As of May 3, 2024, Sunoco has successfully completed its acquisition of NuStar Energy L.P. Find out more here.

News Release

Printer Friendly Version View printer-friendly version

<< Back

NuStar Energy L.P. Reports Solid Fourth Quarter and Full-Year 2023 Earnings Results

SAN ANTONIO--(BUSINESS WIRE)--Feb. 15, 2024-- NuStar Energy L.P. (NYSE: NS) today announced solid results for the fourth quarter and full-year 2023 fueled by strong revenues and volumes in its refined products pipelines and strong performance in its Fuels Marketing Segment.

NuStar reported net income of $70 million for the fourth quarter of 2023, or $0.37 per unit, compared to net income of $92 million, or $0.18 per unit, for the fourth quarter of 2022. Results for the fourth quarter of 2022 include a gain from insurance proceeds to rebuild tanks at its Selby terminal. Earnings per unit (EPU) for the fourth quarter of 2022 also included a $0.31 per unit premium related to the repurchase of a portion of the Series D preferred units. Excluding the effects of these items, adjusted net income was $75 million for the fourth quarter of 2022, or $0.34 per unit. For full-year 2023, NuStar reported net income of $274 million, or $0.72 per unit, compared to net income of $223 million, or $0.36 per unit, for the year ended 2022.

Excluding the gain related to the sale of a portion of NuStar’s corporate headquarters in 2023, non-cash charges and insurance proceeds in 2022, as well as the EPU impact from the repurchases of the Series D preferred units in 2023 and 2022, our full-year 2023 adjusted net income was $233 million, or $0.92 per unit, compared to 2022 adjusted net income of $250 million, or $0.92 per unit.

It is important to note that earnings before interest, taxes, depreciation and amortization (EBITDA) were not impacted by the premium associated with the accelerated repurchase of the Series D preferred units, and we reported EBITDA of $199 million for the fourth quarter of 2023, compared to fourth quarter of 2022 adjusted EBITDA of $197 million. Our adjusted EBITDA for full-year 2023 was $735 million – up compared to 2022 adjusted EBITDA of $722 million.

Distributable Cash Flow (DCF) was $87 million for the fourth quarter of 2023, compared to fourth quarter of 2022 adjusted DCF of $89 million. The distribution coverage ratio was 1.73 times for the fourth quarter of 2023.

Adjusted DCF was $354 million for full-year 2023, compared to adjusted DCF of $357 million in 2022. The adjusted distribution coverage ratio was 1.86 times for full-year 2023.

“I am pleased to report that we have delivered another quarter of solid earnings results and made significant progress on many of our strategic initiatives in 2023,” said NuStar Chairman and CEO Brad Barron.

Operations Continue to Perform Well

NuStar’s Pipeline Segment generated operating income of $130 million and EBITDA of $174 million in the fourth quarter of 2023, compared to operating income of $132 million and EBITDA of $176 million in the fourth quarter of 2022, as increased revenues and throughputs across refined products systems were offset by decreases from the Permian Crude System and Corpus Christi Crude System.

The Permian Crude System’s fourth quarter of 2023 volumes averaged 528,000 BPD, down compared to the fourth quarter of 2022 but up slightly from the third quarter of 2023.

“As we have said on prior calls, our Permian volumes reflected some producer-specific operational issues and delays in 2023, which were largely resolved over the course of the year,” said Barron.

For full-year 2023, NuStar’s Pipeline Segment generated operating income of $483 million, compared to operating income of $439 million in 2022, and EBITDA of $659 million in 2023, compared to EBITDA of $617 million in 2022, an improvement of 7%.

“Our refined products systems, along with our Ammonia System, generated solid, dependable revenue in 2023 as total throughputs were up compared to 2022, reflecting the strength of these assets and our strong position in the markets we serve in the mid-Continent and throughout Texas,” said Barron.

“Our McKee System also performed very well this year, with higher revenues and throughputs versus last year, and almost all our pipeline systems benefitted from annual rate escalations linked to either the FERC index or PPI.”

