Recent Quotes View Full List My Watchlist Create Watchlist Indicators DJI Nasdaq Composite SPX Gold Crude Oil Hydroworld Market Index Markets Stocks ETFs Tools Overview News Currencies International Treasuries FTAI Infrastructure Inc. Reports First Quarter 2023 Results, Declares Dividend of $0.03 per Share of Common Stock By: FTAI Infrastructure via GlobeNewswire May 02, 2023 at 16:15 PM EDT NEW YORK, May 02, 2023 (GLOBE NEWSWIRE) -- FTAI Infrastructure Inc. (NASDAQ:FIP) (the “Company” or “FTAI Infrastructure”) today reported financial results for the first quarter 2023. The Company’s consolidated comparative financial statements and key performance measures are attached as an exhibit to this press release. Financial Overview (in thousands, except per share data) Selected Financial ResultsQ1’23 Net Loss Attributable to Stockholders$(40,589) Basic Loss per Share of Common Stock$(0.39) Diluted Loss per Share of Common Stock$(0.40) Adjusted EBITDA(1)$21,896 Adjusted EBITDA - Four core segments (1)(2) $ 30,122 _______________________________ (1) For definitions and reconciliations of non-GAAP measures, please refer to the exhibit to this press release.(2) Excludes Sustainability and Energy Transition and Corporate and Other segments First Quarter 2023 Dividends On May 2, 2023, the Company’s Board of Directors (the “Board”) declared a cash dividend on its common stock of $0.03 per share for the quarter ended March 31, 2023, payable on May 26, 2023 to the holders of record on May 15, 2023. Business Highlights Transtar’s first quarter 2023 Adjusted EBITDA was $17.2 million, up from $13.5 million for the fourth quarter of 2022, driven by growth in both carload volumes and average rate per carloadJefferson Terminal commenced service under the previously announced Exxon marine contractRepauno Adjusted EBITDA loss of $4.9 million for the first quarter primarily attributable to costs incurred to prepare for a new multi-year tolling contract which commenced on April 1, 2023Long Ridge returned to normal operations in early January following fourth quarter 2022 power plant outage Additional Information For additional information that management believes to be useful for investors, please refer to the presentation posted on the Investor Relations section of the Company’s website, www.fipinc.com, and the Company’s Quarterly Report on Form 10-Q, when available on the Company’s website. Conference Call In addition, management will host a conference call on Wednesday, May 3, 2023 at 8:00 A.M. Eastern Time. The conference call may be accessed by registering via the following link: https://register.vevent.com/register/BI76e04d920aa34a3db8931a5a75020dc8. Once registered, participants will receive a dial-in and unique pin to access the call. A simultaneous webcast of the conference call will be available to the public on a listen-only basis at www.fipinc.com. Please allow extra time prior to the call to visit the site and download the necessary software required to listen to the internet broadcast. A replay of the conference call will be available after 11:30 A.M. on Wednesday, May 3, 2023 through 11:30 A.M. on Wednesday, May 10, 2023 on https://ir.fipinc.com/news-events/presentations. The information contained on, or accessible through, any websites included in this press release is not incorporated by reference into, and should not be considered a part of, this press release. About FTAI Infrastructure Inc. FTAI Infrastructure primarily invests in critical infrastructure with high barriers to entry across the rail, ports and terminals, and power and gas sectors that, on a combined basis, generate strong and stable cash flows with the potential for earnings growth and asset appreciation. FTAI Infrastructure is externally managed by an affiliate of Fortress Investment Group LLC, a leading, diversified global investment firm. Cautionary Note Regarding Forward-Looking Statements Certain statements in this press release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on management's current expectations and beliefs and are subject to a number of trends and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements, many of which are beyond the Company’s control. The Company can give no assurance that its expectations will be attained and such differences may be material. Accordingly, you should not place undue reliance on any forward-looking statements contained in this press release. For a discussion of some of the risks and important factors that could affect such forward-looking statements, see the sections entitled “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in the Company’s most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q, which are available on the Company’s website (www.fipinc.com). In addition, new risks and uncertainties emerge from time to time, and it is not possible for the Company to predict or assess the impact of every factor that may cause its actual results to differ from those contained in any forward-looking statements. Such forward-looking statements speak only as of the date of this press release. The Company expressly disclaims any obligation to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in the Company's expectations with regard thereto or change in events, conditions or circumstances on which any statement is based. This release shall not constitute an offer to sell or the solicitation of an offer to buy any securities. For further information, please contact: Alan AndreiniInvestor RelationsFTAI Infrastructure Inc.