Wednesday, Genesis Energy LP (GEL), a crude oil and gas transporter, reported a higher profit in the first quarter, backed by declines in depreciation and amortization expenses as well as improved performance of business segments. Revenues for the quarter, however, witnessed a steep decline.
The Houston, Texas-based company reported net income attributable to the company for the first quarter of $5.29 million or $0.16 per share, up from $1.65 million or $0.03 per share in the year-ago quarter.
On average, four analysts polled by Thomson Reuters expected the company to earn $0.17 per share for the quarter. Analysts' estimates typically exclude special items. The company attributed the higher net income to a $7.6 million increase in margin from the company's operating segments and a $1.4 million decline in depreciation and amortization, offset by increases in corporate general and administrative expenses, interest expense and income tax expense.
Revenues for the quarter decreased to $253.49 million from $486.19 million in the prior-year quarter. Three analysts had a revenue consensus of $373.71 million for the first quarter.
Cost of sales for the quarter decreased to $222.52 million from $459.09 million in the same quarter last year. General and administrative expenses totaled $8.75 million, compared to $8.52 million in the first quarter of 2008. Depreciation and amortization expense declined to $15.45 million from $16.79 million in the corresponding last year quarter.
For the first quarter of 2009, the company generated total available cash before reserves of $21.3 million, compared to $15.8 million in the first quarter of 2008, primarily due to improvements in segment margin, in large part resulting from acquisitions in 2008.
On May 15, the company is to pay a total quarterly distribution of $14.7 million, with $13.3 million to its unit holders or $0.3375 per unit and $1.4 million to its general partner including incentive distribution, attributable to financial and operational results for the first quarter of 2009. The distribution of $0.3375 per unit represented a 2.3% increase in the distribution, compared to the previous quarter and approximately 12.8% increase over the year earlier period
GEL is currently trading at $12.79, up $0.17 or 1.35% on a volume of 108,815 shares on the AMEX.
For comments and feedback contact: editorial@rttnews.com
June 05, 2026 16:18 ET A busy week for economic news flow saw a slew of reports being released that reflected the trends in the U.S. labor market. In Europe, economic growth and inflation data gained attention as the European Central Bank and Bank of England head for policy session later in the month. In Asia, the monetary policy session of the Indian central bank was in focus as the country, a major oil importer, reels under the pressures of a weaker rupee and rising inflation.