Balance Sheet Highlights and Strategic Overview slide image

Balance Sheet Highlights and Strategic Overview

Financial Reconciliations - Distributable Cash Flow (In thousands) (Unaudited) 2018 (3) 2019 (4) Year Ended December 31, 2020 (5) Three Months Ended June 30, Six Months Ended June 30, 2021 (6) 2022 (7) 2022 (8) 2023 2022 (8) 2023 Reconciliation of net income to distributable cash flow Net income Net loss attributable to noncontrolling interest $ Net income attributable to Global Partners LP Depreciation and amortization, excluding the impact of noncontrolling interest Amortization of deferred financing fees and senior notes discount Amortization of routine bank refinancing fees 102,403 1,502 103,905 $ 35,178 689 35,867 $ 101,682 528 102,210 $ 60,796 $ 362,207 $ 162,807 $ 41,389 $ 193,292 $ 70,420 60,796 362,207 162,807 41,389 193,292 70,420 105,639 107,557 99,899 102,241 104,796 24,951 26,797 51,652 53,445 6,873 5,940 5,241 5,031 5,432 1,347 1,364 2,737 2,711 (4,088) (3,754) (3,970) (4,064) (4,596) (1,138) (1,155) (2,319) (2,293) Maintenance capital expenditures Distributable cash flow (1) Distributions to preferred unitholders (2) (38,641) (49,897) (46,988) 173,688 95,713 156,392 Distributable cash flow after distributions to preferred unitholders $ (2,691) 170,997 (6,728) (6,728) (43,254) 120,750 (12,209) (54,444) (9,778) (13,595) (17,296) (23,155) 413,395 178,189 54,800 228,066 101,128 (13,852) (3,463) (3,463) (6,926) (6,926) $ 88,985 $ 149,664 $ 108,541 $ 399,543 $ 174,726 $ 51,337 $ 221,140 $ 94,202 Reconciliation of net cash provided by (used in) operating activities to distributable cash flow Net cash provided by (used in) operating activities $ Net changes in operating assets and liabilities and certain non-cash items Net cash from operating activities and changes in operating 168,856 40,385 $ 94,402 48,968 $ 312,526 $ 50,218 (110,709) 112,819 $ 479,996 (12,993) $ 362,565 (174,807) $ 265,262 (197,076) $ 385,193 (140,249) $ 245,937 (122,072) assets and liabilities attributable to noncontrolling interest Amortization of deferred financing fees and senior notes discount 303 6,873 54 5,940 292 5,241 Amortization of routine bank refinancing fees (4,088) (3,754) Maintenance capital expenditures (38,641) (49,897) (3,970) (46,988) 5,031 (4,064) 5,432 (4,596) 1,347 (1,138) 1,364 (1,155) 2,737 (2,319) 2,711 (2,293) (43,254) (54,444) (9,778) (13,595) (17,296) (23,155) Distributable cash flow (1) Distributions to preferred unitholders (2) Distributable cash flow after distributions to preferred unitholders 173,688 95,713 156,392 120,750 413,395 178,189 54,800 228,066 101,128 $ (2,691) 170,997 (6,728) $ 88,985 $ (6,728) 149,664 (12,209) (13,852) (3,463) (3,463) (6,926) (6,926) $ 108,541 $ 399,543 $ 174,726 $ 51,337 $ 221,140 $ 94,202 (1) As defined by the Partnership's partnership agreement, distributable cash flow is not adjusted for certain non-cash items, such as net losses on the sale and disposition of assets and goodwill and long-lived asset impairment charges. (2) Distributions to preferred unitholders represent the distributions payable to the Series A preferred unitholders and the Series B preferred unitholders earned during the period. Distributions on the Series A preferred units and the Series B preferred units are cumulative and payable quarterly in arrears on February 15, May 15, August 15 and November 15 of each year. (3) Distributable cash flow for 2018 includes a net loss on sale and disposition of assets and long-lived asset impairment of $6.3 million. Excluding these charges, distributable cash flow would have been $180.0 million for 2018. Distributable cash flow also includes a one-time gain of approximately $52.6 million as a result of the extinguishment of a contingent liability related to a Volumetric Ethanol Excise Tax Credit. (4) Distributable cash flow for 2019 includes a $13.1 million loss on the early extinguishment of debt related to the Partnership's repurchase of its 6.25% senior notes recorded in the third quarter. (5) Distributable cash flow for 2020 includes a $7.2 million loss on the early extinguishment of debt related to the Partnership's redemption of its 7.00% senior notes recorded in the fourth quarter. (6) Distributable cash flow for 2021 includes a $6.6 million expense for compensation and benefits resulting from the passing of the Partnership's general counsel in May of 2021 and a $3.1 million expense for compensation resulting from the retirement of the Partnership's former chief financial officer in August of 2021. The $6.6 million expense relates to contractual commitments including the acceleration of grants previously awarded as well as a discretionary award in recognition of service. (7) Distributable cash flow for 2022 includes a net gain on sale and disposition of assets of $79.9 million, primarily related to the sale of the Partnership's terminal in Revere, Massachusetts in June of 2022. (8) Distributable cash flow for the three and six months ended June 30, 2022 includes a net gain on sale and disposition of assets of $76.8 million and $81.7 million, respectively, primarily related to the sale of the Partnership's terminal in Revere, Massachusetts in June of 2022. GLOBAL 24
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