Latest news with #EricSlifka
Business Wire
07-08-2025
- Business
- Business Wire
Global Partners Reports Second-Quarter 2025 Financial Results
WALTHAM, Mass.--(BUSINESS WIRE)--Global Partners LP (NYSE: GLP) ('Global' or the 'Partnership') today reported financial results for the second quarter ended June 30, 2025. 'For the first half of 2025, we delivered solid year-over-year growth in earnings and cash flow, highlighting the effectiveness of our diversified asset base and disciplined execution. For the first six months of 2025, year-over-year net income increased by 8%, adjusted EBITDA increased by 7% and adjusted DCF increased by 9%,' said Eric Slifka, President and CEO of Global Partners. 'We are pleased with the second-quarter performance of our retail, terminal, and wholesale liquid energy portfolio. The strategic acquisition of key terminals has expanded our reach, enhanced our market presence, and strengthened our foundation for delivering long-term value to unitholders.' Second-Quarter 2025 Financial Highlights Net income was $25.2 million, or $0.55 per diluted common limited partner unit, for the second quarter of 2025, compared with $46.1 million, or $1.10 per diluted common limited partner unit, in the same period of 2024. Earnings before interest, taxes, depreciation and amortization (EBITDA) was $95.7 million in the second quarter of 2025 compared with $118.8 million in the same period of 2024. Adjusted EBITDA was $98.2 million in the second quarter of 2025 versus $121.1 million in the same period of 2024. Distributable cash flow (DCF) was $52.0 million in the second quarter of 2025 compared with $73.1 million in the same period of 2024. Adjusted DCF was $52.3 million in the second quarter of 2025 compared with $74.2 million in the same period of 2024. EBITDA, adjusted EBITDA, DCF and adjusted DCF include a loss on early extinguishment of debt of $2.8 million for the three months ended June 30, 2025 related to the redemption of the Partnership's 7.00% senior notes due 2027. Gross profit was $272.4 million in the second quarter of 2025 compared with $287.9 million in the same period of 2024. Combined product margin, which is gross profit adjusted for depreciation allocated to cost of sales, was $305.7 million in the second quarter of 2025 compared with $319.6 million in the same period of 2024. Combined product margin, EBITDA, adjusted EBITDA, DCF and adjusted 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 their most directly comparable GAAP financial measures for the three months and six months ended June 30, 2025, and 2024. Gasoline Distribution and Station Operations (GDSO) segment product margin was $207.9 million in the second quarter of 2025 compared with $221.5 million in the same period of 2024. Product margin from gasoline distribution was $137.9 million compared with $147.3 million in the year-earlier period, reflecting lower fuel volume due in part to decreased site count year-over-year. Product margin from station operations was $70.0 million in the second quarter of 2025 compared with $74.2 million in the second quarter of 2024, also due in part to decreased site count. Wholesale segment product margin was $91.7 million in the second quarter of 2025 compared with $91.9 million in the same period of 2024. Gasoline and gasoline blendstocks product margin was $58.8 million in the second quarter of 2025 compared with $70.4 million in the same period of 2024. Product margin from distillates and other oils was $32.9 million in the second quarter of 2025 compared with $21.5 million in the same period of 2024. Commercial segment product margin was $6.1 million in the second quarter of 2025 compared with $6.2 million in the same period of 2024. Total sales were $4.6 billion in the second quarter of 2025 compared with $4.4 billion in the same period of 2024. Wholesale segment sales were $3.1 billion in the second quarter of 2025 compared with $2.6 billion in the same period of 2024. GDSO segment sales were $1.2 billion in the second quarter of 2025 compared with $1.5 billion in the same period of 2024. Commercial segment sales were $275.8 million in the second quarter of 2025 compared with $280.9 million in the second quarter of 2024. Total volume was 2.0 billion gallons in the second quarter of 2025 compared with 1.6 billion gallons in the same period of 2024. Wholesale segment volume was 1.5 billion gallons in the second quarter of 2025 compared with 1.1 billion gallons in the same period of 2024. GDSO volume was 382.4 million gallons in the second quarter of 2025 compared with 407.0 million gallons in the same period of 2024. Commercial segment volume was 141.9 million gallons in the second quarter of 2025 compared with 119.5 million gallons in the same period of 2024. Recent Developments Global completed an upsized private offering of $450 million of 7.125% senior unsecured notes due 2033. The Company used the net proceeds from the offering to purchase its outstanding $400 million 7.00% senior notes due 2027 in a cash tender offer and a subsequent redemption, and to repay a portion of the borrowings under its credit agreement. Global announced a cash distribution of $0.7500 per unit ($3.00 per unit on an annualized basis) on all of its outstanding common units from April 1, 2025 through June 30, 2025. The distribution will be paid on August 14, 2025 to unitholders of record as of the close of business on August 8, 2025. Financial Results Conference Call Management will review the Partnership's second-quarter 2025 financial results in a teleconference call for analysts and investors today. Please plan to dial in to the call at least 10 minutes prior to the start time. The call also will be webcast live and archived on Global Partners' website, About Global Partners LP Building on a legacy that began more than 90 years ago, Global Partners has evolved into a Fortune 500 company and industry-leading integrated owner, supplier, and operator of liquid energy terminals, fueling locations, and guest-focused retail experiences. Global operates or maintains dedicated storage at 54 liquid energy terminals—with connectivity to strategic rail, pipeline, and marine assets—spanning from Maine to Florida and into the U.S. Gulf States. Through this extensive network, the company distributes gasoline, distillates, residual oil, and renewable fuels to wholesalers, retailers, and commercial customers. In addition, Global owns, operates and/or supplies approximately 1,700 retail locations across the Northeast states, the Mid-Atlantic, and Texas, providing the fuels people need to keep them on the go at their unique guest-focused convenience destinations. Recognized as one of Fortune's Most Admired Companies, Global Partners is embracing progress and diversifying to meet the needs of the energy transition. Global