DELAWARE (State of incorporation or organization) | 000-50056 (Commission file number) | 05-0527861 (I.R.S. employer identification number) | ||||
4200 STONE ROAD | ||||||
KILGORE, TEXAS (Address of principal executive offices) | 75662 (Zip code) |
o | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
o | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
o | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
o | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Item 2.02 | Results of Operations and Financial Condition. |
Item 9.01. | Financial Statements and Exhibits. |
Exhibit | |||||
Number | Description | ||||
99.1 | Press release dated February 26, 2014 |
MARTIN MIDSTREAM PARTNERS L.P. By: Martin Midstream GP LLC, Its General Partner | |||||
Date: February 26, 2014 | By: /s/ Robert D. Bondurant | ||||
Robert D. Bondurant | |||||
Executive Vice President and Chief Financial Officer | |||||
Exhibit | |||||
Number | Description | ||||
99.1 | Press release dated February 26, 2014. |
December 31, | |||||||
2013 | 2012 | ||||||
Assets | |||||||
Cash | $ | 16,542 | $ | 5,162 | |||
Accounts and other receivables, less allowance for doubtful accounts of $2,492 and $2,805, respectively | 163,855 | 190,652 | |||||
Product exchange receivables | 2,727 | 3,416 | |||||
Inventories | 94,902 | 95,987 | |||||
Due from affiliates | 12,099 | 13,343 | |||||
Other current assets | 7,353 | 2,777 | |||||
Assets held for sale | — | 3,578 | |||||
Total current assets | 297,478 | 314,915 | |||||
Property, plant and equipment, at cost | 929,183 | 767,344 | |||||
Accumulated depreciation | (304,808 | ) | (256,963 | ) | |||
Property, plant and equipment, net | 624,375 | 510,381 | |||||
Goodwill | 23,802 | 19,616 | |||||
Investment in unconsolidated entities | 128,662 | 154,309 | |||||
Debt issuance costs, net | 15,659 | 10,244 | |||||
Other assets, net | 7,943 | 3,531 | |||||
$ | 1,097,919 | $ | 1,012,996 | ||||
Liabilities and Partners’ Capital | |||||||
Current portion of long-term debt and capital lease obligations | $ | — | $ | 3,206 | |||
Trade and other accounts payable | 142,951 | 140,045 | |||||
Product exchange payables | 9,595 | 12,187 | |||||
Due to affiliates | 2,596 | 3,316 | |||||
Income taxes payable | 1,204 | 10,239 | |||||
Other accrued liabilities | 20,242 | 9,489 | |||||
Total current liabilities | 176,588 | 178,482 | |||||
Long-term debt and capital leases, less current maturities | 658,695 | 474,992 | |||||
Other long-term obligations | 2,219 | 1,560 | |||||
Total liabilities | 837,502 | 655,034 | |||||
Commitments and contingencies | |||||||
Partners’ capital | 260,417 | 357,962 | |||||
$ | 1,097,919 | $ | 1,012,996 |
Year Ended December 31, | |||||||||||
2013 | 2012 | 2011 | |||||||||
Revenues: | |||||||||||
Terminalling and storage * | $ | 115,965 | $ | 90,243 | $ | 77,283 | |||||
Marine transportation * | 98,523 | 85,748 | 76,936 | ||||||||
Sulfur services * | 12,004 | 11,702 | 11,400 | ||||||||
Product sales: | |||||||||||
Natural gas services* | 984,653 | 825,506 | 611,749 | ||||||||
Sulfur services* | 201,120 | 249,882 | 263,644 | ||||||||
Terminalling and storage* | 221,245 | 227,280 | 201,478 | ||||||||
1,407,018 | 1,302,668 | 1,076,871 | |||||||||
