The Crosstex Energy companies, Crosstex Energy, L.P.
(NASDAQ:XTEX) (the Partnership) and Crosstex Energy, Inc.
(NASDAQ:XTXI) (the Corporation), today reported results for the
second quarter of 2013.
Second-Quarter 2013 Compared with Second-Quarter 2012 —
Crosstex Energy, L.P. Financial Results
The Partnership realized adjusted EBITDA of $50.7 million and
distributable cash flow of $29.9 million for the second quarter of
2013, compared with adjusted EBITDA of $48.7 million and
distributable cash flow of $23.4 million for the second quarter of
2012. The Partnership’s net loss for the second quarter of 2013 was
$10.6 million versus net loss of $2.4 million for the second
quarter of 2012.
“We continue to make progress with our growth projects, which
will significantly expand our assets and capabilities in our NGL
and crude businesses, while complementing our core natural gas
gathering, processing and transmission business,” said Barry E.
Davis, Crosstex President and Chief Executive Officer. “We are
executing our strategy to become a larger, more-diversified,
fee-based midstream company through these projects.”
The Partnership’s second quarter 2013 gross operating margin of
$95.5 million increased $5.2 million compared with a gross
operating margin of $90.3 million for the second quarter of 2012.
The improvement was primarily due to the Partnership’s
July 2012 acquisition of assets in the Ohio River Valley,
greater contributions from the Partnership’s Permian Basin assets
and increased natural gas liquids (NGL) fractionation and marketing
activities. Adjusted EBITDA, distributable cash flow and gross
operating margin are explained in greater detail under “Non-GAAP
Financial Information,” and reconciliations of these measures to
their most directly comparable GAAP measures are included in the
tables at the end of this news release.
The Partnership reports results by operating segment principally
based on regions served. Reportable segments consist of natural gas
gathering, processing and transmission operations in the Barnett
Shale in north Texas and in the Permian Basin in west Texas (NTX);
gas pipelines and gas processing plants in Louisiana (LIG); gas
processing and NGL assets, including NGL fractionation and
marketing activities, in south Louisiana (PNGL); and rail, truck,
pipeline and barge facilities in the Ohio River Valley (ORV).
Each business segment’s contribution to the second quarter 2013
gross operating margin compared with the second quarter 2012, and
the factors affecting those contributions, are described below:
- The ORV segment contributed $13.5
million of gross operating margin during the second quarter of
2013. Gross operating margins attributable to crude oil and
condensate totaled $8.5 million, and the remaining $5.0 million of
gross operating margin was attributable to brine handling and
disposal.
- The NTX segment’s gross operating
margin decreased $4.2 million. Increased gas processing margins,
primarily in the Permian Basin, were offset by a decline in
gathering and transmission margins resulting from decreased volumes
and reduced gathering rates under certain contracts, including a
contract with a major producer in north Texas.
- The PNGL segment’s gross operating
margin increased $3.8 million. Increased NGL volumes from truck and
rail activity at the Partnership’s fractionators and increased oil
terminal activity were largely offset by decreased plant processing
margins due to the weak natural gas processing environment which
caused a significant decline in volumes processed through the
plants as well as declines in margins earned on volumes that were
processed.
- The LIG segment’s gross operating
margin decreased $7.9 million, primarily as a result of the weak
natural gas processing environment, the impact of the Bayou Corne
slurry-filled sinkhole and lower blending and treating fees in the
second quarter of 2013 as compared to the second quarter of 2012.
Volume declines related to the north LIG system in the Haynesville
Shale resulted in only a slight decrease in gross operating margin
because we transport gas primarily under firm transportation
agreements on this system.
The Partnership’s second quarter 2013 operating expenses were
$36.8 million, an increase of $6.2 million, or 20 percent, from the
second quarter of 2012. The increase was primarily related to the
direct operating cost of the ORV assets acquired in July 2012 and
an increase in employee headcount related to the ORV acquisition
and announced growth projects in the PNGL segment. General and
administrative expenses rose $3.2 million, or 25 percent, versus
the second quarter of 2012 largely due to increases in headcount
related to the ORV acquisition and announced growth projects and
stock based compensation partially offset by reductions in legal
and other professional fees. Depreciation and amortization expense
for the second quarter of 2013 rose $1.8 million, or five percent,
compared with the second quarter of 2012 primarily due to
depreciation and amortization attributable to the ORV assets which
was partially offset by decreased depreciation on the Sabine Pass
gas processing plant in south Louisiana. Interest expense for the
second quarter of 2013 decreased $3.1 million, or 15 percent, to
$18.2 million largely due to interest capitalized in relation to
ongoing growth projects, which was partially offset by interest on
the 7.125% senior unsecured notes due 2022 that the Partnership
issued in May 2012.
