Company Announcements

Excelerate Energy Announces Second Quarter 2022 Results

THE WOODLANDS, Texas--(BUSINESS WIRE)--Aug. 10, 2022-- Excelerate Energy, Inc. (NYSE: EE) (the “Company” or “Excelerate”) today reported its financial results for the second quarter ended June 30, 2022.

RECENT HIGHLIGHTS

  • Reported Net Loss of $4.0 million, reflecting an expected $21.8 million one-time charge for IPO-related FSRU acquisition
  • Adjusted Net Income, excluding the expected one-time charge and IPO-related restructuring expenses, was $20.4 million for the second quarter(1)
  • Reported Adjusted EBITDAR of $75.2 million for the second quarter(1)
  • Commenced seasonal regasification services at Bahia Blanca GasPort in May
  • Expanded downstream reach of planned Vlora Terminal project through gas sales MOU with Bulgaria’s Overgas
  • Progressed Finland regasification project, remains on schedule to commence service in Q4 2022
  • Advanced negotiations for MLNG Expansion and Payra LNG projects in Bangladesh
  • The Excelerate Board declared the Company’s inaugural quarterly dividend of $0.025 per share

CEO COMMENT

“Our second quarter financial results demonstrate the continued strong momentum of our integrated business model,” said President and Chief Executive Officer Steven Kobos. “We are executing our strategy to deploy our flexible LNG infrastructure and pursue downstream opportunities to expand our reach in both new and existing markets. Importantly, the strategic expansion downstream of our floating terminals is accelerating the growth of our gas sales business and positioning Excelerate for increased profitability.”

“This past year has highlighted the important role flexible access to LNG plays in providing energy security and supporting the decarbonization efforts of countries around the world,” continued Kobos. “Excelerate is committed to delivering stable, reliable energy, so countries and industries can keep the lights on and homes can stay warm in the winter. We look forward to continuing to develop our geostrategic asset base to meet the energy needs of customers in the future, while delivering meaningful value creation for our stakeholders.”

SECOND QUARTER 2022 FINANCIAL RESULTS

 

For the three months ended

 

 

June 30,

 

March 31,

 

June 30,

 

(in millions)

2022

 

2022

 

2021

 

Revenues

$

622.9

 

 

$

591.7

 

 

$

192.8

 

Operating Income

$

39.3

 

 

$

39.1

 

 

$

27.8

 

Net Income/(Loss)

$

(4.0

)

 

$

12.8

 

 

$

3.6

 

Adjusted Net Income (1)

$

20.4

 

 

$

15.6

 

 

$

6.6

 

Adjusted EBITDA (1)

$

66.1

 

 

$

62.3

 

 

$

58.4

 

Adjusted EBITDAR (1)

$

75.2

 

 

$

71.4

 

 

$

65.5

 

Earnings (Loss) Per Share (diluted)

$

(0.08

)

 

 

 

 

 

 

(1) See the reconciliation of non-GAAP financial measures to the most comparable GAAP financial measure in the section titled "Non-GAAP Reconciliation" below.

The net loss reported for the quarter included a one-time charge of $21.8 million related to the early extinguishment of the Excellence lease as part of the IPO-related FSRU acquisition that was closed concurrently with the Company’s initial public offering in April 2022. The charge represents the difference between the amount paid for the Excellence compared to the lease liability at the time of the acquisition. Excluding the $21.8 million one-time charge and IPO-related restructuring expenses, Excelerate’s adjusted net income was $20.4 million.

Adjusted EBITDA and Adjusted EBITDAR for the second quarter of 2022 increased over the prior year period primarily due to incremental gas sales margins at the Bahia Terminal in Brazil which commenced in December of 2021. The sequential increase was driven by the commencement of regasification services at Bahia Blanca in Argentina in May, the Express resuming operations under its long-term regasification charter in early April, and higher gas sales volumes at the Bahia terminal in Brazil, all of which were partially offset by higher vessel operating costs.