Total revenues | 1,633,510 | 1,490,361 | 1,242,490 | ||||||||
Costs and expenses: | |||||||||||
Cost of products sold: (excluding depreciation and amortization) | |||||||||||
Natural gas services * | 944,961 | 801,724 | 598,814 | ||||||||
Sulfur services * | 157,723 | 194,952 | 219,697 | ||||||||
Terminalling and storage * | 195,640 | 205,588 | 182,412 | ||||||||
1,298,324 | 1,202,264 | 1,000,923 | |||||||||
Expenses: | |||||||||||
Operating expenses * | 172,043 | 146,287 | 134,734 | ||||||||
Selling, general and administrative * | 29,397 | 25,494 | 20,531 | ||||||||
Depreciation and amortization | 52,240 | 42,063 | 40,276 | ||||||||
Total costs and expenses | 1,552,004 | 1,416,108 | 1,196,464 | ||||||||
Other operating income (loss) | 1,166 | (418 | ) | 1,326 | |||||||
Operating income | 82,672 | 73,835 | 47,352 | ||||||||
Other income (expense): | |||||||||||
Equity in loss of unconsolidated entities | (53,048 | ) | (1,113 | ) | (4,752 | ) | |||||
Debt prepayment premium | (272 | ) | (2,470 | ) | — | ||||||
Interest expense | (42,495 | ) | (30,665 | ) | (26,781 | ) | |||||
Other, net | 542 | 1,092 | 420 | ||||||||
Total other income (expense) | (95,273 | ) | (33,156 | ) | (31,113 | ) | |||||
Net income (loss) before taxes | (12,601 | ) | 40,679 | 16,239 | |||||||
Income tax expense | (753 | ) | (3,557 | ) | (2,872 | ) | |||||
Income (loss) from continuing operations | (13,354 | ) | 37,122 | 13,367 | |||||||
Income from discontinued operations, net of income taxes | — | 64,865 | 9,392 | ||||||||
Net income (loss) | (13,354 | ) | 101,987 | 22,759 | |||||||
Less general partner's interest in net (income) loss | 267 | (4,748 | ) | (5,289 | ) | ||||||
Less pre-acquisition (income) loss allocated to Parent | — | (4,622 | ) | 1,583 | |||||||
Less (income) loss allocable to unvested restricted units | 40 | — | — | ||||||||
Less beneficial conversion feature | — | — | (1,108 | ) | |||||||
Limited partner's interest in net income | $ | (13,047 | ) | $ | 92,617 | $ | 17,945 |
Year Ended December 31, | |||||||||||
2013 | 2012 | 2011 | |||||||||
Revenues: | |||||||||||
Terminalling and storage | $ | 71,517 | $ | 64,669 | $ | 54,211 | |||||
Marine transportation | 24,654 | 17,494 | 23,478 | ||||||||
Product sales | 4,698 | 7,201 | 9,081 | ||||||||
Costs and expenses: | |||||||||||
Cost of products sold: (excluding depreciation and amortization) | |||||||||||
Natural gas services | 32,639 | 27,512 | 16,749 | ||||||||
Sulfur services | 18,161 | 16,968 | 18,314 | ||||||||
Terminalling and storage | 48,868 | 48,375 | 45,089 | ||||||||
Expenses: | |||||||||||
Operating expenses | 70,333 | 58,834 | 58,051 | ||||||||
Selling, general and administrative | 17,733 | 13,678 | 8,610 |
Year Ended December 31, | |||||||||||
2013 | 2012 | 2011 | |||||||||
Allocation of net income (loss) attributable to: | |||||||||||
Limited partner interest: | |||||||||||
Continuing operations | $ | (13,047 | ) | $ | 30,915 | $ | 11,193 | ||||
Discontinued operations | — | 61,702 | 6,752 | ||||||||
(13,047 | ) | 92,617 | 17,945 | ||||||||
General partner interest: | |||||||||||
Continuing operations | (267 | ) | 1,585 | 3,106 | |||||||
Discontinued operations | — | 3,163 | 2,183 | ||||||||
