GasLog Partners (GLOP) Q4 2023 earnings summary

Executive summary

• FY2023 profit rose 16.6% to $138.7M as revenue and average daily hire rates increased, despite higher financing costs and transaction-related expenses.

• GasLog acquired all remaining common units on July 13, 2023, for total consideration of $8.65 per unit, including a $3.28 special distribution; common units were subsequently delisted, while preference units remained listed.

• Fleet comprised 14 LNG carriers at year-end, with six on long-term charters and eight in the short-term market.

Financial highlights

• FY2023 revenue was $397.8M, up 7.2% YoY; profit from operations was $196.6M versus $154.6M, and profit for the year was $138.7M versus $119.0M.

• Financial costs rose 41.0% to $67.1M, mainly from higher interest rates and loan-fee write-offs; financial income increased to $7.6M from $2.4M.

• Operating cash flow was $262.4M versus $277.7M; investing cash inflow was $149.4M, while financing cash outflow was $598.4M.

• Cash and cash equivalents were $11.9M at year-end; current assets of $60.2M and current liabilities of $80.3M resulted in negative working capital of $20.1M, including $28.5M of unearned revenue.

Outlook and guidance

• Contracted revenues at Dec. 31, 2023 were $333.8M for 2024 and $681.8M thereafter, dependent on charterers meeting their obligations.

• Management expected available cash, operating cash flow and future vessel sales or sale-leasebacks to meet liquidity needs for at least 12 months from the report date.

• There were 580 open vessel days during 2024; three short-term vessels were due off charter between March and October 2024.