Martin Midstream Partners LP (MMLP), Kilgore, Texas, reported second-quarter net income of $6.6 million ($0.17 per diluted unit) on revenues of $267 million, up from a year-ago loss of $6.6 million ($0.17 per unit) and $184.3 million, respectively. Adjusted EBITDA was $38.3 million, up from the year-ago $22.5 million.
The company boosted annual adjusted EBITDA guidance to $126-$135 million from the previous guidance of $110-$120 million. It also declared a quarterly distribution of $0.005, or $0.02 per unit annually.
“The partnership experienced another outstanding quarter, with elevated demand for our land transportation assets and robust margins in our lubricants and fertilizer businesses,” said Bob Bondurant, President and CEO of Martin Midstream GP LLC, the general partner of MMLP.
“Overall, each of our four business segments performed above expectations, beating the high range of guidance for the quarter by $13 million,” he added. “We now expect the current refinery utilization levels to remain strong through year end, which will bring continued solid demand for our diversified products and services.”
MMLP’s Sulfur Services segment, which also includes fertilizer, reported second-quarter operating income of $9.1 million on revenues of $57 million, up from the year-ago $6.3 million and $38.3 million, respectively. Adjusted EBITDA was $13.9 million, up from $8.9 million.
Despite robust margins, second-quarter fertilizer volumes were off 26%, to 62,000 lt from the year-ago 84,000 lt. Sulfur volumes were 118,000 lt, down 19% from the year-ago 146,000 lt.
Six-month Sulfur Services operating income was $21.8 million on revenues of $116.1 million, up from $12.8 million and $73.1 million, respectively. Adjusted EBITDA was $29.2 million, up from $18.1 million.
While six-month sulfur volumes were up 6% at 232,000 lt from the year-ago 219,000 lt, fertilizer volumes were off 18%, to 146,000 lt from 179,000 lt.
Company-wide, MMLP reported six-month net income of $18.1 million ($0.46 per unit) on revenues of $546.2 million, compared to a year-ago loss of $4.1 million ($0.10 per unit) and $385.3 million, respectively. Adjusted EBITDA was $78.3 million, up from $53.4 million.