NuStar’s Storage Segment generated operating income of $26 million and EBITDA of $45 million in the fourth quarter of 2023, compared to operating income of $22 million and EBITDA of $41 million in the fourth quarter of 2022, largely driven by the solid performance of the West Coast region and the continuing growth from our West Coast Renewables Strategy.

For full-year 2023, NuStar’s Storage Segment generated operating income of $88 million and EBITDA of $163 million, compared to operating income of $61 million and adjusted EBITDA of $180 million in 2022. While West Coast region revenues continued to increase, an amendment and an extension of a customer contract at the Corpus Christi North Beach terminal combined with customer transitions and required tank maintenance at the St. James terminal contributed to the decrease in adjusted EBITDA.

Barron also highlighted the strong performance of NuStar’s Fuels Marketing Segment.

“After a near record-breaking 2022, our Fuels Marketing Segment has turned in another strong quarter, generating operating income and EBITDA of $12 million in the fourth quarter of 2023, which is comparable to the segment’s strong fourth quarter of 2022 results,” said Barron. For full-year 2023, NuStar’s Fuels Marketing Segment generated operating income and EBITDA of $33 million, comparable to 2022 operating income and EBITDA of $34 million.

Even with the acceleration of our Series D redemptions in 2023, we ended the fourth quarter of 2023 with a healthy debt-to-EBITDA ratio of 3.85 times and $652 million available on our $1.0 billion unsecured revolving credit facility.

Positive Outlook for 2024

Although the pending merger with Sunoco LP is expected to close as early as the second quarter of 2024, we want to provide our 2024 financial expectations for NuStar on a stand-alone basis. We expect to generate full-year 2024 net income in the range of $220 to $260 million and full-year 2024 EBITDA in the range of $720 to $780 million.

NuStar once again expects to self-fund all of its operational expenses, growth capital and distributions, and continues to target a healthy year-end debt-to-EBITDA ratio below four times.

Conference Call Details

In light of the merger announced on January 22, 2024, NuStar no longer plans to host its previously scheduled earnings call.

About NuStar Energy L.P.

NuStar Energy L.P., through its subsidiaries (collectively, “NuStar” or the “Partnership”), is an independent liquids terminal and pipeline operator. NuStar has approximately 9,500 miles of pipeline and 63 terminal and storage facilities that store and distribute crude oil, refined products, renewable fuels, ammonia and specialty liquids. The Partnership’s combined system has approximately 49 million barrels of storage capacity, and NuStar has operations in the United States and Mexico. For more information, visit NuStar Energy L.P.’s website at www.nustarenergy.com and its Sustainability page at https://sustainability.nustarenergy.com/.

Cautionary Statement Regarding Forward-Looking Statements

This press release includes forward-looking statements regarding future events and expectations, such as NuStar’s future performance, plans and expenditures. All forward-looking statements are based on NuStar’s beliefs as well as assumptions made by and information currently available to NuStar. These statements reflect NuStar’s current views with respect to future events and are subject to various risks, uncertainties and assumptions. These risks, uncertainties and assumptions are discussed in NuStar Energy L.P.’s 2022 annual report on Form 10-K and subsequent filings with the Securities and Exchange Commission. Actual results may differ materially from those described in the forward-looking statements. Except as required by law, NuStar does not intend, or undertake any obligation, to update or revise its forward-looking statements, whether as a result of new information, future events or otherwise.

NuStar Energy L.P. and Subsidiaries

Consolidated Financial Information

(Unaudited, Thousands of Dollars, Except Unit, Per Unit and Ratio Data)

 

 

Three Months Ended December 31,

 

Year Ended December 31,

 

 

2023

 

 

 

2022

 

 

 

2023

 

 

 

2022

 

Statement of Income Data:

 

 

 

 

 

 

 

Revenues:

 

 

 

 

 

 

 

Service revenues

$

304,989

 

 

$

299,497

 

 

$

1,155,567

 

 

$

1,120,249

 

Product sales

 

146,697

 

 

 

130,463

 

 

 

478,620

 

 

 

562,974

 

Total revenues

 

451,686

 

 

 

429,960

 

 

 

1,634,187

 

 

 

1,683,223

 

Costs and expenses:

 

 

 

 

 

 

 

Costs associated with service revenues:

 

 

 

 

 

