Enviva Partners, LP Announces Consolidated Financial Results for the Third Quarter and Nine Months Ended September 30, 2015; Provides Earnings Guidance for the Three Months Ending December 31, 2015
Nov 5 15
Enviva Partners, LP announced consolidated financial results for the third quarter and nine months ended September 30, 2015. For the quarter, the company reported product sales $115,081,000 against $75,186,000 a year ago. Net revenue was $116,588,000 against $76,110,000 a year ago. Income from operations was $9,277,000 against $5,229,000 a year ago. Income before tax expense was $6,399,000 against $3,109,000 a year ago. Net income attributable to company was $6,398,000 against $3,105,000 a year ago. Net income per basic and diluted limited partner unit was $0.27. Adjusted EBITDA was $15,902,000 compared with $10,011,000 a year ago. The improvement was driven by higher sales volumes, more favorable pricing under customer contracts, and lower export shipping costs, and was partially offset by the increased costs of delivered wood pellets that were purchased under contract from sponsor’s Southampton plant this year and higher general and administrative costs. Maintenance capital expenditures were $735,000 compared with $184,000 a year ago. Distributable cash flow for the quarter was $12.6 million.
For the six months, the company reported product sales $335,857,000 against $208,332,000 a year ago. Net revenue was $340,561,000 against $211,159,000 a year ago. Income from operations was $25,940,000 against $4,565,000 a year ago. Income before tax expense was $12,592,000 against loss of $2,111,000 a year ago. Net income attributable to company was $9,965,000 against net loss of $2,062,000 a year ago. Net income per basic and diluted limited partner unit was $0.50. Net cash provided by operating activities was $39,662,000 against $20,930,000 a year ago. Purchases of property, plant and equipment was $4,129,000 against $13,860,000 a year ago. Adjusted EBITDA was $48,802,000 compared with $18,980,000 a year ago. Maintenance capital expenditures were $2,342,000 compared with $184,000 a year ago.
For the three months ending December 31, 2015, the company expects estimated net income of $5.6 million to $6.6 million. Estimated adjusted EBITDA of $14.8 million to $15.8 million. The company expects maintenance capital expenditures to be between $0.5 million and $1 million. The partnership expects to generate distributable cash flow of $11.3 million to $12.3 million for the quarter.
Enviva Seeks To Acquire Production Plant In Southampton County
Nov 5 15
Enviva Partners, LP (NYSE:EVA) continues to progress the potential acquisition of the fully operational 510,000 metric tons per year (“MTPY”) wood pellet production plant in Southampton County, Virginia (the “Southampton plant”) currently owned and operated by Enviva’s sponsor. The sponsor has made a proposal to Enviva regarding the potential acquisition by Enviva of the Southampton plant, together with a ten-year, 500,000 MTPY off-take agreement (385,000 metric tons for the first year), which is being evaluated by a Conflicts Committee formed by the Board due to the related party nature of the proposed transaction. Enviva continue to discuss the terms, including financing of the proposed transaction, and expect to complete the transaction in the fourth quarter of 2015.