Delek Us Holdings, Inc. · NYSE:DK
Delek Us — Barclays 38th Annual CEO Energy-Power Conference (September 2024)
13 slides from Delek Us's conference presentation, Sep 3, 2024
Slide 1: Barclays 38th Annual CEO Energy-Power Conference
Barclays 38th Annual CEO Energy-Power Conference Avigal Soreq Exhibit 99.2
Slide 2: Forward-Looking Statements
Forward-Looking Statements Delek US Holdings, Inc. (“Delek US”) and Delek Logistics Partners, LP (“Delek Logistics”; and collectively with Delek US, “we” or “our”) are traded on the New York Stock Exchange in the United States under the symbols “DK” and ”DKL”, respectively. These slides and any acco
Slide 3: Executing DK Objective
Executing DK Objective 3 EOP: Leaner cost Stronger margins SOTP: Clear path to complete Deconsolidation Improved Base Operations: Big Spring Progress; Higher throughputs; Lower Opex and G&A People: Assembled an experienced, skilled, and committed management team
Slide 4: Next Step: Enterprise Optimization Plan (EOP)
Next Step: Enterprise Optimization Plan (EOP) EOP initiatives are focused on improving DK’s financial health & ability to generate free cash flow Expect to be at the run-rate of ~$100mm through EOP by the end of 2025 EOP Action Items Leaner (Costs) - Lower G&A (Sustainable restructuring) - Lower Ope
Slide 5: DK/DKL Strategy
5 DK (Safe, Reliable, & Efficient Refiner) 3. Midstream • "Right assets under right buckets" • Progress Deconsolidation DKL (Full-service Permian-focused midstream provider) 1. Full Suite Midstream Provider • Gas, Water, & Crude • One stop shop 2. Increase self reliance • ~Two-thirds of DKL EBITDA e
Slide 6: Supplemental Information
Supplemental Information 6
Slide 7: SOTP Progress: Summary of DK & DKL Transactions Announced in 3Q'24
• Retail assets sold for proceeds of ~$385mm • Executed a 10 year supply agreement • Continue to partner with FEMSA SOTP Progress: Summary of DK & DKL Transactions Announced in 3Q'24 1. Retail Sale • H2O for ~$230mm ($160mm cash + $70mm preferred) • Same footprint & customers as DKL • Transaction im
Slide 8: SOTP Progress: DK & DKL Actions
SOTP Progress: DK & DKL Actions 8 DK Contract Value / ITF (-Units) DKL Gas Plant, H2O Acquisition W2W (-Cash, -Units) Amend & Extend (+Units) Retail W2W (+Cash, +Units) Movement Contracts between DK & DKL amended and extended for up to 7 years Our Intent is to make DK & DKL stronger & more independe
Slide 9: SOTP Progress: Projected implications for DK & DKL
Bottom line: DK (standalone) has a cash infusion of ~$515mm (before tax) without any significant projected loss of EBITDA Bottom line: DKL (standalone) adds ~$70mm in projected third party cash flow on course to majority of its EBITDA coming from non-affiliated counterparties SOTP Progress: Projecte
Slide 10: Lower Costs & Improved Reliability
Lower Costs & Improved Reliability 10 Guidance Mid-Point Guidance Range 7.1% 5.8% 4.0% 3.5% 3.2% 3.3% 3.3% 3.3%
Slide 11: Guidance 3rd Quarter 2024
11 Guidance 3rd Quarter 2024 $'s in Millions Low High Operating Expenses $205 $215 General and Administrative Expenses $60 $65 Depreciation and Amortization $90 $95 Net Interest Expense $80 $85 Barrels per day (bpd) Low High Total Crude Throughput 290,000 305,000 Total Throughput 301,000 315,000 Tot
Slide 12: Reconciliation of U.S. GAAP Net Income (Loss) to Adjusted Net Income (Loss)
Reconciliation of U.S. GAAP Net Income (Loss) to Adjusted Net Income (Loss) 12
Slide 13: Reconciliation of Segment EBITDA Attributable to Delek US to Adjusted Segment EBITDA
Reconciliation of Segment EBITDA Attributable to Delek US to Adjusted Segment EBITDA 13 (1) See further discussion in the "Significant Transactions During the Quarter Impacting Results" section in the Q2 2024 Earnings Release. (2) Starting with the quarter ended September 30, 2023, we updated our ot
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