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 Second Quarter 2023 Results, Declares Dividend of $0.03 per Share of Common Stock By: FTAI Infrastructure via GlobeNewswire July 25, 2023 at 16:15 PM EDT NEW YORK, July 25, 2023 (GLOBE NEWSWIRE) -- FTAI Infrastructure Inc. (NASDAQ:FIP) (the “Company” or “FTAI Infrastructure”) today reported financial results for the second quarter 2023. The Company’s consolidated comparative financial statements and key performance measures are attached as an exhibit to this press release. Financial Overview (in thousands, except per share data)Selected Financial ResultsQ2’23Net Loss Attributable to Stockholders$(38,853) Basic and Diluted Loss per Share of Common Stock$(0.38) Adjusted EBITDA(1)$27,677 Adjusted EBITDA - Four core segments(1)(2)$36,153 _______________________________(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 Second Quarter 2023 Dividends On July 25, 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 June 30, 2023, payable on August 15, 2023 to the holders of record on August 8, 2023. Business Highlights Adjusted EBITDA of $36.2 million from our four core segments, up 20% vs Q1 of 2023 Transtar business unit generated $20.3 million of Adjusted EBITDA for the quarter Executed 15-year contract with first customer at “Jefferson South” terminal for transloading of clean fuels 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, July 26, 2023 at 8:00 A.M. Eastern Time. The conference call may be accessed by registering at https://register.vevent.com/register/BI9b1bb57ad78c4240883aa2c3d4164ab8. 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 https://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, July 26, 2023 through 11:30 A.M. on Wednesday, August 2, 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 June 30, Six Months Ended June 30, 2023 2022 2023 2022 Revenues Total revenues$81,832 $65,868 $158,326 $112,016 Expenses Operating expenses 62,775 49,229 127,937 87,297 General and administrative 3,702 2,498 6,903 4,928 Acquisition and transaction expenses 636 8,872 905 13,108 Management fees and incentive allocation to affiliate 3,084 3,065 6,066 7,226 Depreciation and amortization 20,292 17,319 40,427 34,315 Asset impairment 602 — 743 — Total expenses 91,091 80,983 182,981 146,874 Other income (expense) Equity in (losses) earnings of unconsolidated entities (1,625) (13,859) 2,741 (35,902)Gain on sale of assets, net 647 — 523 — Interest expense (24,182) (6,486) (47,432) (12,945)Other income (expense) 1,370 (553) 1,591 (1,012)Total other expense (23,790) (20,898) (42,577) (49,859)Loss before income taxes (33,049) (36,013) (67,232) (84,717)Provision for income taxes 823 1,947 2,552 3,531 Net loss (33,872) (37,960) (69,784) (88,248)Less: Net loss attributable to non-controlling interests in consolidated subsidiaries (10,276) (8,480) (20,169) (15,946)Less: Dividends and accretion on redeemable preferred stock 15,257 — 29,827 — Net loss attributable to stockholders/Former Parent$(38,853) $(29,480) $(79,442) $(72,302) Loss per share: Basic$(0.38) $(0.30) $(0.77) $(0.73)Diluted$(0.38) $(0.30) $(0.77) $(0.73)Weighted average shares outstanding: Basic 102,793,800 99,387,467 102,790,737 99,387,467 Diluted 102,793,800 99,387,467 102,790,737 99,387,467 FTAI INFRASTRUCTURE INC.CONSOLIDATED BALANCE SHEETS (Unaudited)(Dollar amounts in thousands, except share and per share data) (Unaudited) June 30, 2023 December 31, 2022Assets Current assets: Cash and cash equivalents$42,523 $36,486 Restricted cash 54,960 113,156 Accounts receivable, net 56,375 60,807 Other current assets 60,581 67,355 Total current assets 214,439 277,804 Leasing equipment, net 34,240 34,907 Operating lease right-of-use assets, net 69,560 71,015 Property, plant, and equipment, net 1,687,929 1,673,808 Investments 70,245 73,589 Intangible assets, net 56,414 60,195 Goodwill 260,252 260,252 Other assets 44,531 26,829 Total assets$2,437,610 $2,478,399 Liabilities Current liabilities: Accounts payable and accrued liabilities$122,491 $136,048 Current debt, net 24,037 — Operating lease liabilities 7,070 7,045 Other current liabilities 28,463 16,488 Total current liabilities 182,061 159,581 Debt, net 1,276,641 1,230,157 Operating lease liabilities 62,207 63,147 Other liabilities 90,886 236,130 Total liabilities 1,611,795 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 June 30, 2023 and December 31, 2022; redemption amount of $448.2 million at June 30, 2023 and December 31, 2022) 294,417 264,590 Equity Common stock ($0.01 par value per share; 2,000,000,000 shares authorized; 99,470,553 and 99,445,074 shares issued and outstanding as of June 30, 2023 and December 31, 2022, respectively) 994 994 Additional paid in capital 874,729 911,599 Accumulated deficit (110,452) (60,837)Accumulated other comprehensive loss (184,727) (300,133)Stockholders' equity 580,544 551,623 Non-controlling interest in equity of consolidated subsidiaries (49,146) (26,829)Total equity 531,398 524,794 Total liabilities, redeemable preferred stock and equity$2,437,610 $2,478,399 FTAI INFRASTRUCTURE INC.CONSOLIDATED AND COMBINED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)(Dollar amounts in thousands, unless otherwise noted) Six Months Ended June 30, 2023 2022 Cash flows from operating activities: Net loss$(69,784) $(88,248)Adjustments to reconcile net loss to net cash used in operating activities: Equity in (earnings) losses of unconsolidated entities (2,741) 35,902 Gain on sale of assets, net (523) — Equity-based compensation 1,537 1,665 