Annonce • Jan 25
Green Plains Partners’ Common Units No Longer be Listed on the Nasdaq as Result of the Merger with Green Plains Green Plains Inc. and Green Plains Partners LP reported the completion of the transactions contemplated by the previously reported Agreement and Plan of Merger (the Merger Agreement), pursuant to which Green Plains acquired all of the publicly held common units of the Partnership not already owned by Green Plains and its affiliates in exchange for a combination of 0.405 shares of Green Plains common stock and $2.00 in cash, plus an amount of cash equal to unpaid distributions from the end of the last quarter for which a quarterly distribution was made to the closing date, as determined in accordance with the Merger Agreement, without interest, for each outstanding common unit representing a limited partner interest in the Partnership (the Merger). According to a release, as a result of the Merger, the Partnership became an indirect wholly owned subsidiary of Green Plains and the Partnership's common units will no longer be listed on the NASDAQ, and will be deregistered under the Securities Exchange Act of 1934, as amended (the Exchange Act). Annonce • Jan 20
Green Plains Partners LP Files Form 15 Green Plains Partners LP has announced that it has filed a Form 15 with the Securities and Exchange Commission to voluntarily deregister its Common Units Representing Limited Partner Interests under the Securities Exchange Act of 1934, as amended. Annonce • Jan 11
Nasdaq to File A Notification of Removal from Listing on Form 25 with the SEC with Respect to the Delisting of the GPP Public Common Units As previously announced, on September 16, 2023, Green Plains Partners LP, a Delaware limited partnership (the “Partnership”), Green Plains Holdings LLC, a Delaware limited liability company and the general partner of the Partnership (the “General Partner”), Green Plains Inc., an Iowa corporation (“GPRE”), GPLP Holdings Inc., a Delaware corporation and a wholly owned subsidiary of GPRE (“Holdings”) and GPLP Merger Sub LLC, a Delaware limited liability company and a wholly owned subsidiary of Holdings (“Merger Sub”), entered into an Agreement and Plan of Merger (the “Merger Agreement”), pursuant to which, upon the terms and subject to the conditions set in the Merger Agreement, Merger Sub agreed to merge with and into the Partnership, with the Partnership surviving as an indirect, wholly owned subsidiary of GPRE (the “Merger”). In connection with the consummation of the Merger, The Nasdaq Stock Market LLC (“Nasdaq”) was notified that each outstanding GPP Public Common Unit issued and outstanding immediately prior to the Effective Time was converted into the right to receive the Merger Consideration, pursuant to and subject to the terms and conditions of the Merger Agreement. The Partnership requested that Nasdaq file a notification of removal from listing on Form 25 with the SEC with respect to the delisting of the GPP Public Common Units from Nasdaq and to deregister the GPP Public Common Units under Section 12(b) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). The GPP Public Common Units were suspended from trading on the Nasdaq after the closing of trading on January 9, 2024. The Partnership also intends to file a certification on Form 15 under the Exchange Act with the SEC requesting the deregistration of the GPP Public Common Units under Section 12(g) of the Exchange Act and suspending the Partnership’s reporting obligations under Section 13 and Section 15(d) of the Exchange Act. Annonce • Jan 06
Green Plains Partners LP to Commence the Process of Delisting the Common Units from Nasdaq Green Plains Inc. (“Green Plains”) and Green Plains Partners LP (the “Partnership”) announced that the Partnership’s common unitholders approved that certain Agreement and Plan of Merger, dated as of September 16, 2023 (the “Merger Agreement”), by and among Green Plains, GPLP Holdings Inc., a wholly owned subsidiary of Green Plains (“Holdings”), GPLP Merger Sub LLC, a wholly owned subsidiary of Holdings (“Merger Sub”), the Partnership, and Green Plains Holdings LLC, the general partner of the Partnership, and the transactions contemplated thereby, including the merger of Merger Sub with and into the Partnership, with the Partnership surviving as an indirect, wholly owned subsidiary of Green Plains (the “Merger”). The approval of the Merger Agreement and the Merger required the affirmative vote or written consent of the holders of a majority of the Partnership’s outstanding common units. The holders of more than 62% of the Partnership’s outstanding common units as of the record date for the consent solicitation consented to and approved the Merger Agreement and the Merger by written consent. The deadline for the consent solicitation expired at 11:59 p.m. (Eastern Time) on January 4, 2024. The Merger is subject to customary closing conditions and is expected to close on January 9, 2024, at which time the Partnership will commence the process of delisting the common units from Nasdaq and deregistering the common units under the Securities Exchange Act of 1934, as amended (the “Exchange Act”). The Partnership’s common units are expected to continue to trade on Nasdaq until the close of trading on January 9, 2024, and are expected to be suspended from trading on Nasdaq effective as of the opening of trading on January 10, 2024. Reported Earnings • Nov 02