Partners, a master limited partnership, trades on the New York Stock Exchange under the ticker symbol 'GLP.' For additional information, visit Use of Non-GAAP Financial Measures Product Margin Global Partners views product margin as an important performance measure of the core profitability of its operations. The Partnership reviews product margin monthly for consistency and trend analysis. Global Partners defines product margin as product sales minus product costs. Product sales primarily include sales of unbranded and branded gasoline, distillates, residual oil, renewable fuels and crude oil, as well as convenience store and prepared food sales, gasoline station rental income and revenue generated from logistics activities when the Partnership engages in the storage, transloading and shipment of products owned by others. Product costs include the cost of acquiring products and all associated costs including shipping and handling costs to bring such products to the point of sale as well as product costs related to convenience store items and costs associated with logistics activities. The Partnership also looks at product margin on a per unit basis (product margin divided by volume). Product margin is a non-GAAP financial measure used by management and external users of the Partnership's consolidated financial statements to assess its business. Product margin should not be considered an alternative to net income, operating income, cash flow from operations, or any other measure of financial performance presented in accordance with GAAP. In addition, product margin may not be comparable to product margin or a similarly titled measure of other companies. EBITDA and Adjusted EBITDA EBITDA and adjusted EBITDA are non-GAAP financial measures used as supplemental financial measures by management and may be used by external users of Global Partners' consolidated financial statements, such as investors, commercial banks and research analysts, to assess the Partnership's: compliance with certain financial covenants included in its debt agreements; financial performance without regard to financing methods, capital structure, income taxes or historical cost basis; ability to generate cash sufficient to pay interest on its indebtedness and to make distributions to its partners; operating performance and return on invested capital as compared to those of other companies in the wholesale, marketing, storing and distribution of refined petroleum products, gasoline blendstocks, renewable fuels, crude oil and propane, and in the gasoline stations and convenience stores business, without regard to financing methods and capital structure; and viability of acquisitions and capital expenditure projects and the overall rates of return of alternative investment opportunities. Adjusted EBITDA is EBITDA further adjusted for gains or losses on the sale and disposition of assets, goodwill and long-lived asset impairment charges and Global's proportionate share of EBITDA related to its Spring Partners Retail LLC joint venture, which is accounted for using the equity method. EBITDA and adjusted EBITDA should not be considered as alternatives to net income, operating income, cash flow from operating activities or any other measure of financial performance or liquidity presented in accordance with GAAP. EBITDA and adjusted EBITDA exclude some, but not all, items that affect net income, and these measures may vary among other companies. Therefore, EBITDA and adjusted EBITDA may not be comparable to similarly titled measures of other companies. Distributable Cash Flow and Adjusted Distributable Cash Flow Distributable cash flow is an important non-GAAP financial measure for the Partnership's limited partners since it serves as an indicator of Global's success in providing a cash return on their investment. Distributable cash flow as defined by the Partnership's partnership agreement (the 'partnership agreement') is net income plus depreciation and amortization minus maintenance capital expenditures, as well as adjustments to eliminate items approved by the audit committee of the board of directors of the Partnership's general partner that are extraordinary or non-recurring in nature and that would otherwise increase distributable cash flow. Distributable cash flow as used in the partnership agreement also determines Global's ability to make cash distributions on its incentive distribution rights. The investment community also uses a distributable cash flow metric similar to the metric used in the partnership agreement with respect to publicly traded partnerships to indicate whether or not such partnerships have generated sufficient earnings on a current or historical level that can sustain distributions on preferred or common units or support an increase in quarterly cash distributions on common units. The partnership agreement does not permit adjustments for certain non-cash items, such as net losses on the sale and disposition of assets and goodwill and long-lived asset impairment charges. Adjusted distributable cash flow is a non-GAAP financial measure intended to provide management and investors with an enhanced perspective of the Partnership's financial performance. Adjusted distributable cash flow is distributable cash flow (as defined in the partnership agreement) further adjusted for Global's proportionate share of distributable cash flow related to its Spring Partners Retail LLC joint venture, which is accounted for using the equity method. Adjusted distributable cash flow is not used in the partnership agreement to determine the Partnership's ability to make cash distributions and may be higher or lower than distributable cash flow as calculated under the partnership agreement. Distributable cash flow and adjusted distributable cash flow should not be considered as alternatives to net income, operating income, cash flow from operations, or any other measure of financial performance presented in accordance with GAAP. In addition, the Partnership's distributable cash flow and adjusted distributable cash flow may not be comparable to distributable cash flow or similarly titled measures of other companies. Forward-looking Statements Certain statements and information in this press release may constitute 'forward-looking statements.' The words 'believe,' 'expect,' 'anticipate,' 'plan,' 'intend,' 'foresee,' 'should,' 'would,' 'could' or other similar expressions are intended to identify forward-looking statements, which are generally not historical in nature, although not all forward-looking statements contain such identifying words. These forward-looking statements are based on Global's current expectations and beliefs concerning future developments and their potential effect on the Partnership. While management believes that these