(646) 734-9414aandreini@fortress.com Exhibit - Financial Statements FTAI INFRASTRUCTURE INC.CONSOLIDATED AND COMBINED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)(Dollar amounts in thousands, except share and per share data) Three Months Ended March 31, 2023 2022 Revenues Total revenues $76,494 $46,148 Expenses Operating expenses 65,162 38,068 General and administrative 3,201 2,430 Acquisition and transaction expenses 269 4,236 Management fees and incentive allocation to affiliate 2,982 4,161 Depreciation and amortization 20,135 16,996 Asset impairment 141 — Total expenses 91,890 65,891 Other income (expense) Equity in earnings (losses) of unconsolidated entities 4,366 (22,043)Loss on sale of assets, net (124) — Interest expense (23,250) (6,459)Other income (expense) 221 (459)Total other expense (18,787) (28,961)Loss before income taxes (34,183) (48,704)Provision for income taxes 1,729 1,584 Net loss (35,912) (50,288)Less: Net loss attributable to non-controlling interests in consolidated subsidiaries (9,893) (7,466)Less: Dividends and accretion on redeemable preferred stock 14,570 — Net loss attributable to stockholders/Former Parent $ (40,589) $ (42,822) Loss per share: Basic $ (0.39) $ (0.43)Diluted $ (0.40) $ (0.43)Weighted average shares outstanding: Basic 102,787,640 99,387,467 Diluted 102,787,640 99,387,467 FTAI INFRASTRUCTURE INC.CONSOLIDATED BALANCE SHEETS (Unaudited)(Dollar amounts in thousands, except share and per share data) (Unaudited) March 31, 2023 December 31, 2022Assets Current assets: Cash and cash equivalents $39,963 $36,486 Restricted cash 68,470 113,156 Accounts receivable, net 71,798 60,807 Other current assets 58,820 67,355 Total current assets 239,051 277,804 Leasing equipment, net 34,631 34,907 Operating lease right-of-use assets, net 70,163 71,015 Property, plant, and equipment, net 1,685,242 1,673,808 Investments 72,320 73,589 Intangible assets, net 58,309 60,195 Goodwill 260,252 260,252 Other assets 27,094 26,829 Total assets $2,447,062 $2,478,399 Liabilities Current liabilities: Accounts payable and accrued liabilities $132,654 $136,048 Operating lease liabilities 7,124 7,045 Other current liabilities 14,905 16,488 Total current liabilities 154,683 159,581 Debt, net 1,274,149 1,230,157 Operating lease liabilities 62,644 63,147 Other liabilities 156,001 236,130 Total liabilities 1,647,477 1,689,015 Commitments and contingencies Redeemable preferred stock ($0.01 par value per share; 200,000,000 shares authorized; 300,000 shares issued and outstanding as of March 31, 2023 and December 31, 2022; redemption amount of $448.2 million at March 31, 2023 and December 31, 2022) 279,160 264,590 Equity Common stock ($0.01 par value per share; 2,000,000,000 shares authorized; 99,445,074 shares issued and outstanding as of March 31, 2023 and December 31, 2022) 994 994 Additional paid in capital 892,992 911,599 Accumulated deficit (86,856) (60,837)Accumulated other comprehensive loss (247,293) (300,133)Stockholders' equity 559,837 551,623 Non-controlling interest in equity of consolidated subsidiaries (39,412) (26,829)Total equity 520,425 524,794 Total liabilities, redeemable preferred stock and equity $2,447,062 $2,478,399 FTAI INFRASTRUCTURE INC.CONSOLIDATED AND COMBINED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)(Dollar amounts in thousands, unless otherwise noted) Three Months Ended March 31, 2023 2022 Cash flows from operating activities: Net loss$(35,912) $(50,288)Adjustments to reconcile net loss to net cash used in operating activities: Equity in (earnings) losses of unconsolidated entities (4,366) 22,043 Loss on sale of assets, net 124 — Equity-based compensation 895 709 Depreciation and amortization 20,135 16,996 Asset impairment 141 — Change in deferred income taxes 1,547 1,512 Change in fair value of non-hedge derivative 1,125 766 Amortization of deferred financing costs 1,429 841 Amortization of bond discount 1,045 — (Benefit from) provision for credit losses (165) 25 Change in: Accounts receivable (10,825) 13,744 Other assets 8,140 (2,315)Accounts payable and accrued liabilities 1,812 (19,488)Management fees payable to affiliate 4,888 — Other liabilities (2,157) 1,306 Net cash used in operating activities (12,144) (14,149) Cash flows from investing activities: Investment in unconsolidated entities (2,126) (1,637)Acquisition of consolidated subsidiary (4,448) — Acquisition of property, plant and equipment (39,861) (51,728)Investment in promissory notes and loans (20,500) — Proceeds from sale of property, plant and equipment 93 2,092 Net cash used in investing activities (66,842) (51,273) Cash flows from financing activities: Proceeds from debt 41,600 9,450 Payment of deferred financing costs (649) (277)Cash dividends - common stock (3,084) — Net transfers from Former Parent, net — 34,270 Settlement of equity-based compensation (90) — Net cash provided by financing activities 37,777 43,443 Net decrease in cash and cash equivalents and restricted cash (41,209) (21,979)Cash and cash equivalents and restricted cash, beginning of period 149,642 301,855 Cash and cash equivalents and restricted cash, end of period$108,433 $279,876 Key Performance Measures The Chief Operating Decision Maker (“CODM”) utilizes Adjusted EBITDA as our key performance measure. Adjusted EBITDA provides the CODM with the information necessary to assess operational performance, as well as make resource and allocation decisions. Adjusted EBITDA is defined as net income (loss) attributable to shareholders or Former Parent, adjusted (a) to exclude the impact of provision for (benefit from) income taxes, equity-based compensation expense, acquisition and transaction expenses, losses on the modification or extinguishment of debt and capital lease obligations, changes in fair value of non-hedge derivative instruments, asset impairment charges, incentive allocations, depreciation and amortization expense, interest expense, interest costs on pension and other pension expense benefits (“OPEB”) liabilities, dividends and accretion expense related to redeemable preferred stock, and other non-recurring items, (b) to include the impact of our pro-rata share of Adjusted EBITDA from unconsolidated entities, and (c) to exclude the impact of equity in earnings (losses) of unconsolidated entities and the non-controlling share of Adjusted EBITDA. The following table sets forth a reconciliation of net loss attributable to stockholders or Former Parent to Adjusted EBITDA for the three months ended March 31, 2023 and 2022: Three Months Ended March 31,(in thousands) 2023 2022 Net loss attributable to stockholders/Former Parent$(40,589) $(42,822)Add: Provision for income taxes 1,729 1,584 Add: Equity-based compensation expense 895 709 Add: Acquisition and transaction expenses 269 4,236 Add: Losses on the modification or extinguishment of debt and capital lease obligations — — Add: Changes in fair value of non-hedge derivative instruments 1,125 766 Add: Asset impairment charges 141 — Add: Incentive allocations — — Add: Depreciation and amortization expense 20,135 16,996 Add: Interest expense 23,250 6,459 Add: Pro-rata share of Adjusted EBITDA from unconsolidated entities (1) 8,190 5,407 Add: Dividends and accretion on redeemable preferred stock 14,570 — Add: Interest and other costs on pension and OPEB liabilities 480 — Add: Other non-recurring items (2) 1,288 — Less: Equity in losses of unconsolidated entities (4,366) 22,043 Less: Non-controlling share of Adjusted EBITDA (3) (5,221) (3,816)Adjusted EBITDA (non-GAAP)$21,896 $11,562 __________________________________________________ (1) Includes the following items for the three months ended March 31, 2023 and 2022: (i) net income (loss) of $4,318 and $(22,088), (ii) interest expense of $8,032 and $6,463, (iii) depreciation and amortization expense of $5,666 and $6,284, (iv) acquisition and transaction expenses of $20 and $3, (v) changes in fair value of non-hedge derivative instruments of $(9,847) and $14,615, (vi) equity-based compensation of $1 and $98 and (vii) asset impairment of $— and $32, respectively.