- Net income attributable to all partners of $34.8 million
- Record quarterly EBITDA of $98.2
million
- Record throughput in Midland Gathering
- Distributable cash flow of $61.4 million
- Distributable cash flow coverage ratio of 1.35x
- Delivered 43 consecutive quarters of distribution growth
with recent increase to $1.045/unit
BRENTWOOD, Tenn., Nov. 7, 2023
/PRNewswire/ -- Delek Logistics Partners, LP (NYSE: DKL)
("Delek Logistics") today announced its financial results for the
third quarter 2023, with reported net income attributable to all
partners of $34.8 million, or
$0.80 per diluted common limited
partner unit. This compares to net income attributable to all
partners of $44.7 million, or
$1.03 per diluted common limited
partner unit, in the third quarter 2022. The decrease in net income
attributable to all partners was driven by higher interest expense,
partially offset by lower general and administrative expenses. Net
cash provided in operating activities was $46.8 million in the third quarter 2023 compared
to net cash provided by operating activities of $164.4 million in the third quarter 2022.
Distributable cash flow was $61.4
million in the third quarter 2023, compared to $65.6 million in the third quarter
2022.
For the third quarter 2023, earnings before interest, taxes,
depreciation and amortization ("EBITDA") was $98.2 million compared to $89.0 million in the third quarter 2022.
"Delek Logistics delivered another record quarter," said Avigal
Soreq, President of Delek Logistics' general partner. "We see
significant value in gathering and processing in the Permian and
are investing in the continued growth of our business. With
its premier Permian location and by consistently delivering safe,
reliable operations and stable cash flows, Delek Logistics is a
great value opportunity."
"In October, the Board approved the 43rd consecutive increase in
the quarterly distribution to $1.045
per unit. Given its portfolio, Delek Logistics is well
positioned to exceed $100 million
quarterly run-rate EBITDA and support on-going distributions," Mr.
Soreq concluded.
Distribution and Liquidity
On October 25, 2023, Delek Logistics declared a quarterly
cash distribution of $1.045 per
common limited partner unit for the third quarter 2023. This
distribution will be paid on November 13, 2023 to unitholders
of record on November 6, 2023. This represents a 1.0% increase
from the second quarter 2023 distribution of $1.035 per common limited partner unit, and a
5.6% increase over Delek Logistics' third quarter 2022 distribution
of $0.990 per common limited partner
unit. For the third quarter 2023, the total cash distribution
declared to all partners was approximately $45.6 million, resulting in a distributable cash
flow coverage ratio of 1.35x.
As of September 30, 2023, Delek
Logistics had total debt of approximately $1.74 billion and cash of $4.2 million. Additional borrowing capacity,
subject to certain covenants, under the $900.0 million revolving credit facility was
$89.0 million. The total leverage
ratio as of September 30, 2023 of
approximately 4.55x was within the requirements of the maximum
allowable leverage ratio under the credit facility.
Consolidated Operating Results
Third quarter 2023 EBITDA of $98.2
million benefited from increased contribution from the Delek
Permian Gathering system, Delaware Gathering system, terminalling
and marketing rate increases and continued strong throughput on
joint venture pipelines, partially offset by increased operating
expenses as compared to EBITDA of $89.0
million in the third quarter 2022. Net income attributable
to all partners for the third quarter 2023 of $34.8 million reflected a decrease of
$9.8 million compared to the third
quarter 2022.
Gathering and Processing Segment
EBITDA in the third quarter 2023 was $52.9 million compared with $56.6 million in the third quarter 2022. The
decrease was primarily driven by a one-time credit received in the
third quarter of 2022. Excluding this, third quarter 2023 results
were higher than last year, due to increased throughput from our
Permian assets.
Wholesale Marketing and Terminalling Segment
EBITDA in the third quarter 2023 was $28.1 million, approximately in line with third
quarter 2022 EBITDA of $20.3
million. The increase was primarily due to higher
terminalling utilization and improved wholesale margins.
Storage and Transportation Segment
EBITDA in the third quarter 2023 was $17.9 million compared with $14.6 million in the third quarter 2022. The
increase was primarily due to increased storage and transportation
rates.
Investments in Pipeline Joint Ventures Segment
During the third quarter 2023, income from equity method
investments was $9.3 million compared
to $8.6 million in the third quarter
2022.
Corporate
EBITDA in the third quarter 2023 was a loss of $10.0 million million compared to a loss of
$11.0 million in the third quarter
2022.