Third quarter 2023 earnings released: EPS: US$0.40 (vs US$0.43 in 3Q 2022) Third quarter 2023 results: EPS: US$0.40 (down from US$0.43 in 3Q 2022). Revenue: US$20.1m (flat on 3Q 2022). Net income: US$9.22m (down 7.4% from 3Q 2022). Profit margin: 46% (down from 50% in 3Q 2022). Over the last 3 years on average, earnings per share has fallen by 2% per year but the company’s share price has increased by 21% per year, which means it is well ahead of earnings. Upcoming Dividend • Oct 26
Upcoming dividend of US$0.46 per share at 13% yield Eligible shareholders must have bought the stock before 02 November 2023. Payment date: 10 November 2023. The company is paying out more than 100% of its profits and is paying out 98% of its cash flow. Trailing yield: 13%. Within top quartile of American dividend payers (5.3%). Higher than average of industry peers (4.3%). Annonce • Oct 20
Green Plains Partners LP Announces Quarterly Distribution, Payable on November 10, 2023 Green Plains Partners LP announced that the Board of Directors of its general partner declared a quarterly cash distribution of $0.455 per unit on all of its outstanding common units for the third quarter of 2023, or $1.82 per unit on an annualized basis. The distribution is payable on November 10, 2023, to unitholders of record at the close of business on November 3, 2023. Annonce • Oct 18
Green Plains Partners LP to Report Q3, 2023 Results on Oct 31, 2023 Green Plains Partners LP announced that they will report Q3, 2023 results Pre-Market on Oct 31, 2023 Price Target Changed • Sep 19
Price target increased by 10% to US$16.00 Up from US$14.50, the current price target is provided by 1 analyst. New target price is approximately in line with last closing price of US$15.42. The company posted earnings per share of US$1.72 last year. Valuation Update With 7 Day Price Move • Sep 18
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to US$15.88, the stock trades at a trailing P/E ratio of 9.7x. Average forward P/E is 9x in the Oil and Gas industry in the US. Total returns to shareholders of 216% over the past three years. Reported Earnings • Aug 04
Second quarter 2023 earnings released: EPS: US$0.39 (vs US$0.44 in 2Q 2022) Second quarter 2023 results: EPS: US$0.39 (down from US$0.44 in 2Q 2022). Revenue: US$20.5m (up 4.4% from 2Q 2022). Net income: US$9.16m (down 11% from 2Q 2022). Profit margin: 45% (down from 53% in 2Q 2022). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 1% per year but the company’s share price has increased by 18% per year, which means it is well ahead of earnings. Upcoming Dividend • Jul 27
Upcoming dividend of US$0.46 per share at 13% yield Eligible shareholders must have bought the stock before 03 August 2023. Payment date: 11 August 2023. The company is paying out more than 100% of its profits and is paying out 93% of its cash flow. Trailing yield: 13%. Within top quartile of American dividend payers (4.7%). Higher than average of industry peers (4.6%). Annonce • Jul 23
Green Plains Partners LP Declares Quarterly Cash Distribution for the Second Quarter of 2023, Payable on August 11, 2023 Green Plains Partners LP announced that the Board of Directors of its general partner declared a quarterly cash distribution of $0.455 per unit on all of its outstanding common units for the second quarter of 2023, or $1.82 per unit on an annualized basis. The distribution is payable on August 11, 2023, to unitholders of record at the close of business on August 4, 2023. Annonce • Jul 21
Green Plains Partners LP to Report Q2, 2023 Results on Aug 04, 2023 Green Plains Partners LP announced that they will report Q2, 2023 results at 9:30 AM, US Eastern Standard Time on Aug 04, 2023 Price Target Changed • May 18
Price target decreased by 9.4% to US$14.50 Down from US$16.00, the current price target is provided by 1 analyst. New target price is 19% above last closing price of US$12.16. The company posted earnings per share of US$1.72 last year. Annonce • May 06
Green Plains Inc. (NasdaqGS:GPRE) has submitted a proposal to acquire remaining 50.15% stake in Green Plains Partners LP (NasdaqGM:GPP) for approximately $150 million. Green Plains Inc. (NasdaqGS:GPRE) has submitted a proposal to acquire remaining 50.15% stake in Green Plains Partners LP (NasdaqGM:GPP) for approximately $150 million on May 3, 2023. Under the terms of agreement, Green Plains Inc. is proposing consideration of 0.3913 shares of Green Plains Inc. common stock for each outstanding publicly held Partnership common unit. The proposed consideration represents a value of $13.08 per common unit of the Partnership based on the closing price of Green Plains Inc.’s common stock and the Partnership's common units as of May 3, 2023. Assuming the completion of the proposed transaction, the Partnership would become a wholly owned subsidiary of Green Plains Inc., and the Partnership’s common units would cease to be publicly traded.