Depreciation and amortization 40,427 34,315 Asset impairment 743 — Change in deferred income taxes 2,110 3,327 Change in fair value of non-hedge derivative 1,125 (748)Amortization of deferred financing costs 3,098 1,695 Amortization of bond discount 2,144 — (Benefit from) provision for credit losses (74) 90 Change in: Accounts receivable 4,506 (30,585)Other assets (4,724) (21,583)Accounts payable and accrued liabilities (16,370) 12,939 Management fees payable to affiliate 10,168 — Other liabilities 11,427 (4,159)Net cash used in operating activities (16,931) (55,390) Cash flows from investing activities: Investment in unconsolidated entities (3,315) (2,745)Investment in convertible promissory notes — (5,000)Acquisition of business, net of cash acquired (4,448) (3,819)Acquisition of property, plant and equipment (65,696) (113,916)Investment in promissory notes and loans (22,000) — Proceeds from sale of leasing equipment 115 — Proceeds from sale of property, plant and equipment 988 4,304 Net cash used in investing activities (94,356) (121,176) Cash flows from financing activities: Proceeds from debt 66,600 9,450 Payment of deferred financing costs (1,192) (277)Cash dividends - common stock (6,170) — Capital contribution from non-controlling interests — 562 Net transfers from Former Parent, net — 111,396 Settlement of equity-based compensation (90) — Distributions to non-controlling interests (20) — Net cash provided by financing activities 59,128 121,131 Net decrease in cash and cash equivalents and restricted cash (52,159) (55,435)Cash and cash equivalents and restricted cash, beginning of period 149,642 301,855 Cash and cash equivalents and restricted cash, end of period$97,483 $246,420 Key Performance Measures The Chief Operating Decision Maker (“CODM”) utilizes Adjusted EBITDA as our key performance measure. Adjusted EBITDA provides the CODM with the information necessary to assess operational performance, as well as make resource and allocation decisions. Adjusted EBITDA is defined as net income (loss) attributable to shareholders or Former Parent, adjusted (a) to exclude the impact of provision for (benefit from) income taxes, equity-based compensation expense, acquisition and transaction expenses, losses on the modification or extinguishment of debt and capital lease obligations, changes in fair value of non-hedge derivative instruments, asset impairment charges, incentive allocations, depreciation and amortization expense, interest expense, interest costs on pension and other pension expense benefits (“OPEB”) liabilities, dividends and accretion expense related to redeemable preferred stock, and other non-recurring items, (b) to include the impact of our pro-rata share of Adjusted EBITDA from unconsolidated entities, and (c) to exclude the impact of equity in earnings (losses) of unconsolidated entities and the non-controlling share of Adjusted EBITDA. The following table sets forth a reconciliation of net loss attributable to stockholders or Former Parent to Adjusted EBITDA for the three and six months ended June 30, 2023 and 2022: Three Months Ended June 30, Change Six Months EndedJune 30, Change(in thousands) 2023 2022 2023 2022 Net loss attributable to stockholders/Former Parent$(38,853) $(29,480) $(9,373) $(79,442) $(72,302) $(7,140)Add: Provision for income taxes 823 1,947 (1,124) 2,552 3,531 (979)Add: Equity-based compensation expense 642 956 (314) 1,537 1,665 (128)Add: Acquisition and transaction expenses 636 8,872 (8,236) 905 13,108 (12,203)Add: Losses on the modification or extinguishment of debt and capital lease obligations — — — — — — Add: Changes in fair value of non-hedge derivative instruments — (1,514) 1,514 1,125 (748) 1,873 Add: Asset impairment charges 602 — 602 743 — 743 Add: Incentive allocations — — — — — — Add: Depreciation & amortization expense 20,292 17,319 2,973 40,427 34,315 6,112 Add: Interest expense 24,182 6,486 17,696 47,432 12,945 34,487 Add: Pro-rata share of Adjusted EBITDA from unconsolidated entities(1) 6,886 6,825 61 15,076 12,232 2,844 Add: Dividends and accretion on redeemable preferred stock 15,257 — 15,257 29,827 — 29,827 Add: Interest and other costs on pension and OPEB liabilities 480 — 480 960 — 960 Add: Other non-recurring items(2) 51 — 51 1,339 — 1,339 Less: Equity in losses (earnings) of unconsolidated entities 1,625 13,859 (12,234) (2,741) 35,902 (38,643)Less: Non-controlling share of Adjusted EBITDA(3) (4,946) (3,716) (1,230) (10,167) (7,532) (2,635)Adjusted EBITDA (non-GAAP)$27,677 $21,554 $6,123 $49,573 $33,116 $16,457 ________________________________________________________ (1) Includes the following items for the three months ended June 30, 2023 and 2022: (i) net loss of $(1,660) and $(13,919), (ii) interest expense of $8,304 and $6,795, (iii) depreciation and amortization expense of $7,967 and $6,349, (iv) acquisition and transaction expenses of $237 and $387, (v) changes in fair value of non-hedge derivative instruments of $(7,963) and $7,118 and (vi) equity-based compensation of $1 and $95, respectively. Includes the following items for the six months ended June 30, 2023 and 2022: (i) net income (loss) of $2,658 and $(36,007), (ii) interest expense of $16,336 and $13,258, (iii) depreciation and amortization expense of $13,633 and $12,633, (iv) acquisition and transaction expenses of $257 and $391, (v) changes in fair value of non-hedge derivative instruments of $(17,810) and $21,732, (vi) equity-based compensation of $2 and $193 and (vii) asset impairment of $— and $32, respectively.(2) Includes the following items for the three and six months ended June 30, 2023: subsidiary severance expense of $51 and $1,339, respectively.(3) Includes the following items for the three months ended June 30, 2023 and 2022: (i) equity-based compensation of $76 and $124, (ii) provision for income taxes of $35 and $14, (iii) interest expense of $1,880 and $1,319, (iv) depreciation and amortization expense of $2,944 and $2,321, (v) changes in fair value of non-hedge derivative instruments of $— and $(62), (vi) acquisition and transaction expense of $8 and $—, (vii) interest and other costs on pension and OPEB liabilities of $1 and $— and (viii) asset impairment of $2 and $—, respectively. Includes the following items for the six months ended June 30, 2023 and 2022: (i) equity-based compensation of $186 and $250, (ii) provision for income taxes of $88 and $30, (iii) interest expense of $3,737 and $2,703, (iv) depreciation and amortization expense of $6,080 and $4,585, (v) changes in fair value of non-hedge derivative instruments of $61 and $(36), (vi) other non-recurring items of $3 and $—, (vii) acquisition and transaction expense of $8 and $—, (viii) interest and other costs on pension and OPEB liabilities of $2 and $— and (ix) asset impairment of $2 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 June 30, 2023: Three Months Ended June 30, 2023(in thousands)Railroad Jefferson Terminal Repauno Power and Gas Four Core SegmentsNet income (loss) attributable to stockholders/Former Parent$11,786 $(8,765) $(4,510) $3,059 $1,570 Add: Provision for income taxes 720 152 40 — 912 Add: Equity-based compensation expense 159 303 100 — 562 Add: Acquisition and transaction expenses 184 36 — 49 269 Add: Losses on the modification or extinguishment of debt and capital lease obligations — — — — — Add: Changes in fair value of non-hedge derivative instruments — — — — — Add: Asset impairment charges 602 — — — 602 Add: Incentive allocations — — — — — Add: Depreciation and amortization expense 5,125 12,144 2,281 — 19,550 Add: Interest expense 1,215 7,978 615 1 9,809 Add: Pro-rata share of Adjusted EBITDA from unconsolidated entities(1) — — — 8,933 8,933 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) 51 — — — 51 Less: Equity in earnings of unconsolidated entities — — — (1,639) (1,639)Less: Non-controlling share of Adjusted EBITDA(3) (18) (4,766) (162) — (4,946)Adjusted EBITDA$20,304 $7,082 $(1,636) $10,403 $36,153 ________________________________________________________ (1) Power and Gas: Includes the following items for the three months ended June 30, 2023: (i) net income of $1,639, (ii) interest expense of $7,378, (iii) depreciation and amortization expense of $7,641, (iv) acquisition and transaction expenses of $237, (v) changes in fair value of non-hedge derivative instruments of $(7,963), and (vi) equity-based compensation of $1.(2) Railroad: Includes the following items for the three months ended June 30, 2023: Transtar severance expense of $51.(3) Railroad: Includes the following items for the three months ended June 30, 2023: (i) depreciation and amortization expense of $12, (ii) interest expense of $3, (iii) interest and other costs on pension and OPEB liabilities of $1 and (iv) asset impairment of $2. Jefferson Terminal: Includes the following items for the three months ended June 30, 2023: (i) equity-based compensation of $71, (ii) provision for income taxes of $35, (iii) interest expense of $1,844, (iv) depreciation and amortization expense of $2,808 and (v) acquisition and transaction expense of $8. Repauno: Includes the following items for the three months ended June 30, 2023: (i) equity-based compensation of $5, (ii) interest expense of $33 and (iii) depreciation and amortization expense of $124. 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 Second Quarter 2023 Results, Declares Dividend of $0.03 per Share of Common Stock By: FTAI Infrastructure via GlobeNewswire July 25, 2023 at 16:15 PM EDT NEW YORK, July 25, 2023 (GLOBE NEWSWIRE) -- FTAI Infrastructure Inc. (NASDAQ:FIP) (the “Company” or “FTAI Infrastructure”) today reported financial results for the second quarter 2023. The Company’s consolidated comparative financial statements and key performance measures are attached as an exhibit to this press release. Financial Overview (in thousands, except per share data)Selected Financial ResultsQ2’23Net Loss Attributable to Stockholders$(38,853) Basic and Diluted Loss per Share of Common Stock$(0.38) Adjusted EBITDA(1)$27,677 Adjusted EBITDA - Four core segments(1)(2)$36,153 _______________________________(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 Second Quarter 2023 Dividends On July 25, 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 June 30, 2023, payable on August 15, 2023 to the holders of record on August 8, 2023. Business Highlights Adjusted EBITDA of $36.2 million from our four core segments, up 20% vs Q1 of 2023 Transtar business unit generated $20.3 million of Adjusted EBITDA for the quarter Executed 15-year contract with first customer at “Jefferson South” terminal for transloading of clean fuels 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, July 26, 2023 at 8:00 A.M. Eastern Time. The conference call may be accessed by registering at https://register.vevent.com/register/BI9b1bb57ad78c4240883aa2c3d4164ab8. 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 https://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, July 26, 2023 through 11:30 A.M. on Wednesday, August 2, 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 June 30, Six Months Ended June 30, 2023 2022 2023 2022 Revenues Total revenues$81,832 $65,868 $158,326 $112,016 Expenses Operating expenses 62,775 49,229 127,937 87,297 General and administrative 3,702 2,498 6,903 4,928 Acquisition and transaction expenses 636 8,872 905 13,108 Management fees and incentive allocation to affiliate 3,084 3,065 6,066 7,226 Depreciation and amortization 20,292 17,319 40,427 34,315 Asset impairment 602 — 743 — Total expenses 91,091 80,983 182,981 146,874 Other income (expense) Equity in (losses) earnings of unconsolidated entities (1,625) (13,859) 2,741 (35,902)Gain on sale of assets, net 647 — 523 — Interest expense (24,182) (6,486) (47,432) (12,945)Other income (expense) 1,370 (553) 1,591 (1,012)Total other expense (23,790) (20,898) (42,577) (49,859)Loss before income taxes (33,049) (36,013) (67,232) (84,717)Provision for income taxes 823 1,947 2,552 3,531 Net loss (33,872) (37,960) (69,784) (88,248)Less: Net loss attributable to non-controlling interests in consolidated subsidiaries (10,276) (8,480) (20,169) (15,946)Less: Dividends and accretion on redeemable preferred stock 15,257 — 29,827 — Net loss attributable to stockholders/Former Parent$(38,853) $(29,480) $(79,442) $(72,302) Loss per share: Basic$(0.38) $(0.30) $(0.77) $(0.73)Diluted$(0.38) $(0.30) $(0.77) $(0.73)Weighted average shares outstanding: Basic 102,793,800 99,387,467 102,790,737 99,387,467 Diluted 102,793,800 99,387,467 102,790,737 99,387,467 FTAI INFRASTRUCTURE INC.CONSOLIDATED BALANCE SHEETS (Unaudited)(Dollar amounts in thousands, except share and per share data) (Unaudited) June 30, 2023 December 31, 2022Assets Current assets: Cash and cash equivalents$42,523 $36,486 Restricted cash 54,960 113,156 Accounts receivable, net 56,375 60,807 Other current assets 60,581 67,355 Total current assets 214,439 277,804 Leasing equipment, net 34,240 34,907 Operating lease right-of-use assets, net 69,560 71,015 Property, plant, and equipment, net 1,687,929 1,673,808 Investments 70,245 73,589 Intangible assets, net 56,414 60,195 Goodwill 260,252 260,252 Other assets 44,531 26,829 Total assets$2,437,610 $2,478,399 Liabilities Current liabilities: Accounts payable and accrued liabilities$122,491 $136,048 Current debt, net 24,037 — Operating lease liabilities 7,070 7,045 Other current liabilities 28,463 16,488 Total current liabilities 182,061 159,581 Debt, net 1,276,641 1,230,157 Operating lease liabilities 62,207 63,147 Other liabilities 90,886 236,130 Total liabilities 1,611,795 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 June 30, 2023 and December 31, 2022; redemption amount of $448.2 million at June 30, 2023 and December 31, 2022) 294,417 264,590 Equity Common stock ($0.01 par value per share; 2,000,000,000 shares authorized; 99,470,553 and 99,445,074 shares issued and outstanding as of June 30, 2023 and December 31, 2022, respectively) 994 994 Additional paid in capital 874,729 911,599 Accumulated deficit (110,452) (60,837)Accumulated other comprehensive loss (184,727) (300,133)Stockholders' equity 580,544 551,623 Non-controlling interest in equity of consolidated subsidiaries (49,146) (26,829)Total equity 531,398 524,794 Total liabilities, redeemable preferred stock and equity$2,437,610 $2,478,399 FTAI INFRASTRUCTURE INC.CONSOLIDATED AND COMBINED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)(Dollar amounts in thousands, unless otherwise noted) Six Months Ended June 30, 2023 2022 Cash flows from operating activities: Net loss$(69,784) $(88,248)Adjustments to reconcile net loss to net cash used in operating activities: Equity in (earnings) losses of unconsolidated entities (2,741) 35,902 Gain on sale of assets, net (523) — Equity-based compensation 1,537 1,665 Depreciation and amortization 40,427 34,315 Asset impairment 743 — Change in deferred income taxes 2,110 3,327 Change in fair value of non-hedge derivative 1,125 (748)Amortization of deferred financing costs 3,098 1,695 Amortization of bond discount 2,144 — (Benefit from) provision for credit losses (74) 90 Change in: Accounts receivable 4,506 (30,585)Other assets (4,724) (21,583)Accounts payable and accrued liabilities (16,370) 12,939 Management fees payable to affiliate 10,168 — Other liabilities 11,427 (4,159)Net cash used in operating activities (16,931) (55,390) Cash flows from investing activities: Investment in unconsolidated entities (3,315) (2,745)Investment in convertible promissory notes — (5,000)Acquisition of business, net of cash acquired (4,448) (3,819)Acquisition of property, plant and equipment (65,696) (113,916)Investment in promissory notes and loans (22,000) — Proceeds from sale of leasing equipment 115 — Proceeds from sale of property, plant and equipment 988 4,304 Net cash used in investing activities (94,356) (121,176) Cash flows from financing activities: Proceeds from debt 66,600 9,450 Payment of deferred financing costs (1,192) (277)Cash dividends - common stock (6,170) — Capital contribution from non-controlling interests — 562 Net transfers from Former Parent, net — 111,396 Settlement of equity-based compensation (90) — Distributions to non-controlling interests (20) — Net cash provided by financing activities 59,128 121,131 Net decrease in cash and cash equivalents and restricted cash (52,159) (55,435)Cash and cash equivalents and restricted cash, beginning of period 149,642 301,855 Cash and cash equivalents and restricted cash, end of period$97,483 $246,420 Key Performance Measures The Chief Operating Decision Maker (“CODM”) utilizes Adjusted EBITDA as our key performance measure. Adjusted EBITDA provides the CODM with the information necessary to assess operational performance, as well as make resource and allocation decisions. Adjusted EBITDA is defined as net income (loss) attributable to shareholders or Former Parent, adjusted (a) to exclude the impact of provision for (benefit from) income taxes, equity-based compensation expense, acquisition and transaction expenses, losses on the modification or extinguishment of debt and capital lease obligations, changes in fair value of non-hedge derivative instruments, asset impairment charges, incentive allocations, depreciation and amortization expense, interest expense, interest costs on pension and other pension expense benefits (“OPEB”) liabilities, dividends and accretion expense related to redeemable preferred stock, and other non-recurring items, (b) to include the impact of our pro-rata share of Adjusted EBITDA from unconsolidated entities, and (c) to exclude the impact of equity in earnings (losses) of unconsolidated entities and the non-controlling share of Adjusted EBITDA. The following table sets forth a reconciliation of net loss attributable to stockholders or Former Parent to Adjusted EBITDA for the three and six months ended June 30, 2023 and 2022: Three Months Ended June 30, Change Six Months EndedJune 30, Change(in thousands) 2023 2022 2023 2022 Net loss attributable to stockholders/Former Parent$(38,853) $(29,480) $(9,373) $(79,442) $(72,302) $(7,140)Add: Provision for income taxes 823 1,947 (1,124) 2,552 3,531 (979)Add: Equity-based compensation expense 642 956 (314) 1,537 1,665 (128)Add: Acquisition and transaction expenses 636 8,872 (8,236) 905 13,108 (12,203)Add: Losses on the modification or extinguishment of debt and capital lease obligations — — — — — — Add: Changes in fair value of non-hedge derivative instruments — (1,514) 1,514 1,125 (748) 1,873 Add: Asset impairment charges 602 — 602 743 — 743 Add: Incentive allocations — — — — — — Add: Depreciation & amortization expense 20,292 17,319 2,973 40,427 34,315 6,112 Add: Interest expense 24,182 6,486 17,696 47,432 12,945 34,487 Add: Pro-rata share of Adjusted EBITDA from unconsolidated entities(1) 6,886 6,825 61 15,076 12,232 2,844 Add: Dividends and accretion on redeemable preferred stock 15,257 — 15,257 29,827 — 29,827 Add: Interest and other costs on pension and OPEB liabilities 480 — 480 960 — 960 Add: Other non-recurring items(2) 51 — 51 1,339 — 1,339 Less: Equity in losses (earnings) of unconsolidated entities 1,625 13,859 (12,234) (2,741) 35,902 (38,643)Less: Non-controlling share of Adjusted EBITDA(3) (4,946) (3,716) (1,230) (10,167) (7,532) (2,635)Adjusted EBITDA (non-GAAP)$27,677 $21,554 $6,123 $49,573 $33,116 $16,457 ________________________________________________________ (1) Includes the following items for the three months ended June 30, 2023 and 2022: (i) net loss of $(1,660) and $(13,919), (ii) interest expense of $8,304 and $6,795, (iii) depreciation and amortization expense of $7,967 and $6,349, (iv) acquisition and transaction expenses of $237 and $387, (v) changes in fair value of non-hedge derivative instruments of $(7,963) and $7,118 and (vi) equity-based compensation of $1 and $95, respectively. Includes the following items for the six months ended June 30, 2023 and 2022: (i) net income (loss) of $2,658 and $(36,007), (ii) interest expense of $16,336 and $13,258, (iii) depreciation and amortization expense of $13,633 and $12,633, (iv) acquisition and transaction expenses of $257 and $391, (v) changes in fair value of non-hedge derivative instruments of $(17,810) and $21,732, (vi) equity-based compensation of $2 and $193 and (vii) asset impairment of $— and $32, respectively.(2) Includes the following items for the three and six months ended June 30, 2023: subsidiary severance expense of $51 and $1,339, respectively.(3) Includes the following items for the three months ended June 30, 2023 and 2022: (i) equity-based compensation of $76 and $124, (ii) provision for income taxes of $35 and $14, (iii) interest expense of $1,880 and $1,319, (iv) depreciation and amortization expense of $2,944 and $2,321, (v) changes in fair value of non-hedge derivative instruments of $— and $(62), (vi) acquisition and transaction expense of $8 and $—, (vii) interest and other costs on pension and OPEB liabilities of $1 and $— and (viii) asset impairment of $2 and $—, respectively. Includes the following items for the six months ended June 30, 2023 and 2022: (i) equity-based compensation of $186 and $250, (ii) provision for income taxes of $88 and $30, (iii) interest expense of $3,737 and $2,703, (iv) depreciation and amortization expense of $6,080 and $4,585, (v) changes in fair value of non-hedge derivative instruments of $61 and $(36), (vi) other non-recurring items of $3 and $—, (vii) acquisition and transaction expense of $8 and $—, (viii) interest and other costs on pension and OPEB liabilities of $2 and $— and (ix) asset impairment of $2 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 June 30, 2023: Three Months Ended June 30, 2023(in thousands)Railroad Jefferson Terminal Repauno Power and Gas Four Core SegmentsNet income (loss) attributable to stockholders/Former Parent$11,786 $(8,765) $(4,510) $3,059 $1,570 Add: Provision for income taxes 720 152 40 — 912 Add: Equity-based compensation expense 159 303 100 — 562 Add: Acquisition and transaction expenses 184 36 — 49 269 Add: Losses on the modification or extinguishment of debt and