The net loss per limited partner common unit for the second
quarter of 2013 was $0.23 compared with a net loss of $0.13 per
common unit for the second quarter of 2012.
Second-Quarter 2013 Compared with Second-Quarter 2012 —
Crosstex Energy, Inc. Financial Results
The Corporation reported a net loss of $4.7 million for the
second quarter of 2013 compared with a net loss of $1.7 million for
the second quarter of 2012.
Excluding cash held by the Partnership and E2, the compression
and stabilization company in which the Corporation is invested, the
Corporation had cash on hand of approximately $1.0 million and
$26.4 million of borrowings outstanding under the Corporation’s
subsidiary’s bank credit facility as of the end of the second
quarter of 2013.
Crosstex to Hold Earnings Conference Call on August 8,
2013
The Partnership and the Corporation will hold their quarterly
conference call to discuss second quarter 2013 results on Thursday,
August 8, 2013, at 10:00 a.m. Central time
(11:00 a.m. Eastern time). The dial-in number for the call is
1-888-679-8033. Callers outside the United States should dial
1-617-213-4846. The passcode is 48093242 for all callers. Investors
are advised to dial in to the call at least 10 minutes prior to the
call time to register. Participants may preregister for the call at
https://www.theconferencingservice.com/prereg/key.process?key=PNQPCC88Q.
Preregistrants will be issued a PIN number to use when dialing
in to the live call, which will provide quick access to the
conference by bypassing the operator upon connection. Interested
parties also can access the live webcast of the call on the
Investors page of Crosstex’s website at
www.crosstexenergy.com.
After the conference call, a replay can be accessed until
November 6, 2013 by dialing 1-888-286-8010. International callers
should dial 1-617-801-6888 for a replay. The passcode for all
callers listening to the replay is 40662870. Interested parties
also can visit the Investors page of Crosstex’s website to
listen to a replay of the call.
About the Crosstex Energy Companies
Crosstex Energy, L.P. (NASDAQ: XTEX) is an integrated midstream
energy partnership headquartered in Dallas that offers diversified,
tailored customer solutions spanning the energy value chain with
services and infrastructure that link energy production with
consumption. XTEX operates approximately 3,500 miles of natural
gas, natural gas liquids and oil pipelines, 10 natural gas
processing plants and four fractionators, as well as barge and rail
terminals, product storage facilities, brine disposal wells and an
extensive truck fleet. XTEX has the right platform, the right
opportunities and the right people to pursue its growth-focused
business strategy.
Crosstex Energy, Inc. (NASDAQ: XTXI) owns the general
partner interest, the incentive distribution rights and a portion
of the limited partner interests in Crosstex Energy, L.P. as well
as the majority interest in E2, a services company focused on the
Utica Shale play in the Ohio River Valley.
Additional information about the Crosstex companies can be found
at www.crosstexenergy.com.
Non-GAAP Financial Information
This press release contains non-generally accepted accounting
principle financial measures that the Partnership refers to as
gross operating margin, adjusted EBITDA and distributable cash
flow. Gross operating margin is defined as revenue minus the cost
of purchased gas, NGL and crude oil. Adjusted EBITDA is defined as
net income plus interest expense, provision for income taxes,
depreciation and amortization expense, impairments, stock-based
compensation, (gain) loss on non-cash derivatives, distribution
from a limited liability company and non-controlling interest; less
gain on sale of property and equity in income (loss) of limited
liability company. Distributable cash flow is defined as earnings
before certain noncash charges and the gain on the sale of assets
less maintenance capital expenditures. The amounts included in the
calculation of these measures are computed in accordance with
generally accepted accounting principles (GAAP) with the exception
of maintenance capital expenditures. Maintenance capital
expenditures are capital expenditures made to replace partially or
fully depreciated assets in order to maintain the existing
operating capacity of the assets and to extend their useful
lives.
