PBF Logistics Declares Quarterly Distribution of $0.30 per Unit and Announces Third Quarter 2020 Earnings Results

Rhea-AI Summary

PBF Logistics LP (NYSE:PBFX) reported a strong third quarter 2020 with a net income of $44.2 million, translating to $0.71 per common unit. The Partnership generated $61.7 million in cash from operations and reported Adjusted EBITDA of $60.5 million. A significant $4.7 million net gain from a contract termination positively impacted results. The board declared a quarterly cash distribution of $0.30 per unit, payable on November 30, 2020. As of September 30, 2020, liquidity stood at approximately $310.0 million.

Positive

• Net income of $44.2 million, or $0.71 per common unit.
• Generated $61.7 million in cash from operations.
• Adjusted EBITDA reached $60.5 million.
• Declared quarterly distribution of $0.30 per unit.

Negative

• Environmental remediation costs impacting overall expenses.
• Non-cash unit-based compensation expense of $1.2 million.

PARSIPPANY, N.J., Oct. 29, 2020 /PRNewswire/ -- PBF Logistics LP (NYSE:PBFX) (the "Partnership") today announced third quarter 2020 net income attributable to the limited partners of $44.2 million, or $0.71 per common unit. During the quarter, the Partnership generated cash from operations of $61.7 million, EBITDA attributable to PBFX of $59.3 million, Adjusted EBITDA of $60.5 million and distributable cash flow of $48.5 million. Included in reported results for the third quarter are $1.2 million, or $0.02 per common unit, of non-cash unit-based compensation expense and continued environmental remediation costs associated with the East Coast Terminals. Also included in results for the third quarter is a $4.7 million, or $0.7 per common unit, net gain to the Partnership as a result of a contract termination at one of its storage facilities. This includes a gain on the change in contingent consideration, offset by impairment expense and acceleration of depreciation and amortization on the applicable assets.

"Our focus during the third quarter continued to be on the health and safety of our employees and operations. We continuously monitored the effectiveness of our enhanced safety protocols to ensure the well-being of our employees while continuing uninterrupted service to our customers. Our strong contracted minimum volume commitments and base-load regional demand have continued to provide stable support for our business," said PBF Logistics GP LLC Executive Vice President Matt Lucey. "We announced a distribution of $0.30 per unit today and continued to reduce leverage during the third quarter. Going forward, we intend to remain conservative in our capital allocation and focus on strengthening the balance sheet."

As of September 30, 2020, the Partnership had approximately $310.0 million of liquidity, including approximately $27.9 million in cash and cash equivalents, and access to approximately $282.1 million under its revolving credit facility.

PBF Logistics Declares Quarterly Distribution
The board of directors of PBF Logistics GP LLC, the Partnership's general partner, declared a regular quarterly cash distribution of $0.30 per common unit. The distribution is payable on November 30, 2020, to unitholders of record at the close of business on November 16, 2020.

This release is intended to be a qualified notice to nominees under Treasury Regulations Section 1.1446-4(b). All of the Partnership's distributions to foreign investors are attributable to income that is effectively connected with a United States trade or business. Accordingly, the Partnership's distributions to foreign investors are subject to federal income tax withholding at the highest effective tax rate.

Non-GAAP Financial Measures
The Partnership defines EBITDA as net income (loss) before net interest expense (including amortization of loan fees and debt premium and accretion on discounted liabilities), income tax expense, depreciation, amortization, impairment expense and change in contingent consideration. The Partnership defines EBITDA attributable to PBFX as net income (loss) attributable to PBFX before net interest expense (including amortization of loan fees and debt premium and accretion on discounted liabilities), income tax expense, depreciation, amortization, impairment expense and change in contingent consideration attributable to PBFX, which excludes results of acquisitions from affiliates of PBF Energy prior to the effective dates of such transactions and earnings attributable to the CPI earn-out (the portion of earnings associated with an earn-out provision related to the purchase of CPI Operations LLC ("CPI"), (the "Contingent Consideration")). The Partnership defines Adjusted EBITDA as EBITDA attributable to PBFX excluding acquisition and transaction costs, non-cash unit-based compensation expense and items that meet the conditions of unusual, infrequent and/or non-recurring charges. The Partnership defines distributable cash flow as EBITDA attributable to PBFX plus non-cash unit-based compensation expense, less cash interest, maintenance capital expenditures attributable to PBFX and income taxes. Distributable cash flow will not reflect changes in working capital balances. EBITDA, EBITDA attributable to PBFX, Adjusted EBITDA and distributable cash flow are not presentations made in accordance with U.S. generally accepted accounting principles ("GAAP").

For additional information on the Partnership's non-GAAP financial measures, including reconciliations to their most directly comparable financial measures calculated and presented in accordance with GAAP, refer to the supplemental information provided in "Results of Operations" and the Earnings Release Tables included herein.

Conference Call Information
The Partnership will host a conference call and webcast regarding quarterly results and other business matters on Thursday, October 29, 2020, at 11:00 a.m. ET. The call is being webcast and can be accessed at PBF Logistics' website, http://www.pbflogistics.com. The call can also be accessed by dialing (877) 876-9173 or (785) 424-1667, conference ID: PBFXQ320. The audio replay will be available two hours after the end of the call through November 12, 2020, by dialing (800) 753-4606 or (402) 220-2103.

Forward-Looking Statements
This press release contains forward-looking statements (as that term is defined under the federal securities laws) made by the Partnership and its management. Such statements are based on current expectations, forecasts and projections, including, but not limited to, anticipated financial and operating results, plans, objectives, expectations and intentions that are not historical in nature. Forward-looking statements should not be read as a guarantee of future performance or results, and may not necessarily be accurate indications of the times at, or by which, such performance or results will be achieved. Forward-looking statements are based on information available at the time, and are subject to various risks and uncertainties, including risks relating to the securities markets generally, the impact of adverse market conditions impacting PBFX's logistics and other assets, the possibility that the Partnership may not consummate any potential future acquisitions, the Partnership's plans for financing any potential future acquisitions, the duration and severity of the COVID-19 pandemic, and other risks inherent in PBFX's business. For more information concerning factors that could cause actual results to differ from those expressed or forecasted, see PBFX's filings with the Securities and Exchange Commission including its most recent Annual Report on Form 10-K and Quarterly Report on Form 10-Q. Forward-looking statements reflect information, facts and circumstances only as of the date they are made. The Partnership assumes no responsibility or obligation to update forward-looking statements except as may be required by law.

PBF Logistics LP
PBF Logistics LP, headquartered in Parsippany, New Jersey, is a fee-based, growth-oriented master limited partnership formed by PBF Energy Inc. to own or lease, operate, develop and acquire crude oil and refined petroleum products terminals, pipelines, storage facilities and similar logistics assets.

Results of Operations (Unaudited)

Business Developments

COVID-19

The outbreak of the coronavirus disease 2019 ("COVID-19") pandemic continues to negatively impact worldwide economic and commercial activity and financial markets, as well as global demand for petroleum and petrochemical products. The COVID-19 pandemic and resulting governmental and consumer responses have also resulted in significant business and operational disruptions, including business and school closures, supply chain disruptions, travel restrictions, stay-at-home orders and limitations on the availability of workforces. Such impacts have resulted in revenue declines due to lower demand and throughput volumes across certain of our facilities, which may continue to affect our business for the foreseeable future. In response to the COVID-19 pandemic, we are taking steps to mitigate potential adverse impacts on our business and operations by limiting capital expenditures, reducing discretionary activities and third-party services and lowering our quarterly distribution to our minimum quarterly distribution of $0.30 per unit. This distribution reduction, effective with the distribution for the first quarter of 2020 that was paid on June 17, 2020, represents a strategic shift to build our cash flow coverage, de-lever our business and increase our financial resources as we continue to identify potential organic growth projects or strategic acquisitions. In addition, our parent sponsor and largest customer, PBF Energy Inc., has endeavored to take the necessary steps to preserve liquidity and solidify its operations under the adverse market conditions caused by the COVID-19 pandemic.

The full extent to which the COVID-19 pandemic impacts our business and operations, or that of our parent sponsor, is unknown and will depend on the severity, location and duration of the effects and spread of COVID-19, the actions undertaken by national, regional and local governments and health officials to contain the virus or treat its effects, related consumer responses and how quickly and to what extent economic conditions improve and normal business and operating conditions resume.

Factors Affecting Comparability

The following tables present our results of operations, related operational information and reconciliations of net income and net cash provided by operating activities to our EBITDA, EBITDA attributable to PBFX, Adjusted EBITDA and distributable cash flow (each as defined below) for the three and nine months ended September 30, 2020 and 2019. 

