|
JP Energy Partners LP Announces Fourth Quarter and Full-Year 2015 Financial Results
JP Energy Partners LP (NYSE: JPEP) (“JP Energy”, “we,” “our,” or “us”)
today announced fourth quarter and full-year 2015 financial and
operating results.
2015 Accomplishments
-
Adjusted EBITDA increased 31% year-over-year excluding the impact of
corporate overhead support from our general partner
-
Maintained under 3.5x leverage ratio for each quarter of 2015, below
our long-term targeted range of 3.5 – 4.0x
-
Completed Phase I of the 50+ mile strategic extension of our Silver
Dollar Crude gathering system north into Reagan and Glasscock Counties
-
Completed the acquisition of Southern Propane, growing our non-heating
degree day industrial propane distribution business
-
Increased throughput on our Silver Dollar system by 35% and our retail
propane volumes by 16% year-over-year
Fourth Quarter and Full-Year 2015 Results
JP Energy reported Adjusted EBITDA of $14.2 million for the fourth
quarter of 2015, compared to $10.0 million for the fourth quarter of
2014. Adjusted EBITDA for the fourth quarter of 2015 included $2.5
million of corporate overhead support from our general partner. JP
Energy reported a loss from continuing operations of $32.1 million for
the fourth quarter of 2015, compared to a loss from continuing
operations of $18.1 million for the fourth quarter of 2014.
Distributable Cash Flow was $12.1 million for the fourth quarter of
2015, resulting in a distribution coverage ratio for the quarter of 1.0x.
For the year ended December 31, 2015, JP Energy reported $46.9 million
of Adjusted EBITDA, or $41.4 million excluding $5.5 million of corporate
overhead support from our general partner, a 31% increase compared to
$31.7 million for the year ended December 31, 2014. Loss from continuing
operations was $43.7 million for each of the full-years 2015 and 2014.
The loss from continuing operations for the fourth quarter and full-year
2015 include a non-cash goodwill impairment charge of $29.9 million.
Distributable Cash Flow was $38.8 million for the full-year 2015 and the
distribution coverage ratio was approximately 0.8x.
“I am proud of the accomplishments our team was able to achieve in 2015
despite significant headwinds that we and the industry continue to
face,” said J. Patrick Barley, Executive Chairman, President and Chief
Executive Officer of JP Energy. “During the year, we increased our
Silver Dollar crude oil storage capacity by 250%, completed a strategic
interconnection and extension of our Silver Dollar pipeline in the
Midland Basin, completed a strategic propane acquisition and sold
certain non-core crude oil assets in the Mid-Continent. We also made
significant progress reducing the overall cost structure of the company,
exiting the year with approximately 1.0x coverage and we maintained our
strong balance sheet position and flexibility. We continue to target
1.0x distribution coverage for the full-year 2016 through the existing
organic growth profile of our business as well as through our continued
cost management initiatives.”
Review of Segment Performance
NGL Distribution and Sales – Adjusted EBITDA for the NGL Distribution
and Sales segment was $7.9 million for the fourth quarter of 2015 and
$30.9 million for the year ended December 31, 2015, compared to $5.6
million for the fourth quarter of 2014 and $15.5 million for the year
ended December 31, 2014. The increase was driven by both higher average
NGL and refined products sales margins due to more favorable market
conditions and higher NGL and refined products sales volumes from
organic growth in our customer base and the acquisition of Southern
Propane in May 2015.
Crude Oil Pipelines and Storage – In the fourth quarter of 2015, we
reorganized our business segments to match the change in our internal
organization and management structure by combining our formerly reported
Crude Oil Supply and Logistics segment into our Crude Oil Pipelines and
Storage segment. The segment changes reflect the focus of our management
team and how performance of operations is evaluated and resources are
allocated. Adjusted EBITDA for the Crude Oil Pipelines and Storage
segment was $6.8 million for the fourth quarter of 2015 and $23.1
million for the year ended December 31, 2015, compared to $6.2 million
for the fourth quarter of 2014 and $25.3 million for the year ended
December 31, 2014. The decrease for the full-year 2015 compared to the
full-year 2014 was primarily due to reduced margins associated with
continued low crude oil prices driving a decrease in production volumes
and creating more competition for crude purchases, partially offset by
higher crude oil sales volumes and throughput due to expansions of the
Silver Dollar Pipeline System throughout 2015.
Refined Products Terminals and Storage – Adjusted EBITDA for the Refined
Products Terminals and Storage segment was $3.3 million for the fourth
quarter of 2015 and $10.9 million for the year ended December 31, 2015,
compared to $3.1 million for the fourth quarter of 2014 and $10.7
million for the year ended December 31, 2014. The slight increase for
the full-year 2015 compared to the full-year 2014 was primarily due to
an increase in refined product sales volumes due to the addition of
butane blending capabilities at our North Little Rock Terminal in the
second quarter of 2015 and lower operating expenses due to the lack of a
non-recurring one-time expense item realized in 2014. These benefits
were partially offset by a decrease in refined product sales revenue
from lower commodity prices.
