Delek Logistics Partners, LP (NYSE:DKL) Q1 2023 Earnings Conference Call May 8, 2023 12:30 PM ET

Company Participants

Rosy Zuklic - Vice President, IR

Avigal Soreq - President

Reuven Spiegel - Executive Vice President and Chief Financial Officer

Odely Sakazi - Senior Vice President, Delek Logistics

Conference Call Participants

Justin Jenkins - Raymond James

Doug Irwin - Citi

Operator

Good day, and welcome to the Delek Logistics Partners First Quarter 2023 Conference Call. All participants will be in a listen-only mode. [Operator Instructions] After today’s presentation, there will be an opportunity to ask questions. [Operator Instructions]

Please note this event is being recorded. I would now like to turn the conference over to Rosy Zuklic. Please go ahead, ma’am.

Rosy Zuklic

Good morning, and welcome to the Delek Logistics Partners first quarter earnings conference call. Participants on today’s call will include Avigal Soreq, President; Joseph Israel, EVP, Operations; Reuven Spiegel, EVP and Chief Financial Officer; and Odely Sakazi, SVP, Delek Logistics.

As a reminder, this conference call will contain forward-looking statements as defined under the federal securities laws, including without limitation, statements regarding guidance and future business outlook. These statements involve risks and uncertainties that may cause actual results to differ from our forecast.

For more information, please refer to the risk factors discussed in the company’s most recently filed annual report on Form 10-K and quarterly report on Form 10-Q filed with the SEC along with the press release associated with this call. The company assumes no obligation to update any forward-looking statements or information, which speak of their respective date.

Before I turn the call over to Avigal, I just want to remind everyone of a reporting change we made last quarter. After the 3 Bear acquisition, we reorganized our business and changed the naming of Delek Permian Gathering to Midland Gathering. The 3 Bear Gathering assets are now referred to as Delaware Gathering. Avigal?

Avigal Soreq

Thank you, Rosy. Delek Logistics Partners started 2023 with another record quarter. Our logistics system ended well, contributing to a record EBITDA of over $93 million. Delek Logistics continued to deliver a solid operation performance and generating strong cash flow. This is due to investments we have made to develop our assets.

As an example, compared with last year, we have more than doubled the volume in the Midland Gathering system. In addition, during the quarter, Delek Logistics continued its track record of a safe and reliable operation.