FTAI Infrastructure Q1 2025 Earnings Call Transcript

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Operator

Good day, and welcome to the First Quarter twenty twenty five FTAI Infrastructure Earnings Conference Call. At this time, all participants are in a listen only mode. After the speakers' presentation, there will be a question and answer session. Instructions will be given at that time. As a reminder, this call is being recorded.

Operator

I would now like to turn the call over to Alan Andrini, Investor Relations. Please go ahead.

Alan Andreini
Alan Andreini
Head - Investor Relations at FTAI Infrastructure

Thank you, Michelle. I would like to welcome you all to the Efthai Infrastructure earnings call for the first quarter of twenty twenty five. Joining me here today are Ken Nicholson, the CEO of Efthai Infrastructure and Buck Fletcher, the company's newly appointed CFO. We have posted an investor presentation and our press release on our website, which we encourage you to download if you have not already done so. Also, please note that this call is open to the public in listen only mode and is being webcast.

Alan Andreini
Alan Andreini
Head - Investor Relations at FTAI Infrastructure

In addition, we will be discussing some non GAAP financial measures during the call today, including adjusted EBITDA. The reconciliation of those measures to the most directly comparable GAAP measures can be found in the earnings supplement. Before I turn the call over to Ken, I would like to point out that certain statements made today will be forward looking statements, including regarding future earnings. These statements by their nature are uncertain and may differ materially from actual results. We encourage you to review the disclaimers in our press release and investor presentation regarding non GAAP financial measures and forward looking statements and to review the risk factors contained in our quarterly report filed with the SEC.

Alan Andreini
Alan Andreini
Head - Investor Relations at FTAI Infrastructure

Now, I would like to turn the call over to Ken.

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

Okay. Thank you, Alan. Good morning, everyone, and welcome to our earnings call for our first quarter of twenty twenty five. As we typically do for today's call, we'll be referring to the earnings supplement, which you can find posted on our website. Before digging into the quarterly results, I'm pleased to report that our Board has authorized another quarterly dividend of $03 per share to be paid on May 27 to the holders of record on May 19.

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

I'd also like to take a minute to welcome Buck Fletcher to the company. Buck joined us officially as our new CFO in late March, we're thrilled to have him on board. We have tremendous opportunities ahead of us on several fronts, including a number of financial and strategic objectives, and Buck comes to us with a skill set and experience that certainly will help us accomplish it all. Now on to the financial results. Adjusted EBITDA was $35,200,000 for the first quarter of twenty twenty five, up 21% from the fourth quarter and up 29% from the first quarter of last year.

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

The quarter was a highly productive one, especially at our Long Ridge business unit where we completed a series of important transactions that have already started to generate materially higher reported financial results. As a result of the Long Ridge transaction, we recorded a non cash gain of $120,000,000 which is reflected in our financial statements, but we are excluding from adjusted EBITDA in today's financial discussion for comparative purposes. The gain we recorded was related to purchase accounting adjustments as a result of our acquisition of our partner's 49.9% interest in late February and the resulting consolidation of Long Ridge into our financial statements going forward. We are extremely optimistic about the year ahead. As a result of the Long Ridge activity as well as a number of other developments, we expect 2025 to be transformational for our company.

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

As the bar chart on the right side of slide three illustrates, we continue to have a line of sight across our portfolio on approximately 190,000,000 of incremental locked in annual EBITDA under executed agreements, which when combined with our first quarter results represents total company annual EBITDA of over $330,000,000 And the pipeline for new business continues to be healthy. If we're successful in converting new opportunities into contracted business, we continue to estimate annual EBITDA potential in excess of $400,000,000 Our $400,000,000 target excludes the impact of any new investments or acquisitions we may act on, such as acquisitions at TransStar or data center developments at Long Ridge. On slide four, I'll briefly talk through the key highlights at each of our companies. At TransStar, adjusted EBITDA of $19,900,000 was up slightly from the fourth quarter as volumes remained notwithstanding the uncertain environment surrounding tariffs and the impacts on global trade. So far in the second quarter, we continue to see stable volumes from our core U.

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

S. Steel business and we remain focused on driving growth from third parties as well as through strategic investments. At Long Ridge, reported EBITDA for the quarter was 18,100,000 excluding the non cash $120,000,000 gain, which I referred to previously. Importantly, the first quarter's results reflected only a portion of the impact of the transactions we closed in late February. We typically don't provide monthly results, but to give you a sense of the current run rate at Long Ridge, EBITDA for the month of March, which fully included the impact of the transactions, was over $10,000,000 approaching $130,000,000 on an annualized basis.