The Partnership believes these measures are useful to investors
because they may provide users of this financial information with
meaningful comparisons between current results and prior-reported
results and a meaningful measure of the Partnership’s cash flow
after it has satisfied the capital and related requirements of its
operations.
Gross operating margin, adjusted EBITDA and distributable cash
flow, as defined above, are not measures of financial performance
or liquidity under GAAP. They should not be considered in isolation
or as an indicator of the Partnership’s performance. Furthermore,
they should not be seen as measures of liquidity or a substitute
for metrics prepared in accordance with GAAP. Reconciliations of
these measures to their most directly comparable GAAP measures are
included in the following tables.
This press release contains forward-looking statements within
the meaning of the federal securities laws. These statements are
based on certain assumptions made by the Partnership and the
Corporation based upon management’s experience and perception of
historical trends, current conditions, expected future developments
and other factors the Partnership and the Corporation believe are
appropriate in the circumstances. These statements include, but are
not limited to, statements with respect to the Partnership’s and
the Corporation’s guidance and future outlook, distribution and
dividend guidelines and future estimates and results of operations.
Such statements are subject to a number of assumptions, risks and
uncertainties, many of which are beyond the control of the
Partnership and the Corporation, which may cause the Partnership’s
and the Corporation’s actual results to differ materially from
those implied or expressed by the forward-looking statements. These
risks include the following: (1) the Partnership’s
profitability is dependent upon prices and market demand for
natural gas, NGL, condensate and crude oil; (2) the
Partnership’s substantial indebtedness could limit its flexibility
and adversely affect its financial health; (3) the Partnership
may not be able to obtain funding, which would impair its ability
to grow; (4) the Partnership and the Corporation do not have
diversified assets; (5) the Partnership may not be successful
in balancing its purchases and sales; (6) drilling levels may
decrease due to deterioration in the credit and commodity markets;
(7) the Partnership’s credit risk management efforts may fail
to adequately protect against customer non-payment; (8) the
amount of natural gas, NGL, condensate and crude oil transported
may decline as a result of reduced drilling by producers,
competition for supplies, reserve declines and reduction in demand
from key customers and markets; (9) the level of the
Partnership’s processing, fractionation, crude oil handling and
brine disposal operations may decline for similar reasons;
(10) the successful execution of major projects is subject to
factors beyond the control of the Partnership; (11) operational,
regulatory and other asset-related risks, including weather
conditions, exist because a significant portion of the
Partnership’s assets are located in southern Louisiana and the Ohio
River Valley; (12) the Partnership’s use of derivative financial
instruments does not eliminate its exposure to fluctuations in
commodity prices and interest rates; and (13) other factors
discussed in the Partnership’s and the Corporation’s Annual Reports
on Form 10-K for the year ended December 31, 2012,
Quarterly Reports on Form 10-Q for the quarter ended March 31,
2013, and other filings with the Securities and Exchange
Commission. The Partnership and the Corporation have no obligation
to publicly update or revise any forward-looking statement, whether
as a result of new information, future events or otherwise.