The proposed transaction is subject to the negotiation and execution of a definitive agreement and approval of such definitive agreement and transactions contemplated thereunder by the board of directors of Green Plains Inc., the board of directors of Green Plains Holdings LLC, and its conflicts committee. The consummation of the proposed transaction would be subject to customary closing conditions. There can be no assurance that any such approvals will be forthcoming, that a definitive agreement will be executed, or that any transaction will be consummated.
Green Plains Inc. expects the proposed transaction to simplify its corporate structure and governance, generate near-term earnings and cash flow accretion, reduce SG&A expense related to the Partnership, improve the credit quality of the combined enterprise, and align strategic interests between Green Plains Inc. shareholders and the Partnership’s unitholders by regaining full ownership and control of Green Plains’ total platform, including terminal operations. BofA Securities is acting as exclusive financial advisor and Latham & Watkins LLP is acting as legal advisor to Green Plains Inc. Reported Earnings • May 06
First quarter 2023 earnings released: EPS: US$0.42 (vs US$0.44 in 1Q 2022) First quarter 2023 results: EPS: US$0.42 (down from US$0.44 in 1Q 2022). Revenue: US$20.8m (up 8.8% from 1Q 2022). Net income: US$9.71m (down 4.2% from 1Q 2022). Profit margin: 47% (down from 53% in 1Q 2022). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 1% per year but the company’s share price has increased by 32% per year, which means it is well ahead of earnings. Upcoming Dividend • Apr 27
Upcoming dividend of US$0.46 per share at 14% yield Eligible shareholders must have bought the stock before 04 May 2023. Payment date: 12 May 2023. The company is paying out more than 100% of its profits and is paying out 92% of its cash flow. Trailing yield: 14%. Within top quartile of American dividend payers (5.0%). Higher than average of industry peers (4.7%). Recent Insider Transactions • Mar 09
Board Member recently sold US$65k worth of stock On the 6th of March, Jerry Peters sold around 5k shares on-market at roughly US$13.03 per share. This transaction amounted to 9.7% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. Insiders have been net sellers, collectively disposing of US$662k more than they bought in the last 12 months. Reported Earnings • Feb 09
Full year 2022 earnings released: EPS: US$1.72 (vs US$1.71 in FY 2021) Full year 2022 results: EPS: US$1.72 (up from US$1.71 in FY 2021). Revenue: US$79.8m (up 1.7% from FY 2021). Net income: US$39.8m (flat on FY 2021). Profit margin: 50% (in line with FY 2021). Over the last 3 years on average, earnings per share has fallen by 1% per year whereas the company’s share price has fallen by 3% per year. Annonce • Jan 26
Green Plains Partners LP to Report Q4, 2022 Results on Feb 08, 2023 Green Plains Partners LP announced that they will report Q4, 2022 results on Feb 08, 2023 Upcoming Dividend • Jan 26
Upcoming dividend of US$0.46 per share at 13% yield Eligible shareholders must have bought the stock before 02 February 2023. Payment date: 10 February 2023. The company is paying out more than 100% of its profits and is paying out 84% of its cash flow. Trailing yield: 13%. Within top quartile of American dividend payers (4.3%). Higher than average of industry peers (4.2%). Annonce • Jan 20
Green Plains Partners LP Declares Cash Distribution for the Fourth Quarter of 2022, Payable on February 10, 2023 Green Plains Partners LP announced that the Board of Directors of its general partner declared a quarterly cash distribution of $0.455 per unit on all of its outstanding common units for the fourth quarter of 2022, or $1.82 per unit on an annualized basis. The distribution is payable on February 10, 2023, to unitholders of record at the close of business on February 3, 2023. Recent Insider Transactions • Nov 29
President recently sold US$385k worth of stock On the 28th of November, Todd Becker sold around 31k shares on-market at roughly US$12.27 per share. This transaction amounted to 55% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. This was Todd's only on-market trade for the last 12 months. Board Change • Nov 16
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 6 experienced directors. No highly experienced directors. Independent Director of Green Plains Holdings LLC Brett Riley was the last director to join the board, commencing their role in 2016. The following issues are considered to be risks according to the Simply Wall St Risk Model: Insufficient board refreshment. Reported Earnings • Nov 04
Third quarter 2022 earnings released: EPS: US$0.43 (vs US$0.40 in 3Q 2021) Third quarter 2022 results: EPS: US$0.43 (up from US$0.40 in 3Q 2021). Revenue: US$20.1m (up 4.2% from 3Q 2021). Net income: US$9.96m (up 7.8% from 3Q 2021). Profit margin: 50% (up from 48% in 3Q 2021). Over the last 3 years on average, earnings per share has fallen by 2% per year whereas the company’s share price has fallen by 3% per year. Upcoming Dividend • Oct 27
Upcoming dividend of US$0.46 per share Eligible shareholders must have bought the stock before 03 November 2022. Payment date: 14 November 2022. The company is paying out more than 100% of its profits and is paying out 76% of its cash flow. Trailing yield: 14%. Within top quartile of American dividend payers (4.5%). Higher than average of industry peers (4.2%). Annonce • Oct 21
Green Plains Partners LP Increases Quarterly Distribution for the Third Quarter of 2022, Payable on November 14, 2022 Green Plains Partners LP announced that the Board of Directors of its general partner declared a quarterly cash distribution of $0.455 per unit on all of its outstanding common units for the third quarter of 2022, or $1.82 per unit on an annualized basis. The increase over the previous quarterly distribution of $0.45 per unit is the fifth consecutive increase. The distribution is payable on November 14, 2022, to unitholders of record at the close of business on November 4, 2022. Annonce • Sep 23
Green Plains Inc. and Green Plains Partners LP Announces Chief Financial Officer Changes Green Plains Inc. announced changes to its executive leadership team. Patrich Simpkins transitions from Chief Financial Officer to Chief Transformation Officer, Jim Stark transitions from Executive Vice President to Chief Financial Officer of Green Plains and Green Plains Partners LP. Jim Stark, Chief Financial Officer, will lead all aspects of finance and accounting, including IT and Investor Relations. Mr. Stark rejoined Green Plains in January 2022 after serving as Vice President, Investor Relations at Darling Ingredients Inc. since 2019. Prior to that, Mr. Stark led Investor Relations and Media Relations at Green Plains for over 10 years. Seeking Alpha • Aug 21
Green Plains Partners: Maybe Or Maybe Not The partnership balance sheet is in good shape.
The distribution coverage is skimpy even though the distribution was just raised.
The generous yield reflects parent company issues.
The parent company could be forced to bankruptcy and even liquidate at some point unless a profit recovery occurs (probably soon).
That means the partnership yield is compensation for extra risk and therefore does not represent a bargain.
(Note: This article appeared in the newsletter on June 18, 2022 and has been updated as needed.)
The argument for Green Plains Partners LP (GPP) has long been that the partnership is in good shape. The partnership further increased the distribution to $.45 per share. So, let us get in and enjoy a generous distribution. The distribution coverage is a little skimpy at 1.06. But the debt ratio level at just under 1 is one of the best for this type of company among those I follow. In this case though, the distribution indicates trouble with the main customer, not the midstream. Sometimes that can be every bit as bad or worse than trouble with the midstream partnership itself.
Operations
Green Plains Partners appears similar to many midstream companies that I follow. The company transports mainly ethanol or stores it while providing some ancillary services to get the mission accomplished. The company's operations are somewhat protected by volume commitments and there is a long-term relationship with the major customer.
The biggest difference is that the main customer is in the ethanol (and related) business. Should that customer run into trouble, then there is a real threat of that customer liquidating and the service provided by this midstream would not be needed any more.
That is a major difference from oil and gas. With oil and gas, should the main customer (if there is one) run into financial trouble, then many times the wells continue to produce. Therefore, the service provided by the midstream company continues to be needed even if volumes decline. Minimum volume commitments are likely found to be reasonable and enforceable. So, there is an excellent probability that a midstream company will continue with the business of a major customer even if that customer ends up in bankruptcy and possibly liquidates.
The Main Customer
The major customer in this case is Green Plains (GPRE). That customer has not shown a profit for common shareholders in the three years listed in the latest annual report. Furthermore, cash flow in the latest fiscal year report all but evaporated (cash flow from operating activities).
The company did move into a profitable report with the second quarter. But it will take more than that to relieve market anxiety about the main customer.
The company reports being in compliance with all the covenants listed in the debt agreements. That always helps. But a lack of profits even in a cyclical industry can be a warning sign of trouble ahead if a turnaround does not happen fast.
Furthermore, the company lists some standard warnings about the debt, the debt levels, the covenants and the ability to continue financing the debt that any investor should read before investing in this company. Debt, and commodities often do not get along very well. So, it is no surprise that this company has listed a few dispositions in the annual report.
The company did raise cash in the latest fiscal year. But it did it by issuing debt. That can buy a company some time. But it is clear that a recovery is needed by this company (sooner rather than later).
The fiscal first quarter likewise reported a loss. Working capital remained in good shape. Short term debt ballooned past $300 million. Long- and short-term debt in total exceed cash by a like amount. The financial position is clearly not moving forward.
In the fiscal second quarter there remained a current portion of long-term debt (working capital type arrangement) on the balance sheet of approximately $300 million. Total debt was approximately $900 million. That is a lot for a company that has not reported a profit in three fiscal years until the current second quarter.
Management did mention that they see some hopeful trends in the future. Should that happen, then a lot of what is discussed above will fade as debt gets rapidly reduced. Still the market has a legitimate concern about the length, duration, and "if it will even occur" of any future recovery.
Partnership Common Units
The common units themselves have had a lackluster response to a time when a lot of income vehicles are doing rather well.
Green Plains Partners Common Unit History And Key Valuation Measures (Seeking Alpha Website August 20, 2022.)
As shown above, the partnership units have not really responded well as the market has shifted emphasis to value and income vehicles as the latest "sure thing". That market trepidation is likely due to the parent company uncertainties discussed above. If that is the case, then the units are unlikely to respond positively until the parent company reports a few quarters of excellent results that relieve any debt worries that the market currently has.
What did happen was a tepid response to the second quarter results of the parent company as that main customer reported a profit.
The yield above represents a risk factor at the parent company level (not the partnership). Therefore, investors should expect a fluctuating double digit return until the market sees sufficient satisfactory results.
Green Plains, the parent company, has an additional risk in that ethanol is sold to the fuel market but the source material for ethanol is usually corn. Ethanol has other sources that can compete to some extent with corn. These two commodities vary in unrelated fashion. Therefore, it is very possible for corn prices to be "sky high" while fuel prices are very low. That would create a near disastrous situation for the parent company.
Currently it appears that the corn crop should come in with a decent volume to help aid some of the high food cost situation. We still have to get through summer and all the weather risks that come with that season. But a decent corn crop would be good news for this company as fuel costs (and raw material costs) are fairly high right now. So, the ingredients of a profit recovery appear to be in place. Recent Insider Transactions • Aug 12
Chief Legal & Administration Officer recently bought US$64k worth of stock On the 9th of August, Michelle Mapes bought around 5k shares on-market at roughly US$12.88 per share. This was the largest purchase by an insider in the last 3 months. Insiders have collectively bought US$176k more in shares than they have sold in the last 12 months. Reported Earnings • Aug 03
Second quarter 2022 earnings released: EPS: US$0.44 (vs US$0.44 in 2Q 2021) Second quarter 2022 results: EPS: US$0.44 (up from US$0.44 in 2Q 2021). Revenue: US$19.7m (flat on 2Q 2021). Net income: US$10.3m (up 2.2% from 2Q 2021). Profit margin: 53% (up from 51% in 2Q 2021). Over the last 3 years on average, earnings per share has fallen by 2% per year whereas the company’s share price has increased by 2% per year. Upcoming Dividend • Jul 28
Upcoming dividend of US$0.45 per share Eligible shareholders must have bought the stock before 04 August 2022. Payment date: 12 August 2022. Payout ratio is on the higher end at 85%, however this is supported by cash flows. Trailing yield: 13%. Within top quartile of American dividend payers (4.1%). Higher than average of industry peers (4.6%). Annonce • Jul 22
Green Plains Partners LP Increases Quarterly Distribution for the Second Quarter of 2022, Payable on August 12, 2022 Green Plains Partners LP announced that the Board of Directors of its general partner declared a quarterly cash distribution of $0.45 per unit on all of its outstanding common units for the second quarter of 2022, or $1.80 per unit on an annualized basis. The increase over the previous quarterly distribution of $0.445 per unit is the fourth consecutive increase. The distribution is payable on August 12, 2022, to unitholders of record at the close of business on August 5, 2022. Annonce • Jul 15
Green Plains Partners LP to Report Q2, 2022 Results on Aug 02, 2022 Green Plains Partners LP announced that they will report Q2, 2022 results Pre-Market on Aug 02, 2022 Reported Earnings • May 03
First quarter 2022 earnings released: EPS: US$0.44 (vs US$0.45 in 1Q 2021) First quarter 2022 results: EPS: US$0.44 (down from US$0.45 in 1Q 2021). Revenue: US$19.1m (down 6.4% from 1Q 2021). Net income: US$10.1m (down 3.5% from 1Q 2021). Profit margin: 53% (up from 52% in 1Q 2021). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has fallen by 2% per year whereas the company’s share price has fallen by 1% per year. Upcoming Dividend • Apr 28
Upcoming dividend of US$0.45 per share Eligible shareholders must have bought the stock before 05 May 2022. Payment date: 13 May 2022. Payout ratio is a comfortable 65% and this is well supported by cash flows. Trailing yield: 12%. Within top quartile of American dividend payers (3.8%). Higher than average of industry peers (4.0%). Board Change • Apr 27
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 6 experienced directors. No highly experienced directors. Independent Director of Green Plains Holdings LLC Brett Riley was the last director to join the board, commencing their role in 2016. The following issues are considered to be risks according to the Simply Wall St Risk Model: Insufficient board refreshment. Annonce • Apr 22
Green Plains Partners Lp Declares Quarterly Cash Distribution on All of Its Outstanding Common Units for the First Quarter of 202, Payable on May 13, 2022 Green Plains Partners LP announced that the Board of Directors of its general partner declared a quarterly cash distribution of $0.445 per unit on all of its outstanding common units, or $1.78 per unit on an annualized basis, for the first quarter of 2022. The increase over the previous quarterly distribution of $0.44 per unit is the third consecutive increase. The distribution is payable on May 13, 2022, to unitholders of record at the close of business on May 6, 2022. Annonce • Apr 15
Green Plains Partners LP to Report Q1, 2022 Results on May 02, 2022 Green Plains Partners LP announced that they will report Q1, 2022 results on May 02, 2022 Recent Insider Transactions • Feb 18
Insider recently bought US$73k worth of stock On the 15th of February, Michelle Mapes bought around 5k shares on-market at roughly US$14.55 per share. This was the largest purchase by an insider in the last 3 months. Insiders have collectively bought US$53k more in shares than they have sold in the last 12 months. Reported Earnings • Feb 13
