Global Partners LP (NYSE: GLP) today reported financial results for the third quarter ended September 30, 2013.
“Global delivered favorable year-over-year results in the third quarter,” said Eric Slifka, the Partnership’s President and Chief Executive Officer. “We benefited from a strong performance in our gasoline distribution and station operations and favorable market conditions in wholesale distillates. As expected, our performance was moderated by backwardation in wholesale gasoline blendstocks and supply dislocations in crude oil that compressed margins and reduced volumes. Crude oil activities in Q3 were up on a year-over-year basis, reflecting our acquisitions early in 2013 of Cascade Kelly and Basin Transload, our take-or-pay contract with Phillips 66 and other term contracts at our terminals.”
Third Quarter 2013 Financial Summary
Net income for the third quarter of 2013 was $3.4 million, or $0.09 per diluted limited partner unit, compared with net income of $6.9 million, or $0.24 per diluted limited partner unit, for the third quarter of 2012.Combined net product margin for the third quarter of 2013 increased 22% to $111.7 million from $91.9 million for the same period in 2012. Gross profit for the third quarter of 2013 increased 17% to $96.3 million from $82.6 million for the third quarter of 2012. Earnings before interest, taxes, depreciation and amortization (EBITDA) for the third quarter of 2013 were up 26% to $37.2 million, compared with $29.5 million for the same period in 2012. Distributable cash flow (DCF) for the third quarter of 2013 increased 55% to $23.2 million, compared with $15.0 million for the third quarter of 2012. Net product margin, EBITDA and DCF are non-GAAP (Generally Accepted Accounting Principles) financial measures, which are explained in greater detail below under "Use of Non-GAAP Financial Measures." Please refer to Financial Reconciliations included in this news release for reconciliations of these non-GAAP financial measures to the most directly comparable GAAP financial measures for the three and nine months ended September 30, 2013 and 2012.