CROSSTEX ENERGY,
L.P. Selected Financial Data
(All amounts in thousands except per unit
amounts)
Three Months Ended Six Months Ended June
30, June 30, 2013 2012 2013
2012 (Unaudited) (Unaudited) Revenues $
454,589 $ 394,402 $ 900,278 $ 820,361 Purchased gas, NGLs and crude
oil 359,093 304,098 700,115
630,304 Gross operating margin 95,496 90,304
200,163 190,057 Operating costs and expenses: Operating expenses
36,779 30,571 74,115 58,378 General and administrative 16,212
12,965 34,448 27,928 (Gain) loss on sale of property 84 (406 ) 95
(504 ) (Gain) loss on derivatives (445 ) (4,905 ) 27 (2,736 )
Depreciation and amortization 34,635 32,870
68,361 65,048 Total operating
costs and expenses 87,265 71,095 177,046 148,114 Operating income
8,231 19,209 23,117 41,943 Interest expense, net of interest income
(18,173 ) (21,320 ) (38,444 ) (40,703 ) Equity in income (loss) of
limited liability company 37 — (41 ) — Other income 109
11 329 25 Total
other expense (18,027 ) (21,309 ) (38,156 ) (40,678 ) Income (loss)
before non-controlling interest and income taxes (9,796 ) (2,100 )
(15,039 ) 1,265 Income tax provision (833 ) (411 )
(1,542 ) (835 ) Net income (loss) (10,629 ) (2,511 )
(16,581 ) 430 Less: Net loss attributable to the non-controlling
interest — (71 ) — (109 )
Net income (loss) attributable to Crosstex Energy, L.P. $ (10,629 )
$ (2,440 ) $ (16,581 ) $ 539 Preferred interest in net
income (loss) attributable to Crosstex Energy, L.P. $ 8,131
$ 4,853 $ 15,210 $ 9,706 General partner
interest in net income (loss) $ (312 ) $ (40 ) $ (1,556 ) $ (111 )
Limited partners’ interest in net income (loss) attributable to
Crosstex Energy, L.P. $ (18,448 ) $ (7,253 ) $ (30,235 ) $ (9,056 )
Net loss attributable to Crosstex Energy, L.P. per limited partner
unit: Basic and diluted common units $ (0.23 ) $ (0.13 ) $ (0.38 )
$ (0.17 ) Weighted average limited partners’ units outstanding:
Basic and diluted common units 81,670 55,998
79,265 53,427
CROSSTEX ENERGY, L.P. Reconciliation of Net Income
(Loss) to Adjusted EBITDA and Distributable Cash Flow
(All amounts in thousands except ratios
and per unit amounts)
Three Months Ended Six Months
Ended June 30, June 30, 2013 2012
2013 2012 (Unaudited) (Unaudited) Net
income (loss) attributable to Crosstex Energy, L.P. $ (10,629 ) $
(2,440 ) $ (16,581 ) $ 539 Depreciation and amortization 34,635
32,870 68,361 65,048 Stock-based compensation 3,004 2,495 8,055
4,993 Interest expense, net 18,173 21,320 38,444 40,703 (Gain) loss
on sale of property 84 (406 ) 95 (504 ) Distribution received from
Howard Energy Partners (1) 4,284 — 8,797 — Non-cash derivatives,
taxes and other 1,189 (5,164 ) 1,255
(3,626 ) Adjusted EBITDA 50,740 48,675 108,426
107,153 Interest expense (17,984 ) (21,382 ) (38,052 ) (40,827 )
Cash taxes and other (495 ) (167 ) (1,267 ) (716 ) Maintenance
capital expenditures (2,313 ) (3,728 ) (7,343
) (6,578 ) Distributable cash flow $ 29,948 $ 23,398
$ 61,764 $ 59,032 Distribution declared $
31,417 $ 26,997 $ 59,673 $ 50,427 Distribution coverage 0.95x
0.87x
1.03x 1.17x Distributions declared per limited partner unit $ 0.33
$
0.33
$
0.66
$ 0.66 (1) Includes an adjustment for the
Partnership’s equity in the earnings of Howard Energy Partners in
the amount of ($37,000) and $41,000 for the three and six months
ended June 30, 2013.
CROSSTEX ENERGY, L.P. Operating Data Three
Months Ended Six Months Ended June 30, June
30, 2013 2012 2013 2012 Pipeline
Throughput (MMBtu/d) LIG 430,000 802,000 512,000 851,000 NTX
Gathering 726,000 830,000 737,000 827,000 NTX Transmission 336,000
358,000 338,000 357,000
Total
Gathering and Transmission Volume 1,492,000 1,990,000 1,587,000
2,035,000
Natural Gas Processed (MMBtu/d) PNGL
390,000 833,000 436,000 854,000 LIG 260,000 249,000 254,000 256,000
NTX 399,000 351,000 396,000 334,000
Total Gas Volumes Processed 1,049,000 1,433,000 1,086,000
1,444,000
Crude Oil Handling (Bbls/d) (1) 10,400 -
10,000 -
Brine Disposal (Bbls/d) 8,000 - 7,900 -
NGLs Fractionated (Gal/d) 1,031,000 1,320,000 1,162,000
1,251,000
Realized weighted average NGL price ($/Gal)
(2) 0.94 1.04 0.98 1.11
Actual weighted average NGL-to-Gas
price ratio 238 % 496 % 272 % 486 %
North Texas
Gathering (3) Wells connected 20 31 40 84 (1) Crude oil
handling includes barrels handled by both the ORV and PNGL
segments. (2) Ethane represents 41 percent and 38 percent of NGL
gallons sold at realized prices of $0.29/gal and $0.27/gal for the
three and six months ended June 30, 2013, and 39 percent and 43
percent of NGL gallons sold at realized prices of $0.39/gal and
$0.48/gal for the three and six months ended June 30, 2012. (3)
North Texas Gathering wells connected are as of the last day of the
period and include Centralized Delivery Point connections where the
Partnership connects multiple wells at a single meter station.
