546
28
%
Depreciation and amortization
3,381
3,760
(379
)
(10
)%
7,776
8,369
(593
)
(7
)%
Other operating income, net
260
647
(387
)
(60
)%
Operating income
$
8,036
$
9,016
$
(980
)
(11
)%
Comparative Results of Operations for the Six Months Ended June 30, 2024 and 2023
Six Months Ended June 30,
Variance
Percent Change
2024
2023
(In thousands)
Revenues
$
123,509
$
120,334
$
3,175
3
%
Operating expenses
94,424
90,475
3,949
4
%
Selling, general and administrative expenses
4,727
4,530
197
4
%
Depreciation and amortization
6,857
7,522
(665
)
(9
)%
$
17,501
$
17,807
$
(306
)
(2
)%
Other operating income, net
366
651
(285
)
(44
)%
Operating income
$
17,867
$
18,458
$
(591
)
(3
)%
Sulfur Services Segment
Comparative Results of Operations for the Three Months Ended June 30, 2024 and 2023
Three Months Ended June 30,
Variance
Percent Change
2024
2023
(In thousands)
Revenues:
Services
$
3,477
$
3,357
$
120
4
%
Products
33,716
36,973
(3,257
)
(9
)%
Total revenues
37,193
40,330
(3,137
)
(8
)%
Cost of products sold
22,183
28,141
(5,958
)
(21
)%
Operating expenses
2,744
3,186
(442
)
(14
)%
Selling, general and administrative expenses
1,717
962
755
78
%
Depreciation and amortization
2,778
2,756
22
1
%
7,771
5,285
2,486
47
%
Other operating income (loss), net
(308
)
1
(309
)
(30,900
)%
Operating income
$
7,463
$
5,286
$
2,177
41
%
Sulfur (long tons)
91
123
(32
)
(26
)%
Fertilizer (long tons)
64
73
(9
)
(12
)%
Total sulfur services volumes (long tons)
155
196
(41
)
(21
)%
Comparative Results of Operations for the Six Months Ended June 30, 2024 and 2023
Six Months Ended June 30,
Variance
Percent Change
2024
2023
(In thousands)
Revenues:
Services
$
6,954
$
6,715
$
239
4
%
Products
63,920
69,294
(5,374
)
(8
)%
Total revenues
70,874
76,009
(5,135
)
(7
)%
Cost of products sold
44,954
52,090
(7,136
)
(14
)%
Operating expenses
5,684
6,085
(401
)
(7
)%
Selling, general and administrative expenses
3,020
2,579
441
17
%
Depreciation and amortization
5,760
5,433
327
6
%
11,456
9,822
1,634
17
%
Other operating income (loss), net
(308
)
17
(325
)
(1,912
)%
Operating income
$
11,148
$
9,839
$
1,309
13
%
Sulfur (long tons)
182
197
(15
)
(8
)%
Fertilizer (long tons)
136
134
2
1
%
Total sulfur services volumes (long tons)
318
331
(13
)
(4
)%
Specialty Products Segment
Comparative Results of Operations for the Three Months Ended June 30, 2024 and 2023
Three Months Ended June 30,
Variance
Percent Change
2024
2023
(In thousands)
Products revenues
$
67,317
$
78,898
$
(11,581
)
(15
)%
Cost of products sold
59,711
74,270
(14,559
)
(20
)%
Operating expenses
26
18
8
44
%
Selling, general and administrative expenses
1,842
1,299
543
42
%
Depreciation and amortization
799
836
(37
)
(4
)%
4,939
2,475
2,464
100
%
Other operating income, net
6
—
6
Operating income
$
4,945
$
2,475
$
2,470
100
%
NGL sales volumes (Bbls)
540
827
(287
)
(35
)%
Other specialty products volumes (Bbls)
93
90
3
3
%
Total specialty products volumes (Bbls)
633
917
(284
)
(31
)%
Comparative Results of Operations for the Six Months Ended June 30, 2024 and 2023
Six Months Ended June 30,
Variance
Percent Change
2024
2023
(In thousands)
Products revenues
$
133,663
$
211,175
$
(77,512
)
(37
)%
Cost of products sold
119,355
198,721
(79,366
)
(40
)%
Operating expenses
51
32
19
59
%
Selling, general and administrative expenses
3,165
3,589
(424
)
(12
)%
Depreciation and amortization
1,595
1,699
(104
)
(6
)%
9,497
7,134
2,363
33
%
Other operating income (loss), net
6
(59
)
65
110
%
Operating income
$
9,503
$
7,075
$
2,428
34
%
NGL sales volumes (Bbls)
1,162
2,518
(1,356
)
(54
)%
Other specialty products volumes (Bbls)
172
174
(2
)
(1
)%
Total specialty products volumes (Bbls)
1,334
2,692
(1,358
)
(50
)%
Unallocated Selling, General and Administrative Expenses
Comparative Results of Operations for the Three and Six Months Ended June 30, 2024 and 2023
Three Months Ended
June 30,
Variance
Percent
Change
Six Months Ended
June 30,
Variance
Percent
Change
2024
2023
2024
2023
(In thousands)
(In thousands)
Indirect selling, general and administrative expenses
$
3,819
$
3,894
$
(75
)
(2
)%
$
7,655
$
8,092
$
(437
)
(5
)%
Non-GAAP Financial Measures
