Financial Data and Key Metrics Changes - The financial performance in the first three quarters of 2024 has been below original expectations, primarily due to one-time items and factors outside of the company's control [10][11][12] - The company expects to achieve growth in adjusted EBITDA in 2025 compared to 2024, driven by midyear startup of contracted offshore developments and resolution of technical operational issues [15][16] Business Segment Data and Key Metrics Changes - The Offshore Pipeline Transportation segment has faced operational and technical issues affecting financial performance, with delays in repairs due to weather challenges [18][20][21] - The Soda and Sulfur Services segment has underperformed expectations due to production challenges and higher maintenance costs at the Westvaco facility, with a focus on identifying root causes and reducing costs [32][34][41] - The Marine Transportation segment is expected to see a sequential improvement due to fewer scheduled dry docks and strong market fundamentals, with potential year-over-year growth exceeding 10% [42][44] Market Data and Key Metrics Changes - The soda ash market has become increasingly competitive, with higher supply from China leading to expectations of lower export prices in the fourth quarter [35][36][39] - The company anticipates that the current softness in soda ash prices will last until early 2025, with a return to a more balanced market expected thereafter [36][41] Company Strategy and Development Direction - The company has identified no growth capital projects in the near term, focusing instead on maximizing cash flow and simplifying its capital structure [16][47] - The offshore expansion project is on schedule, with expectations to complete construction by the end of the year and begin production in the second quarter of 2025 [25][26] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in overcoming current challenges and achieving a more constructive operating environment by year-end [11][12] - The company remains focused on cost-cutting and efficiency opportunities to offset near-term challenges and is optimistic about long-term value creation for stakeholders [12][48] Other Important Information - Recent judicial events regarding the 2020 Biological Opinion could impact permits, but the company does not anticipate future risks and is committed to compliance with environmental regulations [30][31] Q&A Session Summary Question: Regarding the potential delay in raising distributions due to elevated leverage in 2025 - Management indicated it is premature to provide a specific timeline for raising distributions, as they are currently assessing producer profiles and pricing for 2025 [50][51] Question: Impact of soda ash market conditions on EBITDA projections for 2025 and 2026 - Management confirmed that the majority of the delta in EBITDA projections is driven by changes in the soda ash market, with expectations for normalization in 2026 [56][62] Question: Clarification on technical issues affecting offshore operations - Management provided details on rare technical issues impacting production, emphasizing that these are beyond their control and not indicative of long-term operational capabilities [66][75] Question: Production challenges at Westvaco and remediation efforts - Management acknowledged production challenges at Westvaco and outlined ongoing efforts to evaluate processes and reduce costs while maintaining safe operations [77][80]

Financial Performance - Net Loss Attributable to Genesis Energy, L.P. for the 2024 Quarter was $17.2 million, a decrease from Net Income of $58.1 million in the 2023 Quarter[99]. - Cash flow from operating activities decreased to $87.3 million in the 2024 Quarter, down from $141.0 million in the 2023 Quarter[99]. - Available Cash before Reserves for common unitholders was $24.5 million, a decrease of $64.5 million, or 72%, from the 2023 Quarter[99]. - Revenues for the 2024 Quarter decreased by $93.3 million, or 12%, compared to the 2023 Quarter[104]. - Net income attributable to Genesis Energy, L.P. for the three months ended September 30, 2024, was $(17,177) thousand, compared to $58,070 thousand for the same period in 2023, representing a significant decline[108]. - The net loss attributable to common unitholders for the nine months ended September 30, 2024, was $101.7 million, compared to a net income of $58.1 million in the same period of 2023[154]. Segment Performance - Segment Margin for the 2024 Quarter was $151.1 million, a decrease of $56.8 million, or 27%, from the 2023 Quarter[99]. - Offshore pipeline transportation Segment Margin was $72.1 million in the 2024 Quarter, down from $109.3 million in the 2023 Quarter[106]. - Soda