 

 

Operating expenses

 

95,112

 

 

 

92,353

 

 

 

371,689

 

 

 

364,989

 

Depreciation and amortization expense

 

63,183

 

 

 

63,195

 

 

 

250,982

 

 

 

251,878

 

Total costs associated with service revenues

 

158,295

 

 

 

155,548

 

 

 

622,671

 

 

 

616,867

 

Costs associated with product sales

 

125,846

 

 

 

108,730

 

 

 

407,793

 

 

 

486,947

 

Impairment loss

 

 

 

 

 

 

 

 

 

 

46,122

 

General and administrative expenses

 

34,418

 

 

 

34,460

 

 

 

129,846

 

 

 

117,116

 

Other depreciation and amortization expense

 

1,056

 

 

 

1,776

 

 

 

4,728

 

 

 

7,358

 

Total costs and expenses

 

319,615

 

 

 

300,514

 

 

 

1,165,038

 

 

 

1,274,410

 

Gain on sale of assets

 

 

 

 

 

 

 

41,075

 

 

 

 

Operating income

 

132,071

 

 

 

129,446

 

 

 

510,224

 

 

 

408,813

 

Interest expense, net

 

(62,698

)

 

 

(55,956

)

 

 

(241,364

)

 

 

(209,009

)

Other income, net

 

2,917

 

 

 

19,024

 

 

 

10,215

 

 

 

26,182

 

Income before income tax expense

 

72,290

 

 

 

92,514

 

 

 

279,075

 

 

 

225,986

 

Income tax expense

 

1,899

 

 

 

911

 

 

 

5,412

 

 

 

3,239

 

Net income

$

70,391

 

 

$

91,603

 

 

$

273,663

 

 

$

222,747

 

 

 

 

 

 

 

 

 

Basic and diluted net income per common unit

$

0.37

 

 

$

0.18

 

 

$

0.72

 

 

$

0.36

 

Basic and diluted weighted-average common units outstanding

 

126,205,999

 

 

 

110,566,272

 

 

 

116,851,373

 

 

 

110,341,206

 

Non-GAAP Data (Note 1):

 

 

 

 

 

 

 

Adjusted net income

$

70,391

 

$

75,237

 

$

232,588

 

$

249,795

Adjusted net income per common unit

$

0.37

 

$

0.34

 

$

0.92

 

$

0.92

EBITDA

$

199,227

 

$

213,441

 

$

776,149

 

$

694,231

Adjusted EBITDA

$

199,227

 

$

197,075

 

$

735,074

 

$

722,423

DCF

$

87,337

 

$

69,937

 

$

287,061

 

$

337,482

Adjusted DCF

$

87,337

 

$

89,216

 

$

353,756

 

$

356,761

Distribution coverage ratio

1.73x

 

1.58x

 

1.51x

 

1.91x

Adjusted distribution coverage ratio

1.73x

 

2.01x

 

1.86x

 

2.02x

 

For the Four Quarters Ended December 31,

 

2023

 

2022

Consolidated Debt Coverage Ratio

3.85x

 

3.98x

NuStar Energy L.P. and Subsidiaries

Consolidated Financial Information - Continued

(Unaudited, Thousands of Dollars, Except Barrel Data)

 

Three Months Ended December 31,

 

Year Ended December 31,

 

 

2023

 

 

 

2022

 

 

 

2023

 

 

 

2022

 

Pipeline:

 

 

 

 

 

 

 

Crude oil pipelines throughput (barrels/day)

 

1,299,866

 

 

 

1,410,966

 

 

 

1,234,051

 

 

 

1,319,360

 

Refined products and ammonia pipelines

throughput (barrels/day)

 

617,909

 

 

 

611,011

 

 

 

602,913

 

 

 

579,240

 

Total throughput (barrels/day)

 

1,917,775

 

 

 

2,021,977

 

 

 

1,836,964

 

 

 

1,898,600

 

 

 

 

 

 

 

 

 

Throughput and other revenues

$

228,621

 

 

$

229,935

 

 

$

873,869

 

 

$

828,191

 

Operating expenses

 

54,754

 

 

 

53,609

 

 

 

214,751

 

 

