KNOT Offshore Partners LP Earnings Release—Interim Results For The Period Ended Dec 31, 2016

By Finance

Highlights
For the three months ended December 31, 2016, KNOT Offshore Partners LP (“KNOT Offshore Partners” or the “Partnership”):

  • Generated highest ever quarterly revenues of $45.0 million, operating income of $21.6 million and net income of $19.5 million.
  • Generated highest ever quarterly Adjusted EBITDA of $36.1 million.1
  • Generated highest ever quarterly distributable cash flow of $20.8 million1 with a distribution coverage ratio of 1.27x2.
  • Achieved strong operational performance with 99.8% utilization of the fleet.

KNOT Offshore Partners LP Earnings Release—Interim Results For The Period Ended Dec 31, 2016

Other events:

  • On December 1, 2016, the Partnership acquired all of the ownership interests in Knutsen Shuttle Tankers 19 AS (“KNOT 19”), the company that owns the shuttle tanker, Raquel Knutsen, from Knutsen NYK Offshore Tankers AS (“Knutsen NYK”). The purchase price of the acquisition was $116.5 million, less approximately $103.5 million of outstanding indebtedness related to the Raquel Knutsen, plus approximately $7.3 million of post-closing adjustments for working capital, interest rate swaps, certain intercompany balances and approximately $1.1 million of capitalized fees related to the financing of the Raquel Knutsen.
  • On January 10, 2017, the Partnership successfully completed an equity offering, raising total net proceeds of $54.9 million.
  • On January 17, 2017, the Partnership declared a cash distribution of $0.52 per unit with respect to the quarter ended December 31, 2016 to be paid on February 15, 2017 to unitholders of record as of the close of business on February 2, 2017.
  • On February 2, 2017, the Partnership issued and sold in a private placement 2,083,333 Series A Convertible Preferred Units (“Series A Preferred Units”) at a price of $24.00 per unit.
  • On February 14, 2017, the Partnership’s wholly owned subsidiary, KNOT Shuttle Tankers AS, entered into a share purchase agreement with Knutsen NYK to acquire KNOT Shuttle Tankers 24 AS (“KNOT 24”), the company that owns the shuttle tanker, Tordis Knutsen, from Knutsen NYK (the “Acquisition”). The Partnership expects the Acquisition to close within approximately 30 days, subject to customary closing conditions.

More detailed information for the Financial Results you can find here

Source: Knot Offshore Partners