Martin Midstream has announced second quarter financial performance in line with its annual guidance.
It reported a net loss of $6.6m and $4.1m for the three and six months ended June 30, 2021, respectively. Pretax earnings were reported at $22.5m and $53.4m for the three and six months ended June 30, 2021, respectively.
“For the second quarter of 2021, the Partnership had a solid performance in line with our annual projected cash flows of between $95m to $102m,” said Bob Bondurant, president and CEO of Martin Midstream GP LLC, the general partner of the Partnership.
“As the country returns to a more open economy and refinery utilization increases, we have seen heightened demand for our services particularly within the land transportation and lubricants businesses. However, the impact of COVID-19 is still reflected in a reduction in sulfur service volumes and lower marine day rates year over year. As expected, marine utilization has increased from last quarter and we anticipate the continued economic recovery will drive demand upward allowing for the further utilization of our asset base,” he said.
Terminalling and storage operating income for the three months ended June 30, 2021 and 2020 was virtually flat at $3.7m and $3.3m, respectively. Adjusted segment earnings before tax for Martin’s T&S divisions was $10.6m for each of the three month periods ended June 30, 2021 and 2020, reflecting increased volumes on packaged lubricants products, offset by expired capital recovery fees at the Smackover Refinery.
“Looking to the third quarter, which is seasonally our weakest due to the cyclical nature of both the fertilizer and butane businesses, we amended our revolving credit facility in response to rising commodity prices and the continued impact of COVID-19 on the Partnership’s trailing twelve month cash flows. I’d like thank our lenders for recognizing our ongoing commitment to capital discipline through their support of the amendment,” said CEO Bondurant.
For more information visit: www.mmlp.com