forward-looking statements are reasonable as and when made, there can be no assurance that future developments affecting the Partnership will be those that it anticipates. Forward-looking statements involve significant risks and uncertainties (some of which are beyond the Partnership's control) including, without limitation, uncertainty around the timing of an economic recovery in the United States which will impact the demand for the products we sell and the services that we provide, and assumptions that could cause actual results to differ materially from the Partnership's historical experience and present expectations or projections. We believe these assumptions are reasonable given currently available information. Our assumptions and future performance are subject to a wide range of business risks, uncertainties and factors, which are described in our filings with the Securities and Exchange Commission (SEC). For additional information regarding known material factors that could cause actual results to differ from the Partnership's projected results, please see Global's filings with the SEC, including its Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. Readers are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date hereof. Global undertakes no obligation to publicly update or revise any forward-looking statements after the date they are made, whether as a result of new information, future events or otherwise. Three Months Ended Six Months Ended June 30, June 30, 2025 2024 2025 2024 Sales $ 4,626,925 $ 4,409,698 $ 9,219,122 $ 8,555,090 Cost of sales 4,354,563 4,121,814 8,691,519 8,052,071 Gross profit 272,362 287,884 527,603 503,019 Costs and operating expenses: Selling, general and administrative expenses 74,775 72,370 148,492 142,151 Operating expenses 135,663 129,959 262,378 250,109 Amortization expense 1,376 1,989 2,788 3,858 Net loss (gain) on sale and disposition of assets 271 (303) (2,219) (2,804) Long-lived asset impairment 211 - 211 - Total costs and operating expenses 212,296 204,015 411,650 393,314 Operating income 60,066 83,869 115,953 109,705 Other income (loss) and (expense): Income (loss) from equity method investments 2,350 (346) 2,416 (1,725) Interest expense (34,523) (35,531) (70,562) (65,227) Loss on early extinguishment of debt (2,795) - (2,795) - Income before income tax benefit (expense) 25,098 47,992 45,012 42,753 Income tax benefit (expense) 112 (1,843) (1,118) (2,206) Net income 25,210 46,149 43,894 40,547 Less: General partner's interest in net income, including incentive distribution rights 4,615 3,802 9,027 6,938 Less: Preferred limited partner interest in net income 1,781 2,097 3,562 6,013 Less: Redemption of Series A preferred limited partner units - 2,634 - 2,634 Net income attributable to common limited partners $ 18,814 $ 37,616 $ 31,305 $ 24,962 Basic net income per common limited partner unit (1) $ 0.55 $ 1.11 $ 0.92 $ 0.74 Diluted net income per common limited partner unit (1) $ 0.55 $ 1.10 $ 0.92 $ 0.73 Basic weighted average common limited partner units outstanding 33,918 33,910 33,902 33,936 Diluted weighted average common limited partner units outstanding 34,095 34,278 34,204 34,273 (1) Under the Partnership's partnership agreement, for any quarterly period, the incentive distribution rights ("IDRs") participate in net income only to the extent of the amount of cash distributions actually declared, thereby excluding the IDRs from participating in the Partnership's undistributed net income or losses. Accordingly, the Partnership's undistributed net income or losses is assumed to be allocated to the common unitholders and to the General Partner's general partner interest. Net income attributable to common limited partners is divided by the weighted average common units outstanding in computing the net income per limited partner unit. Expand GLOBAL PARTNERS LP CONSOLIDATED BALANCE SHEETS (In thousands) (Unaudited) June 30, December 31, 2025 2024 Assets Current assets: Cash and cash equivalents $ 16,097 $ 8,208 Accounts receivable, net 563,964 472,591 Accounts receivable - affiliates 7,132 6,250 Inventories 495,601 594,072 Brokerage margin deposits 23,879 20,135 Derivative assets 18,182 13,710 Prepaid expenses and other current assets 90,308 92,414 Total current assets 1,215,163 1,207,380 Property and equipment, net 1,668,367 1,706,605 Right of use assets, net 310,900 302,199 Intangible assets, net 15,895 18,683 Goodwill 421,913 421,913 Equity method investments 110,720 92,709 Other assets 41,380 38,709 Total assets $ 3,784,338 $ 3,788,198 Liabilities and partners' equity Current liabilities: Accounts payable $ 590,352 $ 509,975 Working capital revolving credit facility - current portion 98,500 129,500 Lease liability - current portion 53,964 56,780 Environmental liabilities - current portion 7,704 7,704 Trustee taxes payable 83,416 66,753 Accrued expenses and other current liabilities 179,397 223,304 Derivative liabilities 13,931 6,105 Total current liabilities 1,027,264 1,000,121 Working capital revolving credit facility - less current portion 100,000 100,000 Revolving credit facility 88,200 167,000 Senior notes 1,270,916 1,186,723 Lease liability - less current portion 262,358 251,745 Environmental liabilities - less current portion 89,414 91,367 Financing obligations 132,194 134,475 Deferred tax liabilities 60,393 63,548 Other long-term liabilities 67,294 76,606 Total liabilities 3,098,033 3,071,585 Partners' equity 686,305 716,613 Total liabilities and partners' equity $ 3,784,338 $ 3,788,198 Expand GLOBAL PARTNERS LP FINANCIAL RECONCILIATIONS (In thousands) (Unaudited) Three Months Ended Six Months Ended June 30, June 30, 2025 2024 2025 2024 Reconciliation of gross profit to product margin: Wholesale segment: Gasoline and gasoline blendstocks $ 58,794 $ 70,412 $ 115,963 $ 100,173 Distillates and other oils 32,938 21,453 69,409 41,112 Total 91,732 91,865 185,372 141,285 Gasoline Distribution and Station Operations segment: Gasoline distribution 137,916 147,313 263,667 268,943 Station operations 69,972 74,154 132,084 140,241 Total 207,888 221,467 395,751 409,184 Commercial segment 6,105 6,222 13,250 13,190 Combined product margin 305,725 319,554 594,373 563,659 Depreciation allocated to cost of sales (33,363) (31,670) (66,770) (60,640) Gross profit $ 272,362 $ 287,884 $ 527,603 $ 503,019 Reconciliation of net income to EBITDA and adjusted EBITDA: Net income $ 25,210 $ 46,149 $ 43,894 $ 40,547 Depreciation and amortization 36,124 35,266 72,029 67,752 Interest expense 34,523 35,531 70,562 65,227 Income tax (benefit) expense (112) 1,843 1,118 2,206 EBITDA (1) 95,745 118,789 187,603 175,732 Net loss (gain) on sale and disposition of assets 271 (303) (2,219) (2,804) Long-lived asset impairment 211 - 211 - (Income) loss from equity method investment (2) (931) 346 (876) 1,929 