Third Quarter 2023 Results | Conference Call
Information
Delek Logistics will hold a conference call to discuss its third
quarter 2023 results on Tuesday, November 7,
2023 at 11:30 a.m. Central
Time. Investors will have the opportunity to listen to the
conference call live by going to www.DelekLogistics.com.
Participants are encouraged to register at least 15 minutes early
to download and install any necessary software. An archived
version of the replay will also be available at
www.DelekLogistics.com for 90 days.
About Delek Logistics Partners, LP
Delek Logistics is a midstream energy master limited partnership
headquartered in Brentwood,
Tennessee. Through its owned assets and joint ventures
located primarily in and around the Permian Basin, the Delaware Basin and other select areas in the
Gulf Coast region. Delek Logistics provides gathering, pipeline and
other transportation services primarily for crude oil and natural
gas customers, storage, wholesale marketing and terminalling
services primarily for intermediate and refined product customers,
and water disposal and recycling services. Delek US Holdings, Inc.
("Delek US") owns the general partner interest as well as a
majority limited partner interest in Delek Logistics, and is also a
significant customer.
Safe Harbor Provisions Regarding Forward-Looking
Statements
This press release contains forward-looking statements that are
based upon current expectations and involve a number of risks and
uncertainties. Statements concerning current estimates,
expectations and projections about future results, performance,
prospects, opportunities, plans, actions and events and other
statements, concerns, or matters that are not historical facts are
"forward-looking statements," as that term is defined under the
federal securities laws. These statements contain words such
as "possible," "believe," "should," "could," "would," "predict,"
"plan," "estimate," "intend," "may," "anticipate," "will,"
"if," "expect" or similar expressions, as well as statements
in the future tense, and can be impacted by numerous factors,
including the fact that a substantial majority of Delek Logistics'
contribution margin is derived from Delek US, thereby subjecting us
to Delek US' business risks; risks relating to the securities
markets generally; risks and costs relating to the age and
operational hazards of our assets including, without limitation,
costs, penalties, regulatory or legal actions and other effects
related to releases, spills and other hazards inherent in
transporting and storing crude oil and intermediate and finished
petroleum products; the impact of adverse market conditions
affecting the utilization of Delek Logistics' assets and business
performance, including margins generated by its wholesale fuel
business; risks and uncertainties related to the integration of the
3 Bear business following the recent acquisition; uncertainties
regarding future decisions by OPEC regarding production and pricing
disputes between OPEC members and Russia; an inability of Delek US to grow as
expected as it relates to our potential future growth
opportunities, including dropdowns, and other potential benefits;
scheduled turnaround activity; the results of our investments in
joint ventures; adverse changes in laws including with respect to
tax and regulatory matters; and other risks as disclosed in our
Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and
other reports and filings with the United States Securities and
Exchange Commission. Forward-looking statements include, but are
not limited to, statements regarding future growth at Delek
Logistics; distributions and the amounts and timing thereof;
potential dropdown inventory; projected benefits of the 3 Bear
acquisition; expected earnings or returns from joint ventures or
other acquisitions; expansion projects; ability to create long-term
value for our unit holders; financial flexibility and borrowing
capacity; and distribution growth of 5% or at all. Forward-looking
statements should not be read as a guarantee of future performance
or results and will not be accurate indications of the times at, or
by, which such performance or results will be achieved.
Forward-looking information is based on information available at
the time and/or management's good faith belief with respect to
future events, and is subject to risks and uncertainties that could
cause actual performance or results to differ materially from those
expressed in the statements. Delek Logistics undertakes no
obligation to update or revise any such forward-looking statements
to reflect events or circumstances that occur, or which Delek
Logistics becomes aware of, after the date hereof, except as
required by applicable law or regulation.
Non-GAAP Disclosures:
Our management uses certain "non-GAAP" operational measures to
evaluate our operating segment performance and non-GAAP financial
measures to evaluate past performance and prospects for the future
to supplement our GAAP financial information presented in
accordance with U.S. GAAP. These financial and operational non-GAAP
measures are important factors in assessing our operating results
and profitability and include:
- Earnings before interest, taxes, depreciation and amortization
("EBITDA") - calculated as net income before net interest expense,
income tax expense, depreciation and amortization expense,
including amortization of customer contract intangible assets,
which is included as a component of net revenues in our
accompanying condensed consolidated statements of income.
- Distributable cash flow - calculated as net cash flow from
operating activities plus or minus changes in assets and
liabilities, less maintenance capital expenditures net of
reimbursements and other adjustments not expected to settle in
cash. Delek Logistics believes this is an appropriate reflection of
a liquidity measure by which users of its financial statements can
assess its ability to generate cash.