(2) Includes the following items for the three months ended March 31, 2023: subsidiary severance expense of $1,288.(3) Includes the following items for the three months ended March 31, 2023 and 2022: (i) equity-based compensation of $110 and $127, (ii) provision for income taxes of $53 and $15, (iii) interest expense of $1,857 and $1,384, (iv) depreciation and amortization expense of $3,136 and $2,263, (v) changes in fair value of non-hedge derivative instruments of $61 and $27, (vi) other non-recurring items of $3 and $— and (vii) interest and other costs on pension and OPEB liabilities of $1 and $—, respectively. The following table sets forth a reconciliation of net income (loss) attributable to stockholders to Adjusted EBITDA for our four core segments for the three months ended March 31, 2023: Three Months Ended March 31, 2023(in thousands)Railroad Jefferson Terminal Repauno Power and Gas Four Core SegmentsNet income (loss) attributable to stockholders$8,098 $(9,162) $(8,831) $8,542 $(1,353)Add: Provision for income taxes 598 198 114 — 910 Add: Equity-based compensation expense 325 444 126 — 895 Add: Acquisition and transaction expenses 183 — — 22 205 Add: Losses on the modification or extinguishment of debt and capital lease obligations — — — — — Add: Changes in fair value of non-hedge derivative instruments — — 1,125 — 1,125 Add: Asset impairment charges 141 — — — 141 Add: Incentive allocations — — — — — Add: Depreciation and amortization expense 5,101 11,869 2,245 — 19,215 Add: Interest expense 955 7,884 588 2 9,429 Add: Pro-rata share of Adjusted EBITDA from unconsolidated entities (1) — — — 10,509 10,509 Add: Dividends and accretion on redeemable preferred stock — — — — — Add: Interest and other costs on pension and OPEB liabilities 480 — — — 480 Add: Other non-recurring items (2) 1,288 — — — 1,288 Less: Equity in earnings of unconsolidated entities — — — (7,761) (7,761)Less: Non-controlling share of Adjusted EBITDA (3) (18) (4,715) (228) — (4,961)Adjusted EBITDA$17,151 $6,518 $(4,861) $11,314 $30,122 ________________________________________________________ (1) Power and Gas: Includes the following items for the three months ended March 31, 2023: (i) net income (loss) of $7,761, (ii) interest expense of $7,234, (iii) depreciation and amortization expense of $5,340, (iv) acquisition and transaction expenses of $20, (v) changes in fair value of non-hedge derivative instruments of $(9,847), and (vi) equity-based compensation of $1.(2) Railroad: Includes the following items for the three months ended March 31, 2023: subsidiary severance expense of $1,288.(3) Railroad: Includes the following items for the three months ended March 31, 2023: (i) equity-based compensation of $1, (ii) provision for income taxes of $1, (iii) depreciation and amortization expense of $10, (iv) interest expense of $2, (v) other non-recurring items of $3 and (vi) interest and other costs on pension and OPEB liabilities of $1. Jefferson: Includes the following items for the three months ended March 31, 2023: (i) equity-based compensation of $102, (ii) provision for income taxes of $46, (iii) interest expense of $1,823 and (iv) depreciation and amortization expense of $2,744. Repauno: Includes the following items for the three months ended March 31, 2023: (i) equity-based compensation of $7, (ii) interest expense of $32, (iii) depreciation and amortization expense of $122, (iv) provision for income taxes of $6, and (v) changes in fair value of non-hedge derivative instruments of $61. Data & News supplied by www.cloudquote.io Stock quotes supplied by Barchart Quotes delayed at least 20 minutes. By accessing this page, you agree to the following Privacy Policy and Terms and Conditions.
FTAI Infrastructure Inc. Reports First Quarter 2023 Results, Declares Dividend of $0.03 per Share of Common Stock By: FTAI Infrastructure via GlobeNewswire May 02, 2023 at 16:15 PM EDT NEW YORK, May 02, 2023 (GLOBE NEWSWIRE) -- FTAI Infrastructure Inc. (NASDAQ:FIP) (the “Company” or “FTAI Infrastructure”) today reported financial results for the first quarter 2023. The Company’s consolidated comparative financial statements and key performance measures are attached as an exhibit to this press release. Financial Overview (in thousands, except per share data) Selected Financial ResultsQ1’23 Net Loss Attributable to Stockholders$(40,589) Basic Loss per Share of Common Stock$(0.39) Diluted Loss per Share of Common Stock$(0.40) Adjusted EBITDA(1)$21,896 Adjusted EBITDA - Four core segments (1)(2) $ 30,122 _______________________________ (1) For definitions and reconciliations of non-GAAP measures, please refer to the exhibit to this press release.