KEY PROJECT UPDATES

Bahia Blanca

Excelerate continued to execute on its regasification business through a seasonal charter for the FSRU Exemplar at the Bahia Blanca GasPort regasification terminal in Argentina. The FSRU Exemplar arrived at Bahia Blanca in May 2022 and will provide regasification services through August 31, 2022. The FSRU Exemplar will be deployed to Finland in the fourth quarter of 2022.

Vlora LNG Terminal

In July 2022, Excelerate signed a Memorandum of Understanding with Bulgaria’s Overgas relating to the sale of regasified LNG downstream of the Company’s planned Vlora LNG terminal in Albania. Under the agreement, the two Parties will enter into a negotiation for Overgas to purchase up to 1.0 bcm of regasified LNG annually for ten years from Excelerate via the Vlora Terminal and the proposed Vlora-Fier Pipeline which is expected to interconnect with an existing natural gas pipeline in Europe’s southern gas corridor. The MOU expands the scope of Excelerate’s planned Vlora Terminal project by offering broader access to southern Europe’s natural gas market and has the potential to bring much needed supply diversification not only to Bulgaria, but also to neighboring countries in the region.

Finland LNG Terminal

Excelerate and Gasgrid Finland previously announced an executed 10-year, time charter party agreement for Excelerate to provide LNG regasification services, which is expected to commence in the fourth quarter of 2022. Gasgrid Finland has initiated the development of a new jetty in Southern Finland, near the Balticconnector pipeline, for the FSRU Exemplar to moor.

MLNG Expansion

Excelerate continues to advance commercial negotiations with the government of Bangladesh for the expansion of the Moheshkhali LNG (“MLNG”) terminal, the extension of its existing regasification agreement by five years to 2038, and a multi-year LNG supply agreement. As previously announced, the expansion project was approved in principle by the government of Bangladesh last quarter. MLNG is one of Excelerate’s three E-FIT integrated terminals.

Payra LNG

Excelerate is advancing commercial negotiations with the government of Bangladesh for the Payra LNG project. The proposed scope of the Payra LNG project, which is located in the southwestern part of the country, involves the development of an offshore FSRU import terminal and an onshore pipeline to the city of Khulna. As part of the project, Excelerate is also negotiating a long-term LNG supply agreement with the country. In August, Excelerate formally engaged HSBC as its financial advisor to support various financial aspects of the Payra project.

LIQUIDITY AND CAPITAL RESOURCES

As of June 30, 2022, Excelerate had $386 million in cash and cash equivalents. On April 18, 2022, the Company entered into a $350 million senior secured revolving credit facility. As of June 30, 2022, the Company had letters of credit issued of $40 million and no outstanding borrowings under its senior secured revolving credit facility.

On August 5, 2022, Excelerate’s Board of Directors (the “Board”) approved an inaugural quarterly dividend equal to $0.025 per share of Class A common stock, which will be paid on September 7, 2022 to shareholders of record at the close of business on August 19, 2022.

2022 FINANCIAL OUTLOOK

The Company is reaffirming its prior guidance and expects Adjusted EBITDA to range between $249 million and $269 million for the full year 2022. In addition, the Company expects Adjusted EBITDAR to range between $285 million and $305 million.

Actual results may differ materially from the Company’s outlook as a result of, among other things, the factors described under “Forward-Looking Statements” below.

INVESTOR CONFERENCE CALL AND WEBCAST

The Excelerate management team will host a conference call for investors and analysts at 8:30 am Eastern Time (7:30 a.m. Central Time) on Thursday, August 11, 2022. Investors are invited to access a live webcast of the conference call via the Investor Relations page on the Company’s website at www.excelerateenergy.com. An archived replay of the call and a copy of the presentation will be on the website following the call.