Recent Developments
Mid-Continent Business Sale
On February 1, 2016, we sold certain trucking and marketing assets in
the Mid-Continent in connection with JP Development’s sale of its Great
Salt Plains Pipeline assets to a third party. Total proceeds to JP
Energy Partners, including approximately $5.3 million of inventory was
$9.7 million, which has been used to reduce borrowings under our
revolving credit facility. We continue to retain our crude oil storage
operations in the Mid-Continent.
2016 Financial Guidance
JP Energy previously provided financial guidance for 2016 including
full-year Adjusted EBITDA of $50-$56 million and Distributable Cash Flow
of $39-$45 million. For the full-year 2016, our target is to achieve
total unit distribution coverage of 1.0x, which could include some level
of corporate overhead support from our general partner. Full-year 2016
growth capital expenditures are estimated to range $25-$35 million. Of
this amount, $15 million is expected to be focused on the continued
development of our Silver Dollar Pipeline system in the Midland Basin.
Cash Distributions
On February 12, 2016, JP Energy paid to unitholders of record on
February 5, 2016, a cash distribution of $0.3250 per common and
subordinated unit for the three month period ended December 31, 2015.
Earnings Conference Call Information
We will hold a conference call on Tuesday, March 1, 2016, at 8:00 a.m.
Central Time (9:00 a.m. Eastern Time) to discuss our fourth quarter and
full-year 2015 financial results. The call can be accessed live over the
telephone by dialing (877) 407-0784, or for international callers, (201)
689-8560. A replay will be available shortly after the call and can be
accessed by dialing (877) 870-5176, or for international callers (858)
384-5517. The passcode for the replay is 13630895. The replay will be
available until March 15, 2016.
Interested parties may also listen to a simultaneous webcast of the
conference call by logging onto JP Energy’s website at www.jpenergypartners.com
in the Investors section. A replay of the webcast will also be available
for approximately 30 days following the conference call.
Form 10-K Filing
JP Energy filed with the Securities and Exchange Commission (the “SEC”)
its Annual Report on Form 10-K for the fiscal year ended December 31,
2015 (the “Form 10-K”) on February 29, 2016. An electronic copy of the
Form 10-K (including these financial statements) is available on JPE’s
website at www.jpenergypartners.com
under the “Investors” section, and also may be obtained through the
SEC’s website at www.sec.gov.
Interested parties also may receive a hard copy of the Form 10-K and
these financial statements free of charge upon request to the secretary
of our general partner at our principal executive offices. Our principal
executive offices are located at 600 East Las Colinas Blvd Suite 2000,
Irving, Texas 75039, and our telephone number is (866) 912-3714.
About JP Energy Partners LP
JP Energy Partners LP (JPEP) is a publicly traded, growth-oriented
limited partnership that owns, operates, develops and acquires a
diversified portfolio of midstream energy assets. Our operations
currently consist of: (i) crude oil pipelines and storage; (ii) refined
products terminals and storage; and (iii) NGL distribution and sales,
which together provide midstream infrastructure solutions for the
growing supply of crude oil, refined products and NGLs in the United
States. To learn more, please visit our website at www.jpenergypartners.com.
Use of Non-GAAP Financial Measures
Adjusted EBITDA, distributable cash flow and adjusted gross margin are
supplemental, non-GAAP financial measures used by management and by
external users of our financial statements, such as investors and
commercial banks, to assess:
-
our operating performance as compared to those of other companies in
the midstream sector, without regard to financing methods, historical
cost basis or capital structure;
-
the ability of our assets to generate sufficient cash flow to make
distributions to our unitholders;
-
our 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 Adjusted EBITDA, distributable cash
flow and adjusted gross margin provides information useful to investors
in assessing our financial condition and results of operations. The GAAP
measures most directly comparable to Adjusted EBITDA and distributable
cash flow are net income (loss) and cash flow from operating activities,
respectively, and the GAAP measure most directly comparable to adjusted
gross margin is operating income (loss). These non-GAAP measures should
not be considered as alternatives to the most directly comparable GAAP
financial measure. Each of these non-GAAP financial measures exclude
some, but not all, items that affect the most directly comparable GAAP
financial measure. Because Adjusted EBITDA, distributable cash flow and
adjusted gross margin may be defined differently by other companies in
the our industry, our definitions of these non-GAAP financial measures
may not be comparable to similarly titled measures of other companies,
thereby diminishing their utility.