(2) Excludes Sustainability and Energy Transition and Corporate and Other segments First Quarter 2023 Dividends On May 2, 2023, the Company’s Board of Directors (the “Board”) declared a cash dividend on its common stock of $0.03 per share for the quarter ended March 31, 2023, payable on May 26, 2023 to the holders of record on May 15, 2023. Business Highlights Transtar’s first quarter 2023 Adjusted EBITDA was $17.2 million, up from $13.5 million for the fourth quarter of 2022, driven by growth in both carload volumes and average rate per carloadJefferson Terminal commenced service under the previously announced Exxon marine contractRepauno Adjusted EBITDA loss of $4.9 million for the first quarter primarily attributable to costs incurred to prepare for a new multi-year tolling contract which commenced on April 1, 2023Long Ridge returned to normal operations in early January following fourth quarter 2022 power plant outage Additional Information For additional information that management believes to be useful for investors, please refer to the presentation posted on the Investor Relations section of the Company’s website, www.fipinc.com, and the Company’s Quarterly Report on Form 10-Q, when available on the Company’s website. Conference Call In addition, management will host a conference call on Wednesday, May 3, 2023 at 8:00 A.M. Eastern Time. The conference call may be accessed by registering via the following link: https://register.vevent.com/register/BI76e04d920aa34a3db8931a5a75020dc8. Once registered, participants will receive a dial-in and unique pin to access the call. A simultaneous webcast of the conference call will be available to the public on a listen-only basis at www.fipinc.com. Please allow extra time prior to the call to visit the site and download the necessary software required to listen to the internet broadcast. A replay of the conference call will be available after 11:30 A.M. on Wednesday, May 3, 2023 through 11:30 A.M. on Wednesday, May 10, 2023 on https://ir.fipinc.com/news-events/presentations. The information contained on, or accessible through, any websites included in this press release is not incorporated by reference into, and should not be considered a part of, this press release. About FTAI Infrastructure Inc. FTAI Infrastructure primarily invests in critical infrastructure with high barriers to entry across the rail, ports and terminals, and power and gas sectors that, on a combined basis, generate strong and stable cash flows with the potential for earnings growth and asset appreciation. FTAI Infrastructure is externally managed by an affiliate of Fortress Investment Group LLC, a leading, diversified global investment firm. Cautionary Note Regarding Forward-Looking Statements Certain statements in this press release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on management's current expectations and beliefs and are subject to a number of trends and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements, many of which are beyond the Company’s control. The Company can give no assurance that its expectations will be attained and such differences may be material. Accordingly, you should not place undue reliance on any forward-looking statements contained in this press release. For a discussion of some of the risks and important factors that could affect such forward-looking statements, see the sections entitled “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in the Company’s most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q, which are available on the Company’s website (www.fipinc.com). In addition, new risks and uncertainties emerge from time to time, and it is not possible for the Company to predict or assess the impact of every factor that may cause its actual results to differ from those contained in any forward-looking statements. Such forward-looking statements speak only as of the date of this press release. The Company expressly disclaims any obligation to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in the Company's expectations with regard thereto or change in events, conditions or circumstances on which any statement is based. This release shall not constitute an offer to sell or the solicitation of an offer to buy any securities. For further information, please contact: Alan AndreiniInvestor RelationsFTAI Infrastructure Inc.(646) 734-9414aandreini@fortress.com Exhibit - Financial Statements FTAI INFRASTRUCTURE INC.CONSOLIDATED AND COMBINED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)(Dollar amounts in thousands, except share and per share data) Three Months Ended March 31, 2023 2022 Revenues Total revenues $76,494 $46,148 Expenses Operating expenses 65,162 38,068 General and administrative 3,201 2,430 Acquisition and transaction expenses 269 4,236 Management fees and incentive allocation to affiliate 2,982 4,161 Depreciation and amortization 20,135 16,996 Asset impairment 141 — Total expenses 91,890 65,891 Other income (expense) Equity in earnings (losses) of unconsolidated entities 4,366 (22,043)Loss on sale of assets, net (124) — Interest expense (23,250) (6,459)Other income (expense) 221 (459)Total other expense (18,787) (28,961)Loss before income taxes (34,183) (48,704)Provision for income taxes 1,729 1,584 Net loss (35,912) (50,288)Less: Net loss attributable to non-controlling interests in consolidated subsidiaries (9,893) (7,466)Less: Dividends and accretion on redeemable preferred stock 14,570 — Net loss attributable to stockholders/Former Parent $ (40,589) $ (42,822) Loss per share: Basic $ (0.39) $ (0.43)Diluted $ (0.40) $ (0.43)Weighted average shares outstanding: Basic 102,787,640 99,387,467 Diluted 102,787,640 99,387,467 FTAI INFRASTRUCTURE INC.CONSOLIDATED BALANCE SHEETS (Unaudited)(Dollar amounts in thousands, except share and per share data) (Unaudited) March 31, 2023 December 31, 2022Assets Current assets: Cash and cash equivalents $39,963 $36,486 Restricted cash 68,470 113,156 Accounts receivable, net 71,798 60,807 Other current assets 58,820 67,355 Total current assets 239,051 277,804 Leasing equipment, net 34,631 34,907 Operating lease right-of-use assets, net 70,163 71,015 Property, plant, and equipment, net 1,685,242 1,673,808 Investments 72,320 73,589 Intangible assets, net 58,309 60,195 Goodwill 260,252 260,252 Other assets 27,094 26,829 Total assets $2,447,062 $2,478,399 Liabilities Current liabilities: Accounts payable and accrued liabilities $132,654 $136,048 Operating lease liabilities 7,124 7,045 Other current liabilities 14,905 16,488 Total current liabilities 154,683 159,581 Debt, net 1,274,149 1,230,157 Operating lease liabilities 62,644 63,147 Other liabilities 156,001 236,130 Total liabilities 1,647,477 1,689,015 Commitments and contingencies Redeemable preferred stock ($0.01 par value per share; 200,000,000 shares authorized; 300,000 shares issued and outstanding as of March 31, 2023 and December 31, 2022; redemption amount of $448.2 million at March 31, 2023 and December 31, 2022) 279,160 264,590 Equity Common stock ($0.01 par value per share; 2,000,000,000 shares authorized; 99,445,074 shares issued and outstanding as of March 31, 2023 and December 31, 2022) 994 994 