Results for the Second Quarter of
2023
- Net income of $9.3 million, or $0.39 per common unit
- Adjusted EBITDA of $12.7 million and distributable cash flow of
$10.7 million
- Quarterly cash distribution of $0.455 per unit
- Distribution coverage ratio of 0.99x; LTM distribution coverage
ratio of 1.01x
- Leverage ratio, net of cash; 0.82x Adjusted EBITDA
Green Plains Partners LP (NASDAQ:GPP) today announced financial
and operating results for the second quarter of 2023. Net income
attributable to the partnership was $9.3 million, or $0.39 per
common unit, for the second quarter of 2023, compared with net
income of $10.5 million, or $0.44 per common unit, for the same
period in 2022.
The partnership also reported adjusted EBITDA of $12.7 million
and distributable cash flow of $10.7 million for the second quarter
of 2023, compared with adjusted EBITDA of $12.9 million and
distributable cash flow of $11.3 million for the same period in
2022. Distribution coverage was 0.99x for the three months ended
June 30, 2023.
Second Quarter Highlights and Recent Developments
- On July 20, 2023, the board of directors of the partnership’s
general partner declared a quarterly cash distribution of $0.455
per unit, or approximately $10.8 million, for the second quarter of
2023. The distribution is payable on August 11, 2023, to
unitholders of record at the close of business on August 4,
2023.
Results of Operations
Consolidated revenues for the three months ended June 30, 2023
increased by $0.9 million compared with the same period for 2022
primarily due to an increase in transportation service fees charged
as a result of upgrading our leased railcar fleet to comply with
government regulations and higher railcar volumetric capacity.
Operations and maintenance expenses increased by $0.9 million for
the three months ended June 30, 2023, compared with the same period
for 2022, primarily due to higher railcar lease expense as a result
of upgrading our leased railcar fleet. General and administrative
expenses increased $0.7 million for the three months ended June 30,
2023 compared with the same period for 2022 primarily due to
transaction costs related to the proposal from our parent to
acquire all outstanding units of the partnership.
During the second quarter of 2023, Green Plains Inc.’s average
production utilization rate was approximately 81.5% of capacity.
Ethanol throughput was 196.1 million gallons, which was below the
contracted minimum volume commitment. As a result, the Partnership
charged Green Plains Trade $1.2 million related to the minimum
volume commitment deficiency for the quarter, resulting in a credit
to be applied against excess volumes in future periods. The
cumulative balance of minimum volume deficiency credits available
to Green Plains Trade as of June 30, 2023 was $1.7 million. If
these credits are unused by Green Plains Trade, $0.5 million will
expire on March 31, 2024 and $1.2 million will expire on June 30,
2024. These credits have been recognized in revenue by the
partnership, and as such, future volumes throughput by Green Plains
Trade in excess of the quarterly minimum volume commitment, up to
the amount of these credits, will not be recognized in revenue in
future periods.
GREEN PLAINS PARTNERS
LP
SELECTED OPERATING
DATA
(unaudited, in million
gallons)
Three Months Ended June
30,
Six Months Ended June
30,
2023
2022
% Var.
2023
2022
% Var.
Product volumes (mmg)
Storage and throughput services
196.1
232.5
(15.7
)%
404.2
429.7
(5.9
)%
Terminal services
Affiliate
30.1
27.7
8.7
56.4
55.0
2.5
Non-affiliate
25.9
23.7
9.3
50.5
45.2
11.7
56.0
51.4
8.9
106.9
100.2
6.7
Railcar capacity billed (daily avg.)
70.7
74.5
(5.1
)
71.7
72.1
(0.6
)
Liquidity and Capital Resources
Total liquidity as of June 30, 2023 consisted of $15.6 million
in cash and cash equivalents. Total debt outstanding was $57.1
million, net of unamortized debt issuance costs of $0.4
million.
Conference Call Information
On August 4, 2023, Green Plains Partners LP and Green Plains
Inc. will host a joint conference call at 9 a.m. Eastern time (8
a.m. Central time) to discuss second quarter of 2023 financial and
operating results for each company. Domestic and international
participants can access the conference call by dialing 888.210.4215
and 646.960.0269, respectively, and referencing conference ID
5027523. Participants are advised to call at least 10 minutes prior
to the start time. Alternatively, the conference call will be
accessible on Green Plains Partners’ website here.
Non-GAAP Financial Measures
Adjusted EBITDA and distributable cash flow are supplemental
financial measures used to assess the partnership’s financial
performance. Management believes adjusted EBITDA and distributable
cash flow provide investors useful information in assessing the
partnership’s financial condition and results of operations.