EBITDA related to equity method investment (2) 2,862 2,282 4,699 2,469 Adjusted EBITDA (1) $ 98,158 $ 121,114 $ 189,418 $ 177,326 Reconciliation of net cash provided by (used in) operating activities to EBITDA and adjusted EBITDA: Net cash provided by (used in) operating activities $ 216,320 $ 24,346 $ 164,730 $ (158,356) Net changes in operating assets and liabilities and certain non-cash items (154,986) 57,069 (48,807) 266,655 Interest expense 34,523 35,531 70,562 65,227 Income tax (benefit) expense (112) 1,843 1,118 2,206 EBITDA (1) 95,745 118,789 187,603 175,732 Net loss (gain) on sale and disposition of assets 271 (303) (2,219) (2,804) Long-lived asset impairment 211 - 211 - (Income) loss from equity method investment (2) (931) 346 (876) 1,929 EBITDA related to equity method investment (2) 2,862 2,282 4,699 2,469 Adjusted EBITDA (1) $ 98,158 $ 121,114 $ 189,418 $ 177,326 Reconciliation of net income to distributable cash flow and adjusted distributable cash flow: Net income $ 25,210 $ 46,149 $ 43,894 $ 40,547 Depreciation and amortization 36,124 35,266 72,029 67,752 Amortization of deferred financing fees 1,785 1,873 3,658 3,704 Amortization of routine bank refinancing fees (1,234) (1,194) (2,427) (2,387) Maintenance capital expenditures (9,912) (8,946) (19,492) (20,683) Distributable cash flow (1)(3)(4) 51,973 73,148 97,662 88,933 (Income) loss from equity method investment (2) (931) 346 (876) 1,929 Distributable cash flow from equity method investment (2) 1,239 673 2,036 (470) Adjusted distributable cash flow (1)(4) 52,281 74,167 98,822 90,392 Distributions to preferred unitholders (5) (1,781) (2,097) (3,562) (6,013) Adjusted distributable cash flow after distributions to preferred unitholders $ 50,500 $ 72,070 $ 95,260 $ 84,379 Reconciliation of net cash provided by (used in) operating activities to distributable cash flow and adjusted distributable cash flow: Net cash provided by (used in) operating activities $ 216,320 $ 24,346 $ 164,730 $ (158,356) Net changes in operating assets and liabilities and certain non-cash items (154,986) 57,069 (48,807) 266,655 Amortization of deferred financing fees 1,785 1,873 3,658 3,704 Amortization of routine bank refinancing fees (1,234) (1,194) (2,427) (2,387) Maintenance capital expenditures (9,912) (8,946) (19,492) (20,683) Distributable cash flow (1)(3)(4) 51,973 73,148 97,662 88,933 (Income) loss from equity method investment (2) (931) 346 (876) 1,929 Distributable cash flow from equity method investment (2) 1,239 673 2,036 (470) Adjusted distributable cash flow (1)(4) 52,281 74,167 98,822 90,392 Distributions to preferred unitholders (5) (1,781) (2,097) (3,562) (6,013) Adjusted distributable cash flow after distributions to preferred unitholders $ 50,500 $ 72,070 $ 95,260 $ 84,379 (1) EBITDA, adjusted EBITDA, distributable cash flow ("DCF") and adjusted DCF include a loss on early extinguishment of debt of $2.8 million for each of the three and six months ended June 30, 2025 related to the redemption of the Partnership's 7.00% senior notes due 2027. (2) Represents the Partnership's proportionate share of income or loss, EBITDA and DCF, as applicable, related to the Partnership's 49.99% interest in its Spring Valley Partners Retail LLC joint venture, which is accounted for using the equity method. (3) As defined by the Partnership's partnership agreement, DCF is not adjusted for certain non-cash items, such as net losses on the sale and disposition of assets and goodwill and long-lived asset impairment charges. (4) DCF and adjusted DCF include a net (loss) gain on sale and disposition of assets and long-lived asset impairment of ($0.5 million) and $0.3 million for the three months ended June 30, 2025 and 2024, respectively, and $2.0 million and $2.8 million for the six months ended June 30, 2025 and 2024, respectively. DCF also includes income (loss) of $0.9 million and ($0.3 million) for the three months ended June 30, 2025 and 2024, respectively, and $0.9 million and ($1.9 million) for the six months ended June 30, 2025 and 2024, respectively, related to the Partnership's 49.99% interest in its Spring Valley Partners Retail LLC joint venture, which is accounted for using the equity method. (5) Distributions to preferred unitholders represent the distributions payable to the Series A preferred unitholders and the Series B preferred unitholders earned during the period. Distributions on the Series A preferred units and the Series B preferred units are cumulative and payable quarterly in arrears on February 15, May 15, August 15 and November 15 of each year. On April 15, 2024, all of the Partnership's Series A preferred units were redeemed and are no longer outstanding. Expand
CBS News
04-07-2025
- Business
- CBS News
Highway rest stop plaza controversy in Massachusetts has local company crying foul
Company calls for investigation after losing bid to take over Massachusetts highway service plazas Company calls for investigation after losing bid to take over Massachusetts highway service plazas Company calls for investigation after losing bid to take over Massachusetts highway service plazas A local company that lost its bid to take over 18 highway service plazas in Massachusetts says the fight is not over. Last month, MassDOT awarded a 35-year contract to Applegreen, a company founded in Ireland that plans to knock down and rebuild nine of the rest stops while significantly upgrading nine more. All MassDOT board members, except for one who abstained, voted in favor of Applegreen. But Waltham-based Global Partners, a fuel supplier, is appealing to lawmakers and the attorney general to put the brakes on the agreement that would give Applegreen control of the plazas on Jan. 1. Global Partners contends that its bid was $1 billion higher than Applegreen's. "It is not a done deal," Global Partners CEO Eric Slifka told WBZ-TV. "This is a travesty." "We think this is an injustice" Slifka said he was surprised that the state didn't go with a local company. He also said Global Partners made a much bigger rent commitment than Applegreen in its bid. "We know how to do this and basically we think that this is an injustice to the taxpayers of Massachusetts," he said. "We think this should be investigated, we think it should be looked into." MassDOT says Applegreen's bid was larger by $125 million - not $1 billion, and there were other reasons they chose Global Partners' competitor. Slifka disagrees and is calling for more transparency. "We stepped up to the plate, made a very firm commitment," he said. "The company that they ended up going with did not have a firm commitment. There's risk there for the state, and that's a problem." Applegreen "ready to hit the ground running" On the other side is Applegreen CEO Bob Etchingham. He told WBZ-TV that Applegreen's business is almost