- Distributable cash flow, as adjusted for transaction costs, or
Distributable cash flow, as adjusted - distributable cash flow
adjusted to exclude significant, infrequently occurring transaction
costs.
Our EBITDA and distributable cash flow measures are non GAAP
supplemental financial measures that management and external users
of our condensed consolidated financial statements, such as
industry analysts, investors, lenders and rating agencies, may use
to assess:
- Delek Logistics' operating performance as compared to other
publicly traded partnerships in the midstream energy industry,
without regard to historical cost basis or, in the case of EBITDA,
financing methods;
- the ability of our assets to generate sufficient cash flow to
make distributions to our unitholders on a current and on-going
basis;
- Delek Logistics' ability to incur and service debt and fund
capital expenditures; and
- the viability of acquisitions and other capital expenditure
projects and the returns on investment of various investment
opportunities.
We believe that the presentation of EBITDA and distributable
cash flow measures provide information useful to investors in
assessing our financial condition and results of operations and
assists in evaluating our ongoing operating performance for current
and comparative periods. EBITDA and distributable cash flow
should not be considered alternatives to net income, operating
income, cash flow from operating activities or any other measure of
financial performance or liquidity presented in accordance with
U.S. GAAP. EBITDA and distributable cash flow have important
limitations as analytical tools because they exclude some, but not
all, items that affect net income and net cash provided by
operating activities. Additionally, because EBITDA and
distributable cash flow may be defined differently by other
partnerships in our industry, our definitions of EBITDA and
distributable cash flow may not be comparable to similarly titled
measures of other partnerships, thereby diminishing their
utility. For a reconciliation of EBITDA and distributable
cash flow to their most directly comparable financial measures
calculated and presented in accordance with U.S. GAAP, please refer
to "Results of Operations" below. See the accompanying tables
in this earnings release for a reconciliation of these non-GAAP
measures to the most directly comparable GAAP measures.
Delek Logistics
Partners, LP
|
Consolidated Balance
Sheets (Unaudited)
|
(In thousands,
except unit and per unit data)
|
|
September 30,
2023
|
|
December 31,
2022
|
ASSETS
|
|
|
|
Current
assets:
|
|
|
|
Cash and cash
equivalents
|
$
4,182
|
|
$
7,970
|
Accounts
receivable
|
41,271
|
|
53,314
|
Accounts receivable
from related parties
|
67,089
|
|
—
|
Inventory
|
4,137
|
|
1,483
|
Other current
assets
|
962
|
|
2,463
|
Total current
assets
|
117,641
|
|
65,230
|
Property, plant and
equipment:
|
|
|
|
Property, plant and
equipment
|
1,306,172
|
|
1,240,684
|
Less: accumulated
depreciation
|
(369,476)
|
|
(316,680)
|
Property, plant and
equipment, net
|
936,696
|
|
924,004
|
Equity method
investments
|
241,937
|
|
257,022
|
Customer relationship
intangible, net
|
185,862
|
|
199,440
|
Marketing contract
intangible, net
|
103,958
|
|
109,366
|
Rights-of-way,
net
|
58,047
|
|
55,990
|
Goodwill
|
27,051
|
|
27,051
|
Operating lease
right-of-use assets
|
20,983
|
|
24,788
|
Other non-current
assets
|
17,289
|
|
16,408
|
Total
assets
|
$
1,709,464
|
|
$
1,679,299
|
|
|
|
|
LIABILITIES AND
DEFICIT
|
|
|
|
Current
liabilities:
|
|
|
|
Accounts
payable
|
$
27,989
|
|
$
57,403
|
Accounts payable to
related parties
|
—
|
|
6,055
|