(267 | ) | 4,748 | 5,289 | ||||||||
Net income (loss) per unit attributable to limited partners: | |||||||||||
Basic: | |||||||||||
Continuing operations | $ | (0.49 | ) | $ | 1.32 | $ | 0.57 | ||||
Discontinued operations | — | 2.64 | 0.35 | ||||||||
$ | (0.49 | ) | $ | 3.96 | $ | 0.92 | |||||
Weighted average limited partner units - basic | 26,558 | 23,362 | 19,545 | ||||||||
Diluted: | |||||||||||
Continuing operations | $ | (0.49 | ) | $ | 1.32 | $ | 0.57 | ||||
Discontinued operations | — | 2.64 | 0.35 | ||||||||
$ | (0.49 | ) | $ | 3.96 | $ | 0.92 | |||||
Weighted average limited partner units - diluted | 26,558 | 23,365 | 19,547 |
Year Ended December 31, | |||||||||||
2013 | 2012 | 2011 | |||||||||
Net income | $ | (13,354 | ) | $ | 101,987 | $ | 22,759 | ||||
Other comprehensive income adjustments: | |||||||||||
Changes in fair values of commodity cash flow hedges | — | 126 | 1,011 | ||||||||
Commodity cash flow hedging gains reclassified to earnings | — | (752 | ) | (1,822 | ) | ||||||
Interest rate cash flow hedging losses reclassified to earnings | — | — | 18 | ||||||||
Other comprehensive income (loss) | — | (626 | ) | (793 | ) | ||||||
Comprehensive income | $ | (13,354 | ) | $ | 101,361 | $ | 21,966 |
Partners’ Capital | |||||||||||||||||||||||||||||
Parent Net Investment | Common | Subordinated | General Partner | Accumulated Comprehensive Income | |||||||||||||||||||||||||
Units | Amount | Units | Amount | Amount | Amount | Total | |||||||||||||||||||||||
Balances – December 31, 2010 | $ | 53,154 | 17,707,832 | $ | 250,787 | 889,444 | $ | 17,721 | $ | 4,879 | $ | 1,419 | $ | 327,960 | |||||||||||||||
Net income (loss) | (1,583 | ) | — | 19,053 | — | — | 5,289 | — | 22,759 | ||||||||||||||||||||
Recognition of beneficial conversion feature | — | — | (1,108 | ) | — | 1,108 | — | — | — | ||||||||||||||||||||
Follow-on public offering | — | 1,874,500 | 70,330 | — | — | — | — | 70,330 | |||||||||||||||||||||
Issuance of restricted units | — | 14,850 | — | — | — | — | — | — | |||||||||||||||||||||
General partner contribution | — | — | — | — | — | 1,505 | — | 1,505 | |||||||||||||||||||||
Conversion of subordinated units to common units | — | 889,444 | 18,829 | (889,444 | ) | (18,829 | ) | — | — | — | |||||||||||||||||||
Cash distributions ($3.05 per unit) | — | — | (58,252 | ) | — | — | (6,245 | ) | — | (64,497 | ) | ||||||||||||||||||
Excess purchase price over carrying value of acquired assets | — | — | (19,685 | ) | — | — | — | — | (19,685 | ) | |||||||||||||||||||
Unit-based compensation | — | — | 190 | — | — | — | — | 190 | |||||||||||||||||||||
Purchase of treasury units | — | (14,850 | ) | (582 | ) | — | — | — | — | (582 | ) | ||||||||||||||||||
Adjustment in fair value of derivatives | — | — | — | — | — | — | (793 | ) | (793 | ) | |||||||||||||||||||
Balances – December 31, 2011 | 51,571 | 20,471,776 | 279,562 | — | — | 5,428 | 626 | 337,187 | |||||||||||||||||||||
Net income | 4,622 | 92,617 | 4,748 | 101,987 | |||||||||||||||||||||||||
Follow-on public offering | — | 6,095,000 | 194,170 | — | — | — | — | 194,170 | |||||||||||||||||||||
Issuance of restricted units | — | 6,250 | — | — | — | — | — | — | |||||||||||||||||||||