We define Adjusted EBITDA as net income (loss) plus (minus) interest
expense (income), income tax expense (benefit), depreciation and
amortization expense, asset impairments, (gains) losses on asset sales,
certain non-cash charges such as non-cash equity compensation, non-cash
vacation expense, non-cash (gains) losses on commodity derivative
contracts (total (gain) loss on commodity derivatives less net cash flow
associated with commodity derivatives settled during the period) and
selected (gains) charges and transaction costs that are unusual or
non-recurring. We define distributable cash flow as Adjusted EBITDA plus
proceeds from the sale of assets, less net cash interest paid, income
taxes paid and maintenance capital expenditures. We define adjusted
gross margin as total revenues minus cost of sales, excluding
depreciation and amortization, and certain non-cash charges such as
non-cash vacation expense and non-cash gains (losses) on derivative
contracts (total gain (losses) on commodity derivatives less net cash
flow associated with commodity derivatives settled during the period).
Forward-Looking Statements
Disclosures in this press release contain “forward-looking statements.”
The words “believe,” “expect,” “anticipate,” “plan,” “intend,”
“foresee,” “should,” “would,” “could” or other similar expressions are
intended to identify forward-looking statements, which are generally not
historical in nature. These forward-looking statements are based on our
current expectations and beliefs concerning future developments and
their potential effect on us. While management believes that these
forward-looking statements are reasonable as and when made, there can be
no assurance that future developments affecting us will be those that we
anticipate. All comments concerning our expectations for future revenues
and operating results are based on our forecasts for our existing
operations and do not include the potential impact of any future
acquisitions. Our forward-looking statements involve significant risks
and uncertainties (some of which are beyond our control) and assumptions
that could cause actual results to differ materially from our historical
experience and our present expectations or projections. Important
factors that could cause actual results to differ materially from those
in the forward-looking statements include, but are not limited to the
price of, and the demand for, crude oil, refined products and NGLs in
the markets we serve; the volumes of crude oil that we gather, transport
and store, the throughput volumes at our refined products terminals and
our NGL sales volumes; the fees we receive for the crude oil, refined
products and NGL volumes we handle; pressures from our competitors, some
of which may have significantly greater resources than us; the cost of
propane that we buy for resale, including due to disruptions in its
supply, and whether we are able to pass along cost increases to our
customers; competitive pressures from other energy sources such as
natural gas, which could reduce existing demand for propane; the risk of
contract cancellation, non-renewal or failure to perform by our
customers, and our inability to replace such contracts and/or customers;
leaks or releases of hydrocarbons into the environment that result in
significant costs and liabilities; the level of our operating,
maintenance and general and administrative expenses; regulatory action
affecting our existing contracts, our operating costs or our operating
flexibility; failure to secure or maintain contracts with our largest
customers, or non-performance of any of those customers under the
applicable contract; competitive conditions in our industry; changes in
the long-term supply of and demand for oil and natural gas; volatility
of fuel prices; actions taken by our customers, competitors and
third-party operators; our ability to complete growth projects on time
and on budget; inclement or hazardous weather conditions, including
flooding, and the physical impacts of climate change; environmental
hazards; industrial accidents; changes in laws and regulations (or the
interpretation thereof) related to the transportation, storage or
terminaling of crude oil and refined products or the distribution and
sales of NGLs; fires, explosions or other accidents; the effects of
future litigation; and other factors discussed from time to time in each
of our documents and reports filed with the Securities and Exchange
Commission. Any forward-looking statement applies only as of the date on
which such statement is made and we do not intend to correct or update
any forward-looking statement, whether as a result of new information,
future events or otherwise, except as required by law.