Current portion of
long-term debt
|
15,000
|
|
15,000
|
Interest
payable
|
16,889
|
|
5,308
|
Excise and other taxes
payable
|
11,951
|
|
8,230
|
Current portion of
operating lease liabilities
|
8,052
|
|
8,020
|
Accrued expenses and
other current liabilities
|
5,483
|
|
6,202
|
Total current
liabilities
|
85,364
|
|
106,218
|
Non-current
liabilities:
|
|
|
|
Long-term debt, net of
current portion
|
1,726,429
|
|
1,646,567
|
Operating lease
liabilities, net of current portion
|
9,228
|
|
12,114
|
Asset retirement
obligations
|
9,862
|
|
9,333
|
Other non-current
liabilities
|
17,733
|
|
15,767
|
Total non-current
liabilities
|
1,763,252
|
|
1,683,781
|
Total
liabilities
|
1,848,616
|
|
1,789,999
|
Equity
(Deficit):
|
|
|
|
Common unitholders -
public; 9,284,741 units issued and outstanding at September 30,
2023 (9,257,305 at
December 31, 2022)
|
165,472
|
|
172,119
|
Common unitholders -
Delek Holdings; 34,311,278 units issued and outstanding at
September 30, 2023
(34,311,278 at December 31, 2022)
|
(304,624)
|
|
(282,819)
|
Total
deficit
|
(139,152)
|
|
(110,700)
|
Total liabilities and
deficit
|
$
1,709,464
|
|
$
1,679,299
|
|
Delek Logistics
Partners, LP
|
Consolidated
Statement of Income and Comprehensive Income
(Unaudited)
|
(In thousands,
except unit and per unit data)
|
|
|
|
|
Three Months Ended
September 30,
|
|
Nine Months Ended
September 30,
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
Net
revenues:
|
|
|
|
|
|
|
|
Affiliate
|
$
156,411
|
|
$
127,150
|
|
$
414,403
|
|
$
375,270
|
Third-party
|
119,413
|
|
166,875
|
|
351,857
|
|
392,086
|
Net revenues
|
275,824
|
|
294,025
|
|
766,260
|
|
767,356
|
Cost of
sales:
|
|
|
|
|
|
|
|
Cost of materials and
other - affiliate
|
115,149
|
|
124,714
|
|
298,262
|
|
374,329
|
Cost of materials and
other - third party
|
35,479
|
|
53,026
|
|
106,587
|
|
105,966
|
Operating expenses
(excluding depreciation and amortization presented
below)
|
32,611
|
|
25,065
|
|
85,302
|
|
62,892
|
Depreciation and
amortization
|
23,261
|
|
19,067
|
|
65,494
|
|
41,876
|
Total cost of
sales
|
206,500
|
|
221,872
|
|
555,645
|
|
585,063
|
Operating expenses
related to wholesale business (excluding depreciation
and amortization presented below)
|
392
|
|
836
|
|
1,397
|
|
2,105
|
General and
administrative expenses
|
5,545
|
|
11,959
|
|
19,666
|
|
30,826
|
Depreciation and
amortization
|
1,324
|
|
473
|
|
3,923
|
|
1,421
|
Gain on disposal of
assets
|
(491)
|
|
(132)
|
|
(804)
|
|
(120)
|
Total operating costs
and expenses
|
213,270
|
|
235,008
|
|
579,827
|
|
619,295
|
Operating
income
|
62,554
|
|
59,017
|
|
186,433
|
|
148,061
|
Interest expense,
net
|
36,901
|
|
22,559
|
|
104,581
|
|
53,621
|
Income from equity
method investments
|
(9,296)
|
|
(8,567)
|
|
(22,897)
|
|
(22,666)
|
Other income,
net
|
(3)
|
|
(36)
|
|
(24)
|
|
(39)
|
Total non-operating
expenses, net
|
27,602
|
|
13,956
|
|
81,660
|
|
30,916
|
Income before income
tax expense
|
34,952
|
|
45,061
|
|
104,773
|
|
117,145
|
Income tax
expense
|
127
|
|
387
|
|
685
|
|
793
|
Net income attributable
to partners
|
$
34,825
|
|
$
44,674
|
|
$
104,088
|
|
$
116,352
|
Comprehensive income
attributable to partners
|
$
34,825
|
|
$
44,674
|
|
$
104,088
|
|
$
116,352
|
|
|
|
|
|
|
|
|
Net income per
limited partner unit:
|
|
|
|
|
|
|
|
Basic
|
$
0.80
|
|
$
1.03
|
|
$
2.39
|
|
$
2.68
|
Diluted
|
$
0.80
|
|
$
1.03
|
|
$
2.39
|
|
$
2.67
|
Weighted average
limited partner units outstanding:
|
|
|
|
|
|
|
|
Basic
|
43,588,316
|
|
43,485,779
|
|
43,578,636
|
|
43,477,801
|
Diluted
|
43,604,791
|
|
43,515,960
|
|
43,598,547
|
|
43,499,837
|
Cash distribution per
common limited partner unit
|