On October 1, 2018, we acquired from Crown Point International, LLC, its wholly-owned subsidiary, CPI Operations LLC ("CPI"), whose assets include a storage facility with multi-use storage capacity, an Aframax-capable marine facility, a rail facility, a truck terminal, equipment, contracts and certain other idled assets (the "East Coast Storage Assets") located on the Delaware River near Paulsboro, New Jersey (the "East Coast Storage Assets Acquisition"). In connection with the acquisition, the purchase and sale agreement included an earn-out provision related to an existing commercial agreement with a third party, based on the future results of certain of the acquired idled assets, which recommenced operations in October 2019. Pursuant to the terms of the commercial agreement, in the third quarter of 2020, the counterparty exercised its right to terminate the contract at the conclusion of the current contract year, resulting in an adjustment to the contingent consideration (as defined below). In addition, as a result of the contract termination, we recorded an impairment charge to write-down the related processing unit assets and customer contract intangible asset of $3.0 million and $4.0 million, respectively. The impairment charge represents a write-down of the CPI assets due to the reduction of future earnings as a result of the contract termination. The fair values of the assets were determined using the income approach and was based on the expected undiscounted future net cash flows over the remaining contractual period.

On April 24, 2019, we entered into a Contribution Agreement with PBF Energy Company LLC ("PBF LLC"), pursuant to which PBF LLC contributed to us all of the issued and outstanding limited liability company interests of TVP Holding Company LLC ("TVP Holding"), which held the remaining 50% equity interest in Torrance Valley Pipeline Company LLC ("TVPC"), for total consideration of $200.0 million (the "TVPC Acquisition"). Subsequent to the closing of the TVPC Acquisition on May 31, 2019, we own 100% of the equity interest in TVPC.

On April 24, 2019, we entered into subscription agreements to sell an aggregate of 6,585,500 common units to certain institutional investors in a registered direct public offering (the "2019 Registered Direct Offering") for gross proceeds of approximately $135.0 million. The 2019 Registered Direct Offering closed on April 29, 2019.

In addition, our results in the current year have been negatively affected by the impact of the COVID-19 pandemic on our business, including lower throughput volumes at our terminals, as the industry reacts to the related economic downturn and volatile commodity markets.

As a result of the factors above, the information included in the following tables is not necessarily comparable on a year-over-year basis.

Non-GAAP Financial Measures

We define EBITDA as net income (loss) before net interest expense (including amortization of loan fees and debt premium and accretion on discounted liabilities), income tax expense, depreciation, amortization, impairment expense and change in contingent consideration. We define EBITDA attributable to PBFX as net income (loss) attributable to PBFX before net interest expense (including amortization of loan fees and debt premium and accretion on discounted liabilities), income tax expense, depreciation, amortization, impairment expense and change in contingent consideration attributable to PBFX, which excludes the results of acquisitions from PBF LLC prior to the effective dates of such transactions and earnings attributable to the CPI earn-out (the portion of earnings associated with an earn-out provision related to the purchase of CPI (the "Contingent Consideration")). We define Adjusted EBITDA as EBITDA attributable to PBFX excluding acquisition and transaction costs, non-cash unit-based compensation expense and items that meet the conditions of unusual, infrequent and/or non-recurring charges. We define distributable cash flow as EBITDA attributable to PBFX plus non-cash unit-based compensation expense, less cash interest, maintenance capital expenditures attributable to PBFX and income taxes. Distributable cash flow will not reflect changes in working capital balances. We use distributable cash flow to calculate a measure we refer to as our coverage ratio. Our coverage ratio is calculated by dividing distributable cash flow by our total distribution declared. EBITDA, EBITDA attributable to PBFX, Adjusted EBITDA and distributable cash flow are not presentations made in accordance with U.S. generally accepted accounting principles ("GAAP").

While EBITDA, EBITDA attributable to PBFX, Adjusted EBITDA and distributable cash flow are not presentations made in accordance with GAAP, they are supplemental financial measures that management and external users of our condensed consolidated financial statements, such as industry analysts, investors, lenders and rating agencies, may use to assess:

• our operating performance as compared to other publicly traded partnerships in the midstream energy industry, without regard to historical cost basis or, in the case of EBITDA, financing methods;
• the ability of our assets to generate sufficient cash flow to make distributions to our unitholders;
• our ability to incur and service debt and fund capital expenditures; and
• the viability of acquisitions and other capital expenditure projects and the economic returns on various investment opportunities.