|
JP ENERGY PARTNERS LP
CONSOLIDATED BALANCE SHEETS
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December 31,
|
|
December 31,
|
|
|
|
|
|
|
|
2015
|
|
2014
|
|
ASSETS
|
|
|
|
|
(in thousands, except unit data)
|
|
|
|
|
|
|
|
|
|
|
|
Current assets
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents
|
|
|
|
|
$
|
1,987
|
|
$
|
3,325
|
|
|
Restricted cash
|
|
|
|
|
|
-
|
|
|
600
|
|
|
Accounts receivable, net
|
|
|
|
|
|
60,519
|
|
|
108,725
|
|
|
Receivables from related parties
|
|
|
|
|
|
8,624
|
|
|
10,548
|
|
|
Inventory
|
|
|
|
|
|
4,786
|
|
|
5,677
|
|
|
Prepaid expenses and other current assets
|
|
|
|
|
|
4,168
|
|
|
4,915
|
|
|
Current assets of discontinued operations held for sale
|
|
|
|
|
|
2,730
|
|
|
15,149
|
|
|
Total Current Assets
|
|
|
|
|
|
82,814
|
|
|
148,939
|
|
|
|
|
|
|
|
|
|
|
|
Non-current assets
|
|
|
|
|
|
|
|
|
|
Property, plant and equipment, net
|
|
|
|
|
|
291,454
|
|
|
251,690
|
|
|
Goodwill
|
|
|
|
|
|
216,692
|
|
|
240,782
|
|
|
Intangible assets, net
|
|
|
|
|
|
134,432
|
|
|
145,330
|
|
|
Deferred financing costs and other assets, net
|
|
|
|
|
|
3,223
|
|
|
4,711
|
|
|
Noncurrent assets of discontinued operations held for sale
|
|
|
|
|
|
6,644
|
|
|
21,721
|
|
|
Total Non-Current Assets
|
|
|
|
|
|
652,445
|
|
|
664,234
|
|
|
Total Assets
|
|
|
|
|
$
|
735,259
|
|
$
|
813,173
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND PARTNERS' CAPITAL
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current liabilities
|
|
|
|
|
|
|
|
|
|
Accounts payable
|
|
|
|
|
$
|
45,933
|
|
$
|
88,052
|
|
|
Accrued liabilities
|
|
|
|
|
|
15,260
|
|
|
28,971
|
|
|
Capital leases and short-term debt
|
|
|
|
|
|
107
|
|
|
229
|
|
|
Customer deposits and advances
|
|
|
|
|
|
3,742
|
|
|
5,050
|
|
|
Current portion of long-term debt
|
|
|
|
|
|
454
|
|
|
383
|
|
|
Current liabilities of discontinued operations held for sale
|
|
|
|
|
|
640
|
|
|
-
|
|
|
Total Current Liabilities
|
|
|
|
|
|
66,136
|
|
|
122,685
|
|
|
|
|
|
|
|
|
|
|
|
Non-current liabilities
|
|
|
|
|
|
|
|
|
|
Long-term debt
|
|
|
|
|
|
162,740
|
|
|
84,125
|
|
|
Other long-term liabilities
|
|
|
|
|
|
1,463
|
|
|
5,683
|
|
|
Total Liabilities
|
|
|
|
|
|
230,339
|
|
|
212,493
|
|
|
|
|
|
|
|
|
|
|
|
Commitments and Contingencies
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Partners' capital
|
|
|
|
|
|
|
|
|
|
General partner interest
|
|
|
|
|
|
5,568
|
|
|
-
|
|
|
Common units (22,119,170 and 21,852,219 units authorized as of
December 31, 2015 and 2014, respectively; 18,465,320 and 18,209,519
units issued and outstanding as of December 31, 2015 and 2014,
respectively)
|
|
|
|
|
|
266,691
|
|
|
315,630
|
|
|
Subordinated units (18,197,249 units authorized; 18,127,678 and
18,197,249 units issued and outstanding as of December 31, 2015 and
2014, respectively)
|
|
|
|
|
|
232,661
|
|
|
285,050
|
|
|
Total Partners' Capital
|
|
|
|
|
|
504,920
|
|
|
600,680
|
|
|
Total Liabilities and Partners' Capital
|
|
|
|
|
$
|
735,259
|
|
$
|
813,173
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
JP ENERGY PARTNERS
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended December 31,
|
|
Year Ended December 31,
|
|
|
|
|
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
|
|
|
|
|
|
(in thousands, except unit and per unit data)
|
|
REVENUES:
|
|
|
|