 

210,719

 

Depreciation and amortization expense

 

44,294

 

 

 

44,726

 

 

 

175,930

 

 

 

178,802

 

Segment operating income

$

129,573

 

 

$

131,600

 

 

$

483,188

 

 

$

438,670

 

Storage:

 

 

 

 

 

 

 

Throughput (barrels/day)

 

489,206

 

 

 

512,504

 

 

 

448,331

 

 

 

480,129

 

 

 

 

 

 

 

 

 

Throughput terminal revenues

$

31,473

 

 

$

26,288

 

 

$

104,495

 

 

$

110,591

 

Storage terminal revenues

 

54,056

 

 

 

53,165

 

 

 

215,104

 

 

 

223,958

 

Total revenues

 

85,529

 

 

 

79,453

 

 

 

319,599

 

 

 

334,549

 

Operating expenses

 

40,358

 

 

 

38,744

 

 

 

156,938

 

 

 

154,270

 

Depreciation and amortization expense

 

18,889

 

 

 

18,469

 

 

 

75,052

 

 

 

73,076

 

Impairment loss

 

 

 

 

 

 

 

 

 

 

46,122

 

Segment operating income

$

26,282

 

 

$

22,240

 

 

$

87,609

 

 

$

61,081

 

Fuels Marketing:

 

 

 

 

 

 

 

Product sales

$

137,540

 

 

$

120,574

 

 

$

440,725

 

 

$

520,486

 

Cost of goods

 

125,401

 

 

 

107,850

 

 

 

405,992

 

 

 

484,477

 

Gross margin

 

12,139

 

 

 

12,724

 

 

 

34,733

 

 

 

36,009

 

Operating expenses

 

449

 

 

 

882

 

 

 

1,807

 

 

 

2,473

 

Segment operating income

$

11,690

 

 

$

11,842

 

 

$

32,926

 

 

$

33,536

 

Consolidation and Intersegment Eliminations:

 

 

 

 

 

 

 

Revenues

$

(4

)

 

$

(2

)

 

$

(6

)

 

$

(3

)

Cost of goods

 

(4

)

 

 

(2

)

 

 

(6

)

 

 

(3

)

Total

$

 

 

$

 

 

$

 

 

$

 

Consolidated Information:

 

 

 

 

 

 

 

Revenues

$

451,686

 

 

$

429,960

 

 

$

1,634,187

 

 

$

1,683,223

 

Costs associated with service revenues:

 

 

 

 

 

 

 

Operating expenses

 

95,112

 

 

 

92,353

 

 

 

371,689

 

 

 

364,989

 

Depreciation and amortization expense

 

63,183

 

 

 

63,195

 

 

 

250,982

 

 

 

251,878

 

Total costs associated with service revenues

 

158,295

 

 

 

155,548

 

 

 

622,671

 

 

 

616,867

 

Costs associated with product sales

 

125,846

 

 

 

108,730

 

 

 

407,793

 

 

 

486,947

 

Impairment loss

 

 

 

 

 

 

 

 

 

 

46,122

 

Segment operating income

 

167,545

 

 

 

165,682

 

 

 

603,723

 

 

 

533,287

 

Gain on sale of assets

 

 

 

 

 

 

 

41,075

 

 

 

 

General and administrative expenses

 

34,418

 

 

 

34,460

 

 

 

129,846

 

 

 

117,116

 

Other depreciation and amortization expense

 

1,056

 

 

 

1,776

 

 

 

4,728

 

 

 

7,358

 

Consolidated operating income

$

132,071

 

 

$

129,446

 

 

$

510,224

 

 

$

408,813

 

NuStar Energy L.P. and Subsidiaries
Reconciliation of Non-GAAP Financial Information
(Unaudited, Thousands of Dollars, Except Ratio Data)

Note 1: NuStar Energy L.P. (the Partnership) utilizes financial measures, such as earnings before interest, taxes, depreciation and amortization (EBITDA), distributable cash flow (DCF) and distribution coverage ratio, which are not defined in U.S. generally accepted accounting principles (GAAP). Management believes these financial measures provide useful information to investors and other external users of our financial information because (i) they provide additional information about the operating performance of the Partnership’s assets and the cash the business is generating, (ii) investors and other external users of our financial statements benefit from having access to the same financial measures being utilized by management and our board of directors when making financial, operational, compensation and planning decisions and (iii) they highlight the impact of significant transactions. We present segment EBITDA to facilitate period-over-period comparisons of the operational performance of our business segments and to understand our business segments’ relative contributions to our consolidated performance. We may also adjust these measures to enhance the comparability of our performance across periods.

