On 8 August, Sprague Resources LP reported its financial results for the second quarter ended 30 June 2018.
Materials handling adjusted gross margin increased by US$1.5 million, or 11%, to US$14.3 million for the second quarter of 2018, compared to US$12.8 million for the second quarter of 2017.
"Increased asphalt handling, at our Kildair terminal as well as increased heavy lift activity were the primary drivers of the 11% increase in Materials Handling adjusted gross margin," reported David Glendon, President and Chief Executive Officer of Sprague Resources LP. “Timing differences related to dry bulk handling also contributed to the increase."
Sprague's guidance for the 2018 fiscal year is as follows:
- Adjusted EBITDA is expected to be in the range of US$120 million to US$140 million.
- Operating expense is expected to be between US$86 million and US$91 million.
- Selling, general and administrative expenses are anticipated to be in the range of US$88 million to US$93 million.
- Cash interest is expected to range from US$28 million to US$33 million.
- Cash taxes are anticipated to be approximately US$5 million.
- Expansion CAPEX is expected to range from US$8 million to US$13 million.
- Maintenance CAPEX is expected to be at the low end of the US$13 million to US$16 million range.
- Distribution coverage ratio for full year 2018 is expected to range from 1.1x to 1.3x.
View the full financial results here.
Read the article online at: https://www.drybulkmagazine.com/material-handling/09082018/sprague-resources-announces-2q18-results/