|
|
|
|
|
|
|
|
|
Crude oil sales
|
|
|
|
$
|
96,525
|
|
|
$
|
142,742
|
|
|
$
|
455,465
|
|
|
$
|
470,336
|
|
|
|
Crude oil sales - related parties
|
|
|
|
688
|
|
|
|
-
|
|
|
|
884
|
|
|
|
-
|
|
|
|
Gathering, transportation and storage fees
|
|
|
|
5,944
|
|
|
|
6,864
|
|
|
|
25,991
|
|
|
|
30,762
|
|
|
|
Gathering, transportation and storage fees - related parties
|
|
|
|
959
|
|
|
|
-
|
|
|
|
2,165
|
|
|
|
-
|
|
|
|
NGL and refined product sales
|
|
|
|
42,981
|
|
|
|
50,658
|
|
|
|
170,009
|
|
|
|
192,804
|
|
|
|
NGL and refined product sales - related parties
|
|
|
|
-
|
|
|
|
10
|
|
|
|
-
|
|
|
|
7,419
|
|
|
|
Refined products terminals and storage fees
|
|
|
|
2,813
|
|
|
|
2,970
|
|
|
|
12,362
|
|
|
|
10,260
|
|
|
|
Refined products terminals and storage fees - related parties
|
|
|
|
-
|
|
|
|
12
|
|
|
|
-
|
|
|
|
1,533
|
|
|
|
Other revenues
|
|
|
|
|
3,295
|
|
|
|
3,010
|
|
|
|
13,709
|
|
|
|
13,040
|
|
|
|
Total revenues
|
|
|
|
|
153,205
|
|
|
|
206,266
|
|
|
|
680,585
|
|
|
|
726,154
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
COSTS AND EXPENSES:
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of sales, excluding depreciation and amortization
|
|
|
|
115,733
|
|
|
|
183,965
|
|
|
|
527,476
|
|
|
|
605,682
|
|
|
|
Operating expense
|
|
|
|
|
16,709
|
|
|
|
14,968
|
|
|
|
69,377
|
|
|
|
65,584
|
|
|
|
General and administrative
|
|
|
|
9,976
|
|
|
|
11,980
|
|
|
|
45,383
|
|
|
|
46,362
|
|
|
|
Depreciation and amortization
|
|
|
|
12,796
|
|
|
|
11,356
|
|
|
|
46,852
|
|
|
|
40,230
|
|
|
|
Goodwill impairment
|
|
|
|
|
29,896
|
|
|
|
-
|
|
|
|
29,896
|
|
|
|
-
|
|
|
|
(Gain) loss on disposal of assets, net
|
|
|
|
(493
|
)
|
|
|
112
|
|
|
|
909
|
|
|
|
1,137
|
|
|
|
Total costs and expenses
|
|
|
|
184,617
|
|
|
|
222,381
|
|
|
|
719,893
|
|
|
|
758,995
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
OPERATING LOSS
|
|
|
|
|
(31,412
|
)
|
|
|
(16,115
|
)
|
|
|
(39,308
|
)
|
|
|
(32,841
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
OTHER INCOME (EXPENSE)
|
|
|
|
|
|
|
|
|
|
|
|
Interest expense
|
|
|
|
|
(1,527
|
)
|
|
|
(1,353
|
)
|
|
|
(5,375
|
)
|
|
|
(8,981
|
)
|
|
|
Loss on extinguishment of debt
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
(1,634
|
)
|
|
|
Other income (expense), net
|
|
|
|
1,264
|
|
|
|
(355
|
)
|
|
|
1,732
|
|
|
|
8
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LOSS FROM CONTINUING OPERATIONS BEFORE INCOME TAXES
|
|
|
|
(31,675
|
)
|
|
|
(17,823
|
)
|
|
|
(42,951
|
)
|
|
|
(43,448
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income tax (expense) benefit
|
|
|
|
(422
|
)
|
|
|
(302
|
)
|
|
|
(754
|
)
|
|
|
(300
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LOSS FROM CONTINUING OPERATIONS
|
|
|
|
(32,097
|
)
|
|
|
(18,125
|
)
|
|
|
(43,705
|
)
|
|
|
(43,748
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
DISCONTINUED OPERATIONS
|
|
|
|
|
|
|
|
|
|
|
|
Net loss from discontinued operations
|
|
|
|
(13,839
|
)
|
|
|
(491
|
)
|
|
|
(14,951
|
)
|
|
|
(9,275
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NET LOSS
|
|
|
|
$
|
(45,936
|
)
|
|
$
|
(18,616
|
)
|
|
$
|
(58,656
|
)
|
|
$
|
(53,023
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss attributable to the period from January 1, 2014 to October
1, 2014
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