Full year 2021 earnings: Revenues and EPS in line with analyst expectations Full year 2021 results: EPS: US$1.71 (down from US$1.74 in FY 2020). Revenue: US$78.5m (down 5.9% from FY 2020). Net income: US$39.6m (down 1.9% from FY 2020). Profit margin: 50% (up from 48% in FY 2020). The increase in margin was driven by lower expenses. Revenue was in line with analyst estimates. Over the last 3 years on average, earnings per share has fallen by 2% per year and the company’s share price has also fallen by 2% per year. Upcoming Dividend • Jan 27
Upcoming dividend of US$0.44 per share Eligible shareholders must have bought the stock before 03 February 2022. Payment date: 11 February 2022. Payout ratio is a comfortable 46% and this is well supported by cash flows. Trailing yield: 12%. Within top quartile of American dividend payers (3.6%). Higher than average of industry peers (4.2%). Reported Earnings • Nov 05
Third quarter 2021 earnings released: EPS US$0.40 (vs US$0.44 in 3Q 2020) The company reported a poor third quarter result with weaker earnings and revenues, although profit margins were flat. Third quarter 2021 results: Revenue: US$19.3m (down 10.0% from 3Q 2020). Net income: US$9.24m (down 8.5% from 3Q 2020). Profit margin: 48% (in line with 3Q 2020). Over the last 3 years on average, earnings per share has fallen by 1% per year whereas the company’s share price has remained flat. Upcoming Dividend • Oct 28
Upcoming dividend of US$0.43 per share Eligible shareholders must have bought the stock before 04 November 2021. Payment date: 12 November 2021. Trailing yield: 11%. Within top quartile of American dividend payers (3.5%). Higher than average of industry peers (4.3%). Reported Earnings • Aug 04
Second quarter 2021 earnings released: EPS US$0.44 (vs US$0.43 in 2Q 2020) The company reported a decent second quarter result with improved earnings and profit margins, although revenues were weaker. Second quarter 2021 results: Revenue: US$19.7m (down 3.3% from 2Q 2020). Net income: US$10.1m (up 1.1% from 2Q 2020). Profit margin: 51% (up from 49% in 2Q 2020). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has fallen by 1% per year whereas the company’s share price has fallen by 6% per year. Executive Departure • Aug 03
Independent Director of Green Plains Holdings LLC Martin Salinas has left the company On the 26th of July, Martin Salinas' tenure as Independent Director of Green Plains Holdings LLC ended after 3.1 years in the role. As of March 2021, Martin still personally held 28.21k shares (US$348k worth at the time). Martin is the only executive to leave the company over the last 12 months. The current median tenure of the management team is 3.58 years. Upcoming Dividend • Jul 29
Upcoming dividend of US$0.12 per share Eligible shareholders must have bought the stock before 05 August 2021. Payment date: 13 August 2021. Trailing yield: 3.6%. Within top quartile of American dividend payers (3.5%). Lower than average of industry peers (5.0%). Valuation Update With 7 Day Price Move • Jul 27
Investor sentiment improved over the past week After last week's 16% share price gain to US$13.46, the stock trades at a trailing P/E ratio of 7.7x. Average forward P/E is 10x in the Oil and Gas industry in the US. Total returns to shareholders of 11% over the past three years. Reported Earnings • May 05
First quarter 2021 earnings released: EPS US$0.45 (vs US$0.44 in 1Q 2020) The company reported a solid first quarter result with improved earnings and profit margins, although revenues were flat. First quarter 2021 results: Revenue: US$20.4m (flat on 1Q 2020). Net income: US$10.5m (up 3.4% from 1Q 2020). Profit margin: 52% (up from 50% in 1Q 2020). Over the last 3 years on average, earnings per share has fallen by 1% per year but the company’s share price has fallen by 8% per year, which means it is performing significantly worse than earnings. Upcoming Dividend • Apr 29
Upcoming dividend of US$0.12 per share Eligible shareholders must have bought the stock before 06 May 2021. Payment date: 14 May 2021. Trailing yield: 4.0%. Within top quartile of American dividend payers (3.5%). Lower than average of industry peers (5.0%). Valuation Update With 7 Day Price Move • Mar 09
Investor sentiment improved over the past week After last week's 26% share price gain to US$13.04, the stock is trading at a trailing P/E ratio of 7.5x, up from the previous P/E ratio of 5.9x. This compares to an average P/E of 11x in the Oil and Gas industry in the US. Total returns to shareholders over the past three years were flat. Is New 90 Day High Low • Feb 27