ABOUT EXCELERATE ENERGY:

Excelerate Energy, Inc. is a U.S.-based LNG company located in The Woodlands, Texas. Founded in 2003 by George B. Kaiser, Excelerate is changing the way the world accesses cleaner forms of energy by providing integrated services along the LNG value chain with an objective of delivering rapid-to-market and reliable LNG solutions to customers. Excelerate offers a full range of flexible regasification services from FSRU to infrastructure development to LNG supply. Excelerate has offices in Abu Dhabi, Antwerp, Boston, Buenos Aires, Chattogram, Dhaka, Doha, Dubai, Ho Chi Minh City, Manila, Rio de Janeiro, Singapore, and Washington, DC. For more information, please visit www.excelerateenergy.com.

USE OF NON-GAAP FINANCIAL MEASURES

The Company reports financial results in accordance with accounting principles generally accepted in the United States (“GAAP”). Included in this press release are certain financial measures that are not calculated in accordance with GAAP. They are designed to supplement, and not substitute, Excelerate’s financial information presented in accordance with U.S. GAAP. The non-GAAP measures as defined by Excelerate may not be comparable to similar non-GAAP measures presented by other companies. The presentation of such measures, which may include adjustments to exclude non-recurring items, should not be construed as an inference that Excelerate’s future results, cash flows or leverage will be unaffected by other nonrecurring items. Management believes that the following non-GAAP financial measures provide investors with additional useful information in evaluating the Company's performance and valuation. See the reconciliation of non-GAAP financial measures to the most comparable GAAP financial measure, including those measures presented as part of the Company’s 2022 Financial Outlook, in the section titled “Non-GAAP Reconciliation” below.

Adjusted Gross Margin

The Company uses Adjusted Gross Margin, a non-GAAP financial measure, which it defines as revenues less direct cost of sales and operating expenses, excluding depreciation and amortization, to measure its operational financial performance. Management believes Adjusted Gross Margin is useful because it provides insight on profitability and true operating performance excluding the implications of the historical cost basis of its assets. The Company's computation of Adjusted Gross Margin may not be comparable to other similarly titled measures of other companies, and you are cautioned not to place undue reliance on this information.

Adjusted EBITDA and Adjusted EBITDAR

Adjusted EBITDA is a non-GAAP financial measure included as a supplemental disclosure because the Company believes it is a useful indicator of its operating performance. The Company defines Adjusted EBITDA, a non-GAAP measure, as net income before interest, income taxes, depreciation and amortization, long-term incentive compensation expense and items such as charges and non-recurring expenses that management does not consider as part of assessing ongoing operating performance. In this quarter, the Company revised the definition of Adjusted EBITDA to adjust for the impact of long-term incentive compensation expense, which the Company did not have prior to becoming a public company, and the early extinguishment of lease liability related to the acquisition of the Excellence vessel, as management believes such items do not directly reflect the Company’s ongoing operating performance.

Adjusted EBITDAR is a non-GAAP financial measure included as a supplemental disclosure because the Company believes it is a valuation measure commonly used by financial statement users to more effectively compare the results of its operations from period to period and against other companies without regard to its financing methods or capital structure. The Company defines Adjusted EBITDAR, a non-GAAP measure, as Adjusted EBITDA adjusted to eliminate the effects of rental expenses for vessels and other infrastructure, which are normal, recurring cash operating expenses necessary to operate its business.

Adjusted Net Income

The Company uses Adjusted Net Income, a non-GAAP financial measure, which it defines as net income (loss) plus the early extinguishment of lease liability related to the acquisition of the Excellence vessel and restructuring, transition and transaction expenses. Management believes Adjusted Net Income is useful because it provides insight on profitability excluding the impact of non-recurring charges related to our IPO. The Company's computation of Adjusted Net Income may not be comparable to other similarly titled measures of other companies, and you are cautioned not to place undue reliance on this information.