and sulfur services Segment Margin was $38.2 million in the 2024 Quarter, a decrease from $62.0 million in the 2023 Quarter[106]. - Marine transportation Segment Margin increased to $31.1 million in the 2024 Quarter, up from $27.1 million in the 2023 Quarter[106]. - Offshore pipeline transportation segment margin decreased by $37.1 million, or 34%, in the 2024 quarter compared to the 2023 quarter, primarily due to an economic step-down in transportation rates and increased operating costs[113]. - Segment margin for the soda and sulfur services segment was $38,188 thousand for the three months ended September 30, 2024, down from $61,957 thousand in the same period of 2023, a decrease of approximately 38.3%[116]. - Marine transportation segment margin for Q3 2024 increased by $3.9 million, or 15%, driven by higher day rates in inland and offshore businesses[121]. - For the first nine months of 2024, marine transportation segment margin increased by $15.4 million, or 20%, due to increased day rates and strong demand for barge services[122]. Revenue and Pricing Trends - Average closing price for West Texas Intermediate crude oil decreased to $76.43 per barrel in the 2024 Quarter, down from $82.25 per barrel in the 2023 Quarter[104]. - Average index price for caustic soda decreased to $502 per dry short ton in the 2024 Quarter, compared to $992 per dry short ton in the 2023 Quarter[105]. - Total external segment revenues for the soda and sulfur services segment decreased to $355,099 thousand in the three months ended September 30, 2024, from $401,667 thousand in the same period of 2023, a decline of about 11.6%[116]. - Offshore crude oil pipeline revenue for the three months ended September 30, 2024, was $64,103 thousand, down from $88,399 thousand in the same period of 2023, indicating a decrease of approximately 27.4%[111]. - Natural gas transportation volumes decreased to 393,240 MMBtus/day in the three months ended September 30, 2024, compared to 408,866 MMBtus/day in the same period of 2023, a decline of about 3.8%[111]. Capital Expenditures and Investments - Total capital expenditures for fixed and intangible assets for the nine months ended September 30, 2024, amounted to $358.8 million, compared to $423.7 million in the same period of 2023, reflecting a decrease of approximately 15.4%[147]. - Maintenance capital expenditures for the first nine months of 2024 totaled $128.6 million, an increase from $86.9 million in the same period of 2023[147]. - Growth capital expenditures for the first nine months of 2024 were $230.2 million, down from $336.8 million in the same period of 2023, indicating a decrease of approximately 31.6%[147]. - The company plans to fund estimated growth capital expenditures using available borrowing capacity under its senior secured credit facility and recurring cash flows from operations[148]. Debt and Liquidity - At September 30, 2024, the principal amount of debt outstanding totaled approximately $4.1 billion, including $3.5 billion of senior unsecured notes[140]. - The available borrowing capacity under the senior secured credit facility at September 30, 2024 is $687.9 million, subject to compliance with covenants[142]. - Current assets as of September 30, 2024, were $887.1 million, while current liabilities were $842.1 million, indicating a healthy liquidity position[153]. Operational Insights and Future Outlook - The company anticipates resolving operational and technical issues affecting production by the end of 2024, which should improve future performance[113]. - The Monument development project is expected to come online in mid to late 2026, indicating ongoing market expansion efforts[113]. - The Argos Floating Production System achieved production levels exceeding 120,000 barrels of oil per day in 2024, contributing positively to overall production volumes[114]. - The company anticipates future capital expenditures and growth strategies, although specific figures were not disclosed[168]. - The company is focused on executing business and financial strategies to realize cost savings and improve operational performance[169]. Risks and Regulatory Environment - The company acknowledges risks related to global economic conditions, including inflation and interest rates, which may impact financial performance[169]. - The company is actively monitoring changes in laws and regulations that could affect operations and financial results[169]. - The company highlights the potential impact of geopolitical tensions and global events on its business operations and financial condition[169]. - No material changes affecting quantitative and qualitative disclosures about market risk have occurred since the last Annual Report[172].