Additional paid in capital 892,992 911,599 Accumulated deficit (86,856) (60,837)Accumulated other comprehensive loss (247,293) (300,133)Stockholders' equity 559,837 551,623 Non-controlling interest in equity of consolidated subsidiaries (39,412) (26,829)Total equity 520,425 524,794 Total liabilities, redeemable preferred stock and equity $2,447,062 $2,478,399 FTAI INFRASTRUCTURE INC.CONSOLIDATED AND COMBINED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)(Dollar amounts in thousands, unless otherwise noted) Three Months Ended March 31, 2023 2022 Cash flows from operating activities: Net loss$(35,912) $(50,288)Adjustments to reconcile net loss to net cash used in operating activities: Equity in (earnings) losses of unconsolidated entities (4,366) 22,043 Loss on sale of assets, net 124 — Equity-based compensation 895 709 Depreciation and amortization 20,135 16,996 Asset impairment 141 — Change in deferred income taxes 1,547 1,512 Change in fair value of non-hedge derivative 1,125 766 Amortization of deferred financing costs 1,429 841 Amortization of bond discount 1,045 — (Benefit from) provision for credit losses (165) 25 Change in: Accounts receivable (10,825) 13,744 Other assets 8,140 (2,315)Accounts payable and accrued liabilities 1,812 (19,488)Management fees payable to affiliate 4,888 — Other liabilities (2,157) 1,306 Net cash used in operating activities (12,144) (14,149) Cash flows from investing activities: Investment in unconsolidated entities (2,126) (1,637)Acquisition of consolidated subsidiary (4,448) — Acquisition of property, plant and equipment (39,861) (51,728)Investment in promissory notes and loans (20,500) — Proceeds from sale of property, plant and equipment 93 2,092 Net cash used in investing activities (66,842) (51,273) Cash flows from financing activities: Proceeds from debt 41,600 9,450 Payment of deferred financing costs (649) (277)Cash dividends - common stock (3,084) — Net transfers from Former Parent, net — 34,270 Settlement of equity-based compensation (90) — Net cash provided by financing activities 37,777 43,443 Net decrease in cash and cash equivalents and restricted cash (41,209) (21,979)Cash and cash equivalents and restricted cash, beginning of period 149,642 301,855 Cash and cash equivalents and restricted cash, end of period$108,433 $279,876 Key Performance Measures The Chief Operating Decision Maker (“CODM”) utilizes Adjusted EBITDA as our key performance measure. Adjusted EBITDA provides the CODM with the information necessary to assess operational performance, as well as make resource and allocation decisions. Adjusted EBITDA is defined as net income (loss) attributable to shareholders or Former Parent, adjusted (a) to exclude the impact of provision for (benefit from) income taxes, equity-based compensation expense, acquisition and transaction expenses, losses on the modification or extinguishment of debt and capital lease obligations, changes in fair value of non-hedge derivative instruments, asset impairment charges, incentive allocations, depreciation and amortization expense, interest expense, interest costs on pension and other pension expense benefits (“OPEB”) liabilities, dividends and accretion expense related to redeemable preferred stock, and other non-recurring items, (b) to include the impact of our pro-rata share of Adjusted EBITDA from unconsolidated entities, and (c) to exclude the impact of equity in earnings (losses) of unconsolidated entities and the non-controlling share of Adjusted EBITDA. The following table sets forth a reconciliation of net loss attributable to stockholders or Former Parent to Adjusted EBITDA for the three months ended March 31, 2023 and 2022: Three Months Ended March 31,(in thousands) 2023 2022 Net loss attributable to stockholders/Former Parent$(40,589) $(42,822)Add: Provision for income taxes 1,729 1,584 Add: Equity-based compensation expense 895 709 Add: Acquisition and transaction expenses 269 4,236 Add: Losses on the modification or extinguishment of debt and capital lease obligations — — Add: Changes in fair value of non-hedge derivative instruments 1,125 766 Add: Asset impairment charges 141 — Add: Incentive allocations — — Add: Depreciation and amortization expense 20,135 16,996 Add: Interest expense 23,250 6,459 Add: Pro-rata share of Adjusted EBITDA from unconsolidated entities (1) 8,190 5,407 Add: Dividends and accretion on redeemable preferred stock 14,570 — Add: Interest and other costs on pension and OPEB liabilities 480 — Add: Other non-recurring items (2) 1,288 — Less: Equity in losses of unconsolidated entities (4,366) 22,043 Less: Non-controlling share of Adjusted EBITDA (3) (5,221) (3,816)Adjusted EBITDA (non-GAAP)$21,896 $11,562 __________________________________________________ (1) Includes the following items for the three months ended March 31, 2023 and 2022: (i) net income (loss) of $4,318 and $(22,088), (ii) interest expense of $8,032 and $6,463, (iii) depreciation and amortization expense of $5,666 and $6,284, (iv) acquisition and transaction expenses of $20 and $3, (v) changes in fair value of non-hedge derivative instruments of $(9,847) and $14,615, (vi) equity-based compensation of $1 and $98 and (vii) asset impairment of $— and $32, respectively.(2) Includes the following items for the three months ended March 31, 2023: subsidiary severance expense of $1,288.(3) Includes the following items for the three months ended March 31, 2023 and 2022: (i) equity-based compensation of $110 and $127, (ii) provision for income taxes of $53 and $15, (iii) interest expense of $1,857 and $1,384, (iv) depreciation and amortization expense of $3,136 and $2,263, (v) changes in fair value of non-hedge derivative instruments of $61 and $27, (vi) other non-recurring items of $3 and $— and (vii) interest and other costs on pension and OPEB liabilities of $1 and $—, respectively. The following table sets forth a reconciliation of net income (loss) attributable to stockholders to Adjusted EBITDA for our four core segments for the three months ended March 31, 2023: Three Months Ended March 31, 2023(in thousands)Railroad Jefferson Terminal Repauno Power and Gas Four Core SegmentsNet income (loss) attributable to stockholders$8,098 $(9,162) $(8,831) $8,542 $(1,353)Add: Provision for income taxes 598 198 114 — 910 Add: Equity-based compensation expense 325 444 126 — 895 Add: Acquisition