The Company adjusts net income for the items listed above to arrive at Adjusted EBITDA, Adjusted EBITDAR, and Adjusted Net Income because these amounts can vary substantially from company to company within its industry depending upon accounting methods and book values of assets, capital structures and the method by which the assets were acquired. Adjusted EBITDA, Adjusted EBITDAR, and Adjusted Net Income should not be considered as an alternative to, or more meaningful than, net income as determined in accordance with GAAP or as an indicator of the Company's operating performance or liquidity. These measures have limitations as certain excluded items are significant components in understanding and assessing a company’s financial performance, such as a company’s cost of capital and tax structure, as well as the historic costs of depreciable assets, none of which are components of Adjusted EBITDA and Adjusted EBITDAR. Adjusted EBITDAR should not be viewed as a measure of overall performance or considered in isolation or as an alternative to net income because it excludes rental expenses for vessels and other infrastructure, which is a normal, recurring cash operating expense that is necessary to operate the Company's business. The Company's presentation of Adjusted EBITDA, Adjusted EBITDAR, and Adjusted Net Income should not be construed as an inference that its results will be unaffected by unusual or non-recurring items. The Company's computations of Adjusted EBITDA, Adjusted EBITDAR, and Adjusted Net Income may not be comparable to other similarly titled measures of other companies. For the foregoing reasons, each of Adjusted EBITDA, Adjusted EBITDAR, and Adjusted Net Income has significant limitations which affect its use as an indicator of its profitability and valuation, and you are cautioned not to place undue reliance on this information.

FORWARD-LOOKING STATEMENTS

This press release contains forward-looking statements about Excelerate and its industry that involve substantial risks and uncertainties. All statements other than statements of historical fact contained in this press release, including, without limitation, statements regarding Excelerate’s future results of operations or financial condition, business strategy and plans, expansion plans and strategy, economic conditions, both generally and in particular in the regions in which Excelerate operates, and objectives of management for future operations, are forward-looking statements. In some cases, you can identify forward-looking statements by terminology such as “believe,” “consider,” “contemplate,” “continue,” “could,” “estimate,” “expect,” “may,” “intend,” “plan,” “potential,” “predict,” “project,” “should,” “target,” “will,” “would,” “shall,” “should,” “anticipate,” “opportunity” or the negative thereof or other variations thereon or comparable terminology. These statements appear throughout this press release and include, but are not limited to, statements regarding Excelerate’s plans, objectives, expectations and intentions.

You should not rely on forward-looking statements as predictions of future events. Excelerate has based the forward-looking statements contained in this press release primarily on its current expectations and projections about future events and trends that it believes may affect its business, financial condition and operating results. The outcome of the events described in these forward-looking statements is subject to risks, uncertainties and other factors. All forward-looking statements are based on assumptions or judgments about future events that may or may not be correct or necessarily take place and that are by their nature subject to significant uncertainties and contingencies, many of which are outside the control of Excelerate. The occurrence of any such factors, events or circumstances would significantly alter the results set forth in these statements.

Moreover, Excelerate operates in a very competitive and rapidly changing environment. New risks and uncertainties emerge from time to time, for example the invasion of Ukraine by Russia, and it is not possible for Excelerate to predict all risks and uncertainties that could have an impact on the forward-looking statements contained in this press release. The unprecedented nature of the Covid-19 pandemic may give rise to risks that are currently unknown or amplify the risks associated with many of the foregoing events or factors. The results, events and circumstances reflected in the forward-looking statements may not be achieved or occur, and actual results, events or circumstances could differ materially from those described in the forward-looking statements.

In addition, statements that “Excelerate believes” and similar statements reflect Excelerate’s beliefs and opinions on the relevant subject. These statements are based on information available to Excelerate as of the date of this press release. And while Excelerate believes that information provides a reasonable basis for these statements, that information may be limited or incomplete. Excelerate’s statements should not be read to indicate that it has conducted an exhaustive inquiry into, or review of, all relevant information. These statements are inherently uncertain, and investors are cautioned not to unduly rely on these statements.

The forward-looking statements made in this press release relate only to events as of the date on which the statements are made. Excelerate undertakes no obligation to update any forward-looking statements made in this press release to reflect events or circumstances after the date of this press release or to reflect new information or the occurrence of unanticipated events, except as required by law. Excelerate may not actually achieve the plans, intentions or expectations disclosed in its forward-looking statements, and you should not place undue reliance on its forward-looking statements. Excelerate’s forward-looking statements do not reflect the potential impact of any future acquisitions, mergers, dispositions, joint ventures or investments.