34,407
|
|
|
Net loss attributable to limited partners
|
|
|
$
|
(45,936
|
)
|
|
$
|
(18,616
|
)
|
|
$
|
(58,656
|
)
|
|
$
|
(18,616
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic and diluted loss per unit
|
|
|
|
|
|
|
|
|
|
|
|
Net loss from continuing operations allocated to common units
|
|
|
$
|
(16,160
|
)
|
|
$
|
(9,460
|
)
|
|
$
|
(21,830
|
)
|
|
$
|
(9,460
|
)
|
|
Net loss allocated to common units
|
|
|
$
|
(23,143
|
)
|
|
$
|
(9,293
|
)
|
|
$
|
(29,351
|
)
|
|
$
|
(9,293
|
)
|
|
Weighted average number of common units outstanding
|
|
|
|
18,464,964
|
|
|
$
|
18,212,632
|
|
|
|
18,373,594
|
|
|
$
|
18,212,632
|
|
|
Basic and diluted net loss from continuing operations per common unit
|
|
|
$
|
(0.88
|
)
|
|
$
|
(0.52
|
)
|
|
$
|
(1.19
|
)
|
|
$
|
(0.52
|
)
|
|
Basic and diluted net loss per common unit
|
|
|
$
|
(1.26
|
)
|
|
$
|
(0.51
|
)
|
|
$
|
(1.60
|
)
|
|
$
|
(0.51
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss from continuing operations allocated to subordinated units
|
|
|
$
|
(15,937
|
)
|
|
$
|
(9,490
|
)
|
|
$
|
(21,875
|
)
|
|
$
|
(9,490
|
)
|
|
Net loss allocated to subordinated units
|
|
|
$
|
(22,793
|
)
|
|
$
|
(9,323
|
)
|
|
$
|
(29,305
|
)
|
|
$
|
(9,323
|
)
|
|
Weighted average number of subordinated units outstanding
|
|
|
|
18,129,255
|
|
|
|
18,209,948
|
|
|
|
18,151,700
|
|
|
|
18,209,948
|
|
|
Basic and diluted net loss from continuing operations per
subordinated unit
|
|
|
$
|
(0.88
|
)
|
|
$
|
(0.52
|
)
|
|
$
|
(1.20
|
)
|
|
$
|
(0.52
|
)
|
|
Basic and diluted net loss per subordinated unit
|
|
|
$
|
(1.26
|
)
|
|
$
|
(0.51
|
)
|
|
$
|
(1.61
|
)
|
|
$
|
(0.51
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Distribution declared per common and subordinated unit
|
|
|
$
|
0.325
|
|
|
$
|
-
|
|
|
$
|
1.279
|
|
|
$
|
-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
JP ENERGY PARTNERS LP
NON-GAAP RECONCILIATIONS
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended December 31,
|
|
Year ended December 31,
|
|
|
|
|
|
|
|
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
|
|
|
|
|
|
|
|
|
(in thousands)
|
|
Segment Adjusted EBITDA
|
|
|
|
|
|
|
|
|
|
|
|
Crude oil pipelines and storage
|
|
|
$
|
6,811
|
|
|
$
|
6,237
|
|
|
$
|
23,119
|
|
|
$
|
25,339
|
|
|
|
Refined products terminals and storage
|
|
|
|
3,266
|
|
|
|
3,057
|
|
|
|
10,867
|
|
|
|
10,723
|
|
|
|
NGL distribution and sales
|
|
|
|
7,901
|
|
|
|
5,623
|
|
|
|
30,896
|
|
|
|
15,511
|
|
|
|
Discontinued operations
|
|
|
|
(559
|
)
|
|
|
521
|
|
|
|
1,209
|
|
|
|
5,002
|
|
|
|
Corporate and other
|
|
|
|
|
(3,257
|
)
|
|
|
(5,422
|
)
|
|
|
(19,226
|
)
|
|
|
(24,924
|
)
|
|
Total Adjusted EBITDA
|
|
|
|
14,162
|
|
|
|
10,016
|
|
|
|
46,865
|
|
|
|
31,651
|
|
|
|
Depreciation and amortization
|
|
|
|
(12,796
|
)
|
|
|
(11,356
|
)
|
|
|
(46,852
|
)
|
|
|
(40,230
|
)
|
|
|
Goodwill impairment
|
|
|
|
|
(29,896
|
)
|
|
|
-
|
|
|
|
(29,896
|
)
|
|
|
-
|
|
|
|
Interest expense
|
|
|
|
|
(1,527
|
)
|
|
|
(1,353
|
)
|
|
|
(5,375
|
)
|
|
|
(8,981
|
)
|
|
|
Loss on extinguishment of debt
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
(1,634
|
)
|
|
|
Income tax (expense) benefit
|
|
|
|
(422
|
)
|
|
|
(302
|
)
|
|
|
(754
|
)
|
|
|
(300
|
)
|
|
|
Gain (loss) on disposal of assets, net
|
|
|
|
493
|
|
|
|
(112
|
)
|
|
|
(909
|
)
|
|
|
(1,137