$
1.045
|
|
$
0.990
|
|
$
3.105
|
|
$
2.955
|
|
Delek Logistics
Partners, LP
|
Condensed
Consolidated Statements of Cash Flows (In thousands)
|
Three Months Ended
September 30,
|
|
Nine Months Ended
September 30,
|
(Unaudited)
|
2023
|
|
2022
|
|
2023
|
|
2022
|
Cash flows from
operating activities
|
|
|
|
|
|
|
|
Net cash provided by
operating activities
|
$
46,828
|
|
$
164,425
|
|
$
110,630
|
|
$
297,482
|
Cash flows from
investing activities
|
|
|
|
|
|
|
|
Net cash used in
investing activities
|
(741)
|
|
(45,760)
|
|
(55,634)
|
|
(705,087)
|
Cash flows from
financing activities
|
|
|
|
|
|
|
|
Net cash (used in)
provided by financing activities
|
(49,620)
|
|
(117,530)
|
|
(58,784)
|
|
418,258
|
Net (decrease)
increase in cash and cash equivalents
|
(3,533)
|
|
1,135
|
|
(3,788)
|
|
10,653
|
Cash and cash
equivalents at the beginning of the period
|
7,715
|
|
13,810
|
|
7,970
|
|
4,292
|
Cash and cash
equivalents at the end of the period
|
$
4,182
|
|
$
14,945
|
|
$
4,182
|
|
$
14,945
|
|
Delek Logistics
Partners, LP
|
Reconciliation
of Amounts Reported Under U.S. GAAP
|
(In
thousands)
|
|
Three Months Ended
September 30,
|
|
Nine Months Ended
September 30,
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
Reconciliation of
Net Income to EBITDA:
|
|
|
|
|
|
|
|
Net income
|
$
34,825
|
|
$
44,674
|
|
$
104,088
|
|
$
116,352
|
Add:
|
|
|
|
|
|
|
|
Income tax
expense
|
127
|
|
387
|
|
685
|
|
793
|
Depreciation and
amortization
|
24,585
|
|
19,540
|
|
69,417
|
|
43,297
|
Amortization of
marketing contract intangible asset
|
1,803
|
|
1,802
|
|
5,408
|
|
5,408
|
Interest expense,
net
|
36,901
|
|
22,559
|
|
104,581
|
|
53,621
|
EBITDA
|
$
98,241
|
|
$
88,962
|
|
$
284,179
|
|
$
219,471
|
|
|
|
|
|
|
|
|
Reconciliation of
net cash from operating activities to distributable
cash flow:
|
|
|
|
|
|
|
|
Net cash provided by
operating activities
|
$
46,828
|
|
$
164,425
|
|
$
110,630
|
|
$
297,482
|
Changes in assets and
liabilities
|
16,439
|
|
(94,450)
|
|
81,368
|
|
(115,358)
|
Non-cash lease
expense
|
(2,960)
|
|
(2,100)
|
|
(7,407)
|
|
(13,584)
|
Distributions from
equity method investments in investing activities
|
3,037
|
|
—
|
|
4,477
|
|
1,737
|
Regulatory capital
expenditures not distributable
|
(2,069)
|
|
(2,143)
|
|
(5,924)
|
|
(3,183)
|
(Refund to)
reimbursement from Delek Holdings for capital
expenditures
|
(69)
|
|
19
|
|
942
|
|
5
|
Accretion of asset
retirement obligations
|
(177)
|
|
(168)
|
|
(529)
|
|
(415)
|
Deferred income
taxes
|
(124)
|
|
(76)
|
|
(753)
|
|
(76)
|
Gain on disposal of
assets
|
491
|
|
132
|
|
804
|
|
120
|
Distributable Cash
Flow
|
$
61,396
|
|
$
65,639
|
|
$
183,608
|
|
$
166,728
|
Transaction
costs
|
—
|
|
4,211
|
|
—
|
|
10,604
|
Distributable Cash
Flow, as adjusted
|
$
61,396
|
|
$
69,850
|
|
$
183,608
|
|
$
177,332
|
|
Delek Logistics
Partners, LP
|
Distributable
Coverage Ratio Calculation
|
(In
thousands)
|
|
Three Months Ended
September 30,
|
|
Nine Months Ended
September 30,
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
Distributions to
partners of Delek Logistics, LP
|
$
45,558
|
|
$
43,057
|
|
$
135,334
|
|
$
128,493
|
|
|
|
|
|
|
|
|
Distributable cash
flow
|
$
61,396
|
|
$
65,639
|
|
$
183,608
|
|
$
166,728
|
Distributable cash flow
coverage ratio (1)
|
1.35x
|
|
1.52x
|
|
1.36x
|
|
1.30x
|
Distributable cash
flow, as adjusted (2)
|
61,396
|
|
69,850
|
|
183,608
|
|
177,332
|
Distributable cash flow
coverage ratio, as adjusted (3)
|
1.35x
|
|
1.62x
|
|
1.36x
|
|
1.38x
|
|
|
(1)
|
Distributable cash flow
coverage ratio is calculated by dividing distributable cash flow by
distributions to be paid in each respective period.