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

By mid year, we expect Long Ridge to reach annual run rate EBITDA of approximately $160,000,000 which includes $30,000,000 of annual EBITDA from higher capacity revenue, which starts on June one of this year. At Jefferson, EBITDA was up year over year, but slightly lower versus last quarter as we had four storage tanks off lease during the quarter while we transitioned them to long term service under a new, more profitable contract that commenced on April 1. EBITDA for the quarter would have exceeded $10,000,000 had we had those four tanks on lease for the quarter. It's a big year ahead for Jefferson as we have $25,000,000 of long term annual EBITDA commencing this year under three contracts, all with minimum volume commitments. And at Repauna, we recently launched the financing for our Phase II transloading project.

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

We're issuing $300,000,000 of tax exempt debt to fund construction and a number of reserve accounts and also refinancing existing debt with a new taxable term loan. Importantly, we recently signed an additional letter of intent for our Phase two project, bringing our total volumes under contract and LOI to just over 70,000 barrels per day and representing a total of approximately $80,000,000 of annual EBITDA. Our new outlook is up $30,000,000 from estimates we provided last quarter. Revenue from Phase two will commence upon completion of construction expected in late twenty twenty six. I'll briefly walk through the balance sheet before getting into our company's quarterly results.

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

We reported total debt of $2,800,000,000 at March 31. Debt at the corporate level is unchanged from last quarter at $572,000,000 with the rest of our debt at our business units non recourse to FEP. TransStar continues to be completely debt free, while approximately $975,000,000 of debt was at Jefferson and $73,000,000 was at Repauno. We now consolidate the full balance sheet of Long Ridge and reflected total Long Ridge debt of $1,100,000,000 at March 31. Upon completion of the Repauno financing, which we are planning for this month, we plan to refinance our corporate bonds and existing preferred stock in another accretive financing, which will reduce fixed charges and increase cash flow after debt service for common shareholders.

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

Now on to the detailed quarterly results at each of our segments, starting with TransStar on slide seven of the supplement. TransStar posted revenue of $42,600,000 and adjusted EBITDA of $19,900,000 in Q1 compared with revenue of $43,300,000 and adjusted EBITDA of $19,400,000 in Q4. Carloads, average rates and revenues for Q1 were largely unchanged versus last quarter. Operating expenses also continued to be stable as fuel costs and other material cost items have been largely unchanged. We expect third party customer activity to pick up in the months to come, and we now have near term line of sight on over a dozen third party opportunities across TransStar's railroads, representing annual revenue of approximately $20,000,000 and annual EBITDA of at least $10,000,000 Our strategic activity continues to progress.

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

Our M and A efforts are focused on the acquisition of complementary railroads that diversify our revenue and commodity base and open up additional growth opportunities through an expanded platform. One of our primary goals has been to leverage Transstar to make highly accretive investments, and I'm confident we'll be successful in doing so this year. Next, on to Long Ridge, where we coupled strong operating performance in Q1 with a highly accretive refinancing and an increase in our ownership of the company. Long Ridge generated $18,100,000 of EBITDA in Q1 versus $9,900,000 in Q4. Power plant capacity factor was a nearly perfect 99% for the quarter versus 87% in Q4, while gas production increased to be in line with the gas supply level required to run the power plant.

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

We'll be bringing our West Virginia gas production online this summer, resulting in a substantial increase in gas production and allowing us to generate incremental revenue and EBITDA from excess gas sales. As I mentioned earlier, the reported results of Q1 reflect only one month of the impact of the refinancing and our ownership increase, so we expect to report significantly higher results in Q2 just by virtue of reflecting 100% ownership. Also, higher capacity revenues kick in on June 1, representing approximately $30,000,000 of additional annual EBITDA. In addition, Longreach was officially fast tracked by the PJM regulator for the 20 megawatt upgrade in our power generation, meaning it's highly likely that we will receive authorization at some point here in the remainder of 2025. With the debt refinancing and consolidation behind us, we're focused on advancing multiple behind the meter projects, including most notably negotiations with data center developers.

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

Based on the current state of discussions, we anticipate entering into one or more transactions for data centers at Long Ridge in the coming months. Now on to Jefferson. Jefferson generated $19,400,000 of revenue and $8,000,000 of adjusted EBITDA in Q1 versus $21,200,000 of revenue and $11,100,000 of EBITDA in Q4. While volumes were slightly higher in the first quarter, average pricing per barrel was lower as the mix of product included a larger proportion of lower rate refined products. For the duration of the first quarter, '4 of our tanks were off lease as Jefferson cleaned and transitioned those tanks to a new customer and product type, which commenced revenue service on April 1.

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

We estimate the impact of having the tanks off lease for the quarter was approximately $2,800,000 of revenue and $2,300,000 of EBITDA that Jefferson did not record in the quarter. But our focus for Jefferson is on the months ahead. As discussed, we have three contracts representing a total of $25,000,000 of incremental annual EBITDA commencing this year. In addition, we are in late stage negotiations for additional contracts with multiple parties to handle conventional crude and refined products as well as renewable fuels, with some of these negotiations involving business that would still commence in 2025. If we're successful in converting those opportunities to business wins, we will be in a position to post annual EBITDA of approximately $120,000,000 Closing out with Repauno.