Excelerate Energy Limited Partnership

Consolidated Statements of Income (Unaudited)

 

 

 

For the three months ended

 

 

 

June 30,

 

 

March 31,

 

 

June 30,

 

 

 

2022

 

 

2022

 

 

2021

 

 

 

(In thousands, except share and per share amounts)

 

Revenues

 

 

 

 

 

 

 

 

 

FSRU and terminal services

 

$

110,072

 

 

$

97,592

 

 

$

109,858

 

Gas sales

 

 

512,857

 

 

 

494,081

 

 

 

82,940

 

Total revenues

 

 

622,929

 

 

 

591,673

 

 

 

192,798

 

Operating expenses

 

 

 

 

 

 

 

 

 

Cost of revenue and vessel operating expenses

 

 

58,673

 

 

 

50,063

 

 

 

48,425

 

Direct cost of gas sales

 

 

485,023

 

 

 

463,352

 

 

 

78,076

 

Depreciation and amortization

 

 

24,296

 

 

 

23,743

 

 

 

26,137

 

Selling, general and administrative expenses

 

 

13,064

 

 

 

12,634

 

 

 

9,250

 

Restructuring, transition and transaction expenses

 

 

2,582

 

 

 

2,753

 

 

 

3,065

 

Total operating expenses

 

 

583,638

 

 

 

552,545

 

 

 

164,953

 

Operating income

 

 

39,291

 

 

 

39,128

 

 

 

27,845

 

Other income (expense)

 

 

 

 

 

 

 

 

 

Interest expense

 

 

(7,800

)

 

 

(7,054

)

 

 

(8,671

)

Interest expense – related party

 

 

(5,493

)

 

 

(12,173

)

 

 

(12,535

)

Earnings from equity method investment

 

 

732

 

 

 

778

 

 

 

810

 

Early extinguishment of lease liability on vessel acquisition

 

 

(21,834

)

 

 

 

 

 

 

Other income (expense), net

 

 

(1,086

)

 

 

(4,116

)

 

 

521

 

Income before income taxes

 

 

3,810

 

 

 

16,563

 

 

 

7,970

 

Provision for income taxes

 

 

(7,800

)

 

 

(3,719

)

 

 

(4,393

)

Net income (loss)

 

 

(3,990

)

 

 

12,844

 

 

 

3,577

 

Less net income (loss) attributable to non-controlling interest

 

 

(831

)

 

 

(816

)

 

 

502

 

Less net loss attributable to non-controlling interest – ENE Onshore

 

 

(181

)

 

 

(237

)

 

 

(1,941

)

Less pre-IPO net income (loss) attributable to EELP

 

 

(947

)

 

 

13,897

 

 

 

5,016

 

Net loss attributable to shareholders

 

$

(2,031

)

 

$

 

 

$

 

 

 

 

 

 

 

 

 

 

 

Net loss per common share – basic

 

$

(0.08

)

 

$

 

 

$

 

Net loss per common share – diluted

 

$

(0.08

)

 

$

 

 

$

 

Weighted average shares outstanding – basic

 

 

26,254,167

 

 

 

 

 

 

 

Weighted average shares outstanding – diluted

 

 

26,254,167

 

 

 

 

 

 

 

Excelerate Energy Limited Partnership

Consolidated Balance Sheets

 

 

 

June 30, 2022

 

 

December 31, 2021

 

 

 

(Unaudited)

 

 

 

 

ASSETS

 

(In thousands)

 

Current assets

 

 

 

 

 

 

Cash and cash equivalents

 

$

386,337

 

 

$

72,786

 

Current portion of restricted cash

 

 

2,461

 

 

 

2,495

 

Accounts receivable, net

 

 

191,324

 

 

 

260,535

 

Accounts receivable, net – related party

 

 

4,877

 

 

 