General partner contribution | — | — | — | — | — | 4,145 | — | 4,145 | |||||||||||||||||||||
Cash distributions ($3.06 per unit) | — | — | (70,679 | ) | — | — | (5,849 | ) | — | (76,528 | ) | ||||||||||||||||||
Excess purchase price over carrying value of acquired assets | — | — | (142,075 | ) | — | — | — | — | (142,075 | ) | |||||||||||||||||||
Excess carrying value of assets over the purchase price paid by Martin Resource Management | — | — | (4,268 | ) | — | — | — | — | (4,268 | ) | |||||||||||||||||||
Unit-based compensation | — | — | 385 | — | — | — | — | 385 | |||||||||||||||||||||
Purchase of treasury units | — | (6,250 | ) | (222 | ) | — | — | — | — | (222 | ) | ||||||||||||||||||
Contributions to parent | (56,193 | ) | — | — | — | — | — | — | (56,193 | ) | |||||||||||||||||||
Adjustment in fair value of derivatives | — | — | — | — | — | — | (626 | ) | (626 | ) | |||||||||||||||||||
Balances – December 31, 2012 | — | 26,566,776 | 349,490 | — | — | 8,472 | — | 357,962 | |||||||||||||||||||||
Net loss | — | — | (13,087 | ) | — | — | (267 | ) | — | (13,354 | ) | ||||||||||||||||||
Issuance of restricted units | — | 64,500 | — | — | — | — | — | — | |||||||||||||||||||||
Forfeiture of restricted units | — | (250 | ) | — | — | — | — | — | — | ||||||||||||||||||||
General partner contribution | — | — | — | — | — | 37 | — | 37 | |||||||||||||||||||||
Purchase of treasury units | — | (6,000 | ) | (250 | ) | — | — | — | — | (250 | ) | ||||||||||||||||||
Cash distributions ($3.11 per unit) | — | — | (82,735 | ) | — | — | (1,853 | ) | — | (84,588 | ) | ||||||||||||||||||
Excess purchase price over carrying value of acquired assets | — | — | (301 | ) | — | — | — | — | (301 | ) | |||||||||||||||||||
Unit-based compensation | — | — | 911 | — | — | — | — | 911 | |||||||||||||||||||||
Balances – December 31, 2013 | $ | — | 26,625,026 | $ | 254,028 | — | $ | — | $ | 6,389 | $ | — | $ | 260,417 |
Year Ended December 31, | |||||||||||
2013 | 2012 | 2011 | |||||||||
Cash flows from operating activities: | |||||||||||
Net income (loss) | $ | (13,354 | ) | $ | 101,987 | $ | 22,759 | ||||
Less: Income from discontinued operations | — | (64,865 | ) | (9,392 | ) | ||||||
Net income (loss) from continuing operations | (13,354 | ) | 37,122 | 13,367 | |||||||
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | |||||||||||
Depreciation and amortization | 52,240 | 42,063 | 40,276 | ||||||||
Amortization of deferred debt issue costs | 3,700 | 3,290 | 3,755 | ||||||||
Amortization of discount on notes payable | 306 | 581 | 351 | ||||||||
Deferred income taxes | — | 402 | 622 | ||||||||
(Gain) loss on disposition or sale of property, plant, and equipment | (217 | ) | 795 | 898 | |||||||
Gain on sale of equity method investment | (750 | ) | (486 | ) | — | ||||||
Equity in loss of unconsolidated entities | 53,048 | 1,113 | 4,752 | ||||||||
Unit-based compensation | 911 | 385 | 190 | ||||||||
Preferred dividends on Martin Energy Trading | 1,738 | — | — | ||||||||
Other | 6 | — | — | ||||||||
Change in current assets and liabilities, excluding effects of acquisitions and dispositions: | |||||||||||
Accounts and other receivables | 23,847 | (56,856 | ) | (34,626 | ) | ||||||
