Genesis Energy, L.P. Declares Quarterly Distribution

Rhea-AI Summary

Genesis Energy (NYSE: GEL) has announced its quarterly distribution payments for Q4 2024. Common unit holders will receive $0.165 per unit ($0.66 annualized), while Class A Convertible Preferred unit holders will receive $0.9473 per unit ($3.7890 annualized). The distributions will be paid on February 14, 2025, to holders of record as of January 31, 2025.

The company will release its Q4 2024 earnings on February 13, 2025, before NYSE trading begins, followed by a conference call at 9:00 a.m. CDT. Genesis Energy operates as a diversified midstream energy master partnership, focusing on offshore pipeline transportation, sodium minerals and sulfur services, onshore facilities, and marine transportation, primarily in the Gulf Coast region, Wyoming, and the Gulf of Mexico.

Positive

• Consistent quarterly distribution maintained for common and preferred unit holders
• Diversified business operations across multiple energy sectors

Negative

• None.

Insights

Financial Analyst

Genesis Energy's quarterly distribution announcement reveals stable income generation, maintaining its $0.165 per common unit and $0.9473 for preferred units. The annualized yields at current market prices are noteworthy - common units offering approximately 7.2% yield and preferred units providing a substantial 14.3% yield. While distribution consistency is positive, it's worth noting that the common unit distribution remains unchanged from previous quarters, suggesting growth in distributable cash flow.

The MLP's diversified midstream operations across offshore pipelines, sodium minerals and marine transportation provide multiple revenue streams, helping maintain distribution stability. However, the unchanged distribution rate might indicate management's conservative approach to capital allocation, potentially prioritizing balance sheet strength over distribution growth. The full tax withholding requirement for foreign investors could impact international investment appeal, though this is standard for U.S. MLPs.

For retail investors seeking income, the predictable quarterly payments and relatively high yield are attractive in the current market environment, though they should consider the tax implications and complexity of MLP investments. The timing of the earnings announcement before the distribution payment allows investors to assess the coverage ratio and financial health before the next distribution.

HOUSTON--(BUSINESS WIRE)-- Genesis Energy, L.P. (NYSE: GEL) announced today that the Board of Directors of its general partner declared a quarterly cash distribution to be paid to Genesis common unit holders and Class A Convertible Preferred unit holders with respect to the quarter ended December 31, 2024. Each holder of common units will be paid a quarterly cash distribution of $0.165, or $0.66 on an annualized basis, for each common unit held of record. Each holder of preferred units will be paid a quarterly cash distribution of $0.9473, or $3.7890 on an annualized basis, for each preferred unit held of record. These quarterly distributions will be paid on Friday, February 14, 2025 to holders of record at the close of business on Friday, January 31, 2025.

Genesis will announce its earnings for the fourth quarter of 2024 on Thursday, February 13, 2025, before the New York Stock Exchange opens for trading. Following the announcement, the partnership will host a conference call at 9:00 a.m. CDT with analysts and investors to discuss its earnings. The call will be webcast live on the Internet and may be accessed through the “Investors” section of the partnership’s website at www.genesisenergy.com. A replay of the webcast will be available following the conference call and may be accessed approximately one hour after completion of the call.

Genesis Energy, L.P. is a diversified midstream energy master limited partnership headquartered in Houston, Texas. Genesis’ operations include offshore pipeline transportation, sodium minerals and sulfur services, onshore facilities and transportation and marine transportation. Genesis’ operations are primarily located in the Gulf Coast region of the United States, Wyoming and the Gulf of Mexico.

This press release serves as qualified notice to nominees as provided for under Treasury Regulation Section 1.1446-4(b)(4) and (d). Please note that 100 percent of Genesis Energy’s distributions to foreign investors are attributable to income that is effectively connected with a United States trade or business. Accordingly, all of Genesis Energy’s distributions to foreign investors are subject to federal income tax withholding at the highest applicable effective tax rate. Nominees are treated as withholding agents responsible for withholding distributions received by them on behalf of foreign investors.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250116990213/en/

Genesis Energy, L.P.

Dwayne Morley

VP – Investor Relations

(713) 860-2536

Source: Genesis Energy, L.P.

FAQ

What is Genesis Energy's (GEL) quarterly distribution for Q4 2024?

Genesis Energy's quarterly distribution for Q4 2024 is $0.165 per common unit ($0.66 annualized) and $0.9473 per preferred unit ($3.7890 annualized).

When will GEL pay its Q4 2024 distribution?

Genesis Energy will pay its Q4 2024 distribution on February 14, 2025, to holders of record as of January 31, 2025.

When will Genesis Energy (GEL) release its Q4 2024 earnings?

Genesis Energy will release its Q4 2024 earnings on February 13, 2025, before the New York Stock Exchange opens for trading.

What are Genesis Energy's (GEL) main business operations?

Genesis Energy's main operations include offshore pipeline transportation, sodium minerals and sulfur services, onshore facilities and transportation, and marine transportation, primarily in the Gulf Coast region, Wyoming, and the Gulf of Mexico.