Financial Performance - Net Loss Attributable to Genesis Energy, L.P. of $17.2 million for Q3 2024 compared to Net Income of $58.1 million for Q3 2023[1] - Net Loss Attributable to Genesis Energy, L.P. was $17.2 million in the 2024 Quarter compared to Net Income of $58.1 million in the 2023 Quarter[28] - Net income (loss) attributable to Genesis Energy, L.P. was $(17.2) million for Q3 2024, compared to $58.1 million in Q3 2023[39] - Adjusted EBITDA for Q3 2024 was $136.7 million, down from $190.6 million in Q3 2023[41] - Segment Margin for Q3 2024 was $151.1 million, compared to $207.9 million in Q3 2023[39] Cash Flow and Liquidity - Cash Flows from Operating Activities of $87.3 million for Q3 2024 compared to $141.0 million for Q3 2023[2] - Available Cash before Reserves to common unitholders of $24.5 million for Q3 2024, providing 1.21X coverage for the quarterly distribution of $0.165 per common unit[3] - Available Cash before Reserves for Q3 2024 was $24.5 million, significantly lower than $89.0 million in Q3 2023[41] - Cash flows from operating activities for Q3 2024 were $87.3 million, down from $141.0 million in Q3 2023[45] Segment Performance - Offshore pipeline transportation Segment Margin decreased by $37.1 million (34%) in Q3 2024 compared to Q3 2023 due to economic step-downs, producer underperformance, and increased operating costs[24] - Soda and sulfur services Segment Margin decreased by $23.8 million (38%) in the 2024 Quarter due to lower export pricing and sales volumes in the Alkali Business, partially offset by higher soda ash sales volumes[25] - Marine transportation Segment Margin increased by $3.9 million (15%) in the 2024 Quarter due to higher day rates in inland and offshore businesses[26] - Onshore facilities and transportation Segment Margin increased by $0.2 million (2%) in the 2024 Quarter due to higher rail unload volumes at the Scenic Station facility[27] Soda Ash Business - Soda ash business missed more than 300,000 tons from the original forecasted total sales volumes for 2024 due to operational challenges at the Westvaco facility[8] - Global soda ash market faces challenges with increased export availability from China, leading to lower prices in Q4 2024[17] - Soda Ash volumes sold increased to 995,856 short tons in the 2024 Quarter from 867,319 short tons in the 2023 Quarter[35] Offshore and Marine Operations - Offshore construction projects remain on schedule, with Shenandoah and Salamanca developments expected to begin in Q2 2025, adding nearly 200,000 barrels of oil per day of incremental production handling capacity[15] - Marine transportation segment operates with utilization rates at or near 100% of available capacity, with day rates expected to increase further[21] - Offshore crude oil pipelines total volumes decreased to 624,551 barrels/day in the 2024 Quarter from 681,725 barrels/day in the 2023 Quarter[35] - Offshore Fleet Utilization Percentage decreased to 97.4% in the 2024 Quarter from 98.5% in the 2023 Quarter[35] Onshore Operations - Onshore crude oil pipelines total volumes decreased to 124,470 barrels/day in the 2024 Quarter from 138,364 barrels/day in the 2023 Quarter[35] - Crude oil and petroleum products sales decreased to 18,978 barrels/day in the 2024 Quarter from 23,703 barrels/day in the 2023 Quarter[35] Financial Position and Debt - Adjusted Consolidated EBITDA of $741.7 million for the trailing twelve months ended September 30, 2024, with a bank leverage ratio of 4.84X[4] - Adjusted Debt-to-Adjusted Consolidated EBITDA ratio stood at 4.84X as of September 30, 2024[47] - Senior unsecured notes increased to $3,419.0 million as of September 30, 2024, up from $3,063.0 million at the end of 2023[37] - Total current liabilities decreased to $897.0 million as of September 30, 2024, from $967.4 million at the end of 2023[37] Capital Expenditures - Maintenance capital expenditures for Q3 2024 were $55.0 million, up from $33.6 million in Q3 2023[43] - Maintenance capital expenditures are categorized as discretionary or non-discretionary, with non-discretionary expenditures being necessary for safe and reliable operations[54][55] - The company introduced a maintenance capital utilized measure in 2014 to better reflect non-discretionary maintenance capital expenditures[59] Non-GAAP Measures - The company uses non-GAAP measures such as Adjusted EBITDA and Available Cash before Reserves to assess financial performance, with reconciliations provided to GAAP measures[49] - Available Cash before Reserves is defined as Adjusted EBITDA adjusted for maintenance capital utilized, interest expense, cash tax expense, and cash distributions to Class A convertible preferred unitholders[51] - Adjusted EBITDA is used to evaluate financial performance without regard to financing methods, capital structures, or historical cost basis[61] - The reconciliation of Net income to Adjusted EBITDA includes Select Items such as unrealized losses on derivative transactions and adjustments for equity investees[62] - Segment Margin is defined as revenues less product costs, operating expenses, and segment general and administrative expenses, adjusted for Select Items[64] Future Outlook - Genesis Energy expects Adjusted EBITDA growth starting in 2025, with minimal future growth capital expenditures and no near-term unsecured debt maturities[10]

Genesis Energy, L.P. (NYSE:GEL) Q2 2024 Earnings Conference Call August 1, 2024 10:00 AM ET Company Participants Dwayne Morley - Vice President, Investor Relations Grant Sims - Chief Executive Officer Kristen Jesulaitis - Chief Financial Officer and CLO Ryan Sims - President and CCO Louie Nicol - Chief Accounting Officer Conference Call Participants Michael Blum - Wells Fargo Wade Suki - Capital One Operator Greetings and welcome to the Genesis Energy L.P. Second Quarter 2024 Earnings Conference Call. At th ...

Financial Performance - Net Loss Attributable to Genesis Energy, L.P. for the 2024 Quarter was $8.7 million, a decrease from Net Income of $49.3 million in the 2023 Quarter [98]. - Revenues for the 2024 Quarter decreased by $48.4 million, or 6%, compared to the 2023 Quarter [103]. - Cash flow from operating activities decreased to $104.7 million in the 2024 Quarter, down from $157.7 million in the 2023 Quarter [98]. - Available Cash before Reserves for common unitholders was $37.6 million, a decrease of $58.7 million, or 61%, from the 2023 Quarter [98]. - Net income attributable to Genesis Energy, L.P. for the three months ended June 30, 2024, was $(8.744) million, compared to $49.344 million for the same period in 2023 [108]. - The net loss for the six months ended June 30, 2024, was $11,172 thousand, compared to a loss before income taxes of $10,342 thousand [156]. - Revenues for the six months ended June 30, 2024, were reported at $1,444,545 thousand, with operating income of $89,202 thousand [156]. - The company reported a total revenue of $7,820,000 for the three months ended June 2024, compared to $11,559,000 for the same period in 2023, indicating a decrease of approximately 32% [160]. Segment Performance - Segment Margin for the 2024 Quarter was $168.3 million, a decrease of $46.3 million, or 22%, from the 2023 Quarter [106]. - Offshore pipeline transportation Segment Margin was $86.1 million for the 2024 Quarter, down from $93.3 million in the 2023 Quarter [106]. - Marine transportation Segment Margin increased to $31.5 million in the 2024 Quarter, up from $25.8 million in the 2023 Quarter [106]. - Soda and sulfur services segment margin decreased by $47.6 million, or 53%, in the 2024 quarter primarily due to lower export pricing and reduced sales pricing [116]. - Total external segment revenues for soda and sulfur services decreased to $371.8 million in the three months ended June 30, 2024, from $442.5 million in the same period in 2023 [115]. - Marine transportation segment margin increased by $11.5 million, or 22%, in the first six months of 2024 compared to the same period in 2023, driven by higher day rates in inland and offshore businesses [123]. Capital Expenditures and Debt - Total capital expenditures for fixed and intangible assets amounted to $216,978 thousand in the first six months of 2024, a slight decrease from $217,905 thousand in the same period of 2023 [148]. - Maintenance capital expenditures totaled $73,611 thousand in the first half of 2024, up from $53,299 thousand in the same period of 2023, reflecting increased investment in marine transportation and offshore assets [148]. - Growth capital expenditures were $143,367 thousand in the first half of 2024, down from $164,606 thousand in the same period of 2023 [148]. - As of June 30, 2024, total debt was approximately $4.0 billion, including $134.8 million under the senior secured credit facility and $3.5 billion of senior unsecured notes [143]. - The company issued $600 million in aggregate principal amount of 2029 Notes in December 2023, generating net proceeds of approximately $583 million [141]. - The company issued $700 million in aggregate principal amount of 2032 Notes in May 2024, generating net proceeds of approximately $688 million [141]. Market Conditions and Risks - The company expects a tightening of the global soda ash supply environment in the second half of the year, which may lead to positive price movements [117]. - The company highlighted the risks associated with global economic conditions, including inflation and interest rates, which could affect financial performance [170]. - The management team is focused on identifying strategic acquisitions to enhance operational capabilities and market position [169]. - The company anticipates future capital expenditures will be influenced by market conditions, including demand for crude oil and natural gas, as well as geopolitical factors [169]. Operational Highlights - CHOPS pipeline achieved production levels exceeding 120,000 barrels of oil per day in the 2024 quarter, contributing to increased volumes [113]. - The Argos Floating Production System has ramped up production levels, positively affecting the CHOPS pipeline [113]. - Inland freight revenues for the second quarter of 2024 were $37,998 thousand, up from $31,890 thousand in the same quarter of 2023, representing a 19.7% increase [120]. - Offshore freight revenues for the second quarter of 2024 were $26,054 thousand, slightly down from $26,876 thousand in the same quarter of 2023, indicating a decrease of 3.1% [120]. Financial Management and Transparency - The company emphasizes the importance of Available Cash before Reserves as a key financial measure, which aids in assessing financial performance and operational viability [163]. - The company is committed to providing transparency in its financial measures to facilitate informed decision-making by investors and stakeholders [161]. - The company remains committed to transparency in its financial disclosures [172]. - The risk management framework has not undergone any substantial changes [172]. - The company continues to assess the impact of market fluctuations on its financial performance [172].

FOR IMMEDIATE RELEASE August 1, 2024 Genesis Energy, L.P. Reports Second Quarter 2024 Results, Announces a Distribution Increase Attributable to the Third Quarter 2024, And Discusses Future Capital Allocation Priorities HOUSTON – (BUSINESS WIRE) – Genesis Energy, L.P. (NYSE: GEL) today announced its second quarter results. We generated the following financial results for the second quarter of 2024: • Net Loss Attributable to Genesis Energy, L.P. of $8.7 million for the second quarter of 2024 compared to Net ...

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Genesis Energy, L.P. Class A Common Units (NYSE:GEL) Q1 2024 Earnings Conference Call May 2, 2024 10:00 AM ET Company Participants Dwayne Morley - Vice President, Investor Relations Grant Sims - Chairman & Chief Executive Officer Conference Call Participants Michael Blum - Wells Fargo Wade Suki - Capital One Operator Greetings and welcome to the Genesis Energy LP First Quarter 2024 Earnings Conference Call. At this time, all participants are in a listen-only mode. A question-and-answer session will follow t ...

315,896 280,826 - 244,663 219,440 3,169 Gain on sale of asset, net to our ownership interest(a) - - 65 - (671) (1,367) - - 30,443 2,233 Plus (minus) Select Items, net(d) 164,764 99,091 $770,055 $827,062 (b) (c) (d) 6 Available Cash Before Reserves (a) 7 Adjusted Consolidated EBITDA (per our senior secured credit facility)(c) $822,908 $842,340 $736,285 $594,272 $602,366 $668,595 Reconciliation (a) Includes the difference in ining of cash receipts homer of tillings to coubtenes during the period and the reven ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission file number 1-12295 GENESIS ENERGY, L.P. (Exact name of registrant as specified in its charter) Delaware 76-0513049 (State or other jurisdiction of incorporation or organi ...