Delek US(DK) - 2024 Q3 - Quarterly Results

Financial Performance - Delek US reported a net loss of $76.8 million or$(1.20) per share for Q3 2024, compared to a net income of $128.7 million or$1.97 per share in Q3 2023[1][2]. - Adjusted EBITDA for Q3 2024 was $70.6 million, significantly down from$345.1 million in the same quarter last year[2]. - Adjusted net loss for Q3 2024 was $93.0 million, compared to an adjusted net income of$131.9 million in Q3 2023[2]. - The company experienced a net loss of $136.1 million for the three months ended September 30, 2024, compared to a net income of$206.8 million in the same period of 2023[16]. - Cash provided by operating activities from continuing operations was $(22.1) million for the three months ended September 30, 2024, down from$420.2 million in the same period of 2023[19]. - Nine months ended September 2024 showed a net loss of $146.6 million, compared to a net income of$184.7 million for the same period in 2023[31]. - The company reported total non-current liabilities of $3,617.9 million as of September 30, 2024, an increase from$3,527.0 million at December 31, 2023[15]. - The company recorded restructuring costs of $33.7 million ($26.1 million after-tax) for the third quarter of 2024, as part of its business transformation efforts[24]. Segment Performance - The refining segment's Adjusted EBITDA was $10.2 million, a decrease from$296.1 million in Q3 2023, primarily due to a 49.1% drop in benchmark crack spreads[3]. - The logistics segment achieved a record Adjusted EBITDA of $106.1 million, up from$96.5 million in the prior year quarter, driven by strong contributions from Delaware Gathering systems[4]. - Segment EBITDA attributable to Delek US for Q3 2024 was $1.8 million, a significant drop from$324.8 million in Q3 2023[33]. - Adjusted Segment EBITDA for Q3 2024 was $62.4 million, down from$328.7 million in Q3 2023, indicating a decline of approximately 81%[35]. - Refining segment net revenues for the three months ended September 30, 2024, were $2,852.6 million, while total revenues reached$3,027.8 million[44]. - The refining segment reported net revenues of $8,872.1 million for the three months ended September 30, 2024, compared to$4,392.4 million for the same period in 2023, indicating significant growth[46]. Cash and Debt Management - As of September 30, 2024, Delek US had a cash balance of $1,037.6 million and total consolidated long-term debt of$2,789.4 million, resulting in net debt of $1,751.8 million[7]. - Net (cash) debt, excluding DKL, as of September 30, 2024, was$(135.2) million, compared to $78.0 million as of December 31, 2023, indicating a shift to a net cash position[51]. - Total current assets decreased to$2,564.8 million as of September 30, 2024, from $2,666.0 million at December 31, 2023[15]. - Total liabilities increased to$6,084.9 million as of September 30, 2024, compared to $5,982.1 million at December 31, 2023[15]. Operational Metrics - Total refining production margin per barrel for the three months ended September 30, 2024, was$4.88, significantly lower than $16.01 for the same period in 2023, representing a decrease of approximately 69.6$100 million[1]. - The company closed the sale of retail assets for proceeds of $390 million and completed the acquisition of H2O Midstream, enhancing third-party cash flows[1]. - Delek US completed the acquisition of H2O Midstream for$229.5 million, enhancing its water disposal and recycling operations in the Midland Basin, Texas[20]. - The company sold 100% of the equity interests in four retail subsidiaries for approximately $390.2 million, resulting in a gain on sale of$98.4 million[21]. Market Conditions - The average WTI Cushing crude oil price per barrel for the three months ended September 30, 2024, was $75.28, down from$82.51 in the same period of 2023[47]. - The U.S. Gulf Coast 5-3-2 crack spread averaged $15.64 per barrel for the three months ended September 30, 2024, compared to$32.39 in the same period of 2023, reflecting a significant decrease[47].