11,140

 

Inventories

 

 

64,992

 

 

 

105,020

 

Current portion of net investments in sales-type leases

 

 

12,200

 

 

 

12,225

 

Other current assets

 

 

20,861

 

 

 

26,194

 

Total current assets

 

 

683,052

 

 

 

490,395

 

Restricted cash

 

 

16,903

 

 

 

15,683

 

Property and equipment, net

 

 

1,416,202

 

 

 

1,433,169

 

Operating lease right-of-use assets

 

 

91,779

 

 

 

106,225

 

Net investments in sales-type leases

 

 

407,143

 

 

 

412,908

 

Investment in equity method investee

 

 

23,868

 

 

 

22,051

 

Deferred tax assets

 

 

47,154

 

 

 

939

 

Other assets

 

 

26,621

 

 

 

19,366

 

Total assets

 

$

2,712,722

 

 

$

2,500,736

 

LIABILITIES AND EQUITY

 

 

 

 

 

 

Current liabilities

 

 

 

 

 

 

Accounts payable

 

$

140,242

 

 

$

303,651

 

Accounts payable to related party

 

 

713

 

 

 

7,937

 

Accrued liabilities and other liabilities

 

 

64,457

 

 

 

105,034

 

Current portion of deferred revenue

 

 

7,984

 

 

 

9,653

 

Current portion of long-term debt

 

 

17,531

 

 

 

19,046

 

Current portion of long-term debt – related party

 

 

7,369

 

 

 

7,096

 

Current portion of operating lease liabilities

 

 

31,668

 

 

 

30,215

 

Current portion of finance lease liabilities

 

 

20,643

 

 

 

21,903

 

Current portion of finance lease liabilities – related party

 

 

 

 

 

15,627

 

Total current liabilities

 

 

290,607

 

 

 

520,162

 

Derivative liabilities

 

 

 

 

 

2,999

 

Long-term debt, net

 

 

206,313

 

 

 

214,369

 

Long-term debt, net – related party

 

 

191,559

 

 

 

191,217

 

Operating lease liabilities

 

 

63,445

 

 

 

77,936

 

Finance lease liabilities

 

 

220,209

 

 

 

229,755

 

Finance lease liabilities – related party

 

 

 

 

 

210,992

 

TRA liability

 

 

76,822

 

 

 

 

Asset retirement obligations

 

 

35,667

 

 

 

34,929

 

Other long-term liabilities

 

 

17,524

 

 

 

14,451

 

Total liabilities

 

$

1,102,146

 

 

$

1,496,810

 

Commitments and contingencies

 

 

 

 

 

 

Class A Common Stock ($0.001 par value, 300,000,000 shares authorized and 26,254,167 shares issued and outstanding as of June 30, 2022; no shares authorized, issued or outstanding as of December 31, 2021)

 

$

26

 

 

$

 

Class B Common Stock ($0.001 par value, 150,000,000 shares authorized and 82,021,389 shares issued and outstanding as of June 30, 2022; no shares authorized, issued or outstanding as of December 31, 2021)

 

 

82

 

 

 

 

Additional paid-in capital

 

 

583,669

 

 

 

 

Equity interest

 

 

 

 

 

1,135,769

 

Retained earnings

 

 

(2,031

)

 

 

 

Related party note receivable

 

 

(159

)

 

 

(6,759

)

Accumulated other comprehensive loss

 

 

(199

)

 

 

(9,178

)

Non-controlling interest

 

 

1,159,888

 

 

 

14,376

 

Non-controlling interest – ENE Onshore

 

 

(130,700

)

 

 

(130,282

)

Total equity

 

$

1,610,576

 

 

$

1,003,926

 

Total liabilities and equity

 

$

2,712,722

 

 

$

2,500,736

 

Excelerate Energy Limited Partnership

Consolidated Statements of Cash Flows (Unaudited)

 

 

 

For the six months ended

 

 

 

June 30, 2022

 

 

June 30, 2021

 

Cash flows from operating activities

 