We believe that the presentation of EBITDA, EBITDA attributable to PBFX and Adjusted EBITDA provides useful information to investors in assessing our financial condition and results of operations and assists in evaluating our ongoing operating performance for current and comparative periods. We believe that the presentation of distributable cash flow provides useful information to investors as it is a widely accepted financial indicator used by investors to compare partnership performance and it provides investors with another perspective of the operating performance of our assets and the cash our business is generating. However, EBITDA, EBITDA attributable to PBFX, Adjusted EBITDA and distributable cash flow should not be considered alternatives to net income, income from operations, net cash provided by operating activities or any other measure of financial performance or liquidity presented in accordance with GAAP.

EBITDA, EBITDA attributable to PBFX, Adjusted EBITDA and distributable cash flow have important limitations as analytical tools because they exclude some, but not all, items that affect net income and net cash provided by operating activities. EBITDA, EBITDA attributable to PBFX, Adjusted EBITDA and distributable cash flow are reconciled to their most directly comparable financial measures calculated and presented in accordance with GAAP in the Earnings Release Tables included herein.

These non-GAAP financial measures should not be considered in isolation or as a substitute for analysis of our results as reported under GAAP. Our definitions of these non-GAAP financial measures may not be comparable to similarly titled measures of other partnerships, because they may be defined differently by other partnerships in our industry, thereby limiting their utility.

 

PBF LOGISTICS LP
EARNINGS RELEASE TABLES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited, in thousands, except unit and per unit data)
		Three Months Ended September 30,								Nine Months Ended September 30,
		2020				2019				2020				2019
Revenue (a):
	Affiliate	$	70,716			$	78,026			$	218,681			$	224,014
	Third-party	18,294				8,351				52,487				23,958
Total revenue		89,010				86,377				271,168				247,972
Costs and expenses:
	Operating and maintenance expenses (a)	22,730				28,356				75,385				86,825
	General and administrative expenses	4,112				4,552				12,798				18,142
	Depreciation and amortization	14,305				9,079				36,821				26,654
	Impairment expense	7,000				—				7,000				—
	Change in contingent consideration	(14,765)				—				(14,235)				—
Total costs and expenses		33,382				41,987				117,769				131,621
Income from operations		55,628				44,390				153,399				116,351
Other expense:
	Interest expense, net	(10,544)				(12,230)				(33,929)				(34,359)
	Amortization of loan fees and debt premium	(328)				(444)				(1,309)				(1,339)
	Accretion on discounted liabilities	(594)				(722)				(1,726)				(2,255)
Net income		44,162				30,994				116,435				78,398
	Less: Net income attributable to noncontrolling interest (g)	—				—				—				7,881
Net income attributable to PBF Logistics LP unitholders		$	44,162			$	30,994			$	116,435			$	70,517
Net income per limited partner unit (h):
	Common units - basic	$	0.71			$	0.50			$	1.87			$	1.23
	Common units - diluted	0.71				0.50				1.87				1.23
Weighted-average limited partner units outstanding (h):
	Common units - basic	62,519,105				62,361,974				62,424,217				57,314,382
	Common units - diluted	62,529,489				62,460,669				62,429,475				57,385,166
See Footnotes to Earnings Release Tables

 