|
(2)
|
Distributable cash flow
adjusted to exclude transaction costs associated with the Delaware
Gathering Acquisition (formerly 3 Bear).
|
(3)
|
Distributable cash flow
coverage ratio, as adjusted is calculated by dividing distributable
cash flow, as adjusted for transaction costs by distributions to be
paid in each respective period.
|
|
|
Delek Logistics
Partners, LP
|
Segment Data
(Unaudited)
|
(In
thousands)
|
|
|
|
Three Months Ended
September 30, 2023
|
|
|
Gathering and
Processing
|
|
Wholesale
Marketing and
Terminalling
|
|
Storage and
Transportation
|
|
Investments in
Pipeline Joint
Ventures
|
|
Corporate and
Other
|
|
Consolidated
|
Net
revenues:
|
|
|
|
|
|
|
|
|
|
|
|
|
Affiliate
|
|
$
55,419
|
|
$
70,610
|
|
$
30,382
|
|
$
—
|
|
$
—
|
|
$
156,411
|
Third party
|
|
39,406
|
|
76,500
|
|
3,507
|
|
—
|
|
—
|
|
119,413
|
Total
revenue
|
|
$
94,825
|
|
$
147,110
|
|
$
33,889
|
|
$
—
|
|
$
—
|
|
$
275,824
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Segment
EBITDA
|
|
$
52,906
|
|
$
28,135
|
|
$
17,914
|
|
$
9,288
|
|
$
(10,002)
|
|
$
98,241
|
Depreciation and
amortization
|
|
19,263
|
|
1,769
|
|
2,704
|
|
—
|
|
849
|
|
24,585
|
Amortization of
customer contract intangible
|
|
—
|
|
1,803
|
|
—
|
|
—
|
|
—
|
|
1,803
|
Interest expense,
net
|
|
—
|
|
—
|
|
—
|
|
—
|
|
36,901
|
|
36,901
|
Income tax
benefit
|
|
|
|
|
|
|
|
|
|
|
|
127
|
Net income
|
|
|
|
|
|
|
|
|
|
|
|
$
34,825
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital
spending
|
|
$
12,002
|
|
$
2,123
|
|
$
522
|
|
$
—
|
|
$
—
|
|
$
14,647
|
|
|
|
|
|
Three Months Ended
September 30, 2022
|
|
|
Gathering and
Processing
|
|
Wholesale
Marketing and
Terminalling
|
|
Storage and
Transportation
|
|
Investments in
Pipeline Joint
Ventures
|
|
Corporate and
Other
|
|
Consolidated
|
Net
revenues:
|
|
|
|
|
|
|
|
|
|
|
|
|
Affiliate
|
|
$
48,377
|
|
$
45,162
|
|
$
33,611
|
|
|
|
|
|
$
127,150
|
Third party
|
|
60,233
|
|
102,703
|
|
3,939
|
|
—
|
|
—
|
|
166,875
|
Total
revenue
|
|
$
108,610
|
|
$
147,865
|
|
$
37,550
|
|
$
—
|
|
$
—
|
|
$
294,025
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Segment
EBITDA
|
|
$
56,551
|
|
$
20,272
|
|
$
14,575
|
|
$
8,567
|
|
$
(11,003)
|
|
$
88,962
|
Depreciation and
amortization
|
|
17,779
|
|
1,628
|
|
2,087
|
|
—
|
|
(1,954)
|
|
19,540
|
Amortization of
customer contract intangible
|
|
—
|
|
1,802
|
|
—
|
|
—
|
|
—
|
|
1,802
|
Interest expense,
net
|
|
—
|
|
—
|
|
—
|
|
—
|
|
22,559
|
|
22,559
|
Income tax
benefit
|
|
|
|
|
|
|
|
|
|
|
|
387
|
Net income
|
|
|
|
|
|
|
|
|
|
|
|
$
44,674
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital
spending
|
|
$
30,895
|
|
$
1,065
|
|
$
—
|
|
$
—
|
|
$
—
|
|
$
31,960
|
|
|
|
Nine Months Ended
September 30, 2023
|
|
|
Gathering and
Processing
|
|
Wholesale
Marketing and
Terminalling
|
|
Storage and
Transportation
|
|
Investments in
Pipeline Joint
Ventures
|
|
Corporate and
Other
|
|
Consolidated
|
Net
revenues:
|
|
|
|
|
|
|
|
|
|
|
|
|
Affiliate
|
|
$
157,362
|
|
$
156,437
