USD Partners LP Announces Fourth Quarter and Full Year 2014 Results
Houston, TX - USD Partners LP (NYSE: USDP) (the “Partnership”) announced today its unaudited financial results for the fourth quarter and full year ended December 31, 2014. Highlights with respect to the fourth quarter of 2014 include the following:
On October 15, 2014, raised $155.0 million through the Partnership’s initial public offering (“IPO”)
Reported Adjusted EBITDA of $10.9 million and Distributable Cash Flow of $9.6 million
Reported a Net Loss of $1.1 million
On January 29, 2015, declared an initial quarterly cash distribution of $0.24375 per unit, representing the prorated amount of the Partnership’s targeted minimum quarterly distribution of $0.2875 per unit ($1.15 per unit on an annualized basis)
“2014 was a year of significant accomplishments for the USD team. We successfully commenced operations at our Hardisty rail terminal in June and completed our initial public offering in October,” said Dan Borgen, the Partnership’s Chairman, Chief Executive Officer and President. “Our first quarter as a public partnership was a strong one, and our take-or-pay contracts with high quality customers continue to provide us with a steady and stable base from which to grow. In an environment where producer economics have tightened, the ability to improve net-backs through increased market optionality remains critical,” said Borgen. “Our customers continue to recognize the value of a rail delivery program as a growing part of their takeaway portfolios.”
The Partnership completed its IPO on October 15, 2014, and as a result, portions of the fourth quarter and full year 2014 reporting periods relate to the financial and operating results of the Partnership’s predecessor entity. The Partnership’s predecessor historical results of operations include revenues and expenses related to: (i) the construction of the Partnership’s Hardisty rail terminal, (ii) the operation of the Partnership’s San Antonio and West Colton rail terminals and (iii) the Partnership’s railcar fleet services throughout North America. The Hardisty rail terminal became operational on June 30, 2014; therefore, the Partnership’s predecessor results of operations prior to June 30, 2014, include only costs related to pre-operational activities.
Fourth quarter 2014 results referred to in this release are based on full quarter operations, which management believes are more representative of the financial and operating results of the Partnership going forward.
Terminalling Services Segment
The Partnership’s Terminalling services segment includes the Hardisty, San Antonio and West Colton rail terminals. For the fourth quarter of 2014, the Partnership’s Terminalling services segment reported Adjusted EBITDA of approximately $11.6 million and Income from continuing operations of approximately $1.9 million.
The following information was filed by Usd Partners Lp (USDP) on Thursday, March 26, 2015 as an 8K 2.02 statement, which is an earnings press release pertaining to results of operations and financial condition. It may be helpful to assess the quality of management by comparing the information in the press release to the information in the accompanying 10-K Annual Report statement of earnings and operation as management may choose to highlight particular information in the press release.