Dynagas LNG Partners LP · NYSE:DLNG
Dynagas LNG Partners LP — Q2 2021 Earnings Presentation
16 slides from Dynagas LNG Partners LP's earnings presentation, Sep 8, 2021
Slide 1: Q2 2021 Financial Results Presentation
Q2 2021 Financial Results Presentation 8 September, 2021
Slide 2: Forward Looking Statements and Disclaimer
Forward Looking Statements and Disclaimer This presentation contains certain statements that may be deemed to be “forward-looking statements” within the meaning of applicable federal securities laws. All statements included in this presentation which are not historical or current facts (including ou
Slide 3: Forward Looking Statements and Disclaimer
Forward Looking Statements and Disclaimer In addition, unpredictable or unknown factors herein also could have material adverse effects on forward-looking statements. Please read the Partnership’s filings with the Securities and Exchange Commission for more information regarding these factors and th
Slide 4: Recent Developments
Recent Developments Quarter Highlights Net Income of $9.1 million and earnings per common unit of $0.17; Adjusted Net Income(1) of $10.4 million and adjusted earnings per common unit of $0.20; Adjusted EBITDA(1) of $23.6 million; 100% fleet utilization; Declared and paid cash distribution of $0.5625
Slide 5: Financial Performance Q2 2021
Financial Performance Q2 2021 Revenues ($m) Adjusted EBITDA ($m) Adjusted Net Income ($m) $40.0 $30.0 $33.9 $33.9 $10.6 $10.4 $33.4 $24.1 $23.9 $9.9 $23.6 $10.0 $30.0 $20.0 $20.0 $10.0 $10.0 $0.0 $0.0 $0.0 q2 2020 q1 2021 q2 2021 q2 2020 q1 2021 q2 2021 q2 2020 q1 2021 q2 2021 Revenues ($m) Q2 2021
Slide 6: Q2 2021 Cash Balance Highlights
Q2 2021 Cash Balance Highlights Q2 2021 Change in Cash Balance(1) (USD thousands) 71% of Adjusted EBITDA utilized to service principal and interest. Operating cash flow of $15.8m including working capital changes. Cash flow after debt service and distributions to preferred unitholders of $4m. After
Slide 7: Financial Data
Financial Data 5.2x $48 million $13,945 Q2 2021 Net Debt to LTM EBITDA Annual Debt Repayments Q2 2021 per day per vessel operating expenses 53% $0 $60,879 Q2 2021 Net Debt to Total Book Cap Committed Growth CAPEX Q2 2021 Time Charter Equivalent per day per LNG Carrier $87 million 100% Cash as of Jun
Slide 8: Net Debt to LTM EBITDA: Executing on Deleveraging Strategy
Executing on Deleveraging Strategy Estimated Credit Metrics: Significant De-leveraging Over Time(1) 70% 6.5 60% 6.0 Net Debt to Total Book cap (%) 50% 5.5 Net Debt to LTM EBITDA 40% 5.0 30% 4.5 20% 4.0 10% 3.5 0% 3.0 q2 2020 q3 2020 q4 2020 q1 2021 q2 2021 2021 2022 2023 2024 Net Debt / Total Book C
Slide 9: Cash Breakeven Analysis
Cash Breakeven Analysis Q2 2021 Per Day Per Vessel Cash Breakeven Levels Competitive cash EBITDA breakeven. Attractive per vessel cash breakeven rates at $49,073 per day excluding distributions to Preferred Unitholders. 8
Slide 10: Fleet Profile
Fleet Profile Fleet ◼ 6 LNG carriers ◼ 914,100 cbm (149,700 cbm for steam turbine LNG fleet, 155,000 cbm for the tri-fuel Total cbm capacity diesel engine LNG fleet (TFDE’s)) Fleet average age ◼ ~11.1 years(1) Average remaining charter duration ◼ ~7.4 years(1)(2) ◼ Equinor, Yamal (Total, CNPC, Silkr
Slide 11: Fleet Employment Overview
Fleet Employment Overview 2039 2048 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2040 2041 2042 2043 2044 2045 2046 2047 2049 2050 Size Charterer Clean Energy 150,000 Gazprom (Singapore) Ob River (1) 150,000 Gazprom (Singapore) Amur River (1) 150,000 Gazp
Slide 12: Broader Market Reach: Ice Bound and Conventional Trades
Broader Market Reach: Ice Bound and Conventional Trades Arc-4 LNG Carries Provide Flexibility to Charterers ◼ DLNG and Dynagas Holding (Sponsor) have an 82% market share of the LNG carriers with ice class 1A FS or equivalent notations (Arc-4 LNG Carriers). ◼ Within a navigation period ranging from J
Slide 13: Summary
Summary Long term, high quality contracts with major energy companies Attractive Financial Profile Leader in ice class trades and experienced operator With a right-sized balance sheet, Partnership’s platform better positioned for future growth Traditional amortizing term loan sets the Partnership on
Slide 14: Appendix
Appendix 13
Slide 15: Reconciliation of net income to adjusted Net Income and Adjusted Earnings per Common Unit
Reconciliation of net income to adjusted Net Income and Adjusted Earnings per Common Unit Three Months Ended (In thousands of U.S. Dollars, except for units and per unit data) June 30, 2021 2020 Net Income $ 9,115 $ 6,427 Amortization of Deferred Revenue 166 52 Amortization of Deferred Charges 294 5
Slide 16: Reconciliation of Net income to Adjusted EBITDA
Reconciliation of Net income to Adjusted EBITDA 1 Three Months Ended (In thousands of U.S. Dollars) June 30, 2021 2020 Net income $ 9,115 $ 6,427 Net interest and finance costs 5,354 6,340 Depreciation 7,906 7,906 Loss on derivative financial instrument 800 3,352 Amortization and write-off of deferr