capital lease obligations — — — — — Add: Changes in fair value of non-hedge derivative instruments — — — — — Add: Asset impairment charges 602 — — — 602 Add: Incentive allocations — — — — — Add: Depreciation and amortization expense 5,125 12,144 2,281 — 19,550 Add: Interest expense 1,215 7,978 615 1 9,809 Add: Pro-rata share of Adjusted EBITDA from unconsolidated entities(1) — — — 8,933 8,933 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) 51 — — — 51 Less: Equity in earnings of unconsolidated entities — — — (1,639) (1,639)Less: Non-controlling share of Adjusted EBITDA(3) (18) (4,766) (162) — (4,946)Adjusted EBITDA$20,304 $7,082 $(1,636) $10,403 $36,153 ________________________________________________________ (1) Power and Gas: Includes the following items for the three months ended June 30, 2023: (i) net income of $1,639, (ii) interest expense of $7,378, (iii) depreciation and amortization expense of $7,641, (iv) acquisition and transaction expenses of $237, (v) changes in fair value of non-hedge derivative instruments of $(7,963), and (vi) equity-based compensation of $1.(2) Railroad: Includes the following items for the three months ended June 30, 2023: Transtar severance expense of $51.(3) Railroad: Includes the following items for the three months ended June 30, 2023: (i) depreciation and amortization expense of $12, (ii) interest expense of $3, (iii) interest and other costs on pension and OPEB liabilities of $1 and (iv) asset impairment of $2. Jefferson Terminal: Includes the following items for the three months ended June 30, 2023: (i) equity-based compensation of $71, (ii) provision for income taxes of $35, (iii) interest expense of $1,844, (iv) depreciation and amortization expense of $2,808 and (v) acquisition and transaction expense of $8. Repauno: Includes the following items for the three months ended June 30, 2023: (i) equity-based compensation of $5, (ii) interest expense of $33 and (iii) depreciation and amortization expense of $124.
NEW YORK, July 25, 2023 (GLOBE NEWSWIRE) -- FTAI Infrastructure Inc. (NASDAQ:FIP) (the “Company” or “FTAI Infrastructure”) today reported financial results for the second quarter 2023. The Company’s consolidated comparative financial statements and key performance measures are attached as an exhibit to this press release. Financial Overview (in thousands, except per share data)Selected Financial ResultsQ2’23Net Loss Attributable to Stockholders$(38,853) Basic and Diluted Loss per Share of Common Stock$(0.38) Adjusted EBITDA(1)$27,677 Adjusted EBITDA - Four core segments(1)(2)$36,153 _______________________________(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 Second Quarter 2023 Dividends On July 25, 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 June 30, 2023, payable on August 15, 2023 to the holders of record on August 8, 2023. Business Highlights Adjusted EBITDA of $36.2 million from our four core segments, up 20% vs Q1 of 2023 Transtar business unit generated $20.3 million of Adjusted EBITDA for the quarter Executed 15-year contract with first customer at “Jefferson South” terminal for transloading of clean fuels 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, July 26, 2023 at 8:00 A.M. Eastern Time. The conference call may be accessed by registering at https://register.vevent.com/register/BI9b1bb57ad78c4240883aa2c3d4164ab8. 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 https://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, July 26, 2023 through 11:30 A.M. on Wednesday, August 2, 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 June 30, Six Months Ended June 30, 2023 2022 2023 2022 Revenues Total revenues$81,832 $65,868 $158,326 $112,016 Expenses Operating expenses 62,775 49,229 127,937 87,297 General and administrative 3,702 2,498 6,903 4,928 Acquisition and transaction expenses 636 8,872 905 13,108 Management fees and incentive allocation to affiliate 3,084 3,065 6,066 7,226 Depreciation and amortization 20,292 17,319 40,427 34,315 Asset impairment 602 — 743 — Total expenses 91,091 80,983 182,981 146,874 Other income (expense) Equity in (losses) earnings of unconsolidated entities (1,625) (13,859) 2,741 (35,902)Gain on sale of assets, net 647 — 523 — Interest expense (24,182) (6,486) (47,432) (12,945)Other income (expense) 1,370 (553) 1,591 (1,012)Total other expense (23,790) (20,898) (42,577) (49,859)Loss before income taxes (33,049) (36,013) (67,232) (84,717)Provision for income taxes 823 1,947 2,552 3,531 Net loss (33,872) (37,960) (69,784) (88,248)Less: Net loss attributable to non-controlling interests in consolidated subsidiaries (10,276) (8,480) (20,169) (15,946)Less: Dividends and accretion on redeemable preferred stock 15,257 — 29,827 — Net loss attributable to stockholders/Former Parent$(38,853) $(29,480) $(79,442) $(72,302) Loss per share: Basic$(0.38) $(0.30) $(0.77) $(0.73)Diluted$(0.38) $(0.30) $(0.77) $(0.73)Weighted average shares outstanding: Basic 102,793,800 99,387,467 102,790,737 99,387,467 Diluted 102,793,800 99,387,467 102,790,737 99,387,467 FTAI INFRASTRUCTURE INC.CONSOLIDATED BALANCE SHEETS (Unaudited)(Dollar amounts in thousands, except share and per share data) (Unaudited) June 30, 2023 December 31, 2022Assets Current assets: Cash and cash equivalents$42,523 $36,486 Restricted cash 54,960 113,156 Accounts receivable, net 56,375 60,807 Other current assets 60,581 67,355 Total current assets 214,439 277,804 Leasing equipment, net 34,240 34,907 Operating lease right-of-use assets, net 69,560 71,015 Property, plant, and