GasLog Partners LP

Revenue for the first quarter of 2023 was $99 million, up 15.9% from the first quarter of 2022. Adjusted EBITDA was $76 million, an increase of about $15.4 million year over year, and adjusted earnings were $0.62 per unit. Operating expenses were $12,640 per vessel per day, G&A was $5.6 million, and interest expense increased by $8.6 million versus the prior year. For 2023, management expects unit operating expenses to average approximately $13,850 per vessel per day, with 3 remaining vessels scheduled for dry dockings, at least 30 off-hire days per vessel, and about $15.6 million of estimated CapEx. They also highlighted approximately $116 million of scheduled debt and lease principal payments over the next 12 months, and said the merger with GasLog Ltd. is expected to close in the third quarter of 2023.

Paolo Enoizi framed the quarter around strong execution in a weaker seasonal market, saying the fleet is still delivering good results because of the favorable contracting done in 2022. He emphasized that spot exposure is marginal and that the company is benefiting from disciplined capital allocation, including the GasLog Sydney sale and leaseback and continued deleveraging. His tone was constructive on LNG fundamentals over the longer term, noting continued European reliance on LNG, a likely return of China demand, and a potentially prolonged supply deficit beyond 2027.

Achilleas Tasioulas focused on the numbers and balance sheet improvements. He cited $99 million of revenue, $76 million of adjusted EBITDA, $0.62 per unit of adjusted earnings, lower operating expenses of $12,640 per vessel per day, and $5.6 million of G&A, partly due to $0.8 million of transaction costs. He also pointed to a $8.6 million rise in interest expense from higher base rates, but said the company still made strong progress on deleveraging, including $32.1 million of scheduled debt and lease repayments, $87.8 million repaid tied to the Sydney sale and leaseback, and $49 million of incremental liquidity released.

There was no analyst Q&A because management said the merger was pending and the call would not take questions. The main investor-facing items were the merger terms, the expected third-quarter closing, the $5.37 per common unit cash consideration, and the planned $3.28 special distribution after unitholder approval. Management also highlighted the Shell Geneva extension and said Venice Energy is still awaiting FID news.