and transaction expenses 183 — — 22 205 Add: Losses on the modification or extinguishment of debt and capital lease obligations — — — — — Add: Changes in fair value of non-hedge derivative instruments — — 1,125 — 1,125 Add: Asset impairment charges 141 — — — 141 Add: Incentive allocations — — — — — Add: Depreciation and amortization expense 5,101 11,869 2,245 — 19,215 Add: Interest expense 955 7,884 588 2 9,429 Add: Pro-rata share of Adjusted EBITDA from unconsolidated entities (1) — — — 10,509 10,509 Add: Dividends and accretion on redeemable preferred stock — — — — — Add: Interest and other costs on pension and OPEB liabilities 480 — — — 480 Add: Other non-recurring items (2) 1,288 — — — 1,288 Less: Equity in earnings of unconsolidated entities — — — (7,761) (7,761)Less: Non-controlling share of Adjusted EBITDA (3) (18) (4,715) (228) — (4,961)Adjusted EBITDA$17,151 $6,518 $(4,861) $11,314 $30,122 ________________________________________________________ (1) Power and Gas: Includes the following items for the three months ended March 31, 2023: (i) net income (loss) of $7,761, (ii) interest expense of $7,234, (iii) depreciation and amortization expense of $5,340, (iv) acquisition and transaction expenses of $20, (v) changes in fair value of non-hedge derivative instruments of $(9,847), and (vi) equity-based compensation of $1.(2) Railroad: Includes the following items for the three months ended March 31, 2023: subsidiary severance expense of $1,288.(3) Railroad: Includes the following items for the three months ended March 31, 2023: (i) equity-based compensation of $1, (ii) provision for income taxes of $1, (iii) depreciation and amortization expense of $10, (iv) interest expense of $2, (v) other non-recurring items of $3 and (vi) interest and other costs on pension and OPEB liabilities of $1. Jefferson: Includes the following items for the three months ended March 31, 2023: (i) equity-based compensation of $102, (ii) provision for income taxes of $46, (iii) interest expense of $1,823 and (iv) depreciation and amortization expense of $2,744. Repauno: Includes the following items for the three months ended March 31, 2023: (i) equity-based compensation of $7, (ii) interest expense of $32, (iii) depreciation and amortization expense of $122, (iv) provision for income taxes of $6, and (v) changes in fair value of non-hedge derivative instruments of $61.
NEW YORK, May 02, 2023 (GLOBE NEWSWIRE) -- FTAI Infrastructure Inc. (NASDAQ:FIP) (the “Company” or “FTAI Infrastructure”) today reported financial results for the first quarter 2023. The Company’s consolidated comparative financial statements and key performance measures are attached as an exhibit to this press release. Financial Overview (in thousands, except per share data) Selected Financial ResultsQ1’23 Net Loss Attributable to Stockholders$(40,589) Basic Loss per Share of Common Stock$(0.39) Diluted Loss per Share of Common Stock$(0.40) Adjusted EBITDA(1)$21,896 Adjusted EBITDA - Four core segments (1)(2) $ 30,122 _______________________________ (1) For definitions and reconciliations of non-GAAP measures, please refer to the exhibit to this press release.(2) Excludes Sustainability and Energy Transition and Corporate and Other segments First Quarter 2023 Dividends On May 2, 2023, the Company’s Board of Directors (the “Board”) declared a cash dividend on its common stock of $0.03 per share for the quarter ended March 31, 2023, payable on May 26, 2023 to the holders of record on May 15, 2023. Business Highlights Transtar’s first quarter 2023 Adjusted EBITDA was $17.2 million, up from $13.5 million for the fourth quarter of 2022, driven by growth in both carload volumes and average rate per carloadJefferson Terminal commenced service under the previously announced Exxon marine contractRepauno Adjusted EBITDA loss of $4.9 million for the first quarter primarily attributable to costs incurred to prepare for a new multi-year tolling contract which commenced on April 1, 2023Long Ridge returned to normal operations in early January following fourth quarter 2022 power plant outage Additional Information For additional information that management believes to be useful for investors, please refer to the presentation posted on the Investor Relations section of the Company’s website, www.fipinc.com, and the Company’s Quarterly Report on Form 10-Q, when available on the Company’s website. Conference Call In addition, management will host a conference call on Wednesday, May 3, 2023 at 8:00 A.M. Eastern Time. The conference call may be accessed by registering via the following link: https://register.vevent.com/register/BI76e04d920aa34a3db8931a5a75020dc8. Once registered, participants will receive a dial-in and unique pin to access the call. A simultaneous webcast of the conference call will be available to the public on a listen-only basis at www.fipinc.com. Please allow extra time prior to the call to visit the site and download the necessary software required to listen to the internet broadcast. A replay of the conference call will be available after 11:30 A.M. on Wednesday, May 3, 2023 through 11:30 A.M. on Wednesday, May 10, 2023 on https://ir.fipinc.com/news-events/presentations. The information contained on, or accessible through, any websites included in this press release is not incorporated by reference into, and should not be considered a part of, this press release. About FTAI Infrastructure Inc. FTAI Infrastructure primarily invests in critical infrastructure with high barriers to entry across the rail, ports and terminals, and power and gas sectors that, on a combined basis, generate strong and stable cash flows with the potential for earnings growth and asset appreciation. FTAI Infrastructure is externally managed by an affiliate of Fortress Investment Group LLC, a leading, diversified global investment firm. Cautionary Note Regarding Forward-Looking Statements Certain statements in this press release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on management's current expectations and beliefs and are subject to a number of trends and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements, many of which are beyond the Company’s control. The Company can give no assurance that its expectations will be attained and such differences may be material. Accordingly, you should not place undue reliance on any forward-looking