equipment, net 1,687,929 1,673,808 Investments 70,245 73,589 Intangible assets, net 56,414 60,195 Goodwill 260,252 260,252 Other assets 44,531 26,829 Total assets$2,437,610 $2,478,399 Liabilities Current liabilities: Accounts payable and accrued liabilities$122,491 $136,048 Current debt, net 24,037 — Operating lease liabilities 7,070 7,045 Other current liabilities 28,463 16,488 Total current liabilities 182,061 159,581 Debt, net 1,276,641 1,230,157 Operating lease liabilities 62,207 63,147 Other liabilities 90,886 236,130 Total liabilities 1,611,795 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 June 30, 2023 and December 31, 2022; redemption amount of $448.2 million at June 30, 2023 and December 31, 2022) 294,417 264,590 Equity Common stock ($0.01 par value per share; 2,000,000,000 shares authorized; 99,470,553 and 99,445,074 shares issued and outstanding as of June 30, 2023 and December 31, 2022, respectively) 994 994 Additional paid in capital 874,729 911,599 Accumulated deficit (110,452) (60,837)Accumulated other comprehensive loss (184,727) (300,133)Stockholders' equity 580,544 551,623 Non-controlling interest in equity of consolidated subsidiaries (49,146) (26,829)Total equity 531,398 524,794 Total liabilities, redeemable preferred stock and equity$2,437,610 $2,478,399 FTAI INFRASTRUCTURE INC.CONSOLIDATED AND COMBINED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)(Dollar amounts in thousands, unless otherwise noted) Six Months Ended June 30, 2023 2022 Cash flows from operating activities: Net loss$(69,784) $(88,248)Adjustments to reconcile net loss to net cash used in operating activities: Equity in (earnings) losses of unconsolidated entities (2,741) 35,902 Gain on sale of assets, net (523) — Equity-based compensation 1,537 1,665 Depreciation and amortization 40,427 34,315 Asset impairment 743 — Change in deferred income taxes 2,110 3,327 Change in fair value of non-hedge derivative 1,125 (748)Amortization of deferred financing costs 3,098 1,695 Amortization of bond discount 2,144 — (Benefit from) provision for credit losses (74) 90 Change in: Accounts receivable 4,506 (30,585)Other assets (4,724) (21,583)Accounts payable and accrued liabilities (16,370) 12,939 Management fees payable to affiliate 10,168 — Other liabilities 11,427 (4,159)Net cash used in operating activities (16,931) (55,390) Cash flows from investing activities: Investment in unconsolidated entities (3,315) (2,745)Investment in convertible promissory notes — (5,000)Acquisition of business, net of cash acquired (4,448) (3,819)Acquisition of property, plant and equipment (65,696) (113,916)Investment in promissory notes and loans (22,000) — Proceeds from sale of leasing equipment 115 — Proceeds from sale of property, plant and equipment 988 4,304 Net cash used in investing activities (94,356) (121,176) Cash flows from financing activities: Proceeds from debt 66,600 9,450 Payment of deferred financing costs (1,192) (277)Cash dividends - common stock (6,170) — Capital contribution from non-controlling interests — 562 Net transfers from Former Parent, net — 111,396 Settlement of equity-based compensation (90) — Distributions to non-controlling interests (20) — Net cash provided by financing activities 59,128 121,131 Net decrease in cash and cash equivalents and restricted cash (52,159) (55,435)Cash and cash equivalents and restricted cash, beginning of period 149,642 301,855 Cash and cash equivalents and restricted cash, end of period$97,483 $246,420 Key Performance Measures The Chief Operating Decision Maker (“CODM”) utilizes Adjusted EBITDA as our key performance measure. Adjusted EBITDA provides the CODM with the information necessary to assess operational performance, as well as make resource and allocation decisions. Adjusted EBITDA is defined as net income (loss) attributable to shareholders or Former Parent, adjusted (a) to exclude the impact of provision for (benefit from) income taxes, equity-based compensation expense, acquisition and transaction expenses, losses on the modification or extinguishment of debt and capital lease obligations, changes in fair value of non-hedge derivative instruments, asset impairment charges, incentive allocations, depreciation and amortization expense, interest expense, interest costs on pension and other pension expense benefits (“OPEB”) liabilities, dividends and accretion expense related to redeemable preferred stock, and other non-recurring items, (b) to include the impact of our pro-rata share of Adjusted EBITDA from unconsolidated entities, and (c) to exclude the impact of equity in earnings (losses) of unconsolidated entities and the non-controlling share of Adjusted EBITDA. The following table sets forth a reconciliation of net loss attributable to stockholders or Former Parent to Adjusted EBITDA for the three and six months ended June 30, 2023 and 2022: Three Months Ended June 30, Change Six Months EndedJune 30, Change(in thousands) 2023 2022 2023 2022 Net loss attributable to stockholders/Former Parent$(38,853) $(29,480) $(9,373) $(79,442) $(72,302) $(7,140)Add: Provision for income taxes 823 1,947 (1,124) 2,552 3,531 (979)Add: Equity-based compensation expense 642 956 (314) 1,537 1,665 (128)Add: Acquisition and transaction expenses 636 8,872 (8,236) 905 13,108 (12,203)Add: Losses on the modification or extinguishment of debt and capital lease obligations — — — — — — Add: Changes in fair value of non-hedge derivative instruments — (1,514) 1,514 1,125 (748) 1,873 Add: Asset impairment charges 602 — 602 743 — 743 Add: Incentive allocations — — — — — — Add: Depreciation & amortization expense 20,292 17,319 2,973 40,427 34,315 6,112 Add: Interest expense 24,182 6,486 17,696 47,432 12,945 34,487 Add: Pro-rata share of Adjusted EBITDA from unconsolidated entities(1) 6,886 6,825 61 15,076 12,232 2,844 Add: Dividends and accretion on redeemable preferred stock 15,257 — 15,257 29,827 — 29,827 Add: Interest and other costs on pension and OPEB liabilities 480 — 480 960 — 960 Add: Other non-recurring items(2) 51 — 51 1,339 — 1,339 Less: Equity in losses (earnings) of unconsolidated entities 1,625 13,859 (12,234) (2,741) 35,902 (38,643)Less: Non-controlling share of Adjusted EBITDA(3) (4,946) (3,716) (1,230) (10,167) (7,532) (2,635)Adjusted EBITDA (non-GAAP)$27,677 $21,554 $6,123 $49,573 $33,116 $16,457 ________________________________________________________ (1) Includes the following items for the three months ended June 30, 2023 and 2022: (i) net loss of $(1,660) and $(13,919), (ii) interest expense of $8,304 and $6,795, (iii) depreciation and amortization expense of $7,967 and $6,349, (iv) acquisition and transaction expenses of $237 and $387, (v) changes in fair value of non-hedge derivative instruments of $(7,963) and $7,118 and (vi) equity-based compensation of $1 and $95, respectively. Includes the following items for the six months ended June 30, 2023 and 2022: (i) net income (loss) of $2,658 and $(36,007), (ii) interest expense of $16,336 and $13,258, (iii) depreciation and amortization expense of $13,633 and $12,633, (iv) acquisition and transaction expenses of $257 and $391, (v) changes in fair value of non-hedge derivative instruments of $(17,810) and $21,732, (vi) equity-based compensation of $2 and $193 and (vii) asset impairment of $— and $32, respectively.(2) Includes the following items for the three and six months ended June 30, 2023: subsidiary severance expense of $51 and $1,339, respectively.(3) Includes the following items for the three months ended June 30, 2023 and 2022: (i) equity-based compensation of $76 and $124, (ii) provision for income taxes of $35 and $14, (iii) interest expense of $1,880 and $1,319, (iv) depreciation and amortization expense of $2,944 and $2,321, (v) changes in fair value of non-hedge derivative instruments of $— and $(62), (vi) acquisition and transaction expense of $8 and $—, (vii) interest and other costs on pension and OPEB liabilities of $1 and $— and (viii) asset impairment of $2 and $—, respectively. Includes the following items for the six months ended June 30, 2023 and 2022: (i) equity-based compensation of $186 and $250, (ii) provision for income taxes of $88 and $30, (iii) interest expense of $3,737 and $2,703, (iv) depreciation and amortization expense of $6,080 and $4,585, (v) changes in fair value of non-hedge derivative instruments of $61 and $(36), (vi) other non-recurring items of $3 and $—, (vii) acquisition and transaction expense of $8 and $—, (viii) interest and other costs on pension and OPEB liabilities of $2 and $— and (ix) asset impairment of $2 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 June 30, 2023: Three Months Ended June 30, 2023(in thousands)Railroad Jefferson Terminal Repauno Power and Gas Four Core SegmentsNet income (loss) attributable to stockholders/Former Parent$11,786 $(8,765) $(4,510) $3,059 $1,570 Add: Provision for income taxes 720 152 40 — 912 Add: Equity-based compensation expense 159 303 100 — 562 Add: Acquisition and transaction expenses 184 36 — 49 269 Add: Losses on the modification or extinguishment of debt and capital lease obligations — — — — — Add: Changes in fair value of non-hedge derivative instruments — — — — — Add: Asset impairment charges 602 — — — 602 Add: Incentive allocations — — — — — Add: Depreciation and amortization expense 5,125 12,144 2,281 — 19,550 Add: Interest expense 1,215 7,978 615 1 9,809 Add: Pro-rata share of Adjusted EBITDA from unconsolidated entities(1) — — — 8,933 8,933 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) 51 — — — 51 Less: Equity in earnings of unconsolidated entities — — — (1,639) (1,639)Less: Non-controlling share of Adjusted EBITDA(3) (18) (4,766) (162) — (4,946)Adjusted EBITDA$20,304 $7,082 $(1,636) $10,403 $36,153 ________________________________________________________ (1) Power and Gas: Includes the following items for the three months ended June 30, 2023: (i) net income of $1,639, (ii) interest expense of $7,378, (iii) depreciation and amortization expense of $7,641, (iv) acquisition and transaction expenses of $237, (v) changes in fair value of non-hedge derivative instruments of $(7,963), and (vi) equity-based compensation of $1.(2) Railroad: Includes the following items for the three months ended June 30, 2023: Transtar severance expense of $51.(3) Railroad: Includes the following items for the three months ended June 30, 2023: (i) depreciation and amortization expense of $12, (ii) interest expense of $3, (iii) interest and other costs on pension and OPEB liabilities of $1 and (iv) asset impairment of $2. Jefferson Terminal: Includes the following items for the three months ended June 30, 2023: (i) equity-based compensation of $71, (ii) provision for income taxes of $35, (iii) interest expense of $1,844, (iv) depreciation and amortization expense of $2,808 and (v) acquisition and transaction expense of $8. Repauno: Includes the following items for the three months ended June 30, 2023: (i) equity-based compensation of $5, (ii) interest expense of $33 and (iii) depreciation and amortization expense of $124.