PBF LOGISTICS LP
EARNINGS RELEASE TABLES
KEY OPERATING AND FINANCIAL INFORMATION
(Unaudited, amounts in thousands except barrel and per unit data)
						Three Months Ended September 30,								Nine Months Ended September 30,
						2020				2019				2020				2019
Transportation and Terminaling Segment
		Terminals
			Total throughput (barrels per day ("bpd")) (b)(d)			199,139				334,340				240,159				287,027
			Lease tank capacity (average lease capacity barrels per month) (d)			2,587,334				2,088,044				2,343,637				2,229,890
		Pipelines
			Total throughput (bpd) (b)(d)			143,273				165,757				153,909				158,307
			Lease tank capacity (average lease capacity barrels per month) (d)			1,123,864				1,388,849				1,144,915				1,355,645
Storage Segment
			Storage capacity reserved (average shell capacity barrels per month) (d)			7,687,505				8,033,679				7,634,264				8,006,785
			Total throughput (bpd) (b)(d)			21,835				—				24,704				—
Cash Flow Information:
	Net cash provided by (used in):
			Operating activities			$	61,741			$	39,757			$	141,429			$	95,643
			Investing activities			(1,763)				(8,028)				(9,635)				(23,180)
			Financing activities			(53,695)				849				(138,909)				(39,793)
				Net change in cash and cash equivalents		$	6,283			$	32,578			$	(7,115)			$	32,670
Other Financial Information:
	EBITDA attributable to PBFX (c)					$	59,281			$	53,469			$	174,457			$	132,825
	Adjusted EBITDA (c)					$	60,519			$	55,451			$	178,459			$	146,744
	Distributable cash flow (c)					$	48,486			$	39,538			$	136,233			$	99,074
	Quarterly distribution declared per unit (e)					$	0.3000			$	0.5200			$	0.9000			$	1.5450
	Distributions (e):
		Common units				$	18,848			$	32,709			$	56,541			$	97,188
			Total distributions			$	18,848			$	32,709			$	56,541			$	97,188
			Coverage ratio (c)			2.57x				1.21x				2.41x				1.02x
	Capital expenditures					$	1,763			$	8,028			$	9,635			$	23,180
See Footnotes to Earnings Release Tables

 

PBF LOGISTICS LP
EARNINGS RELEASE TABLES
KEY OPERATING AND FINANCIAL INFORMATION (continued)
(Unaudited, in thousands)
			September 30,				December 31,
Balance Sheet Information:			2020				2019
	Cash and cash equivalents (f)		$	27,851			$	34,966
	Property, plant and equipment, net		829,832				854,610
	Total assets		941,767				973,002
	Total debt (f)		733,414				802,104
	Total liabilities		788,211				867,919
	Partners' equity		153,556				105,083
	Total liabilities and equity		941,767				973,002
See Footnotes to Earnings Release Tables

 

PBF LOGISTICS LP
EARNINGS RELEASE TABLES
RECONCILIATION OF AMOUNTS REPORTED UNDER GAAP
TO EBITDA AND DISTRIBUTABLE CASH FLOW
(Unaudited, in thousands)
			Three Months Ended September 30,								Nine Months Ended September 30,
			2020				2019				2020				2019
Reconciliation of net income to EBITDA and distributable cash flow (c):
	Net income		$	44,162			$	30,994			$	116,435			$	78,398
		Interest expense, net	10,544				12,230				33,929				34,359
		Amortization of loan fees and debt premium	328				444				1,309				1,339
		Accretion on discounted liabilities	594				722				1,726				2,255
		Change in contingent consideration	(14,765)				—				(14,235)				—
		Impairment expense	7,000				—				7,000				—
		Depreciation and amortization	14,305				9,079				36,821				26,654
	EBITDA		62,168				53,469				182,985				143,005
		Less: Noncontrolling interest EBITDA (g)	—				—				—				10,180
		Less: Earnings attributable to the CPI earn-out	2,887				—				8,528				—
	EBITDA attributable to PBFX		59,281				53,469				174,457				132,825
		Non-cash unit-based compensation expense	995				1,271				3,242				5,622
		Cash interest	(10,760)				(12,334)				(34,481)				(34,760)
		Maintenance capital expenditures attributable to PBFX	(1,030)				(2,868)				(6,985)				(4,613)
	Distributable cash flow		$	48,486			$	39,538			$	136,233			$	99,074
Reconciliation of net cash provided by operating activities to EBITDA and distributable cash flow (c):
	Net cash provided by operating activities		$	61,741			$	39,757			$	141,429			$	95,643
		Change in operating assets and liabilities	(9,122)				2,753				10,869				18,625
		Interest expense, net	10,544				12,230				33,929				34,359
		Non-cash unit-based compensation expense	(995)				(1,271)				(3,242)				(5,622)
	EBITDA		62,168				53,469				182,985				143,005
		Less: Noncontrolling interest EBITDA (g)	—				—				—				10,180
		Less: Earnings attributable to the CPI earn-out	2,887				—				8,528				—
	EBITDA attributable to PBFX		59,281				53,469				174,457				132,825
		Non-cash unit-based compensation expense	995				1,271				3,242				5,622
		Cash interest	(10,760)				(12,334)				(34,481)				(34,760)
		Maintenance capital expenditures attributable to PBFX	(1,030)				(2,868)				(6,985)				(4,613)
	Distributable cash flow		$	48,486			$	39,538			$	136,233			$	99,074
See Footnotes to Earnings Release Tables