statements contained in this press release. For a discussion of some of the risks and important factors that could affect such forward-looking statements, see the sections entitled “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in the Company’s most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q, which are available on the Company’s website (www.fipinc.com). In addition, new risks and uncertainties emerge from time to time, and it is not possible for the Company to predict or assess the impact of every factor that may cause its actual results to differ from those contained in any forward-looking statements. Such forward-looking statements speak only as of the date of this press release. The Company expressly disclaims any obligation to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in the Company's expectations with regard thereto or change in events, conditions or circumstances on which any statement is based. This release shall not constitute an offer to sell or the solicitation of an offer to buy any securities. For further information, please contact: Alan AndreiniInvestor RelationsFTAI Infrastructure Inc.(646) 734-9414aandreini@fortress.com Exhibit - Financial Statements FTAI INFRASTRUCTURE INC.CONSOLIDATED AND COMBINED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)(Dollar amounts in thousands, except share and per share data) Three Months Ended March 31, 2023 2022 Revenues Total revenues $76,494 $46,148 Expenses Operating expenses 65,162 38,068 General and administrative 3,201 2,430 Acquisition and transaction expenses 269 4,236 Management fees and incentive allocation to affiliate 2,982 4,161 Depreciation and amortization 20,135 16,996 Asset impairment 141 — Total expenses 91,890 65,891 Other income (expense) Equity in earnings (losses) of unconsolidated entities 4,366 (22,043)Loss on sale of assets, net (124) — Interest expense (23,250) (6,459)Other income (expense) 221 (459)Total other expense (18,787) (28,961)Loss before income taxes (34,183) (48,704)Provision for income taxes 1,729 1,584 Net loss (35,912) (50,288)Less: Net loss attributable to non-controlling interests in consolidated subsidiaries (9,893) (7,466)Less: Dividends and accretion on redeemable preferred stock 14,570 — Net loss attributable to stockholders/Former Parent $ (40,589) $ (42,822) Loss per share: Basic $ (0.39) $ (0.43)Diluted $ (0.40) $ (0.43)Weighted average shares outstanding: Basic 102,787,640 99,387,467 Diluted 102,787,640 99,387,467 FTAI INFRASTRUCTURE INC.CONSOLIDATED BALANCE SHEETS (Unaudited)(Dollar amounts in thousands, except share and per share data) (Unaudited) March 31, 2023 December 31, 2022Assets Current assets: Cash and cash equivalents $39,963 $36,486 Restricted cash 68,470 113,156 Accounts receivable, net 71,798 60,807 Other current assets 58,820 67,355 Total current assets 239,051 277,804 Leasing equipment, net 34,631 34,907 Operating lease right-of-use assets, net 70,163 71,015 Property, plant, and equipment, net 1,685,242 1,673,808 Investments 72,320 73,589 Intangible assets, net 58,309 60,195 Goodwill 260,252 260,252 Other assets 27,094 26,829 Total assets $2,447,062 $2,478,399 Liabilities Current liabilities: Accounts payable and accrued liabilities $132,654 $136,048 Operating lease liabilities 7,124 7,045 Other current liabilities 14,905 16,488 Total current liabilities 154,683 159,581 Debt, net 1,274,149 1,230,157 Operating lease liabilities 62,644 63,147 Other liabilities 156,001 236,130 Total liabilities 1,647,477 1,689,015 Commitments and contingencies Redeemable preferred stock ($0.01 par value per share; 200,000,000 shares authorized; 300,000 shares issued and outstanding as of March 31, 2023 and December 31, 2022; redemption amount of $448.2 million at March 31, 2023 and December 31, 2022) 279,160 264,590 Equity Common stock ($0.01 par value per share; 2,000,000,000 shares authorized; 99,445,074 shares issued and outstanding as of March 31, 2023 and December 31, 2022) 994 994 Additional paid in capital 892,992 911,599 Accumulated deficit (86,856) (60,837)Accumulated other comprehensive loss (247,293) (300,133)Stockholders' equity 559,837 551,623 Non-controlling interest in equity of consolidated subsidiaries (39,412) (26,829)Total equity 520,425 524,794 Total liabilities, redeemable preferred stock and equity $2,447,062 $2,478,399 FTAI INFRASTRUCTURE INC.CONSOLIDATED AND COMBINED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)(Dollar amounts in thousands, unless otherwise noted) Three Months Ended March 31, 2023 2022 Cash flows from operating activities: Net loss$(35,912) $(50,288)Adjustments to reconcile net loss to net cash used in operating activities: Equity in (earnings) losses of unconsolidated entities (4,366) 22,043 Loss on sale of assets, net 124 — Equity-based compensation 895 709 Depreciation and amortization 20,135 16,996 Asset impairment 141 — Change in deferred income taxes 1,547 1,512 Change in fair value of non-hedge derivative 1,125 766 Amortization of deferred financing costs 1,429 841 Amortization of bond discount 1,045 — (Benefit from) provision for credit losses (165) 25 Change in: Accounts receivable (10,825) 13,744 Other assets 8,140 (2,315)Accounts payable and accrued liabilities 1,812 (19,488)Management fees payable to affiliate 4,888 — Other liabilities (2,157) 1,306 Net cash used in operating activities (12,144) (14,149) Cash flows from investing activities: Investment in unconsolidated entities (2,126) (1,637)Acquisition of consolidated subsidiary (4,448) — Acquisition of property, plant and equipment (39,861) (51,728)Investment in promissory notes and loans (20,500) — Proceeds from sale of property, plant and equipment 93 2,092 Net cash used in investing activities (66,842) (51,273) Cash flows from financing activities: Proceeds from debt 41,600 9,450 Payment of deferred financing costs (649) (277)Cash dividends - common stock (3,084) — Net transfers from Former Parent, net — 34,270 Settlement of equity-based compensation (90) — Net cash provided by financing activities 37,777 43,443 Net decrease in cash and cash equivalents and restricted cash (41,209) (21,979)Cash and cash equivalents and restricted cash, beginning of period 149,642 301,855 Cash and cash equivalents and restricted cash, end of period$108,433 $279,876 Key Performance Measures The Chief Operating Decision Maker (“CODM”) utilizes