Adjusted EBITDA is defined as earnings before interest,
depreciation and amortization, plus adjustments for transaction
costs related to acquisitions or financing transactions, unit-based
compensation expense, net gains or losses on asset sales, and the
partnership’s proportional share of EBITDA adjustments of our
equity method investee. Distributable cash flow is defined as
adjusted EBITDA less interest paid or payable, net of interest
received, income taxes paid or payable, maintenance capital
expenditures and the partnership’s proportionate share of
distributable cash flow adjustments of our equity method investee.
References to LTM refer to results from the immediately preceding
twelve-month period. Adjusted EBITDA and distributable cash flow
are not presented in accordance with U.S. Generally Accepted
Accounting Principles (GAAP) and therefore should not be considered
in isolation or as alternatives to net income or any other measure
of financial performance presented in accordance with GAAP to
analyze the partnership’s results.
About Green Plains Partners LP
Green Plains Partners LP (NASDAQ:GPP) is a fee-based Delaware
limited partnership formed by Green Plains Inc. to provide fuel
storage and transportation services by owning, operating,
developing and acquiring ethanol and fuel storage terminals,
transportation assets and other related assets and businesses. For
more information about Green Plains Partners, visit www.greenplainspartners.com.
About Green Plains Inc.
Green Plains Inc. (NASDAQ:GPRE) is a leading biorefining company
focused on the development and utilization of fermentation,
agricultural and biological technologies in the processing of
annually renewable crops into sustainable value-added ingredients.
This includes the production of cleaner low carbon biofuels,
renewable feedstocks for advanced biofuels and high purity alcohols
for use in cleaners and disinfectants. Green Plains is an
innovative producer of ultra-high protein and novel ingredients for
animal and aquaculture diets to help satisfy a growing global
appetite for sustainable protein. The Company also owns a 48.8%
limited partner interest and a 2.0% general partner interest in
Green Plains Partners LP. For more information, visit www.gpreinc.com.
Forward-Looking Statements
This news release includes forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995, as
amended. Forward-looking statements reflect management’s current
views, which are subject to risks and uncertainties including, but
not limited to, anticipated financial and operating results, plans
and objectives that are not historical in nature. These statements
may be identified by words such as “believe,” “expect,” “may,”
“should,” “will” and similar expressions. Factors that could cause
actual results to differ materially from those expressed or implied
are discussed in Green Plains Partners’ reports filed with the
Securities and Exchange Commission. Investors are cautioned not to
place undue reliance on forward-looking statements, which speak
only as of the date of this news release. Green Plains Partners
assumes no obligation to update any such forward-looking
statements, except as required by law.
Consolidated Financial Results
GREEN PLAINS PARTNERS
LP
CONDENSED CONSOLIDATED BALANCE
SHEETS
(in thousands)
June 30, 2023
December 31, 2022
(unaudited)
ASSETS
Current assets
Cash and cash equivalents
$
15,550
$
20,166
Accounts receivable, including from
affiliates
15,200
12,997
Other current assets
1,520
1,410
Total current assets
32,270
34,573
Property and equipment, net
25,984
26,137
Operating lease right-of-use assets
55,189
47,002
Other assets
14,076
13,710
Total assets
$
127,519
$
121,422
LIABILITIES AND PARTNERS'
EQUITY (DEFICIT)
Current liabilities
Accounts payable, including to
affiliates
$
4,043
$
4,225
Operating lease current liabilities
17,226
14,734
Other current liabilities
7,498
6,710
Total current liabilities
28,767
25,669
Long-term debt
57,101
58,559
Asset retirement obligations
3,534
2,862
Operating lease long-term liabilities
39,583
33,582
Total liabilities
128,985
120,672
Partners' equity (deficit)
(1,466
)
750
Total liabilities and partners' equity
(deficit)
$
127,519
$
121,422
GREEN PLAINS PARTNERS
LP
CONSOLIDATED STATEMENTS OF
OPERATIONS
(unaudited, in thousands except
per unit amounts)
Three Months Ended June
30,
Six Months Ended June
30,
2023
2022
% Var.
2023
2022
% Var.
