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Delek US Holdings Reports Record Net Income for Fourth Quarter and Full-Year 2012

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By Business Wirevia The Motley Fool

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Delek US Holdings Reports Record Net Income for Fourth Quarter and Full-Year 2012

Company Declares Special Dividend of $0.10 per share

BRENTWOOD, Tenn.–(BUSINESS WIRE)– Delek US Holdings, Inc. (NYS: DK) (“Delek US”) a diversified energy company with assets in the petroleum refining, logistics and retail industries, today announced financial results for the fourth quarter and full-year 2012.

For the three months ended December 31, 2012, Delek US reported record fourth quarter net income of $64.3 million, or $1.06 per diluted share, versus a net loss of $(6.0) million, or $(0.10) per basic share, in the fourth quarter 2011. Fourth quarter 2012 results were reduced by approximately $2.1 million after tax, or $0.03 per share through the combination of costs related to the initial public offering of Delek Logistics Partners, LP (NYS: DKL) (“Delek Logistics“) and an increase in our effective tax rate.

Delek US announced today that its Board of Directors declared a special cash dividend of $0.10 per share. Shareholders of record on March 26, 2013 will receive this cash dividend payable on April 16, 2013.

For the fourth quarter 2012, this increase in earnings compared to the prior year period was primarily attributed to improved margins in the refining segment due to more stability in crude oil price differentials and a more diverse crude slate that included West Texas Intermediate (“WTI”) Midland sourced supply. In contrast, fourth quarter 2011 presented a challenging environment as a narrowing in crude oil price differentials and a decline in regional asphalt prices adversely affected refining margins.

For the full year 2012, Delek US reported record net income of $272.8 million, or $4.57 per diluted share, versus net income of $158.3 million, or $2.78 per diluted share in 2011. This represents a 64 percent increase in earnings per share from 2011.

As of December 31, 2012, Delek US had a cash balance of $601.7 million and total debt of $362.2 million, resulting in net cash of $239.5 million. This was a $446.2 million improvement from a $206.7 million net debt position at December 31, 2011. Strong cash flow from refining operations and proceeds of $175.5 million received in connection with the completion of Delek Logistics‘ initial public offering on November 7, 2012, were the primary factors accounting for this improvement. At December 31, 2012, Delek Logistics had a cash balance of …read more
Source: FULL ARTICLE at DailyFinance

Business, Finance, Occupation & Industry

Delek Logistics Partners, LP Reports Fourth Quarter and Full-Year 2012 Results

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By Business Wirevia The Motley Fool

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Delek Logistics Partners, LP Reports Fourth Quarter and Full-Year 2012 Results

BRENTWOOD, Tenn.–(BUSINESS WIRE)– Delek Logistics Partners, LP (NYS: DKL) (“Delek Logistics“), a growth-oriented master limited partnership focused on owning and operating midstream energy infrastructure, today announced financial results for the fourth quarter and full year 2012.

Delek Logistics commenced operations on November 7, 2012 upon the successful completion of its initial public offering. For the 55 day period beginning November 7, 2012 and ended December 31, 2012 (the “post-closing period”), Delek Logistics reported net income of $8.4 million, or $0.34 per common partner unit.

For the post-closing period, distributable cash flow was $8.1 million and earnings before interest, taxes depreciation and amortization (“EBITDA“) was $10.2 million. Delek Logistics paid its first regular cash distribution of $5.5 million, or $0.224 per unit on February 14, 2013. This distribution was pro-rated for the post-closing period and corresponds to Delek Logistics‘ minimum quarterly distribution of $0.375 per unit, or $1.50 per unit on an annualized basis.

Uzi Yemin, Chairman and Chief Executive Officer of Delek Logistics‘ general partner, remarked: “The strong cash flow we generated since the initial public offering reflects a great start for us. Delek Logistics‘ EBITDA and distributable cash flow exceeded our expectations as our west Texas marketing business performed well and SALA Gathering System volumes were higher than expected. In addition, our cash flow was benefited by lower maintenance capital expenditures than forecast. Going forward, our focus will remain on delivering both growth and value as we explore opportunities to expand. We currently expect to recommend to the Board of Directors of Delek Logistics‘ general partner an increase in our quarterly distribution to $0.385 per unit for the quarter ending March 31, 2013, which would represent a 2.7 percent increase from our minimum quarterly distribution.”


Financial Results

Delek Logistics commenced operations on November 7, 2012 upon successful completion of its initial public offering (the “offering”) and the concurrent contribution of certain assets from its sponsor, Delek US Holdings, Inc. (NYS: DK) . For accounting purposes, the results of operations prior to November 7, 2012 from the assets and entities that were contributed to us concurrent with the offering, were attributed to Delek Logistics Partners, LP Predecessor (our “Predecessor”). Therefore, results from operations for the …read more
Source: FULL ARTICLE at DailyFinance