exclusively focused on travel plazas, operating 113 in the northeast U.S. "We're very much the most experienced and the best qualified to operate the new travel plazas and we're looking forward to doing that," Etchingham said. "In three years time we'll be able to offer you something that's vastly superior to what you experience at the moment." Applegreen is investing $750 million into rebuilding the service plazas, and says its work will be done by 2028. They are partnering with Boston-based Suffolk Construction. "We're ready to hit the ground running on the first of January," Etchingham said. Many of the plazas being razed and renovated are on the Mass Pike. Applegreen's plans call for updated "coastal," "metro" or "western" exterior designs depending on the location of the plaza. They also plan to add more parking spots, children's play areas and say they'll make the bathrooms more modern and inviting. Etchingham disputes the $1 billion number put forward by Applegreen. "Those figures were unreliable," he said. MassDOT is standing behind its decision to go with Applegreen, saying that they'll have the plazas ready sooner and that it will be a better deal in the long-run. "MassDOT was pleased to receive strong interest in this opportunity from several highly qualified companies, and we are grateful to everyone who submitted a bid," Transportation Sec. Monica Tibbits-Nutt said in a statement. "After a thorough process, the MassDOT board authorized us to award the contract to Applegreen, which has the best experience, will start faster and finish faster, and which had the only plan to transform all 18 plazas to better serve customers for the next 35 years."
Yahoo
30-05-2025
- Business
- Yahoo
Global Partners' chairman dies at 85
This story was originally published on C-Store Dive. To receive daily news and insights, subscribe to our free daily C-Store Dive newsletter. Global Partners' longtime board chairman Richard Slifka passed away last week at the age of 85, according to a company announcement. Slifka was the son of Global Partners' founder Abraham Slifka, who started the business in the 1930s, and the uncle of Global Partners' President and CEO Eric Slifka. He is survived by his wife, three children and six grandchildren. 'Richard helped lay the foundation for what Global is today, working alongside my father with quiet strength and enduring values,' Eric Slifka said in the announcement. 'He brought diligence, consistency, and a sense of purpose to everything he did, always putting people and community at the center of his work. He will be deeply missed.' Upon joining his father's company in 1963, Slifka and his late brother Fred transformed the business from a heating oil company to a notable wholesale fuel distributor and convenience retailer. Today, Global Partners' portfolio includes nearly 1,700 owned, leased or supplied gasoline stations, including 300 directly operated convenience stores, primarily in the Northeast Slifka held numerous leadership positions during his six decades with Global Partners, formerly known as Global Companies, including treasurer; director; president of Global Petroleum, a privately held affiliated company; and vice chairman. He had been chairman since 2014. Slifka was also president of the Independent Fuel Terminal Operators Association and a past director of the New England Fuel Institute. He was involved with Global Partners' charitable work, having sat on the board of directors of Boston-based homeless shelter St. Francis House and Boston Medical Center in addition to being a director of the National Multiple Sclerosis Society. A spokesperson from Global Partners said they had no information on who Slifka's replacement will be atop the company's board of directors. Recommended Reading How Global Partners is embracing change in 2024
Business Wire
08-05-2025
- Business
- Business Wire
Global Partners LP Reports First-Quarter 2025 Financial Results
WALTHAM, Mass.--(BUSINESS WIRE)--Global Partners LP (NYSE: GLP) today reported financial results for the first quarter ended March 31, 2025. 'Global delivered solid first-quarter results, highlighting the strength of our integrated assets and the creativity of our team,' said Eric Slifka, President and CEO of Global Partners. 'Our diversified portfolio of terminals, retail assets, and supply capabilities continues to demonstrate its value, particularly during periods of market volatility and regulatory uncertainty.' 'Our Wholesale segment performed well, driven by the successful integration of additional terminal assets, strong execution across the team, and a favorable market backdrop. Our Gasoline Distribution business also benefited from healthy fuel margins, further strengthening our performance.' 'At Global, the power of our scale, the resiliency of our integrated model, and the ingenuity of our people position us to not just weather disruption—but to find opportunity within it,' Slifka said. 'We remain focused on delivering long-term growth through disciplined execution, operational excellence, and the strong foundation built over decades of partnership and service.' First-Quarter 2025 Financial Highlights Net income in the first quarter of 2025 was $18.7 million, or $0.36 per diluted common limited partner unit, compared with a net loss of $5.6 million, or $0.37 per common limited partner unit, in the same period of 2024. Earnings before interest, taxes, depreciation and amortization (EBITDA) was $91.9 million in the first quarter of 2025 compared with $56.9 million in the same period of 2024. Adjusted EBITDA was $91.1 million in the first quarter of 2025 versus $56.0 million in the same period of 2024. Distributable cash flow (DCF) was $45.7 million in the first quarter of 2025 compared with $15.8 million in the same period of 2024. Adjusted DCF was $46.4 million in the first quarter of 2025 compared with $16.0 million in the same period of 2024. Gross profit in the first quarter of 2025 was $255.2 million compared with $215.1 million in the same period of 2024. Combined product margin, which is gross profit adjusted for depreciation allocated to cost of sales, was $288.6 million in the first quarter of 2025 compared with $244.1 million in the same period of 2024. Combined product margin, EBITDA, adjusted EBITDA, DCF and adjusted 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 their most directly comparable GAAP financial measures for the three months ended March 31, 2025, and 2024. GDSO segment product margin was $187.9 million in the first quarter of 2025 compared with $187.7 million in the same period of 2024. Product margin from gasoline distribution increased to $125.8 million from $121.6 million in the year-earlier period, primarily due to higher fuel margins (cents per gallon). Product margin from station operations