 

PBF LOGISTICS LP
EARNINGS RELEASE TABLES
RECONCILIATION OF AMOUNTS REPORTED UNDER GAAP
TO EBITDA AND ADJUSTED EBITDA
(Unaudited, in thousands)
			Three Months Ended September 30,								Nine Months Ended September 30,
			2020				2019				2020				2019
Reconciliation of net income to EBITDA and Adjusted EBITDA (c):
	Net income		$	44,162			$	30,994			$	116,435			$	78,398
		Interest expense, net	10,544				12,230				33,929				34,359
		Amortization of loan fees and debt premium	328				444				1,309				1,339
		Accretion on discounted liabilities	594				722				1,726				2,255
		Change in contingent consideration	(14,765)				—				(14,235)				—
		Impairment expense	7,000				—				7,000				—
		Depreciation and amortization	14,305				9,079				36,821				26,654
	EBITDA		62,168				53,469				182,985				143,005
		Less: Noncontrolling interest EBITDA (g)	—				—				—				10,180
		Less: Earnings attributable to the CPI earn-out	2,887				—				8,528				—
	EBITDA attributable to PBFX		59,281				53,469				174,457				132,825
		Acquisition and transaction costs	6				281				116				3,389
		Non-cash unit-based compensation expense	995				1,271				3,242				5,622
		East Coast Terminals environmental remediation costs	237				430				644				4,026
		PNGPC tariff true-up adjustment	—				—				—				882
	Adjusted EBITDA		$	60,519			$	55,451			$	178,459			$	146,744
See Footnotes to Earnings Release Tables

 

PBF LOGISTICS LP
EARNINGS RELEASE TABLES
SEGMENT FINANCIAL INFORMATION
(Unaudited, in thousands)
		Three Months Ended September 30, 2020
		Transportation and Terminaling				Storage				Corporate				Consolidated Total
Total revenue (a)		$	66,992			$	22,018			$	—			$	89,010
Depreciation and amortization		7,010				7,295				—				14,305
Income (loss) from operations		43,377				16,363				(4,112)				55,628
Other expense		—				—				11,466				11,466
Capital expenditures		1,438				325				—				1,763
		Three Months Ended September 30, 2019
		Transportation and Terminaling				Storage				Corporate				Consolidated Total
Total revenue (a)		$	73,269			$	13,108			$	—			$	86,377
Depreciation and amortization		7,051				2,028				—				9,079
Income (loss) from operations		43,596				5,346				(4,552)				44,390
Other expense		—				—				13,396				13,396
Capital expenditures		2,781				5,247				—				8,028
		Nine Months Ended September 30, 2020
		Transportation and Terminaling				Storage				Corporate				Consolidated Total
Total revenue (a)		$	203,944			$	67,224			$	—			$	271,168
Depreciation and amortization		21,105				15,716				—				36,821
Income (loss) from operations		127,557				38,640				(12,798)				153,399
Other expense		—				—				36,964				36,964
Capital expenditures		6,469				3,166				—				9,635
		Nine Months Ended September 30, 2019
		Transportation and Terminaling				Storage				Corporate				Consolidated Total
Total revenue (a)		$	208,884			$	39,088			$	—			$	247,972
Depreciation and amortization		20,831				5,823				—				26,654
Income (loss) from operations		120,676				13,817				(18,142)				116,351
Other expense		—				—				37,953				37,953
Capital expenditures		15,014				8,166				—				23,180
See Footnotes to Earnings Release Tables

 

PBF LOGISTICS LP
EARNINGS RELEASE TABLES
SEGMENT FINANCIAL INFORMATION (continued)
(Unaudited, in thousands)
		Balance at September 30, 2020
		Transportation and Terminaling				Storage				Corporate				Consolidated Total
Total assets		$	705,416			$	213,118			$	23,233			$	941,767
		Balance at December 31, 2019
		Transportation and Terminaling				Storage				Corporate				Consolidated Total
Total assets		$	726,374			$	228,495			$	18,133			$	973,002

 