Our board of directors and management use EBITDA and/or DCF when assessing the following: (i) the performance of our assets, (ii) the viability of potential projects, (iii) our ability to fund distributions, (iv) our ability to fund capital expenditures and (v) our ability to service debt. In addition, our board of directors uses EBITDA, DCF and a distribution coverage ratio, which is calculated based on DCF, as some of the factors in its compensation determinations. DCF is a financial indicator used by the master limited partnership (MLP) investment community to compare partnership performance. DCF is used by the MLP investment community, in part, because the value of a partnership unit is partially based on its yield, and its yield is based on the cash distributions a partnership can pay its unitholders.

None of these financial measures are presented as an alternative to net income. They should not be considered in isolation or as substitutes for a measure of performance prepared in accordance with GAAP.

The following is a reconciliation of net income to EBITDA, DCF and distribution coverage ratio.

 

Three Months Ended December 31,

 

Year Ended December 31,

 

 

2023

 

 

 

2022

 

 

 

2023

 

 

 

2022

 

Net income

$

70,391

 

 

$

91,603

 

 

$

273,663

 

 

$

222,747

 

Interest expense, net

 

62,698

 

 

 

55,956

 

 

 

241,364

 

 

 

209,009

 

Income tax expense

 

1,899

 

 

 

911

 

 

 

5,412

 

 

 

3,239

 

Depreciation and amortization expense

 

64,239

 

 

 

64,971

 

 

 

255,710

 

 

 

259,236

 

EBITDA

 

199,227

 

 

 

213,441

 

 

 

776,149

 

 

 

694,231

 

Interest expense, net

 

(62,698

)

 

 

(55,956

)

 

 

(241,364

)

 

 

(209,009

)

Reliability capital expenditures

 

(7,504

)

 

 

(8,118

)

 

 

(27,995

)

 

 

(32,775

)

Income tax expense

 

(1,899

)

 

 

(911

)

 

 

(5,412

)

 

 

(3,239

)

Long-term incentive equity awards (a)

 

3,242

 

 

 

3,337

 

 

 

12,919

 

 

 

11,434

 

Preferred unit distributions

 

(23,335

)

 

 

(32,511

)

 

 

(114,729

)

 

 

(127,589

)

Impairment loss

 

 

 

 

 

 

 

 

 

 

46,122

 

Income tax benefit related to impairment loss

 

 

 

 

 

 

 

 

 

 

(1,144

)

Premium on redemption/repurchase of Series D Cumulative Convertible Preferred Units

 

 

 

 

(49,600

)

 

 

(107,770

)

 

 

(49,600

)

Other items

 

(19,696

)

 

 

255

 

 

 

(4,737

)

 

 

9,051

 

DCF

$

87,337

 

 

$

69,937

 

 

$

287,061

 

 

$

337,482

 

 

 

 

 

 

 

 

 

Distributions applicable to common limited partners

$

50,607

 

 

$

44,328

 

 

$

189,724

 

 

$

176,746

 

Distribution coverage ratio (b)

1.73x

 

1.58x

 

1.51x

 

1.91x

(a)

We intend to satisfy the vestings of these equity-based awards with the issuance of our common units. As such, the expenses related to these awards are considered non-cash and added back to DCF. Certain awards include distribution equivalent rights (DERs). Payments made in connection with DERs are deducted from DCF.

(b)

Distribution coverage ratio is calculated by dividing DCF by distributions applicable to common limited partners.

NuStar Energy L.P. and Subsidiaries
Reconciliation of Non-GAAP Financial Information - Continued
(Unaudited, Thousands of Dollars, Except Ratio and Per Unit Data)

The following is the reconciliation for the calculation of our Consolidated Debt Coverage Ratio, as defined in our revolving credit agreement (the Revolving Credit Agreement).

 

Year Ended December 31,

 

 

2023

 

 

 

2022

 

Operating income

$

510,224

 

 

$

408,813

 

Depreciation and amortization expense

 

255,710

 

 

 

259,236

 

Impairment loss

 

 

 

 

46,122

 

Amortization expense of equity-based awards

 

15,547

 

 

 

13,781

 

Pro forma effect of disposition (a)

 

 

 

 

(1,760

)

Other

 

(6,087

)

 

 

(3,607

)

Consolidated EBITDA, as defined in the Revolving Credit Agreement

$

775,394

 

 

$

722,585

 

 

 

 

 

Long-term debt, less current portion of finance leases

$

3,410,338

 

 

$

3,293,415

 

Long-term portion of finance leases

 

(50,707

)

 

 

(51,127

)

Unamortized debt issuance costs

 

27,809

 

 

 

33,252

 

NuStar Logistics’ floating rate subordinated notes

 

(402,500

)

 

 

(402,500

)

Consolidated Debt, as defined in the Revolving Credit Agreement

$

2,984,940

 

 

$

2,873,040

 

 

 

 

 

Consolidated Debt Coverage Ratio (Consolidated Debt to Consolidated EBITDA)

3.85x

 

3.98x

(a)

This adjustment represents the pro forma effect of the disposition of the Point Tupper terminal, which was sold in April 2022.

The following are reconciliations of net income / net income per common unit to adjusted net income / adjusted net income per common unit.

 

 

Three Months Ended December 31,

 

 

2023

 

 

2022

 

Net income / net income per common unit

 

$

70,391

 

$

0.37

 

$

91,603

 

 

$

0.18

 

Gain from insurance recoveries

 

 

 

 

 

 

(16,366

)

 

 

(0.15

)

Premium on repurchase of Series D Cumulative Convertible Preferred Units

 

 

 

 

 

 

 

 

 

0.31

 

Adjusted net income / adjusted net income per common unit

 

$

70,391

 

$

0.37

 

$

75,237

 

 

$

0.34

 

 

 

Year Ended December 31,

 

 

2023

 

 

2022

 

Net income / net income per common unit

 

$

273,663

 

 

$

0.72

 

 

$

222,747

 

 

$

0.36

 

Premium on redemption/repurchase of Series D Cumulative Convertible Preferred Units

 

 

 

 

 

0.55

 

 

 

 

 

 

0.31

 

Gain on sale of assets

 

 

(41,075

)

 

 

(0.35

)

 

 

 

 

 

 

Impairment loss

 

 

 

 

 

 

 

 

46,122

 

 

 

0.42

 

Income tax benefit related to impairment loss

 

 

 

 

 

 

 

 

(1,144

)

 

 

(0.01

)

Gain from insurance recoveries

 

 

 

 

 

 

 

 

(16,366

)

 

 

(0.15

)

Other

 

 

 

 

 

 

 

 

(1,564

)

 

 

(0.01

)

Adjusted net income / adjusted net income per common unit

 

$

232,588

 

 

$

0.92

 

 

$

249,795

 

 

$

0.92

 

NuStar Energy L.P. and Subsidiaries
Reconciliation of Non-GAAP Financial Information - Continued
(Unaudited, Thousands of Dollars, Except Ratio Data)

The following is a reconciliation of EBITDA to adjusted EBITDA.

 

Three Months Ended
December 31,

 

Year Ended
December 31,

 

 

2023

 

 

2022

 

 

 

2023

 

 

 

2022

 

EBITDA

$

199,227

 

$

213,441

 

 

$

776,149

 

 

$

694,231

 

Gain on sale of assets

 

 

 

 

 

 

(41,075

)

 

 

 

Gain from insurance recoveries

 

 

 

(16,366

)

 

 

 

 

 

(16,366

)

Impairment loss

 

 

 

 

 

 

 

 

 

46,122

 

Other

 

 

 

 

 

 

 

 

 

(1,564

)

Adjusted EBITDA

$

199,227

 

$

197,075

 

 

$

735,074

 

 

$

722,423

 

The following is a reconciliation of DCF to adjusted DCF and adjusted distribution coverage ratio.