Adjusted EBITDA as our key performance measure. Adjusted EBITDA provides the CODM with the information necessary to assess operational performance, as well as make resource and allocation decisions. Adjusted EBITDA is defined as net income (loss) attributable to shareholders or Former Parent, adjusted (a) to exclude the impact of provision for (benefit from) income taxes, equity-based compensation expense, acquisition and transaction expenses, losses on the modification or extinguishment of debt and capital lease obligations, changes in fair value of non-hedge derivative instruments, asset impairment charges, incentive allocations, depreciation and amortization expense, interest expense, interest costs on pension and other pension expense benefits (“OPEB”) liabilities, dividends and accretion expense related to redeemable preferred stock, and other non-recurring items, (b) to include the impact of our pro-rata share of Adjusted EBITDA from unconsolidated entities, and (c) to exclude the impact of equity in earnings (losses) of unconsolidated entities and the non-controlling share of Adjusted EBITDA. The following table sets forth a reconciliation of net loss attributable to stockholders or Former Parent to Adjusted EBITDA for the three months ended March 31, 2023 and 2022: Three Months Ended March 31,(in thousands) 2023 2022 Net loss attributable to stockholders/Former Parent$(40,589) $(42,822)Add: Provision for income taxes 1,729 1,584 Add: Equity-based compensation expense 895 709 Add: Acquisition and transaction expenses 269 4,236 Add: Losses on the modification or extinguishment of debt and capital lease obligations — — Add: Changes in fair value of non-hedge derivative instruments 1,125 766 Add: Asset impairment charges 141 — Add: Incentive allocations — — Add: Depreciation and amortization expense 20,135 16,996 Add: Interest expense 23,250 6,459 Add: Pro-rata share of Adjusted EBITDA from unconsolidated entities (1) 8,190 5,407 Add: Dividends and accretion on redeemable preferred stock 14,570 — Add: Interest and other costs on pension and OPEB liabilities 480 — Add: Other non-recurring items (2) 1,288 — Less: Equity in losses of unconsolidated entities (4,366) 22,043 Less: Non-controlling share of Adjusted EBITDA (3) (5,221) (3,816)Adjusted EBITDA (non-GAAP)$21,896 $11,562 __________________________________________________ (1) Includes the following items for the three months ended March 31, 2023 and 2022: (i) net income (loss) of $4,318 and $(22,088), (ii) interest expense of $8,032 and $6,463, (iii) depreciation and amortization expense of $5,666 and $6,284, (iv) acquisition and transaction expenses of $20 and $3, (v) changes in fair value of non-hedge derivative instruments of $(9,847) and $14,615, (vi) equity-based compensation of $1 and $98 and (vii) asset impairment of $— and $32, respectively.(2) Includes the following items for the three months ended March 31, 2023: subsidiary severance expense of $1,288.(3) Includes the following items for the three months ended March 31, 2023 and 2022: (i) equity-based compensation of $110 and $127, (ii) provision for income taxes of $53 and $15, (iii) interest expense of $1,857 and $1,384, (iv) depreciation and amortization expense of $3,136 and $2,263, (v) changes in fair value of non-hedge derivative instruments of $61 and $27, (vi) other non-recurring items of $3 and $— and (vii) interest and other costs on pension and OPEB liabilities of $1 and $—, respectively. The following table sets forth a reconciliation of net income (loss) attributable to stockholders to Adjusted EBITDA for our four core segments for the three months ended March 31, 2023: Three Months Ended March 31, 2023(in thousands)Railroad Jefferson Terminal Repauno Power and Gas Four Core SegmentsNet income (loss) attributable to stockholders$8,098 $(9,162) $(8,831) $8,542 $(1,353)Add: Provision for income taxes 598 198 114 — 910 Add: Equity-based compensation expense 325 444 126 — 895 Add: Acquisition and transaction expenses 183 — — 22 205 Add: Losses on the modification or extinguishment of debt and capital lease obligations — — — — — Add: Changes in fair value of non-hedge derivative instruments — — 1,125 — 1,125 Add: Asset impairment charges 141 — — — 141 Add: Incentive allocations — — — — — Add: Depreciation and amortization expense 5,101 11,869 2,245 — 19,215 Add: Interest expense 955 7,884 588 2 9,429 Add: Pro-rata share of Adjusted EBITDA from unconsolidated entities (1) — — — 10,509 10,509 Add: Dividends and accretion on redeemable preferred stock — — — — — Add: Interest and other costs on pension and OPEB liabilities 480 — — — 480 Add: Other non-recurring items (2) 1,288 — — — 1,288 Less: Equity in earnings of unconsolidated entities — — — (7,761) (7,761)Less: Non-controlling share of Adjusted EBITDA (3) (18) (4,715) (228) — (4,961)Adjusted EBITDA$17,151 $6,518 $(4,861) $11,314 $30,122 ________________________________________________________ (1) Power and Gas: Includes the following items for the three months ended March 31, 2023: (i) net income (loss) of $7,761, (ii) interest expense of $7,234, (iii) depreciation and amortization expense of $5,340, (iv) acquisition and transaction expenses of $20, (v) changes in fair value of non-hedge derivative instruments of $(9,847), and (vi) equity-based compensation of $1.(2) Railroad: Includes the following items for the three months ended March 31, 2023: subsidiary severance expense of $1,288.(3) Railroad: Includes the following items for the three months ended March 31, 2023: (i) equity-based compensation of $1, (ii) provision for income taxes of $1, (iii) depreciation and amortization expense of $10, (iv) interest expense of $2, (v) other non-recurring items of $3 and (vi) interest and other costs on pension and OPEB liabilities of $1. Jefferson: Includes the following items for the three months ended March 31, 2023: (i) equity-based compensation of $102, (ii) provision for income taxes of $46, (iii) interest expense of $1,823 and (iv) depreciation and amortization expense of $2,744. Repauno: Includes the following items for the three months ended March 31, 2023: (i) equity-based compensation of $7, (ii) interest expense of $32, (iii) depreciation and amortization expense of $122, (iv) provision for income taxes of $6, and (v) changes in fair value of non-hedge derivative instruments of $61.