decreased to $62.1 million from $66.1 million in the first quarter of 2024, due in part to the sales and conversions of certain company-operated sites and to a decrease in sundries. Wholesale segment product margin was $93.6 million in the first quarter of 2025 compared with $49.4 million in the same period of 2024. Gasoline and gasoline blendstocks product margin was $57.1 million compared with $29.7 million in the same period of 2024, primarily due to more favorable market conditions, largely in gasoline, and to the addition of terminal assets acquired in 2024. Product margin from distillates and other oils was $36.5 million in the first quarter of 2025 compared with $19.7 million in the same period of 2024, primarily due to more favorable market conditions in distillates. Commercial segment product margin was $7.1 million in the first quarter of 2025 compared with $7.0 million in the same period of 2024, in part due to more favorable market conditions. Total sales were $4.6 billion in the first quarter of 2025 compared with $4.1 billion in the same period of 2024. Wholesale segment sales were $3.2 billion in the first quarter of 2025 compared with $2.6 billion in the same period of 2024. GDSO segment sales were $1.1 billion in the first quarter of 2025 versus $1.2 billion in the same period of 2024. Commercial segment sales were $275.1 million in the first quarter of 2025 compared with $278.6 million in the same period of 2024. Total volume was 1.9 billion gallons in the first quarter of 2025 compared with 1.6 billion gallons in the same period of 2024. Wholesale segment volume was 1.4 billion gallons in the first quarter of 2025 compared with 1.1 billion gallons in the same period of 2024. GDSO volume was 357.6 million gallons in the first quarter of 2025 compared with 364.3 million gallons in the same period of 2024. Commercial segment volume was 124.8 million gallons in the first quarter of 2025 compared with 120.7 million gallons in the same period of 2024. Recent Developments Global announced a cash distribution of $0.7450 per unit ($2.98 per unit on an annualized basis) on all of its outstanding common units from January 1, 2025 through March 31, 2025. The distribution will be paid on May 15, 2025 to unitholders of record as of the close of business on May 9, 2025. Financial Results Conference Call Management will review the Partnership's first-quarter 2025 financial results in a teleconference call for analysts and investors today. Please plan to dial in to the call at least 10 minutes prior to the start time. The call also will be webcast live and archived on Global Partners' website, About Global Partners LP Building on a legacy that began more than 90 years ago, Global Partners LP has evolved into a Fortune 500 company and industry-leading integrated owner, supplier, and operator of liquid energy terminals, fueling locations, and guest-focused retail experiences. The company operates or maintains dedicated storage at 54 liquid energy terminals—with connectivity to strategic rail, pipeline, and marine assets—spanning from Maine to Florida and into the U.S. Gulf States. Through this extensive network, Global Partners distributes gasoline, distillates, residual oil, and renewable fuels to wholesalers, retailers, and commercial customers. In addition, the company owns, operates and/or supplies approximately 1,700 retail locations across the Northeast states, the Mid-Atlantic, and Texas, providing the fuels people need to keep them on the go at its unique guest-focused convenience destinations. Recognized as one of Fortune's Most Admired Companies, Global Partners is embracing progress and diversifying to meet the needs of the energy transition. Global Partners, a master limited partnership, trades on the New York Stock Exchange under the ticker symbol 'GLP.' For additional information, visit Use of Non-GAAP Financial Measures Product Margin Global Partners views product margin as an important performance measure of the core profitability of its operations. The Partnership reviews product margin monthly for consistency and trend analysis. Global Partners defines product margin as product sales minus product costs. Product sales primarily include sales of unbranded and branded gasoline, distillates, residual oil, renewable fuels and crude oil, as well as convenience store and prepared food sales, gasoline station rental income and revenue generated from logistics activities when the Partnership engages in the storage, transloading and shipment of products owned by others. Product costs include the cost of acquiring products and all associated costs including shipping and handling costs to bring such products to the point of sale as well as product costs related to convenience store items and costs associated with logistics activities. The Partnership also looks at product margin on a per unit basis (product margin divided by volume). Product margin is a non-GAAP financial measure used by management and external users of the Partnership's consolidated financial statements to assess its business. Product margin should not be considered an alternative to net income, operating income, cash flow from operations, or any other measure of financial performance presented in accordance with GAAP. In addition, product margin may not be comparable to product margin or a similarly titled measure of other companies. EBITDA and Adjusted EBITDA EBITDA and adjusted EBITDA are non-GAAP financial measures used as supplemental financial measures by management and may be used by external users of Global Partners' consolidated financial statements, such as investors, commercial banks and research analysts, to assess the Partnership's: compliance with certain financial covenants included in its debt agreements; financial performance without regard to financing methods, capital structure, income taxes or historical cost basis; ability to generate cash sufficient to pay interest on its indebtedness and to make distributions to its partners; operating performance and return on invested capital as compared to those of other companies in the wholesale, marketing, storing and distribution of refined petroleum products, gasoline blendstocks, renewable fuels, crude oil and propane, and in the gasoline stations and convenience stores business, without regard to financing methods and capital structure; and viability of acquisitions and capital expenditure projects and the overall rates of return of alternative investment opportunities. Adjusted EBITDA is EBITDA further adjusted for gains or losses on the sale and disposition of assets, goodwill and long-lived asset impairment charges and Global's proportionate share of EBITDA related to its joint ventures accounted for using the equity method. EBITDA and adjusted EBITDA should not be