AMLP - 10% Yield 25 Straight Hikes 10% Distribution Growth Ahead For Delek Logistics Partners

Midstream operator Delek Logistics Partners LP (DKL), the yieldco arm of Delek US (DK), has had several quarters of strong year-over-year EBITDA and DCF growth, as it acquired new assets from parent DK.

The sequential declines in Q1 '19 EBITDA and net income were due to lower throughput that was related to the turnaround at Delek U.S.'s El Dorado refinery reduced EBITDA by ~ $1.2 million, in addition to lower margins in its wholesale business. Its West Texas wholesale gross margin was $3.56/barrel in Q1 '19, vs. $5.16/barrel in Q1 '18.