Product exchange receivables | 689 | 14,230 | (8,547 | ) | |||||||
Inventories | 3,762 | (2,733 | ) | (28,714 | ) | ||||||
Due from affiliates | 1,244 | (20,135 | ) | 5,551 | |||||||
Other current assets | (5,432 | ) | 3,046 | (1,996 | ) | ||||||
Trade and other accounts payable | (6,019 | ) | 17,595 | 50,904 | |||||||
Product exchange payables | (2,592 | ) | (25,126 | ) | 14,961 | ||||||
Due to affiliates | (1,203 | ) | 18,976 | 11,874 | |||||||
Income taxes payable | (357 | ) | 367 | (943 | ) | ||||||
Other accrued liabilities | 10,753 | (1,463 | ) | 1,063 | |||||||
Change in other non-current assets and liabilities | (1,459 | ) | 872 | 3,500 | |||||||
Net cash provided by continuing operating activities | 120,861 | 34,038 | 77,238 | ||||||||
Net cash provided by (used in) discontinued operating activities | (8,678 | ) | (1,360 | ) | 14,124 | ||||||
Net cash provided by operating activities | 112,183 | 32,678 | 91,362 | ||||||||
Cash flows from investing activities: | |||||||||||
Payments for property, plant, and equipment | (92,243 | ) | (93,640 | ) | (77,202 | ) | |||||
Acquisitions, net of cash acquired | (73,921 | ) | (224,603 | ) | (16,815 | ) | |||||
Proceeds from sale of acquired assets | — | 56,000 | — | ||||||||
Payments for plant turnaround costs | — | (2,107 | ) | (2,103 | ) | ||||||
Proceeds from sale of property, plant, and equipment | 5,576 | 44 | 1,025 | ||||||||
Proceeds from sale of equity method investment | 750 | 531 | — | ||||||||
Proceeds from involuntary conversion of property, plant and equipment | 2,200 | — | — | ||||||||
Investments in unconsolidated entities | — | (775 | ) | (59,319 | ) | ||||||
Milestone distributions from ECP | — | 2,208 | — | ||||||||
Return of investments from unconsolidated entities | 1,738 | 5,980 | 1,432 | ||||||||
Contributions to unconsolidated entities for operations | (30,877 | ) | (30,279 | ) | (35,765 | ) | |||||
Net cash used in continuing investing activities | (186,777 | ) | (286,641 | ) | (188,747 | ) | |||||
Net cash provided by (used in) discontinued investing activities | — | 271,605 | (13,908 | ) | |||||||
Net cash used in investing activities | (186,777 | ) | (15,036 | ) | (202,655 | ) | |||||
Cash flows from financing activities: | |||||||||||
Payments of long-term debt | (650,000 | ) | (706,000 | ) | (442,000 | ) | |||||
Payments of notes payable and capital lease obligations | (8,809 | ) | (6,556 | ) | (1,132 | ) | |||||
Proceeds from long-term debt | 839,000 | 727,000 | 529,000 | ||||||||
Net proceeds from follow on public offerings | — | 194,170 | 70,330 | ||||||||
General partner contributions | 37 | 4,145 | 1,505 | ||||||||
Excess purchase price over carrying value of acquired assets | (301 | ) | (142,075 | ) | (19,685 | ) | |||||
Excess carrying value of assets over the purchase price paid by Martin Resource Management | — | (4,268 | ) | — | |||||||
Purchase of treasury units | (250 | ) | (222 | ) | (582 | ) | |||||
Increase (decrease) in affiliate funding of investments in unconsolidated entities | — | (2,208 | ) | 30,828 | |||||||
Payments of debt issuance costs | (9,115 | ) | (204 | ) | (3,588 | ) | |||||
