Q4 2024 NGL Energy Partners LP Earnings Call Transcript
Key Points
- NGL Energy Partners LP (NGL) achieved record full-year adjusted EBITDA of $508.3 million in the Water Solutions segment, a 10% increase over the prior year.
- The company successfully completed a global refinancing, including $2.2 billion of senior secured notes and a $700 million term loan B facility, providing more operational flexibility.
- NGL Energy Partners LP (NGL) is current on all preferred classes as of April 25, 2024, which exceeded internal and external expectations.
- The company announced the LEX II project, which is underwritten by a minimum volume commitment with an investment-grade counterparty, expected to be in service by October 2024.
- NGL Energy Partners LP (NGL) launched a common unit repurchase program of up to $50 million, indicating confidence in the company's undervalued unit price.
- Full-year adjusted EBITDA for fiscal 2024 was $610 million, which lagged behind the company's guidance for the year.
- The Liquid Logistics segment's full-year adjusted EBITDA was $70 million, impacted by warmer-than-normal winters and the closure and sale of several terminals.
- Crude Oil Logistics full-year adjusted EBITDA was $86.9 million, driven by lower volume shipped and sold on the Grand Mesa Pipeline and wider-than-expected differentials.
- Revenue per barrel in the Water Solutions segment was lower during the quarter due to rate changes for certain existing contracts and the expiration of higher fee per barrel contracts.
- The Liquid Logistics segment experienced a decrease in adjusted EBITDA in the fourth quarter due to lower propane margins and a decrease in volumes.
Greetings. Welcome to the NGL Energy Partners 4Q '24 earnings call. (Operator Instructions) Please note, this conference is being recorded.
I will now turn the conference over to your host, Brad Cooper, CFO. You may begin.
Good afternoon and thank you to everyone for joining us on the call today. Our comments today will include plans, forecasts, and estimates that are forward-looking statements under the US securities law. These comments are subject to assumptions, risks, and uncertainties that could cause actual results to differ from the forward-looking statements. Please take note of the cautionary language and risk factors provided in our presentation materials and our other public disclosure materials.
Fiscal 2024 was a transformational year for NGL. These are some of the key highlights from the year. In the first quarter, we purchased approximately $100 million of notes with the proceeds from the marine asset sale that closed on March 30, 2023.
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
