In a prime-time address, Trump signaled again that U.S. involvement in the Iran war is winding down, telling Americans from the podium, “Tonight, I’m pleased to say these core strategic objectives are nearing completion.” MS NOW: My Source for News, Opinion, and the World. » Subscribe to MS NOW: https://www.youtube.com/@msnow MS NOW is the go-to destination for domestic and international breaking news, and best-in-class opinion journalism. For more context and news coverage of the most important stories of ...

Financial Data and Key Metrics Changes - First quarter adjusted EBITDA was $10 million, with an adjusted net loss of $0.94 per share, reflecting off-season conditions and the impacts of the Wyoming outage [4][15] - Total adjusted EBITDA for the last twelve months exceeded $80 million for the first time [6] - Ending liquidity was $525 million after share repurchases, with gross term debt at $642 million, representing a leverage ratio of 3.2 times [8][20] Business Line Data and Key Metrics Changes - Refining segment reported an adjusted EBITDA loss of $14 million in Q1, an improvement from a loss of $22 million in the previous quarter [15] - Retail segment adjusted EBITDA was $19 million, down from $22 million in the fourth quarter, but still reflecting strong fuel margins and improving in-store performance [18] - Logistics segment adjusted EBITDA was $30 million, in line with mid-cycle run rate guidance [18] Market Data and Key Metrics Changes - First quarter combined throughput was 176,000 barrels per day, with Hawaii throughput at 79,000 barrels per day and production costs at $4.81 per barrel [10] - Washington throughput was 39,000 barrels per day, with production costs at $4.16 per barrel, while Wyoming throughput was 6,000 barrels per day, impacted by a furnace incident [11][12] - Montana throughput was 52,000 barrels per day, with production costs at $10.56 per barrel, as the facility neared mechanical completion of a turnaround [12][13] Company Strategy and Development Direction - The company is focused on enhancing flexibility and competitiveness, with significant progress on strategic objectives, including a 5% reduction in shares outstanding [6][8] - The Hawaii SAF project construction is progressing as planned, with startup scheduled for the second half of the year, despite policy uncertainties [7][8] - The company aims to achieve $30 million to $40 million in annual cost savings relative to 2024 [18] Management's Comments on Operating Environment and Future Outlook - Management noted improving market conditions, with a combined index up by $6 per barrel so far this quarter [4] - The outlook for the Hawaii refining business is strong, with expectations of increased throughput in the second quarter [4][14] - Demand across niche markets is steady to increasing, with no signs of recessionary demand observed [56] Other Important Information - The company opportunistically repurchased $51 million of common stock in Q1, reducing basic shares outstanding by 5% [20] - Cash used in operations was $1 million, including $28 million of turnaround expenditures [19] Q&A Session Summary Question: Factors that allowed Wyoming to restart earlier than expected - Management credited a strong team effort and support from third-party contractors for the efficient response and early restart [23][25] Question: Outlook on crude differentials and tight Canadian discounts - Management indicated that excess pipeline capacity in Canada is affecting differentials, suggesting a tight market that may persist until production increases [26][27] Question: Impact of West Coast and Asian market dynamics - Management noted a favorable outcome for the West Coast position due to increased product imports from Asia, benefiting sales in Eastern Washington and Montana [30][31] Question: Capital allocation strategy and free cash flow expectations - Management expressed confidence in the balance sheet and indicated a willingness to be opportunistic in capital allocation, including share repurchases [33][34] Question: Demand outlook for Q2 and market conditions in Asia - Management reported steady to increasing demand across product categories, with flat year-over-year Chinese exports impacting the Singapore market [37][38] Question: Refining capture rates and turnaround impacts - Management provided guidance on capture rates, indicating expectations of 100% to 110% in Hawaii and 85% to 95% in Tacoma, with some noise expected in Montana due to turnarounds [40][41] Question: SAF project outlook and market positioning - Management remains constructive on the Hawaii SAF project, citing competitive operating costs and encouraging interest from international airlines [49][50]

Financial Data and Key Metrics Changes - Consolidated total revenue for Q1 2025 was $274.2 million, a decrease of 13% compared to $315.2 million in the prior year period [20] - Net loss attributable to common stockholders for Q1 2025 was $24.8 million, or $1.89 per fully diluted share, compared to a net loss of $17.7 million, or $2.21 per fully diluted share in the prior year [20] - Total adjusted EBITDA was $7.2 million in Q1 2025, down from $12.8 million in the prior year period [20] Business Line Data and Key Metrics Changes - Infrastructure segment revenue decreased 14% to $264.9 million from $307.9 million in the prior year quarter, primarily due to project timing [21] - Life Sciences segment revenue increased 210% to $3.1 million from $1 million in the prior year quarter, driven by increased unit sales [23] - Spectrum segment revenues were $6.2 million, down $100,000 compared to the first quarter of 2024, with adjusted EBITDA of $1.4 million, a decrease of $200,000 [23] Market Data and Key Metrics Changes - DBM Global achieved revenues of $264.9 million and adjusted EBITDA of $16.7 million during the quarter, with a backlog now reaching $1.4 billion [6][8] - R2 tripled its year-over-year revenue to $3.1 million in Q1 2025, with significant growth in North America [12] - The company is currently serving 28 countries and continues to expand its global footprint [13] Company Strategy and Development Direction - The company is focused on leveraging valuable assets to achieve a sustainable capital structure before debt maturities [6][7] - The strategic vision emphasizes maximizing the value of assets, with ongoing exploration of strategic alternatives [18] - The company is pursuing commercial opportunities in data casting and modernizing broadcasting capabilities [16][18] Management Comments on Operating Environment and Future Outlook - Management expressed confidence in the ability to execute on strategic objectives and highlighted the strong backlog and robust pipeline for DBM [6][8] - The ongoing tariff situation is being monitored, with no material impact observed on DBM's business as of now [9] - Management remains optimistic about the market opportunity for R2 and the momentum experienced year over year [15] Other Important Information - The company had $33.3 million in cash and cash equivalents as of March 31, 2025, down from $48.8 million at the end of 2024 [25] - Total principal outstanding indebtedness was $672 million, an increase from $668.3 million at the end of 2024 [26] Q&A Session Summary - No questions were raised during the Q&A session, and the call concluded with closing comments from management expressing satisfaction with the momentum to start the year [27][28]