Independent tank storage provider Oiltanking Partners has reported a second quarter 2012 net income of $16.6 million (€13.3 million). The company’s net income for the same period in 2011 was $7.6 million.
EBITDA for Q2 2012 was $21.1 million, a 25% increase over $16.9 million reported in the same period last year.
Oiltanking says its overall operating results for the second quarter of 2012 were higher because storage and throughput volumes generated increased service fees, in addition to higher ancillary service fees and lower operating expenses. The 14.1% increase in revenues has been attributed to additional revenues from new storage capacity placed into service in December 2011 and April 2012, and to an escalation in storage fees.
Oiltanking’s operating expenses during the second quarter of 2012 were $8 million, $0.2 million less than the same period in 2011. This is primarily due to lower property taxes and power and fuel costs, partially offset by higher repairs and maintenance costs. Selling, general and administrative expenses increased by $0.1 million due to increased costs associated with being a publicly traded company and increased personnel costs.
‘The partnership benefitted from the positive impact of an additional 390,000 barrels of crude oil storage capacity that was placed into service in April as well as increased throughput during the quarter,’ comments Carlin Conner, chairman, president and chief executive officer of Oiltanking Partners’ general partner.
‘Our current crude storage expansion projects and crude pipeline project are on budget and on schedule with an additional 1.1 million barrels of new storage capacity and the pipelines expected to be placed into service by early 2013. We have secured long-term contracts for 100% of this additional capacity and our confidence in future growth opportunities continues to build as our existing customer base as well as our new customers continue to express strong interest in making future commitments,’ he adds.