Cash distributions paid | (84,588 | ) | (76,528 | ) | (64,497 | ) | |||||
Net cash provided by (used in) financing activities | 85,974 | (12,746 | ) | 100,179 | |||||||
Net increase (decrease) in cash | 11,380 | 4,896 | (11,114 | ) | |||||||
Cash at beginning of period | 5,162 | 266 | 11,380 | ||||||||
Cash at end of period | $ | 16,542 | $ | 5,162 | $ | 266 |
Year Ended December 31, | Variance | Percent Change | |||||||||||
2013 | 2012 | ||||||||||||
(In thousands) | |||||||||||||
Revenues: | |||||||||||||
Services | $ | 120,717 | $ | 94,895 | $ | 25,822 | 27% | ||||||
Products | 221,249 | 227,280 | (6,031 | ) | (3)% | ||||||||
Total revenues | 341,966 | 322,175 | 19,791 | 6% | |||||||||
Cost of products sold | 197,974 | 207,699 | (9,725 | ) | (5)% | ||||||||
Operating expenses | 74,441 | 58,766 | 15,675 | 27% | |||||||||
Selling, general and administrative expenses | 3,238 | 4,671 | (1,433 | ) | (31)% | ||||||||
Depreciation and amortization | 31,823 | 22,976 | 8,847 | 39% | |||||||||
34,490 | 28,063 | 6,427 | 23% | ||||||||||
Other operating income (loss) | 792 | (119 | ) | 911 | 766% | ||||||||
Operating income | $ | 35,282 | $ | 27,944 | $ | 7,338 | 26% | ||||||
Lubricant sales volumes (gallons) | 39,342 | 38,107 | 1,235 | 3% | |||||||||
Shore-based throughput volumes (gallons) | 270,522 | 218,494 | 52,028 | 24% | |||||||||
Smackover refinery throughput volumes (BBL per day) | 6,912 | 5,994 | 918 | 15% | |||||||||
Corpus Christi crude terminal (BBL per day) | 108,652 | 55,529 | 53,123 | 96% |
Year Ended December 31, | Variance | Percent Change | |||||||||||
2012 | 2011 | ||||||||||||
(In thousands) | |||||||||||||
Revenues: | |||||||||||||
Services | $ | 94,895 | $ | 81,697 | $ | 13,198 | 16% | ||||||
Products | 227,280 | 201,478 | 25,802 | 13% | |||||||||
Total revenues | 322,175 | 283,175 | 39,000 | 14% | |||||||||
Cost of products sold | 207,699 | 185,879 | 21,820 | 12% | |||||||||
Operating expenses | 58,766 | 52,041 | 6,725 | 13% | |||||||||
Selling, general and administrative expenses | 4,671 | 3,343 | 1,328 | 40% | |||||||||
Depreciation and amortization | 22,976 | 19,814 | 3,162 | 16% | |||||||||
28,063 | 22,098 | 5,965 | 27% | ||||||||||
Other operating loss | (119 | ) | (531 | ) | 412 | 78% | |||||||
Operating income | $ | 27,944 | $ | 21,567 | $ | 6,377 | 30% | ||||||
Lubricant sales volumes (gallons) | 38,107 | 36,189 | 1,918 | 5% | |||||||||
Shore-based throughput volumes (gallons) | 218,494 | 216,410 | 2,084 | 1% | |||||||||
Smackover refinery throughput volumes (BBL per day) | 5,994 | 6,820 | (826 | ) | (12)% | ||||||||
Corpus Christi crude terminal (BBL per day) | 55,529 | — | 55,529 |
Year Ended December 31, | Variance | Percent Change | ||||||||||||
2013 | 2012 | |||||||||||||
(In thousands) | ||||||||||||||
Revenues: | ||||||||||||||
Marine transportation | $ | 3,028 | $ | — | $ | 3,028 | ||||||||
Products | 984,653 | 825,506 | 159,147 | 19% | ||||||||||
Total revenues | 987,681 | 825,506 | 162,175 | — | ||||||||||
Cost of products sold | 946,551 | 803,195 | 143,356 | 18% | ||||||||||
Operating expenses | 5,806 | 3,550 | 2,256 | 64% | ||||||||||
Selling, general and administrative expenses | 3,892 | 4,236 | (344 | ) | (8)% | |||||||||