|
)
|
|
|
Unit-based compensation
|
|
|
|
(434
|
)
|
|
|
(640
|
)
|
|
|
(1,217
|
)
|
|
|
(1,658
|
)
|
|
|
Total gain (loss) on commodity derivatives
|
|
|
|
(858
|
)
|
|
|
(13,032
|
)
|
|
|
(3,057
|
)
|
|
|
(13,762
|
)
|
|
|
Net cash (receipts) payments for commodity derivatives
settled during the period
|
|
|
|
67
|
|
|
|
1,554
|
|
|
|
14,821
|
|
|
|
1,071
|
|
|
|
Early settlement of commodity derivatives
|
|
|
|
-
|
|
|
|
-
|
|
|
|
(8,745
|
)
|
|
|
-
|
|
|
|
Corporate overhead support from general partner
|
|
|
|
(2,500
|
)
|
|
|
-
|
|
|
|
(5,500
|
)
|
|
|
-
|
|
|
|
Transaction costs and other
|
|
|
|
1,056
|
|
|
|
(2,301
|
)
|
|
|
(1,877
|
)
|
|
|
(3,766
|
)
|
|
|
Discontinued operations
|
|
|
|
(13,281
|
)
|
|
|
(1,090
|
)
|
|
|
(16,160
|
)
|
|
|
(14,277
|
)
|
|
Net loss
|
|
|
|
|
|
$
|
(45,936
|
)
|
|
$
|
(18,616
|
)
|
|
$
|
(58,656
|
)
|
|
$
|
(53,023
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended December 31,
|
|
Year ended December 31,
|
|
|
|
|
|
|
|
|
|
|
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
|
|
|
|
|
|
|
|
|
|
|
|
(in thousands)
|
|
Segment Adjusted gross margin
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Crude oil pipelines and storage
|
|
|
|
|
|
$
|
9,228
|
|
|
$
|
8,836
|
|
|
$
|
35,500
|
|
|
$
|
36,788
|
|
|
|
Refined products terminals and storage
|
|
|
|
|
|
|
4,054
|
|
|
|
3,455
|
|
|
|
14,578
|
|
|
|
16,834
|
|
|
|
NGL distribution and sales
|
|
|
|
|
|
|
24,981
|
|
|
|
21,683
|
|
|
|
100,213
|
|
|
|
80,210
|
|
|
Total Adjusted gross margin
|
|
|
|
|
|
|
38,263
|
|
|
|
33,974
|
|
|
|
150,291
|
|
|
|
133,832
|
|
|
|
Operating expenses
|
|
|
|
|
|
|
|
(16,709
|
)
|
|
|
(14,968
|
)
|
|
|
(69,377
|
)
|
|
|
(65,584
|
)
|
|
|
General and administrative
|
|
|
|
|
|
|
(9,976
|
)
|
|
|
(11,980
|
)
|
|
|
(45,383
|
)
|
|
|
(46,362
|
)
|
|
|
Depreciation and amortization
|
|
|
|
|
|
|
(12,796
|
)
|
|
|
(11,356
|
)
|
|
|
(46,852
|
)
|
|
|
(40,230
|
)
|
|
|
Goodwill impairment
|
|
|
|
|
|
|
|
(29,896
|
)
|
|
|
-
|
|
|
|
(29,896
|
)
|
|
|
-
|
|
|
|
Gain (loss) on disposal of assets, net
|
|
|
|
|
|
|
493
|
|
|
|
(112
|
)
|
|
|
(909
|
)
|
|
|
(1,137
|
)
|
|
|
Total gain (loss) on commodity derivatives
|
|
|
|
|
|
|
(858
|
)
|
|
|
(13,032
|
)
|
|
|
(3,057
|
)
|
|
|
(13,762
|
)
|
|
|
Net cash (receipts) payments for commodity derivatives
settled during the period
|
|
|
|
|
|
|
67
|
|
|
|
1,554
|
|
|
|
14,821
|
|
|
|
1,071
|
|
|
|
Early settlement of commodity derivatives
|
|
|
|
|
|
|
-
|
|
|
|
-
|
|
|
|
(8,745
|
)
|
|
|
-
|
|
|
|
Other non-cash items
|
|
|
|
|
|
|
|
-
|
|
|
|
(195
|
)
|
|
|
(201
|
)
|
|
|
(669
|
)
|
|
Operating loss
|
|
|
|
|
|
|
|
$
|
(31,412
|
)
|
|
$
|
(16,115
|
)
|
|
$
|
(39,308
|
)
|
|
$
|
(32,841
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
JP ENERGY PARTNERS LP
NON-GAAP RECONCILIATIONS
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended
|
|
Year ended
|
|
|
|
|
|
|
|
|
|
|
December 31,
|
|
December 31,
|
|
|
|
|
|
|
|
|
|
|
2015
|
|
2015
|
|
|
|
|
|
|
|
|
|
|
(in thousands)
|
|
Net cash provided by operating activities
|
|
|
$
|
21,775
|
|
|
|
$
|
46,041
|
|
|
|
Depreciation and amortization
|
|
|
|
(13,365
|
)
|
|
|
|
(49,133
|
)
|
|
|
Goodwill impairment
|
|
|
|
|
|
(37,835
|
)
|
|
|
|
(37,835
|
)
|
|
|
Asset impairment
|
|
|
|
|
|
(4,970
|
)
|
|
|
|
(4,970
|
)
|
|
|