PBF LOGISTICS LP
EARNINGS RELEASE TABLES
FOOTNOTES TO EARNINGS RELEASE TABLES
(Unaudited, in thousands, except per unit data)
(a)		See discussion of the factors affecting comparability noted on page 4. Our results of operations may not be comparable to the historical results of operations for the reasons described below:
		Revenue - On October 1, 2018, we closed the East Coast Storage Assets Acquisition, which was accounted for as a business combination. In October 2019, we recommenced operations of certain of the acquired idled assets, which began revenue generating activities. As such, there was no revenue associated with the acquired idled assets prior to their recommencement.
		On May 31, 2019, we closed the TVPC Acquisition in which we acquired the remaining 50% equity interest in TVPC. As such, we now own 100% of the equity interest in TVPC and no longer record a noncontrolling interest related to our ownership of TVPC.
		Operating and maintenance expenses - As a result of our acquisitions and the completion of certain organic growth projects, our operating expenses are not comparative to prior periods as it pertains to expenses associated with those assets.
		In addition, our results in the current year have been negatively affected by the impact of the COVID-19 pandemic on our business, including lower throughput at our terminals, as the industry reacts to the related economic downturn and volatile commodity markets.
(b)		Calculated as the sum of the average throughput per day for each asset group for the periods presented.
(c)		See "Non-GAAP Financial Measures" on page 5 for definitions of EBITDA, EBITDA attributable to PBFX, Adjusted EBITDA, distributable cash flow and coverage ratio.
(d)		Operating information reflects activity subsequent to our acquisitions, the execution of the commercial agreements with PBF Holding and the completion of certain organic growth projects.
(e)		On October 29, 2020, we announced a quarterly cash distribution of $0.30 per limited partner unit based on the results of the third quarter of 2020. The distribution is payable on November 30, 2020 to PBFX unitholders of record at the close of business on November 16, 2020. The total distribution amount includes the expected distributions to be made related to third quarter earnings.
(f)		Management also utilizes net debt as a metric in assessing our leverage. Net debt is a non-GAAP measure calculated by subtracting cash and cash equivalents from total debt. We believe this measurement is also useful to investors since we have the ability to, and may decide to, use a portion of our cash and cash equivalents to retire or pay down our debt. This non-GAAP financial measure should not be considered in isolation or as a substitute for analysis of our debt levels as reported under GAAP. Our definition of net debt may not be comparable to similarly titled measures of other partnerships, because it may be defined differently by other partnerships in our industry, thereby limiting its utility. Our net debt as of September 30, 2020 and December 31, 2019 was $705,563 and $767,138, respectively.
(g)		Prior to the TVPC Acquisition, our wholly-owned subsidiary, PBFX Operating Company LLC ("PBFX Op Co"), held a 50% controlling equity interest in TVPC, with the other 50% equity interest in TVPC owned by TVP Holding, a subsidiary of PBF Holding. PBFX Op Co was the sole managing member of TVPC. We, through our ownership of PBFX Op Co, consolidated the financial results of TVPC and recorded a noncontrolling interest for the economic interest in TVPC held by TVP Holding. Noncontrolling interest on the condensed consolidated statements of operations included the portion of net income or loss attributable to the economic interest in TVPC held by TVP Holding. Noncontrolling interest on the condensed consolidated balance sheets included the portion of net assets of TVPC attributable to TVP Holding.
		Subsequent to the TVPC Acquisition, we own 100% of the equity interest in TVPC and no longer record a noncontrolling interest related to TVPC.
(h)		We base our calculation of net income per limited partner unit on the weighted-average number of limited partner units outstanding during the period and the amount of available cash that has been, or will be, distributed to the limited partners.

 

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SOURCE PBF Logistics LP

FAQ

What were PBF Logistics' third quarter 2020 earnings results?

PBF Logistics reported a net income of $44.2 million, or $0.71 per common unit, for the third quarter of 2020.

What is the declared distribution for PBF Logistics in Q3 2020?

PBF Logistics declared a quarterly cash distribution of $0.30 per common unit, payable on November 30, 2020.

How did PBF Logistics perform in terms of cash flow in Q3 2020?

The Partnership generated $61.7 million in cash from operations during the third quarter of 2020.

What is the current liquidity position of PBF Logistics?

As of September 30, 2020, PBF Logistics had approximately $310.0 million in liquidity.