|
|
$
100,604
|
|
$
—
|
|
$
—
|
|
$
414,403
|
Third party
|
|
123,132
|
|
221,809
|
|
6,916
|
|
—
|
|
—
|
|
351,857
|
Total
revenue
|
|
$
280,494
|
|
$
378,246
|
|
$
107,520
|
|
$
—
|
|
$
—
|
|
$
766,260
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Segment
EBITDA
|
|
$
161,014
|
|
$
78,071
|
|
$
46,316
|
|
$
22,889
|
|
$
(24,111)
|
|
$
284,179
|
Depreciation and
amortization
|
|
54,511
|
|
5,338
|
|
7,109
|
|
—
|
|
2,459
|
|
69,417
|
Amortization of
customer contract intangible
|
|
—
|
|
5,408
|
|
—
|
|
—
|
|
—
|
|
5,408
|
Interest expense,
net
|
|
—
|
|
—
|
|
—
|
|
—
|
|
104,581
|
|
104,581
|
Income tax
expense
|
|
|
|
|
|
|
|
|
|
|
|
685
|
Net income
|
|
|
|
|
|
|
|
|
|
|
|
$
104,088
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital
spending
|
|
$
62,168
|
|
$
2,527
|
|
$
3,933
|
|
$
—
|
|
$
—
|
|
$
68,628
|
|
|
|
Nine Months Ended
September 30, 2022
|
|
|
Gathering and
Processing
|
|
Wholesale
Marketing and
Terminalling
|
|
Storage and
Transportation
|
|
Investments in
Pipeline Joint
Ventures
|
|
Corporate and
Other
|
|
Consolidated
|
Net
revenues:
|
|
|
|
|
|
|
|
|
|
|
|
|
Affiliate
|
|
$
134,315
|
|
$
144,004
|
|
$
96,951
|
|
$
—
|
|
$
—
|
|
$
375,270
|
Third party
|
|
81,165
|
|
300,177
|
|
10,744
|
|
—
|
|
—
|
|
392,086
|
Total
revenue
|
|
$
215,480
|
|
$
444,181
|
|
$
107,695
|
|
$
—
|
|
$
—
|
|
$
767,356
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Segment
EBITDA
|
|
$
127,129
|
|
$
59,813
|
|
$
40,212
|
|
$
22,666
|
|
$
(30,349)
|
|
$
219,471
|
Depreciation and
amortization
|
|
32,260
|
|
4,674
|
|
6,363
|
|
—
|
|
—
|
|
43,297
|
Amortization of
customer contract intangible
|
|
—
|
|
5,408
|
|
—
|
|
—
|
|
—
|
|
5,408
|
Interest expense,
net
|
|
—
|
|
—
|
|
—
|
|
—
|
|
53,621
|
|
53,621
|
Income tax
expense
|
|
|
|
|
|
|
|
|
|
|
|
793
|
Net income
|
|
|
|
|
|
|
|
|
|
|
|
$
116,352
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital
spending
|
|
$
66,388
|
|
$
1,384
|
|
$
—
|
|
$
—
|
|
$
—
|
|
$
67,772
|
Delek Logistics
Partners, LP
|
Segment Capital
Spending
|
(In
thousands)
|
|
Three Months Ended
September 30,
|
|
Nine Months Ended
September 30,
|
Gathering and
Processing
|
2023
|
|
2022
|
|
2023
|
|
2022
|
Regulatory capital
spending
|
$
31
|
|
$
485
|
|
$
31
|
|
$
2,692
|
Sustaining capital
spending
|
980
|
|
222
|
|
980
|
|
351
|
Growth capital
spending
|
10,991
|
|
30,188
|
|
61,157
|
|
63,345
|
Segment capital
spending
|
$
12,002
|
|
$
30,895
|
|
$
62,168
|
|
$
66,388
|
Wholesale Marketing
and Terminalling
|
|
|
|
|
|
|
|
Regulatory capital
spending
|
$
292
|
|
$
—
|
|
371
|
|
156
|
Sustaining capital
spending
|
1,679
|
|
—
|
|
754
|
|
12
|
Growth capital
spending
|
152
|
|
1,065
|
|
1,402
|
|
1,216
|
Segment capital
spending
|
$
2,123
|
|
$
1,065
|
|
$
2,527
|
|
$
1,384
|
Storage and
Transportation
|
|
|
|
|
|
|
|
Regulatory capital
spending
|
$
522
|
|
$
—
|
|
$
1,670
|
|
$
—
|
Sustaining capital
spending
|
—
|
|
—
|
|
2,263
|
|
—
|
Growth capital
spending
|
—
|
|
—
|
|
$
—
|
|
$
—
|
