Teekay GP LLC, the general partner of Teekay LNG Partners LP, has reported the partnership’s results for the quarter ended 30 June 2020 (2Q20).
- GAAP net income attributable to the partners and preferred unit holders of US$44.9 million and GAAP net income per common unit of US$0.46.
- Adjusted net income attributable to the partners and preferred unit holders of US$62.6 million and adjusted net income per common unit of US$0.67.
- Total adjusted EBITDA of US$192.3 million, representing another quarterly record and up nearly 19% from the same quarter of the prior year.
- Eighth consecutive quarterly increase in total adjusted EBITDA.
- Fixed-rate charters performing as expected; reaffirming 2020 financial guidance.
“We are pleased to report that this was another record quarter for Teekay LNG,” commented Mark Kremin, President and Chief Executive Officer of Teekay Gas Group Ltd. “While COVID-19 continues to have an unprecedented impact on the world and is a major focus for us, we have been able to fully service our charter contracts and have continued to receive contracted cash flows from our high quality customers. As a result of the pandemic, the overall maritime industry has experienced significant challenges related to crew changes, but I am pleased to report that we have safely changed-out a number of crew members on all of our vessels. We continue to work hard with both the industry and inter-governmental organisations to tackle this challenge and bring our remaining overdue colleagues home safely as soon as possible. I am truly proud of how our seafarers and onshore colleagues have responded to ensure safe and successful transitions with no reported COVID-19 cases, while providing uninterrupted service to our customers.
“Following the completion of our growth program late last year, our focus has been primarily on delevering our balance sheet, which also reduces interest costs, and maximising our fleet utilisation, which provides us with stable, predictable cash flows. This focus, in combination with consistent operational performance and competitive costs, driven by our economies of scale, has resulted in record adjusted net income and total adjusted EBITDA for Teekay LNG this quarter.
“Our LNG fleet is fully-fixed for the remainder of 2020 and 94% fixed for 2021, largely insulating Teekay LNG from the current weak short-term LNG shipping market. Furthermore, all of our charter contracts are currently operating in-line with our expectations, which allows us to reaffirm our previously provided financial guidance for 2020.”
Read the article online at: https://www.lngindustry.com/liquid-natural-gas/13082020/record-quarter-for-teekay-lng/