About this website

The website explains how distributable cash flow (DCF) is defined and why it is important to analyze it and derive a sustainable measure of DCF. Results reported by master limited partnerships (MLPs) are analyzed. comparisons of reported DCF to sustainable DCF are generated, and various coverage ratios and reports analyzing performance are generated. Simplified sources and uses of funds statements are presented to focus readers' attention on key cash flow items. The website also features general articles about MLPs and about other topics of interest to yield-focused investors.

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Disclaimer

The documents and opinions in this website are for informational and educational purposes only and should not be construed as a recommendation to buy or sell the securities mentioned or to solicit transactions or clients. The information in this website is believed, but not guaranteed, to be accurate. All content on this website is presented as of the date published, is not updated and may be superseded by subsequent market events or for other reasons Under no circumstances should a person act upon the information contained within without first conducting his/her own independent research and consulting with his/her investment advisor and tax professional as to whether such action is suitable based on the investor’s investment objectives, personal and financial situation, and specific legal or tax situation.

SPH - A Closer Look at Suburban Propane Partners' 1QFY17 Results

 

Author: Ron Hiram

Published: February 7, 2017

Summary:

Cold weather throughout most of SPH’s service territories in December drove the improvement in results for 1QFY17. In the latest TTM period, coverage of distributions deteriorated substantially and was below 1x; distributions were funded from non-sustainable sources. Overall demand for propane is expected to be […]

SPH - A Closer Look at Suburban Propane Partners' Results for 3QFY16

Author: Ron Hiram

Published: August 27, 2016

Summary:

Key metrics (volumes, gross margins, Adjusted EBITDA, DCF) are trending down; leverage has increased significantly. Coverage of distributions deteriorated substantially and was below 1x in the latest TTM period; distributions were funded from non-sustainable sources. Overall demand for propane is expected to be flat or to […]

SPH - A Closer Look at Suburban Propane Partners' 2QFY16 Results

 

Author: Ron Hiram

Published: June 7, 2016

Summary:

Volumes and gross margins are trending down, but gross margin percent is up because SPH did not pass on to its customers all the benefits of lower propane costs. Coverage of distributions deteriorated substantially and was below 1x in the latest TTM period; distributions were […]

A Closer Look at Suburban Propane Partners' Results and Cash Flows as of 6/30/15

Author: Ron Hiram

Published: August 27, 2015

Summary:

SPH benefited from lower oil prices; it did not pass on to its customers all the benefits of lower propane costs thus increasing gross margin to 57% in 3QFY15 . Distributions coverage at 1.09x in the TTM ended 6/30/15; sustainable DCF shows a marked improvement over […]

SPH - A Closer Look at Suburban Propane Partners' Results and Cash Flows as of 12/31/14.

Author: Ron Hiram

Published: February 25, 2015

Summary:

1QFY15 volumes and earnings were adversely by warmer than usual weather. But, together with sharply lower propane prices, there was a positive effect on working capital needs. Adjusted EBITDA of around $320 million can be expected for fiscal 2015; should be more than sufficient to cover distributions […]