Segment capital
spending
|
$
522
|
|
$
—
|
|
$
3,933
|
|
$
—
|
Consolidated
|
|
|
|
|
|
|
|
Regulatory capital
spending
|
$
845
|
|
$
485
|
|
$
2,072
|
|
$
2,848
|
Sustaining capital
spending
|
2,659
|
|
222
|
|
3,997
|
|
363
|
Growth capital
spending
|
11,143
|
|
31,253
|
|
62,559
|
|
64,561
|
Total capital
spending
|
$
14,647
|
|
$
31,960
|
|
$
68,628
|
|
$
67,772
|
|
Delek Logistics
Partners, LP
|
|
|
|
|
Segment Operating
Data (Unaudited)
|
|
|
|
|
|
Three Months Ended
September 30,
|
|
Nine Months Ended
September 30,
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
Gathering and
Processing Segment:
|
|
|
|
|
|
|
|
Throughputs (average
bpd)
|
|
|
|
|
|
|
|
El Dorado
Assets:
|
|
|
|
|
|
|
|
Crude pipelines (non-gathered)
|
70,153
|
|
87,653
|
|
64,835
|
|
81,795
|
Refined products pipelines to Enterprise Systems
|
63,991
|
|
65,761
|
|
54,686
|
|
63,391
|
El Dorado Gathering
System
|
14,774
|
|
14,354
|
|
13,935
|
|
16,150
|
East Texas Crude
Logistics System
|
36,298
|
|
23,960
|
|
29,928
|
|
20,015
|
Midland Gathering
System (1):
|
248,443
|
|
121,304
|
|
230,907
|
|
107,699
|
Plains Connection
System
|
250,550
|
|
184,254
|
|
248,763
|
|
166,864
|
Delaware Gathering
Assets (2):
|
|
|
|
|
|
|
|
Natural Gas Gathering
and Processing (Mcfd(3))
|
69,737
|
|
64,429
|
|
72,569
|
|
61,198
|
Crude Oil Gathering
(average bpd)
|
111,973
|
|
86,483
|
|
110,935
|
|
84,497
|
Water Disposal and
Recycling (average bpd)
|
99,158
|
|
69,411
|
|
104,920
|
|
66,043
|
|
|
|
|
|
|
|
|
Wholesale Marketing
and Terminalling Segment:
|
|
|
|
|
|
|
|
East Texas - Tyler
Refinery sales volumes (average bpd) (4)
|
69,178
|
|
65,396
|
|
57,894
|
|
66,473
|
Big Spring marketing
throughputs (average bpd)
|
81,617
|
|
74,238
|
|
78,399
|
|
76,135
|
West Texas marketing
throughputs (average bpd)
|
10,692
|
|
10,082
|
|
9,871
|
|
10,023
|
West Texas gross margin
per barrel
|
$
4.56
|
|
$
4.23
|
|
$
5.43
|
|
$
3.84
|
Terminalling
throughputs (average bpd) (5)
|
121,430
|
|
142,003
|
|
116,455
|
|
138,558
|
|
|
(1)
|
Formerly known as the
Permian Gathering Assets.
|
(2)
|
Volumes for the nine
months ended September 30, 2022 are for period from June 1 through
September 30, 2022 we owned Delaware Gathering Assets.
|
(3)
|
Mcfd - average thousand
cubic feet per day.
|
(4)
|
Excludes jet fuel and
petroleum coke.
|
(5)
|
Consists of
terminalling throughputs at our Tyler, Big Spring, Big Sandy and
Mount Pleasant, Texas, El Dorado and North Little Rock, Arkansas
and Memphis and Nashville, Tennessee terminals.
|
|
|
Information about Delek Logistics Partners, LP can be found on
its website (www.deleklogistics.com), investor relations webpage
(https://www.deleklogistics.com/investor-relations), news webpage
(https://www.deleklogistics.com/news-releases) and its Twitter
account (@DelekLogistics).
View original content to download
multimedia:https://www.prnewswire.com/news-releases/delek-logistics-reports-third-quarter-2023-results-301979415.html
SOURCE Delek Logistics Partners, LP