Phillips 66 Partners LP (NYSE: PSXP) announces fourth-quarter earnings of $17.0 million, resulting in $0.24 per limited partner unit. Earnings before interest, income taxes, depreciation and amortization (EBITDA) was $18.8 million and distributable cash flow was $17.8 million.
From the closing of its initial public offering (IPO) on July 26, 2013, through Dec. 31, 2013, the partnership's earnings were $28.9 million, resulting in $0.40 per limited partner unit. During this period, EBITDA was $32.0 million and distributable cash flow was $30.4 million.
"We are pleased with our operating and financial performance in our first full quarter,” said Phillips 66 Partners Chairman and CEO Greg Garland. “Consistent with our commitment to create value for unitholders, we recently increased our quarterly cash distribution by nearly 6 percent and are actively pursuing our initial acquisition in the first half of 2014."
Total revenues for the fourth quarter were $30.0 million, up $0.4 million from the third quarter. The increase primarily resulted from higher pipeline and terminal throughput volumes. Total costs of $12.9 million were up $0.8 million from the prior quarter, primarily driven by higher general and administrative expenses. These increased expenses reflect the higher costs of operating as a stand-alone publicly traded partnership, as well as due diligence costs associated with planned asset acquisitions.
On Jan. 22, 2014, the board of directors of our general partner declared a quarterly cash distribution of $0.2248 per unit, for a total distribution of $16.2 million. This distribution is 5.8 percent greater than the partnership's minimum quarterly distribution of $0.2125 per unit.
At Dec. 31, 2013, Phillips 66 Partners LP had $425.1 million in cash and cash equivalents, the majority of which is available to fund future acquisitions and expansion capital opportunities. The partnership also has an unused revolving credit facility of $250 million.