 

Three Months Ended
December 31,

 

Year Ended December 31,

 

 

2023

 

 

2022

 

 

 

2023

 

 

 

2022

 

DCF

$

87,337

 

$

69,937

 

 

$

287,061

 

 

$

337,482

 

Premium on repurchase/redemption of Series D Cumulative Convertible Preferred Units

 

 

 

49,600

 

 

 

107,770

 

 

 

49,600

 

Gain from insurance recoveries

 

 

 

(16,366

)

 

 

 

 

 

(16,366

)

Gain on sale of assets

 

 

 

 

 

 

(41,075

)

 

 

 

Other

 

 

 

(13,955

)

 

 

 

 

 

(13,955

)

Adjusted DCF

$

87,337

 

$

89,216

 

 

$

353,756

 

 

$

356,761

 

 

 

 

 

 

 

 

 

Distributions applicable to common limited partners

$

50,607

 

$

44,328

 

 

$

189,724

 

 

$

176,746

 

Adjusted distribution coverage ratio (a)

1.73x

 

2.01x

 

1.86x

 

2.02x

(a)

Adjusted distribution coverage ratio is calculated by dividing adjusted DCF by distributions applicable to common limited partners.

NuStar Energy L.P.
Reconciliation of Non-GAAP Financial Information - Continued
(Unaudited, Thousands of Dollars)

The following are reconciliations for our reported segments of operating income to segment EBITDA and adjusted segment EBITDA.

 

Three Months Ended December 31, 2023

 

Pipeline

 

Storage

 

Fuels Marketing

Operating income

$

129,573

 

$

26,282

 

$

11,690

Depreciation and amortization expense

 

44,294

 

 

18,889

 

 

Segment EBITDA

$

173,867

 

$

45,171

 

$

11,690

 

 

 

 

 

 

 

Three Months Ended December 31, 2022

 

Pipeline

 

Storage

 

Fuels Marketing

Operating income

$

131,600

 

$

22,240

 

$

11,842

Depreciation and amortization expense

 

44,726

 

 

18,469

 

 

Segment EBITDA

$

176,326

 

$

40,709

 

$

11,842

 

 

 

 

 

 

 

Year Ended December 31, 2023

 

Pipeline

 

Storage

 

Fuels Marketing

Operating income

$

483,188

 

$

87,609

 

$

32,926

Depreciation and amortization expense

 

175,930

 

 

75,052

 

 

Segment EBITDA

$

659,118

 

$

162,661

 

$

32,926

 

 

 

 

 

 

 

Year Ended December 31, 2022

 

Pipeline

 

Storage

 

Fuels Marketing

Operating income

$

438,670

 

$

61,081

 

$

33,536

Depreciation and amortization expense

 

178,802

 

 

73,076

 

 

Segment EBITDA

 

617,472

 

 

134,157

 

 

33,536

Impairment loss

 

 

 

46,122

 

 

Adjusted segment EBITDA

$

617,472

 

$

180,279

 

$

33,536

The following is a reconciliation of projected net income to EBITDA.

 

Projected for the Year Ended
December 31, 2024

Net income

$

220,000 - 260,000

Interest expense, net

242,000 - 249,000

Income tax expense

3,000 - 6,000

Depreciation and amortization expense

255,000 - 265,000

EBITDA

$

720,000 - 780,000

 

Media: Mary Rose Brown
210-918-2314
maryrose.brown@nustarenergy.com

Investors: Pam Schmidt
210-918-2854
pam.schmidt@nustarenergy.com

Source: NUSTAR ENERGY L.P.

Sustainability

 

Contact
Investor Relations

 
icon-phone 210-918-INVR (4687)
phoenix.zhtml?c=123440&p=irol-infoReq
 
 

CONTACT MEDIA

 
icon-phone 210-918-2314
 
 

K-1 Tax Information

 
 
 

Stock Transfer Agent

 
Computershare Investor Svcs, LLC
Shareholder Communications Team
 
P.O. Box 43006
Providence, RI 02940-3006 USA
icon-phone 888-726-7784
http://www.computershare.com/investor