Depreciation and amortization | 2,240 | 601 | 1,639 | 273% | ||||||||||
29,192 | 13,924 | 15,268 | 110% | |||||||||||
Other operating income | 20 | — | 20 | |||||||||||
Operating income | $ | 29,212 | $ | 13,924 | $ | 15,288 | 110% | |||||||
NGLs Volumes (Bbls) | 15,168 | 12,080 | 3,088 | 26% |
Year Ended December 31, | Variance | Percent Change | |||||||||||
2012 | 2011 | ||||||||||||
(In thousands) | |||||||||||||
Revenues | $ | 825,506 | $ | 611,749 | 213,757 | 35% | |||||||
Cost of products sold | 803,195 | 600,034 | 203,161 | 34% | |||||||||
Operating expenses | 3,550 | 2,994 | 556 | 19% | |||||||||
Selling, general and administrative expenses | 4,236 | 1,876 | 2,360 | 126% | |||||||||
Depreciation and amortization | 601 | 578 | 23 | 4% | |||||||||
Operating income | $ | 13,924 | $ | 6,267 | $ | 7,657 | 122% | ||||||
NGLs Volumes (Bbls) | 12,080 | 7,866 | 4,214 | 54% |
Year Ended December 31, | Variance | Percent Change | |||||||||||
2013 | 2012 | ||||||||||||
(In thousands) | |||||||||||||
Revenues: | |||||||||||||
Services | $ | 12,004 | $ | 11,702 | $ | 302 | 3% | ||||||
Products | 201,120 | 249,882 | (48,762 | ) | (20)% | ||||||||
Total revenues | 213,124 | 261,584 | (48,460 | ) | (19)% | ||||||||
Cost of products sold | 158,085 | 195,314 | (37,229 | ) | (19)% | ||||||||
Operating expenses | 16,975 | 17,404 | (429 | ) | (2)% | ||||||||
Selling, general and administrative expenses | 4,083 | 3,975 | 108 | 3% | |||||||||
Depreciation and amortization | 7,979 | 7,371 | 608 | 8% | |||||||||
26,002 | 37,520 | (11,518 | ) | (31)% | |||||||||
Other operating loss | — | (258 | ) | 258 | 100% | ||||||||
Operating income | $ | 26,002 | $ | 37,262 | $ | (11,260 | ) | (30)% | |||||
Sulfur (long tons) | 836.6 | 959.9 | (123.3 | ) | (13)% | ||||||||
Fertilizer (long tons) | 273.0 | 306.1 | (33.1 | ) | (11)% | ||||||||
Sulfur services volumes (long tons) | 1,109.6 | 1,266.0 | (156.4 | ) | (12)% |
Year Ended December 31, | Variance | Percent Change | |||||||||||
2012 | 2011 | ||||||||||||
(In thousands) | |||||||||||||
Revenues: | |||||||||||||
Services | $ | 11,702 | $ | 11,400 | $ | 302 | 3% | ||||||
Products | 249,882 | 263,644 | (13,762 | ) | (5)% | ||||||||
Total revenues | 261,584 | 275,044 | (13,460 | ) | (5)% | ||||||||
Cost of products sold | 195,314 | 220,059 | (24,745 | ) | (11)% | ||||||||
Operating expenses | 17,404 | 19,328 | (1,924 | ) | (10)% | ||||||||
Selling, general and administrative expenses | 3,975 | 3,361 | 614 | 18% | |||||||||
Depreciation and amortization | 7,371 | 6,725 | 646 | 10% | |||||||||
37,520 | 25,571 | 11,949 | 47% | ||||||||||
Other operating income (loss) | (258 | ) | 2,080 | (2,338 | ) | (112)% | |||||||
Operating income | $ | 37,262 | $ | 27,651 | $ | 9,611 | 35% | ||||||
Sulfur (long tons) | 959.9 | 1,217.0 | (257.1 | ) | (21)% | ||||||||
Fertilizer (long tons) | 306.1 | 271.8 | 34.3 | 13% | |||||||||
Sulfur services volumes (long tons) | 1,266.0 | 1,488.8 | (222.8 | ) | (15)% |
Year Ended December 31, | Variance | Percent Change | |||||||||||
2013 | 2012 | ||||||||||||
(In thousands) | |||||||||||||
Revenues | $ | 99,510 | $ | 88,815 | $ | 10,695 | 12% | ||||||
Operating expenses | 79,306 | 70,342 | 8,964 | 13% | |||||||||