(In thousands)

 

Net income (loss)

 

$

8,854

 

 

$

41,600

 

Adjustments to reconcile net income to net cash from operating activities

 

 

 

 

 

 

Depreciation and amortization

 

 

48,039

 

 

 

52,246

 

Amortization of operating lease right-of-use assets

 

 

15,447

 

 

 

11,384

 

Accretion expense

 

 

738

 

 

 

707

 

Amortization of debt issuance costs

 

 

620

 

 

 

712

 

Deferred income taxes

 

 

(5,552

)

 

 

(20

)

Share of net earnings in equity method investee

 

 

(1,510

)

 

 

(1,614

)

Distributions from equity method investee

 

 

2,700

 

 

 

 

Long-term incentive compensation expense

 

 

270

 

 

 

 

Early extinguishment of lease liability on vessel acquisition

 

 

21,834

 

 

 

 

Non-cash restructuring expense

 

 

1,574

 

 

 

 

Changes in operating assets and liabilities:

 

 

 

 

 

 

Accounts receivable

 

 

76,399

 

 

 

(2,969

)

Inventories

 

 

40,028

 

 

 

15,181

 

Other current assets and other assets

 

 

(7,814

)

 

 

(6,480

)

Accounts payable and accrued liabilities

 

 

(211,287

)

 

 

(22,354

)

Derivative liabilities

 

 

1,296

 

 

 

16

 

Current portion of deferred revenue

 

 

(1,669

)

 

 

(231

)

Net investments in sales-type leases

 

 

5,790

 

 

 

4,845

 

Operating lease assets and liabilities

 

 

(14,040

)

 

 

(10,761

)

Other long-term liabilities

 

 

3,273

 

 

 

(4,134

)

Net cash provided by (used in) operating activities

 

$

(15,010

)

 

$

78,128

 

Cash flows from investing activities

 

 

 

 

 

 

Purchases of property and equipment

 

 

(67,031

)

 

 

(11,073

)

Net cash used in investing activities

 

$

(67,031

)

 

$

(11,073

)

Cash flows from financing activities

 

 

 

 

 

 

Proceeds from issuance of common stock, net

 

 

412,183

 

 

 

 

Proceeds from long-term debt – related party

 

 

649,400

 

 

 

25,500

 

Repayments of long-term debt – related party

 

 

(648,126

)

 

 

(3,479

)

Repayments of long-term debt

 

 

(9,561

)

 

 

(15,018

)

Proceeds from revolving credit facility

 

 

140,000

 

 

 

 

Repayments of revolving credit facility

 

 

(140,000

)

 

 

 

Related party note receivables

 

 

 

 

 

(84,758

)

Collections of related party note receivables

 

 

6,600

 

 

 

 

Principal payments under finance lease liabilities

 

 

(10,806

)

 

 

(17,835

)

Principal payments under finance lease liabilities – related party

 

 

(2,912

)

 

 

(7,663

)

Net cash provided by (used in) financing activities

 

$

396,778

 

 

$

(103,253

)

Net increase (decrease) in cash, cash equivalents and restricted cash

 

 

314,737

 

 

 

(36,198

)

 

 

 

 

 

 

 

Cash, cash equivalents and restricted cash

 

 

 

 

 

 

Beginning of period

 

$

90,964

 

 

$

109,539

 

End of period

 

$

405,701

 

 

$

73,341

 

Excelerate Energy Limited Partnership

Non-GAAP Reconciliation (Unaudited)

 

The following table presents a reconciliation of adjusted gross margin to the GAAP financial measures of gross margin for each of the periods indicated.