CROSSTEX ENERGY,
INC. Selected Financial Data
(All amounts in thousands except per share
amounts)
Three Months Ended Six Months Ended June
30, June 30, 2013 2012 2013
2012 (Unaudited) (Unaudited) Revenues $
454,737 $ 394,402 $ 900,427 $ 820,361 Purchased gas, NGLs and crude
oil 359,093 304,098 700,115
630,304 Gross operating margin 95,644 90,304
200,312 190,057 Operating costs and expenses: Operating expenses
36,862 30,571 74,200 58,378 General and administrative 18,592
13,774 37,565 29,380 (Gain) loss on sale of property 84 (406 ) 95
(504 ) (Gain) loss on derivatives (445 ) (4,905 ) 27 (2,736 )
Depreciation and amortization 34,673 32,889
68,417 65,085 Total operating
costs and expenses 89,766 71,923 180,304 149,603 Operating income
5,878 18,381 20,008 40,454 Interest expense, net of interest income
(18,605 ) (21,319 ) (38,992 ) (40,699 ) Equity in income (loss) of
limited liability company 37 — (41 ) — Other income 108
12 329 25 Total
other expense (18,460 ) (21,307 ) (38,704 ) (40,674 ) Loss before
non-controlling interest and income taxes (12,582 ) (2,926 )
(18,696 ) (220 ) Income tax benefit 1,171 724
2,181 788 Net income (loss)
(11,411 ) (2,202 ) (16,515 ) 568 Less: Net income (loss)
attributable to the non-controlling Interest (6,744 )
(530 ) (8,912 ) 3,064 Net loss attributable to
Crosstex Energy, Inc. $ (4,667 ) $ (1,672 ) $ (7,603 ) $ (2,496 )
Net loss per common share:
Basic and diluted $ (0.09 ) $ (0.03 ) $ (0.15 ) $ (0.05 ) Weighted
average shares outstanding: Basic and diluted 47,610
47,366 47,589 47,361
CROSSTEX ENERGY, INC. Calculation of
Cash Available for Dividends
(All amounts in thousands except per share
amounts)
Three Months Ended Six Months
Ended June 30, June 30, 2013 2012
2013 2012 Distributions declared by Crosstex
Energy, L.P. associated with: General Partner Interest $ 444 $
510 $ 877 $ 952 Incentive Distribution Rights 1,386 1,153 2,622
2,152 L.P. Units Owned 5,417 5,417
10,834 10,834 Total share of
distributions declared $ 7,247 $ 7,080 $ 14,333 $ 13,938
Other
non-partnership uses: General and administrative expenses (763
) (700 ) (1,445 ) (904 ) Cash reserved * (648 ) (638
) (1,288 ) (1,303 ) Cash available for dividends $
5,836 $ 5,742 $ 11,600 $ 11,731
Dividend declared per share $ 0.12 $ 0.12 $ 0.24
$ 0.24 * Cash reserved represents a cash
holdback by the Corporation to cover tax payments, equity-matching
investments in the Partnership and other miscellaneous cash
expenditures. The amount is currently estimated at 10 percent of
the Corporation’s share of Partnership distributions declared, net
of non-partnership general and administrative expenses.
Crosstex EnergyJill McMillan,
214-721-9271Director, Public & Industry
AffairsJill.McMillan@CrosstexEnergy.com
Crosstex Energy, Inc. (MM) (NASDAQ:XTXI)
Graphique Historique de l'Action
De Mai 2024 à Juin 2024
Crosstex Energy, Inc. (MM) (NASDAQ:XTXI)
Graphique Historique de l'Action
De Juin 2023 à Juin 2024