considered as alternatives to net income, operating income, cash flow from operating activities or any other measure of financial performance or liquidity presented in accordance with GAAP. EBITDA and adjusted EBITDA exclude some, but not all, items that affect net income, and these measures may vary among other companies. Therefore, EBITDA and adjusted EBITDA may not be comparable to similarly titled measures of other companies. Distributable Cash Flow and Adjusted Distributable Cash Flow Distributable cash flow is an important non-GAAP financial measure for the Partnership's limited partners since it serves as an indicator of Global's success in providing a cash return on their investment. Distributable cash flow as defined by the Partnership's partnership agreement (the 'partnership agreement') is net income plus depreciation and amortization minus maintenance capital expenditures, as well as adjustments to eliminate items approved by the audit committee of the board of directors of the Partnership's general partner that are extraordinary or non-recurring in nature and that would otherwise increase distributable cash flow. Distributable cash flow as used in the partnership agreement also determines Global's ability to make cash distributions on its incentive distribution rights. The investment community also uses a distributable cash flow metric similar to the metric used in the partnership agreement with respect to publicly traded partnerships to indicate whether or not such partnerships have generated sufficient earnings on a current or historical level that can sustain distributions on preferred or common units or support an increase in quarterly cash distributions on common units. The partnership agreement does not permit adjustments for certain non-cash items, such as net losses on the sale and disposition of assets and goodwill and long-lived asset impairment charges. Adjusted distributable cash flow is a non-GAAP financial measure intended to provide management and investors with an enhanced perspective of the Partnership's financial performance. Adjusted distributable cash flow is distributable cash flow (as defined in the partnership agreement) further adjusted for Global's proportionate share of distributable cash flow related to its joint ventures accounted for using the equity method. Adjusted distributable cash flow is not used in the partnership agreement to determine the Partnership's ability to make cash distributions and may be higher or lower than distributable cash flow as calculated under the partnership agreement. Distributable cash flow and adjusted distributable cash flow should not be considered as alternatives to net income, operating income, cash flow from operations, or any other measure of financial performance presented in accordance with GAAP. In addition, the Partnership's distributable cash flow and adjusted distributable cash flow may not be comparable to distributable cash flow or similarly titled measures of other companies. Forward-looking Statements Certain statements and information in this press release may constitute 'forward-looking statements.' The words 'believe,' 'expect,' 'anticipate,' 'plan,' 'intend,' 'foresee,' 'should,' 'would,' 'could' or other similar expressions are intended to identify forward-looking statements, which are generally not historical in nature, although not all forward-looking statements contain such identifying words. These forward-looking statements are based on Global's current expectations and beliefs concerning future developments and their potential effect on the Partnership. While management believes that these forward-looking statements are reasonable as and when made, there can be no assurance that future developments affecting the Partnership will be those that it anticipates. Forward-looking statements involve significant risks and uncertainties (some of which are beyond the Partnership's control) including, without limitation, uncertainty around the timing of an economic recovery in the United States which will impact the demand for the products we sell and the services that we provide, and assumptions that could cause actual results to differ materially from the Partnership's historical experience and present expectations or projections. We believe these assumptions are reasonable given currently available information. Our assumptions and future performance are subject to a wide range of business risks, uncertainties and factors, which are described in our filings with the Securities and Exchange Commission (SEC). For additional information regarding known material factors that could cause actual results to differ from the Partnership's projected results, please see Global's filings with the SEC, including its Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. Readers are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date hereof. Global undertakes no obligation to publicly update or revise any forward-looking statements after the date they are made, whether as a result of new information, future events or otherwise. GLOBAL PARTNERS LP CONSOLIDATED BALANCE SHEETS (In thousands) (Unaudited) March 31, December 31, 2025 2024 Assets Current assets: Cash and cash equivalents $ 7,478 $ 8,208 Accounts receivable, net 577,514 472,591 Accounts receivable - affiliates 5,334 6,250 Inventories 517,432 594,072 Brokerage margin deposits 18,428 20,135 Derivative assets 15,895 13,710 Prepaid expenses and other current assets 101,186 92,414 Total current assets 1,243,267 1,207,380 Property and equipment, net 1,688,899 1,706,605 Right of use assets, net 299,203 302,199 Intangible assets, net 17,271 18,683 Goodwill 421,913 421,913 Equity method investments 106,793 92,709 Other assets 41,219 38,709 Total assets $ 3,818,565 $ 3,788,198 Liabilities and partners' equity Current liabilities: Accounts payable $ 520,405 $ 509,975 Working capital revolving credit facility - current portion 254,700 129,500 Lease liability - current portion 56,191 56,780 Environmental liabilities - current portion 7,704 7,704 Trustee taxes payable 74,636 66,753 Accrued expenses and other current liabilities 145,621 223,304 Derivative liabilities 7,517 6,105 Total current liabilities 1,066,774 1,000,121 Working capital revolving credit facility - less current portion 100,000 100,000 Revolving credit facility 167,000 167,000 Senior notes 1,187,421 1,186,723 Lease liability - less current portion 249,069 251,745 Environmental liabilities - less current portion 90,495 91,367 Financing obligations 133,353 134,475 Deferred tax liabilities 60,872 63,548 Other long-term liabilities 68,085 76,606 Total liabilities 3,123,069 3,071,585 Partners' equity 695,496 716,613 Total liabilities and partners' equity $ 3,818,565 $ 3,788,198 Expand GLOBAL PARTNERS LP FINANCIAL RECONCILIATIONS (In