New 90-day high: US$10.13 The company is up 17% from its price of US$8.63 on 27 November 2020. The American market is up 3.0% over the last 90 days, indicating the company outperformed over that time. However, it underperformed the Oil and Gas industry, which is up 26% over the same period. Reported Earnings • Feb 12
Full year 2020 earnings released: EPS US$1.74 (vs US$1.76 in FY 2019) The company reported a solid full year result with improved revenues, although earnings and profit margins were flat. Full year 2020 results: Revenue: US$83.3m (up 1.2% from FY 2019). Net income: US$40.3m (flat on FY 2019). Profit margin: 48% (in line with FY 2019). Over the last 3 years on average, earnings per share has fallen by 1% per year but the company’s share price has fallen by 18% per year, which means it is performing significantly worse than earnings. Analyst Estimate Surprise Post Earnings • Feb 12
Revenue beats expectations Revenue exceeded analyst estimates by 0.07%. Over the next year, revenue is forecast to grow 2.5%, compared to a 24% growth forecast for the Oil and Gas industry in the US. Annonce • Feb 08
Green Plains Partners LP to Report Q4, 2020 Results on Feb 09, 2021 Green Plains Partners LP announced that they will report Q4, 2020 results After-Market on Feb 09, 2021 Annonce • Jan 28
Green Plains Ord, LLC entered into an asset purchase agreement to acquire Ethanol Storage and transportation assets of Green Plains Partners LP. from Green Plains Partners LP (NasdaqGM:GPP) for $27 million. Green Plains Ord, LLC entered into an asset purchase agreement to acquire Ethanol Storage and transportation assets of Green Plains Partners LP. from Green Plains Partners LP (NasdaqGM:GPP) for $27 million on January 25, 2021. The consideration will be paid in cash. The terms of this transaction were approved by both the board of directors of the general partner and the board of directors’ conflicts committee, which consists entirely of independent directors. The consideration amount will be used to pay down the debt. The transaction is subject to customary closing conditions and is expected to close in the next 45 days. Upcoming Dividend • Jan 28
Upcoming Dividend of US$0.12 Per Share Will be paid on the 12th of February to those who are registered shareholders by the 4th of February. The trailing yield of 5.1% is in the top quartile of American dividend payers (3.9%), but it is lower than industry peers (6.2%). Is New 90 Day High Low • Jan 13
New 90-day high: US$9.25 The company is up 16% from its price of US$8.00 on 14 October 2020. The American market is up 12% over the last 90 days, indicating the company outperformed over that time. However, it underperformed the Oil and Gas industry, which is up 39% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is US$14.78 per share. Is New 90 Day High Low • Nov 24
New 90-day high: US$8.57 The company is up 1.0% from its price of US$8.45 on 25 August 2020. The American market is up 6.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Oil and Gas industry, which is up 5.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is US$14.05 per share. Reported Earnings • Nov 07
Third quarter 2020 earnings released: EPS US$0.44 The company reported a solid third quarter result with improved earnings and revenues, although profit margins were weaker. Third quarter 2020 results: Revenue: US$21.4m (up 6.1% from 3Q 2019). Net income: US$10.1m (up 1.7% from 3Q 2019). Profit margin: 47% (down from 49% in 3Q 2019). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has fallen by 1% per year but the company’s share price has fallen by 26% per year, which means it is performing significantly worse than earnings. Analyst Estimate Surprise Post Earnings • Nov 07
Revenue and earnings beat expectations Revenue exceeded analyst estimates by 6.0%. Earnings per share (EPS) also surpassed analyst estimates by 2.3%. Over the next year, revenue is forecast to grow 1.5%, compared to a 8.5% growth forecast for the Oil and Gas industry in the US. Upcoming Dividend • Oct 29
Upcoming Dividend of US$0.12 Per Share Will be paid on the 13th of November to those who are registered shareholders by the 5th of November. The trailing yield of 6.2% is in the top quartile of American dividend payers (4.9%), but it is lower than industry peers (8.9%). Annonce • Oct 10
Green Plains Partners LP to Report Q3, 2020 Results on Nov 04, 2020 Green Plains Partners LP announced that they will report Q3, 2020 results at 5:00 PM, Eastern Standard Time on Nov 04, 2020 Annonce • Jul 17
Green Plains Partners LP to Report Q2, 2020 Results on Aug 03, 2020 Green Plains Partners LP announced that they will report Q2, 2020 results at 5:00 PM, Eastern Standard Time on Aug 03, 2020