Revenues
Affiliate
$
19,460
$
18,742
3.8
%
$
39,116
$
36,837
6.2
%
Non-affiliate
1,063
912
16.6
2,182
1,917
13.8
Total revenues
20,523
19,654
4.4
41,298
38,754
6.6
Operating expenses
Operations and maintenance (excluding
depreciation and amortization reflected below)
7,070
6,160
14.8
14,323
11,725
22.2
General and administrative
1,625
925
75.7
2,855
2,110
35.3
Depreciation and amortization
828
823
0.6
1,644
1,721
(4.5
)
Total operating expenses
9,523
7,908
20.4
18,822
15,556
21.0
Operating income
11,000
11,746
(6.4
)
22,476
23,198
(3.1
)
Interest income
238
—
100.0
363
—
100.0
Interest expense
(1,910
)
(1,384
)
38.0
(3,807
)
(2,623
)
45.1
Income before income taxes and income from
equity method investee
9,328
10,362
(10.0
)
19,032
20,575
(7.5
)
Income tax expense
(293
)
(39
)
651.3
(194
)
(77
)
151.9
Income from equity method investee
311
196
58.7
420
371
13.2
Net income
$
9,346
$
10,519
(11.2
)%
$
19,258
$
20,869
(7.7
)%
Net income attributable to partners'
ownership interests
General partner
$
188
$
210
(10.5
)%
$
386
$
417
(7.4
)%
Limited partners - common unitholders
9,158
10,309
(11.2
)
18,872
20,452
(7.7
)
Earnings per limited partner unit (basic
and diluted)
Common units
$
0.39
$
0.44
(11.4
)%
$
0.81
$
0.88
(8.0
)%
Weighted average limited partner units
outstanding (basic and diluted)
Common units
23,227
23,208
23,227
23,208
Supplemental Revenues Data
Storage and throughput services
$
11,565
$
11,570
—
%
$
23,129
$
23,128
—
%
Railcar transportation services
6,369
5,119
24.4
12,678
9,771
29.8
Terminal services
2,173
2,036
6.7
4,250
4,120
3.2
Trucking and other
416
929
(55.2
)
1,241
1,735
(28.5
)
Total revenues
$
20,523
$
19,654
4.4
%
$
41,298
$
38,754
6.6
%
GREEN PLAINS PARTNERS
LP
CONDENSED CONSOLIDATED
STATEMENT OF CASH FLOWS
(unaudited, in thousands)
Six Months Ended June
30,
2023
2022
Cash flows from operating activities
Net income
$
19,258
$
20,869
Noncash operating adjustments
Depreciation and amortization
1,644
1,721
Other
(399
)
(53
)
Net change in working capital
(1,888
)
(1,343
)
Net cash provided by operating
activities
18,615
21,194
Cash flows from investing activities
Purchases of property and equipment
(129
)
(305
)
Net cash used in investing activities
(129
)
(305
)
Cash flows from financing activities
Payments of distributions
(21,586
)
(20,976
)
Principal payments on long-term debt
(1,500
)
(1,031
)
Other
(16
)
—
Net cash used in financing activities
(23,102
)
(22,007
)
Net change in cash and cash
equivalents
(4,616
)
(1,118
)
Cash and cash equivalents, beginning of
period
20,166
17,645
Cash and cash equivalents, end of
period
$
15,550
$
16,527
GREEN PLAINS PARTNERS
LP
RECONCILIATIONS TO NON-GAAP
FINANCIAL MEASURES
(unaudited, in thousands except
ratios)
Three Months Ended June
30,
Six Months Ended June
30,
LTM Ended June 30,
2023
2022
2023
2022
2023
Net income
9,346
10,519
19,258
20,869
39,039
Interest expense, net
1,672
1,384
3,444
2,623
6,745
Income tax expense
293
39
194
77
198
Depreciation and amortization
828
823
1,644
1,721
4,016
Transaction costs
455
—
455
—
455
Unit-based compensation expense
60
60
119
119
240
Proportional share of EBITDA adjustments
of equity method investee (1)
45
45
90
90
180
Adjusted EBITDA
12,699
12,870
25,204
25,499
50,873
Interest paid or payable, net of interest
received
(1,672
)
(1,384
)
(3,444
)
(2,623
)
(6,745
)
Income taxes paid or payable
(293
)
(39
)
(194
)
(77
)
(198
)
Maintenance capital expenditures
(4
)
(126
)
(84
)
(258
)
(410
)
Distributable cash flow (2)
$
10,730
$
11,321
$
21,482
$
22,541
$
43,520
Distributions declared (3)
$
10,802
$
10,666
$
21,595
$
21,213
$
43,190
Coverage ratio
0.99x
1.06x
0.99x
1.06x
1.01x
Long-term debt
$
57,101
Less: Cash and cash equivalents
15,550
Long-term debt, net of cash and cash
equivalents
$
41,551
Adjusted EBITDA
$
50,873
Leverage ratio
0.82x
(1) Represents our proportional share of
depreciation and amortization of our equity method investee.
(2) Distributable cash flow does not
include adjustments for the principal payment on the term loan of
$1.5 million for the three and six months ended June 30, 2023.
Distributable cash flow does not include adjustments for the
principal payments on the term loan of $1.0 million for the six
months ended June 30, 2022.
(3) Represents distributions declared for
the applicable period and paid in the subsequent quarter.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20230804529911/en/
Green Plains Contacts Investors: Phil Boggs |
Executive Vice President, Investor Relations | 402.884.8700 |
phil.boggs@gpreinc.com Media: Lisa Gibson | Communications
Manager | 402.952.4971 | lisa.gibson@gpreinc.com
Green Plains Partners (NASDAQ:GPP)
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過去 株価チャート
から 10 2023 まで 10 2024