Derivative valuation changes
|
|
|
|
(3,285
|
)
|
|
|
|
11,340
|
|
|
|
Amortization of deferred financing costs
|
|
|
|
(227
|
)
|
|
|
|
(909
|
)
|
|
|
Unit-based compensation
|
|
|
|
|
(434
|
)
|
|
|
|
(1,309
|
)
|
|
|
Loss on disposal of assets
|
|
|
|
|
367
|
|
|
|
|
(1,028
|
)
|
|
|
Bad debt expense
|
|
|
|
|
|
(213
|
)
|
|
|
|
(1,212
|
)
|
|
|
Other non-cash items
|
|
|
|
|
(1,937
|
)
|
|
|
|
(1,744
|
)
|
|
|
Changes in assets and liabilities
|
|
|
|
(5,812
|
)
|
|
|
|
(17,897
|
)
|
|
Net loss
|
|
|
|
|
|
|
$
|
(45,936
|
)
|
|
|
$
|
(58,656
|
)
|
|
|
Depreciation and amortization
|
|
|
|
12,796
|
|
|
|
|
46,852
|
|
|
|
Goodwill impairment
|
|
|
|
|
|
29,896
|
|
|
|
|
29,896
|
|
|
|
Interest expense
|
|
|
|
|
|
1,527
|
|
|
|
|
5,375
|
|
|
|
Income tax expense
|
|
|
|
|
|
422
|
|
|
|
|
754
|
|
|
|
(Gain) loss on disposal of assets, net
|
|
|
|
(493
|
)
|
|
|
|
909
|
|
|
|
Unit-based compensation
|
|
|
|
|
434
|
|
|
|
|
1,217
|
|
|
|
Total gain (loss) on commodity derivatives
|
|
|
|
858
|
|
|
|
|
3,057
|
|
|
|
Net cash payments for commodity derivatives
settled during the period
|
|
|
|
(67
|
)
|
|
|
|
(14,821
|
)
|
|
|
Early settlement of commodity derivatives
|
|
|
|
-
|
|
|
|
|
8,745
|
|
|
|
Corporate overhead support from general partner
|
|
|
|
2,500
|
|
|
|
|
5,500
|
|
|
|
Transaction costs and other
|
|
|
|
|
(1,056
|
)
|
|
|
|
1,877
|
|
|
|
Discontinued operations
|
|
|
|
|
13,281
|
|
|
|
|
16,160
|
|
|
Adjusted EBITDA
|
|
|
|
|
$
|
14,162
|
|
|
|
$
|
46,865
|
|
|
Less:
|
|
|
|
|
|
|
|
|
|
|
|
Cash interest paid, net of interest income
|
|
|
|
1,318
|
|
|
|
|
4,527
|
|
|
Cash taxes paid
|
|
|
|
|
|
-
|
|
|
|
|
450
|
|
|
Maintenance capital expenditures, net
|
|
|
|
718
|
|
|
|
|
3,109
|
|
|
Distributable cash flow
|
|
|
|
$
|
12,126
|
|
|
|
$
|
38,779
|
|
|
Less:
|
|
|
|
|
|
|
|
|
|
|
|
Distributions
|
|
|
|
|
|
|
12,017
|
|
|
|
|
48,063
|
|
|
Amount in excess of (less than) distributions
|
|
|
$
|
109
|
|
|
|
$
|
(9,284
|
)
|
|
Distribution coverage
|
|
|
|
|
1.01x
|
|
|
0.81x
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
JP ENERGY PARTNERS
SUPPLEMENTAL OPERATIONAL DATA
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended
December 31,
|
|
Year ended
December 31,
|
|
Segment
|
|
|
Key Operational Data
|
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Crude oil pipelines and storage
|
|
|
Crude oil pipeline throughput (Bbls/d) (1)
|
|
|
26,888
|
|
23,812
|
|
28,246
|
|
20,868
|
|
Crude oil pipelines and storage
|
|
|
Crude oil sales (Bbls/d)
|
|
|
38,358
|
|
27,150
|
|
40,255
|
|
15,612
|
|
Refined products terminals and storage
|
|
|
Terminal and storage throughput (Bbls/d)
|
|
|
56,499
|
|
60,176
|
|
62,075
|
|
63,859
|
|
NGL distribution and sales
|
|
|
NGL and refined product sales (Mgal/d)
|
|
|
218
|
|
229
|
|
211
|
|
200
|
|
_______________________________
|
|
(1)
|
|
Represents the average daily throughput volume in our crude oil
pipelines operations. The volumes in our crude oil storage
operations have no effect on operations as we receive a set fee per
month that does not fluctuate with the volume of crude oil stored.
|
View source version on businesswire.com: http://www.businesswire.com/news/home/20160229006787/en/ Copyright Business Wire 2016
Source: Business Wire
(February 29, 2016 - 4:15 PM EST)
News by QuoteMedia
www.quotemedia.com
|