 

 

 

For the three months ended

 

 

 

June 30, 2022

 

 

March 31, 2022

 

 

June 30, 2021

 

 

 

(In thousands)

 

FSRU and terminal services revenues

 

$

110,072

 

 

$

97,592

 

 

$

109,858

 

Gas sales revenues

 

 

512,857

 

 

 

494,081

 

 

 

82,940

 

Cost of revenue and vessel operating expenses

 

 

(58,673

)

 

 

(50,063

)

 

 

(48,425

)

Direct cost of gas sales

 

 

(485,023

)

 

 

(463,352

)

 

 

(78,076

)

Depreciation and amortization expense

 

 

(24,296

)

 

 

(23,743

)

 

 

(26,137

)

Gross Margin

 

$

54,937

 

 

$

54,515

 

 

$

40,160

 

Depreciation and amortization expense

 

 

24,296

 

 

 

23,743

 

 

 

26,137

 

Adjusted Gross Margin

 

$

79,233

 

 

$

78,258

 

 

$

66,297

 

The following table presents a reconciliation of Adjusted EBITDA and Adjusted EBITDAR to the GAAP financial measure of net income (loss) for each of the periods indicated.

 

 

 

For the three months ended

 

 

 

June 30, 2022

 

 

March 31, 2022

 

 

June 30, 2021

 

 

 

(In thousands)

 

Net income (loss)

 

$

(3,990

)

 

$

12,844

 

 

$

3,577

 

Interest expense

 

 

13,293

 

 

 

19,227

 

 

 

21,206

 

Provision for income taxes

 

 

7,800

 

 

 

3,719

 

 

 

4,393

 

Depreciation and amortization expense

 

 

24,296

 

 

 

23,743

 

 

 

26,137

 

Restructuring, transition and transaction expenses

 

 

2,582

 

 

 

2,753

 

 

 

3,065

 

Long-term incentive compensation expense

 

 

270

 

 

 

 

 

 

 

Early extinguishment of lease liability on vessel acquisition

 

 

21,834

 

 

 

 

 

 

 

Adjusted EBITDA

 

$

66,085

 

 

$

62,286

 

 

$

58,378

 

Vessel and infrastructure rent expense

 

 

9,151

 

 

 

9,094

 

 

 

7,097

 

Adjusted EBITDAR

 

$

75,236

 

 

$

71,380

 

 

$

65,475

 

The following table presents a reconciliation of Adjusted Net Income to the GAAP financial measure of net income (loss) for each of the periods indicated.

 

 

 

For the three months ended

 

 

 

June 30, 2022

 

 

March 31, 2022

 

 

June 30, 2021

 

 

 

(In thousands)

 

Net income (loss)

 

$

(3,990

)

 

$

12,844

 

 

$

3,577

 

Add back (deduct):

 

 

 

 

 

 

 

 

 

Restructuring, transition and transaction expenses

 

 

2,582

 

 

 

2,753

 

 

 

3,065

 

Early extinguishment of lease liability on vessel acquisition

 

 

21,834

 

 

 

 

 

 

 

Adjusted net income

 

$

20,426

 

 

$

15,597

 

 

$

6,642

 

 

 

2022E

 

 

2022E

 

(In millions)

 

Low Case

 

 

High Case

 

Income before income taxes

 

$

58

 

 

$

93

 

Interest expense

 

 

60

 

 

 

55

 

Depreciation and amortization expense

 

 

100

 

 

 

95

 

Stock based compensation

 

 

2

 

 

 

1

 

Restructuring, transition and transaction expenses

 

 

29

 

 

 

25

 

Adjusted EBITDA

 

 

249

 

 

 

269

 

Vessel and infrastructure rent expense

 

 

36

 

 

 

36

 

Adjusted EBITDAR

 

$

285

 

 

$

305

 

Note: We have not reconciled the Adjusted EBITDA and Adjusted EBITDAR outlook to net income, the most comparable measure, because it is not possible to estimate, without unreasonable effort, our income taxes with the level of required precision. Accordingly, we have reconciled these non-GAAP measures to our estimated income before taxes.

Investors
Craig Hicks
Excelerate Energy
Craig.Hicks@excelerateenergy.com

Media
Stephen Pettibone / Frances Jeter
Sard Verbinnen & Co
Excelerate-SVC@sardverb.com
or
media@excelerateenergy.com

Source: Excelerate Energy, Inc.