Earnings call transcript Q4 2022

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Operator

Good day, and welcome to the Delek Logistics Partners Fourth Quarter 2022 Earnings Call. [Operator Instructions]. Please note, this event is being recorded. I would now like to turn the conference over to Rosy Zuklic, Vice President of Investor Relations. Please go ahead.

Rosy Zuklic

to Logistics welcome Earnings Fourth and Call. Conference afternoon, the Partners Delek Quarter Good call Avigal EVP will O'Malley, today's other on Participants include members. Chief Officer; well Officer; management Financial team EVP Soreq, Operating Reuven Chief Spiegel, and as as and Todd President;

this results will involve future and actual a may differ the These statements statements under and forecast. contain business as uncertainties cause guidance reminder, As securities statements laws, regarding forward-looking from our defined risks that federal to including conference call without limitation, outlook.

to more of forward-looking the speak along For over release information, which SEC, filed prospective risk or their to update discussed remarks. in Form XX-K any information, on turn associated and call. Avigal no on the report with with recently with most the factors this the as statements I'll XX-Q please The date. refer filed now company opening call report quarterly for press to the annual Form obligation assumes company's

Avigal Soreq

Logistics Delek year growth. Partners the Rosy. Thanks, record with a ended

of end Our the of a X this EBITDA to record higher a XX% successful million, asset. $XX.X A well logistics the integration was big Bear driver record. extremely increase quarter, for contributing system the than

consider the of with pleased very are We phase X the Bear complete. integration and integration

Their milestone a a million logistics man injury, worked to year direct had hours and time all a We aim was safe great X achieved and a continue. result This employees long. reliable operation contractors. of dedicated we without lost

quarterly XX quarterly for fourth marks the in Our consecutive Board unit approved increases. quarter. an distribution to per the $X.XX increase distribution This

continue continue macro Todd. the business. over will strong to for we now track significant to to in goal be and distribution our are optimistic XXXX. it long-term to is From midstream record player. its to a X% achieved perspective, increase We hand midstream into XXXX the Logistics positioned to I and expect trend a grow well this Delek on outlook successfully deliver

Todd O'Malley

segments results reporting reporting assets and financial Gathering to we our Permian business. around system Delek changed in with how our we the quarter, this manage new the reporting our from better Processing. Bear X and centered Starting called segment Avigal. Thanks, X gathering align primarily Change

per EBITDA ratio XXXX. of compared fourth XXXX, fourth was million distributable quarter for 'XX period $XX with for million same quarter $XX.X the the X.XXx. DKL the The $XX and was cash Total coverage DCF was of of million flow

Gathering the the segment, in 'XX. Processing this $XX compared of fourth and was million For EBITDA with $XX quarter quarter million

driven contributions the business. the Wholesale million compared Permian this the and to primarily Texas was well Terminalling Marketing increase the same main The our strong as segment Wholesale driver X for Bear by year. contributed assets. period in $XX from increase million fourth Delek The was System $XX West with last quarter as year-over-year due Gathering EBITDA of

due The $XX fourth Storage lastly, of segment towards Pipeline And quarter, the fourth ventures. River and increased $X 'XX. this of Red Caddo the in Joint million compared the in and with primarily the had segment volumes of million in of million to contributed Transportation with Venture $X 'XX fourth quarter quarter the 'XX, quarter joint line EBITDA fourth investments at

Moving to capital expenditures.

year the of was excluding spent acquisition, million, which For the Bear for $XXX 'XX, full of X earmarked $XXX million growth. we

the budget With that, capital million, a $XX we for growth. have million operator, which we XXXX, call is for For open earmarked of $XX questions. of can

Operator

Instructions]. [Operator

Doug from Our comes Irwin Citi. from question first

Douglas Irwin

with the 'XX segment. wanted outlook to Permian the start G&P Just and

multiple. implied around if provide curious expectations you're relative the EBITDA growth on assets that just update the million able target an As what Permian X doubling where by of from volume I'm to was you've Bear, around $XXX are legacy moving to the already forward are then volumes, initial valuation your here. achieved those prior trending the And curious

Avigal Soreq

Avigal. it's afternoon, for Doug, us you Good today. joining thank Yes,

So a DPG extremely the asset. good is

are We have -- XXXX, But We in to acreage a for I'm going not specific what Permian just give for well give going you and I'm sight see XXX,XXX rest versus we an to of number assets. seeing. around but talking what nice increase, line do the to are you very pleased very just we more. some a a exceed the organically, in producer see. highlights percentage, the with

we'll that expect number and to rigs that a of Probably in versus have numbers the very on We But which first of with extremely and that we be are prolific the nice that investment. the rock basin. average growth, very fortunate very specific market the more the year, around year. well it is XX during you rest nice the to acreage, exceed the we try And growth. asset well, is the of give rest asset and quarter, the that and during

Around clear. very X the Bear, on it was script

see that completion we -- Gathering well name are we integration. the integration target. actually continue trend to System reflect the have positioned the We of to We our changed Delaware to to phase hit And complete. the

this that be. simple So could is it as as

Douglas Irwin

second how the Then general kind of partner, DK question, if thinking just you in the you're parts review at helpful the wondering level. sum I could of the about as my was That's of context Great. detail. the talk about

as out that of balance you to maybe are could on And obstacle potentially So that? deconsolidate you that potentially about something different GP sheet. there able the the an so, to to if the address options debt the structure talk detailed is being view some

Avigal Soreq

Yes.

we let's first that So might every the the is, deal foremost, clear, put together and to be of benefit first, unitholders.

distribution taking after lot ability to quarters in We our pride that time, of we a serve increase are unitholder. our after time are of proud time. And XX very having we

to we'll start the do that for first, consideration will do investment And thing is for to what's So right the with thing right we the what then business. the community. understand

the and company. us deal when we'll and structure the to the do right the and the right government there -- to the investors a we'll I'm sure corporate lead is way deal for right allow for

Douglas Irwin

Got it.

Avigal Soreq

joining us for Thank today. you

Operator

in for remarks. queue. our no to to This the the I And conference like question-and-answer closing questions Avigal over turn any concludes back would There more are session. Soreq

Avigal Soreq

Yes.

the all, partnership want management to Directors as I thank good table hard Board community performance. in the of working to in of trusting make us thank of around and starting as be first investor the the So can of our as of the and it to with team sticking

first our much. And that employees working nights, are so Thank and you and sunny foremost, to days, dedicated rain days,

Operator

Conference attending has now today's Thank you presentation. concluded. for

disconnect. now may You

Delek Logistics Partners (DKL) 28 Feb 232022 Q4 Earnings call transcript