Selling, general and administrative expenses | 1,347 | 566 | 781 | 138% | |||||||||
Depreciation and amortization | 10,198 | 11,115 | (917 | ) | (8)% | ||||||||
8,659 | 6,792 | 1,867 | 27% | ||||||||||
Other operating income (loss) | 354 | (41 | ) | 395 | 963% | ||||||||
Operating income | $ | 9,013 | $ | 6,751 | $ | 2,262 | 34% |
Year Ended December 31, | Variance | Percent Change | |||||||||||
2012 | 2011 | ||||||||||||
(In thousands) | |||||||||||||
Revenues | $ | 88,815 | $ | 83,971 | $ | 4,844 | 6% | ||||||
Operating expenses | 70,342 | 66,771 | 3,571 | 5% | |||||||||
Selling, general and administrative expenses | 566 | 3,087 | (2,521 | ) | (82)% | ||||||||
Depreciation and amortization | 11,115 | 13,159 | (2,044 | ) | (16)% | ||||||||
6,792 | 954 | 5,838 | 612% | ||||||||||
Other operating loss | (41 | ) | (223 | ) | 182 | 82% | |||||||
Operating income | $ | 6,751 | $ | 731 | $ | 6,020 | 824% |
Three Months Ended | Twelve Months Ended | ||||||||||||||
December 31, | December 31, | ||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||
Net income (loss) | $ | (39,261 | ) | $ | 7,243 | $ | (13,354 | ) | $ | 101,987 | |||||
Less: (Income) loss from discontinued operations, net of income taxes | — | 2,447 | — | (64,865 | ) | ||||||||||
Income from continuing operations | (39,261 | ) | 9,690 | (13,354 | ) | 37,122 | |||||||||
Adjustments: | |||||||||||||||
Interest expense | 11,437 | 7,381 | 42,495 | 30,665 | |||||||||||
Income tax benefit (expense) | (157 | ) | 191 | 753 | 3,557 | ||||||||||
Depreciation and amortization | 14,296 | 11,748 | 52,240 | 42,063 | |||||||||||
EBITDA | (13,685 | ) | 29,010 | 82,134 | 113,407 | ||||||||||
Adjustments: | |||||||||||||||
Equity in loss of unconsolidated entities | 52,170 | 1,369 | 53,048 | 1,113 | |||||||||||
(Gain) loss on sale of property, plant and equipment | 579 | 788 | (217 | ) | 795 | ||||||||||
Gain on sale of equity method investment | (750 | ) | — | (750 | ) | (486 | ) | ||||||||
Gain on involuntary conversion of property, plant and equipment | (909 | ) | — | (909 | ) | — | |||||||||
Debt prepayment premium | 272 | — | 272 | 2,470 | |||||||||||
Distributions from unconsolidated entities | 754 | 847 | 3,476 | 3,961 | |||||||||||
Mont Belvieu indemnity escrow payment | — | — | — | (375 | ) | ||||||||||
Unit-based compensation | 174 | 6 | 911 | 385 | |||||||||||
Adjusted EBITDA | 38,605 | 32,020 | 137,965 | 121,270 | |||||||||||
Adjustments: | |||||||||||||||
Interest expense | (11,437 | ) | (7,381 | ) | (42,495 | ) | (30,665 | ) | |||||||
Income tax benefit (expense) | 157 | (191 | ) | (753 | ) | (3,557 | ) | ||||||||
Amortization of deferred debt issuance costs | 810 | 679 | 3,700 | 3,290 | |||||||||||
Amortization of debt discount | 76 | 77 | 306 | 581 | |||||||||||
Payments of installment notes payable and capital lease obligations | (56 | ) | (23 | ) | (307 | ) | (279 | ) | |||||||
Deferred income taxes | — | — | — | 402 | |||||||||||
Payments for plant turnaround costs | — | 471 | — | (2,107 | ) | ||||||||||
Maintenance capital expenditures | (3,972 | ) | (5,055 | ) | (11,445 | ) | (8,658 | ) | |||||||
Distributable Cash Flow | $ | 24,183 | $ | 20,597 | $ | 86,971 | $ | 80,277 |