thousands) (Unaudited) Three Months Ended 2025 2024 Reconciliation of gross profit to product margin: Wholesale segment: Gasoline and gasoline blendstocks $ 57,169 $ 29,761 Distillates and other oils 36,471 19,659 Total 93,640 49,420 Gasoline Distribution and Station Operations segment: Gasoline distribution 125,751 121,630 Station operations 62,112 66,087 Total 187,863 187,717 Commercial segment 7,145 6,968 Combined product margin 288,648 244,105 Depreciation allocated to cost of sales (33,407 ) (28,970 ) Gross profit $ 255,241 $ 215,135 Reconciliation of net income (loss) to EBITDA and adjusted EBITDA: Net income (loss) $ 18,684 $ (5,602 ) Depreciation and amortization 35,905 32,486 Interest expense 36,039 29,696 Income tax expense 1,230 363 EBITDA 91,858 56,943 Net gain on sale and disposition of assets (2,490 ) (2,501 ) (Income) loss from equity method investments (1) (66 ) 1,379 EBITDA related to equity method investment (2) 1,837 187 Adjusted EBITDA $ 91,139 $ 56,008 Reconciliation of net cash used in operating activities to EBITDA and adjusted EBITDA: Net cash used in operating activities $ (51,590 ) $ (182,702 ) Net changes in operating assets and liabilities and certain non-cash items 106,179 209,586 Interest expense 36,039 29,696 Income tax expense 1,230 363 EBITDA 91,858 56,943 Net gain on sale and disposition of assets (2,490 ) (2,501 ) (Income) loss from equity method investments (1) (66 ) 1,379 EBITDA related to equity method investment (2) 1,837 187 Adjusted EBITDA $ 91,139 $ 56,008 Reconciliation of net income (loss) to distributable cash flow and adjusted distributable cash flow: Net income (loss) $ 18,684 $ (5,602 ) Depreciation and amortization 35,905 32,486 Amortization of deferred financing fees 1,873 1,831 Amortization of routine bank refinancing fees (1,193 ) (1,193 ) Maintenance capital expenditures (9,580 ) (11,737 ) Distributable cash flow (3)(4) 45,689 15,785 (Income) loss from equity method investments (1) (66 ) 1,379 Distributable cash flow from equity method investment (2) 797 (1,143 ) Adjusted distributable cash flow 46,420 16,021 Distributions to preferred unitholders (5) (1,781 ) (3,916 ) Adjusted distributable cash flow after distributions to preferred unitholders $ 44,639 $ 12,105 Reconciliation of net cash used in operating activities to distributable cash flow and adjusted distributable cash flow: Net cash used in operating activities $ (51,590 ) $ (182,702 ) Net changes in operating assets and liabilities and certain non-cash items 106,179 209,586 Amortization of deferred financing fees 1,873 1,831 Amortization of routine bank refinancing fees (1,193 ) (1,193 ) Maintenance capital expenditures (9,580 ) (11,737 ) Distributable cash flow (3)(4) 45,689 15,785 (Income) loss from equity method investments (1) (66 ) 1,379 Distributable cash flow from equity method investment (2) 797 (1,143 ) Adjusted distributable cash flow 46,420 16,021 Distributions to preferred unitholders (5) (1,781 ) (3,916 ) Adjusted distributable cash flow after distributions to preferred unitholders $ 44,639 $ 12,105 (1) Represents the Partnership's proportionate share of income (loss) related to the Partnership's interests in its equity method investments. (2) Represents the Partnership's proportionate share of EBITDA and distributable cash flow, as applicable, related to the Partnership's 49.99% interest in its Spring Valley Partners Retail LLC joint venture. (3) As defined by the Partnership's partnership agreement, distributable cash flow is not adjusted for certain non-cash items, such as net losses on the sale and disposition of assets and goodwill and long-lived asset impairment charges. (4) Distributable cash flow includes a net gain on sale and disposition of assets $2.5 million for each of the three months ended March 31, 2025 and 2024. Distributable cash flow also includes income (loss) from equity method investments of $0.1 million and ($1.4 million) for the three months ended March 31, 2025 and 2024, respectively. (5) Distributions to preferred unitholders represent the distributions payable to the Series A preferred unitholders and the Series B preferred unitholders earned during the period. Distributions on the Series A preferred units and the Series B preferred units are cumulative and payable quarterly in arrears on February 15, May 15, August 15 and November 15 of each year. On April 15, 2024, all of the Partnership's Series A preferred units were redeemed and are no longer outstanding. Expand
Yahoo
14-02-2025
- Business
- Yahoo
Global Partners LP to Host Fourth-Quarter and Full-Year 2024 Financial Results Conference Call on February 28, 2025
WALTHAM, Mass., February 14, 2025--(BUSINESS WIRE)--Global Partners LP (NYSE: GLP) (the "Partnership") today announced that it will release its fourth-quarter and full-year 2024 financial results before the market opens on Friday, February 28, 2025. At 10:00 a.m. ET, the Partnership will conduct a conference call for investors and analysts hosted by Eric Slifka, President and Chief Executive Officer, Gregory B. Hanson, Chief Financial Officer, and Mark Romaine, Chief Operating Officer. The call can be accessed by dialing (877) 709-8155 (U.S. and Canada) or (201) 689-8881 (International). The live and archived audio replay of the conference call can be accessed by visiting the "Events & Presentations" section of the "Investors" portion of the Global Partners website, About Global Partners LP Building on a legacy that began more than 90 years ago, Global Partners has evolved into a Fortune 500 company and industry-leading integrated owner, supplier, and operator of liquid energy terminals, fueling locations, and guest-focused retail experiences. Global operates or maintains dedicated storage at 54 liquid energy terminals—with connectivity to strategic rail, pipeline, and marine assets—spanning from Maine to Florida and into the U.S. Gulf States. Through this extensive network, the company distributes gasoline, distillates, residual oil, and renewable fuels to wholesalers, retailers, and commercial customers. In addition, Global owns, operates and/or supplies more than 1,700 retail locations across the Northeast states, the Mid-Atlantic, and Texas, providing the fuels people need to keep them on the go at their unique guest-focused convenience destinations. Recognized as one of Fortune's Most Admired Companies, Global Partners is embracing progress and diversifying to meet the needs of the energy transition. Global, a master limited partnership, trades on the New York Stock Exchange under the ticker symbol "GLP." For additional information, visit View source version on Contacts Gregory B. HansonChief Financial OfficerGlobal Partners LP(781) 894-8800Sean T. GearyChief Legal Officer and SecretaryGlobal Partners LP(781) 894-8800 Sign in to access your portfolio