The following tables reconcile the non-GAAP financial measurements used by management to our most directly comparable GAAP measures for the three and six months ended June 30, 2024 and 2023, which represents EBITDA, adjusted EBITDA, adjusted EBITDA after giving effect to the exit of the butane optimization business, distributable cash flow, and adjusted free cash flow:
Reconciliation of Net Income (Loss) to EBITDA, Adjusted EBITDA, and Adjusted EBITDA After Giving Effect to the Exit of the Butane Optimization Business
Three Months Ended June 30,
Six Months Ended June 30,
2024
2023
2024
2023
(in thousands)
(in thousands)
Net income (loss)
$
3,780
$
1,081
$
7,053
$
(4,005
)
Adjustments:
Interest expense
14,377
15,263
28,219
30,920
Income tax expense
1,772
996
2,568
2,831
Depreciation and amortization
12,687
12,547
25,336
25,448
EBITDA
32,616
29,887
63,176
55,194
Adjustments:
Gain on disposition or sale of property, plant and equipment
(953
)
(673
)
(1,161
)
(285
)
Loss on extinguishment of debt
—
—
—
5,121
Lower of cost or net realizable value and other non-cash adjustments
—
(3,717
)
—
(12,850
)
Unit-based compensation
49
38
103
90
Adjusted EBITDA
$
31,712
$
25,535
$
62,118
$
47,270
Adjustments:
Less: net loss associated with butane optimization business
—
2,564
—
2,255
Plus: lower of cost or net realizable value and other non-cash adjustments
—
$
3,717
—
12,850
Adjusted EBITDA after giving effect to the exit of the butane optimization business
$
31,712
$
31,816
$
62,118
$
62,375
Reconciliation of Net Cash Provided by Operating Activities to Adjusted EBITDA, Adjusted EBITDA After Giving Effect to the Exit of the Butane Optimization Business, Distributable Cash Flow, and Adjusted Free Cash Flow
Three Months Ended June 30,
Six Months Ended June 30,
2024
2023
2024
2023
(in thousands)
(in thousands)
Net cash provided by operating activities
$
11,828
$
49,510
$
21,937
$
98,774
Interest expense 1
13,004
13,903
25,480
27,485
Current income tax expense
1,420
306
2,542
964
Lower of cost or net realizable value and other non-cash adjustments
—
(3,717
)
—
(12,850
)
Changes in operating assets and liabilities which (provided) used cash:
Accounts and other receivables, inventories, and other current assets
9,919
(43,135
)
9,639
(91,517
)
Trade, accounts and other payables, and other current liabilities
(3,786
)
7,171
3,442
23,145
Other
(673
)
1,497
(922
)
1,269
Adjusted EBITDA
31,712
25,535
62,118
47,270
Adjustments:
Less: net loss associated with butane optimization business
—
2,564
—
2,255
Plus: lower of cost or net realizable value and other non-cash adjustments
—
3,717
—
12,850
Adjusted EBITDA after giving effect to the exit of the butane optimization business
31,712
31,816
62,118
62,375
Adjustments:
Interest expense
(14,377
)
(15,263
)
(28,219
)
(30,920
)
Income tax expense
(1,772
)
(996
)
(2,568
)
(2,831
)
Deferred income taxes
352
690
26
1,867
Amortization of debt discount
600
600
1,200
1,000
Amortization of deferred debt issuance costs
773
760
1,539
2,435
Payments for plant turnaround costs
(745
)
(432
)
(6,705
)
(661
)
Maintenance capital expenditures
(7,009
)
(7,438
)
(12,211
)
(14,072
)
Distributable cash flow
9,534
9,737
15,180
19,193
Principal payments under finance lease obligations
(1
)
(3
)
(1
)
(9
)
Investment in DSM Semichem LLC
(6,938
)
—
(6,938
)
—
Expansion capital expenditures
(5,450
)
(1,925
)
(11,681
)
(2,682
)
Adjusted free cash flow
$
(2,855
)
$
7,809
$
(3,440
)
$
16,502
1 Net of amortization of debt issuance costs and discount, which are included in interest expense but not included in net cash provided by (used in) operating activities.
View source version on businesswire.com: https://www.businesswire.com/news/home/20240717514885/en/
Sharon Taylor - Executive Vice President & Chief Financial Officer (877) 256-6644 investor.relations@mmlp.com
1 Year Martin Midstream Partners Chart |
1 Month Martin Midstream Partners Chart |
It looks like you are not logged in. Click the button below to log in and keep track of your recent history.
Support: +44 (0) 203 8794 460 | support@advfn.com
By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions