Delek Logistics(US:DKL)2025-05-07 11:07Financial Performance - Delek Logistics reported a net income of $39.0 million, or $0.73 per diluted common limited partner unit, for Q1 2025, compared to $32.6 million in Q1 2024[4]. - Adjusted EBITDA for Q1 2025 was $116.5 million, reflecting a 15% increase year-over-year from $101.5 million in Q1 2024[5][8]. - Total net revenues for Q1 2025 were $249.93 million, a slight decrease from $252.08 million in Q1 2024, representing a 0.5% decline[28]. - Operating income for Q1 2025 was $47.60 million, down from $64.54 million in Q1 2024, reflecting a decrease of 26.3%[28]. - Net income for Q1 2025 increased to $39.03 million compared to $32.65 million in Q1 2024, marking a growth of 19.4%[28]. - Distributable cash flow for Q1 2025 was $71.71 million, up from $67.99 million in Q1 2024, indicating a 5.0% increase[30]. - The distributable cash flow coverage ratio for Q1 2025 was 1.21x, down from 1.35x in Q1 2024[31]. - Total segment EBITDA for Q1 2025 was $85.49 million, compared to $101.50 million in Q1 2024, reflecting a decrease of about 15.7%[32]. Debt and Assets - Total debt as of March 31, 2025, was approximately $2.15 billion, with a leverage ratio of about 4.21x[7]. - Long-term debt increased to $2.15 billion in Q1 2025 from $1.88 billion in Q1 2024, representing a rise of 14.3%[27]. - Total assets increased to $2.40 billion as of March 31, 2025, compared to $2.04 billion at the end of 2024, reflecting a growth of 17.4%[27]. Cash Flow - Net cash provided by operating activities was $31.6 million in Q1 2025, down from $43.9 million in Q1 2024[4]. - Cash and cash equivalents at the end of Q1 2025 were $2.11 million, a decrease from $9.67 million at the end of Q1 2024[29]. - Cash flows from operating activities decreased to $31.55 million in Q1 2025 from $43.86 million in Q1 2024, a decline of 28.1%[29]. Capital Expenditures - Capital spending in Q1 2025 totaled $71.94 million, significantly higher than $15.17 million in Q1 2024, indicating a year-over-year increase of approximately 373%[33]. - Growth capital spending in Q1 2025 was $71.30 million, compared to $13.89 million in Q1 2024, indicating a significant increase of approximately 413%[33]. Operational Metrics - The acquisition of Gravity Water Midstream was completed on January 2, 2025, contributing to the increase in third-party cash flow to approximately 80%[3][10]. - The new Libby 2 plant is being commissioned to expand processing capacity in Lea County, NM[10]. - Average throughput for the Midland Gathering System in Q1 2025 was 246,090 bpd, up from 213,458 bpd in Q1 2024, showing an increase of about 15.3%[34]. - The average bpd for crude pipelines (non-gathered) in El Dorado assets decreased to 61,888 bpd in Q1 2025 from 73,011 bpd in Q1 2024, a decline of approximately 15.3%[34]. - The average bpd for water disposal and recycling in the Midland Water Gathering System was 632,972 bpd in Q1 2025, with no prior year data available for comparison[34]. Market Performance - The company experienced a decline in wholesale marketing and terminalling segment Adjusted EBITDA, which was $17.8 million in Q1 2025 compared to $25.3 million in Q1 2024[12]. - The West Texas gross margin per barrel decreased to $1.64 in Q1 2025 from $2.15 in Q1 2024, a decline of approximately 23.7%[34].