This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Holly Energy Partners, L.P. Reports Fourth Quarter Results

Holly Energy Partners, L.P. (“HEP” or the “Partnership”) (NYSE-HEP) today reported financial results for the fourth quarter of 2012. For the quarter, distributable cash flow was $41.6 million, up $9.2 million, or 28.6% compared to the fourth quarter of 2011. Based on these results, HEP announced its 33rd consecutive distribution increase on January 24, 2013, raising the quarterly distribution from $0.4625 to $0.47 per unit, representing a 6% increase over the distribution for the fourth quarter of 2011. On January 16, 2013, HEP completed its two-for-one unit split. All per unit amounts in this earnings release have been adjusted to reflect the unit split.

Net income attributable to Holly Energy Partners for the fourth quarter was $27.0 million ($0.37 per basic and diluted limited partner unit) compared to $30.9 million ($0.51 per basic and diluted limited partner unit) for the fourth quarter of 2011. This decrease in earnings is due principally to a one-time positive crude oil pipeline settlement of $5.5 million with HollyFrontier in the fourth quarter of 2011, increased operating costs and expenses and higher interest expense. These factors were partially offset by increased volumes, earnings attributable to our November 2011 asset acquisition and annual tariff increases.

Commenting on the fourth quarter of 2012, Matt Clifton, Chairman of the Board and Chief Executive Officer stated, “We are extremely pleased with our financial results, particularly with the record levels of our distributable cash flow and EBITDA. EBITDA for the fourth quarter was $54.7 million, an increase of $5.0 million, or 10%, over last year’s fourth quarter."

“Increased domestic oil production has positively impacted the gross margins of the refineries we serve throughout our Midcontinent, Rocky Mountain and Southwest asset base. This has given our refinery shippers strong incentives to maximize their production levels, which correspondingly kept our pipeline and terminal utilization rates at historically high levels during the quarter. Additionally, increased oil drilling activity near our crude oil gathering pipelines in Southeast New Mexico should continue to raise the amount of oil we gather and transport on our New Mexico crude oil pipeline assets. These positive industry fundamentals have increased the financial contribution from our heritage assets while our tankage and terminals acquisition in November 2011 and our UNEV pipeline acquisition in July 2012 further contributed to our year over year growth in distributable cash flow,” Clifton said.

1 of 9

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $93.75 -1.10%
FB $117.53 0.69%
GOOG $693.00 0.29%
TSLA $240.76 -2.81%
YHOO $36.61 0.06%


Chart of I:DJI
DOW 17,773.64 -57.12 -0.32%
S&P 500 2,065.30 -10.51 -0.51%
NASDAQ 4,775.3580 -29.9330 -0.62%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs