Delek Logistics Q4 revenue misses estimates, EBITDA hits record

Reuters
Feb 27
Delek Logistics Q4 revenue misses estimates, EBITDA hits record

Overview

  • Midstream energy firm's Q4 revenue missed analyst expectations

  • Adjusted EBITDA for Q4 reached a record $142.3 mln

Outlook

  • Delek Logistics provides 2026 EBITDA guidance of $520 - $560 mln

  • Company expects third-party EBITDA contribution to exceed 80% in 2026

  • Delek Logistics sees growth opportunities in Delaware Basin driven by sour gas solutions

Result Drivers

  • LIBBY 2 PLANT - Successful startup of the Libby 2 gas plant contributed to record Q4 results

  • ACQUISITIONS - Acquisitions of Gravity Water Midstream and strategic agreements supported economic separation from sponsor

  • SOUR GAS CAPABILITIES - Progress in sour gas gathering and acid gas injection capabilities supported growth

Company press release: ID:nBw5cHbpga

Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q4 Revenue

Miss

$255.77 mln

$283.64 mln (4 Analysts)

Q4 Net Income

$47.29 mln

Q4 Adjusted EBITDA

$142.30 mln

Q4 EBITDA

$98.20 mln

Q4 Operating Income

$36.44 mln

Q4 Pretax Profit

$46.98 mln

Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 1 "hold" and 1 "sell" or "strong sell"

  • The average consensus recommendation for the oil & gas transportation services peer group is "buy"

  • Wall Street's median 12-month price target for Delek Logistics Partners LP is $45.00, about 13.9% below its February 26 closing price of $52.29

  • The stock recently traded at 12 times the next 12-month earnings vs. a P/E of 10 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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