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

Our commercial progress for Phase II is proceeding well. We have two customers signed up under long term contracts and an additional customer under a letter of intent that we expect to convert to a long term contract this summer. In the aggregate, these three pieces of business represent minimum volumes of 71,000 barrels per day and approximately $80,000,000 of annual EBITDA for Phase II. The two contracts are each for five year terms commencing upon completion of Phase II construction, while the third letter of intent is for five years with a two year extension option at the option of our customer. As I previously mentioned, financing for Phase II construction is underway with Repauno's three hundred million dollars tax exempt debt issuance currently in the market, and we expect to price and close the financing in this month of May.

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

While Phase II remains our current priority, we're excited about the advancement of the next phase of Repauno, including the development of additional underground storage for which we expect to complete permitting in the months to come. To wrap up, we're pleased with the quarter and excited about the year ahead. And I will now turn the call back over to Alan.

Alan Andreini
Alan Andreini
Head - Investor Relations at FTAI Infrastructure

Thank you, Ken. Michelle, you

Alan Andreini
Alan Andreini
Head - Investor Relations at FTAI Infrastructure

may now open the call to Q and A.

Operator

Thank you. Our first question comes from Giuliano Bologna with Compass Point. Your line is open.

Giuliano Bologna
Managing Director at Compass Point Research & Trading LLC

Good morning. Congrats on the continued progress across the asset base. Maybe starting off on Repono, I'm curious how much longer after the public hearing on May 14 do you estimate it take for the CABERON approvals to come through?

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

Hey, Juliana. Good morning. Yeah, we're very, very close. I'm excited about it. Typically, it's a thirty day wait after the hearing date.

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

There's a period that the final permit has to sit after the hearing, but it's typically a thirty day process. That is not sort of preordained, but we expect it to be thirty days, maybe forty five days max before we actually have the permit in hand. So, it's conceivable as quickly as we have that permit in hand, we'll complete engineering and construction contracting and we could be underway on phase three actually later this year.

Giuliano Bologna
Managing Director at Compass Point Research & Trading LLC

Okay. Very helpful. And then pivoting over to Long Ridge, can you just talk about the types of data center deals that you're working on at Long Ridge and what those will look like?

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

Yeah, definitely. Very active. The various conversations we're having all have slightly different, potential structures, but I would say the most typical structure would be where we would lease or sell the land that we own adjacent to the power plant, and in addition, build and provide backup power to a data center developer. What that would mean is there would not be a need to disconnect our existing four eighty five megawatt power plant from the grid. That's a good thing, because that's an element of the transaction that could be subject to timing and a regulatory process.

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

So, by doing it this way, data center developers can be up and running more quickly and at the end of the day, it would allow us to maintain our existing, call it $160,000,000 of EBITDA from the existing plant and gas, and then generate incremental EBITDA from the lease of land and the supply of backup power. I think we've said before, our estimates are that incremental EBITDA above and beyond the existing $160,000,000 we estimate to be in the $70,000,000 plus or minus annual range.

Giuliano Bologna
Managing Director at Compass Point Research & Trading LLC

That is very helpful. I appreciate that. And then switching over to Grantsar. I'm curious to get an update on the Nikon deal or anything in terms of how things should play out there from an upside perspective related to the transaction.

Ken Nicholson
Ken Nicholson
Chief Executive Officer at FTAI Infrastructure

Yep.

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

Well, look, we're encouraged by the latest out of Washington. You might have seen President Trump ordered CFIUS to spend a forty five day period to subject the Nippon acquisition of US Steel again to an examination. He did that, I think it was back on April 6. And so if you count forty five days from April 6, that gets us to about two weeks from today. So, we're eager to hear what the findings are.

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

I mean, the atmospherics generally are positive. I think we've always said if Nippon is approved or otherwise an investment by Nippon is approved, that can only be a good thing. It's not necessarily a bad thing for Transstar if it goes the other way, it's probably an incrementally good thing if Nippon is approved to make an investment or otherwise acquire U. S. Deal.

Giuliano Bologna
Managing Director at Compass Point Research & Trading LLC

That's very helpful. I appreciate it. I will jump back in the queue.

Operator

Thank you. Our next question comes from Brian McKenna with Citizens. Your line is open.

Brian Mckenna
Director - Equity Research at Citizens JMP

Thanks. Good morning, Ken, Buck, and Alan. Hope everyone's doing well. The situation clearly remains fluid here. But, Ken, based on everything that we know today, I mean, can you just walk through some of the puts and takes from the tariffs on your business?

Brian Mckenna
Director - Equity Research at Citizens JMP

I know there's some positives, maybe some negatives, but it'd just be helpful, to get the latest here.

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

Yeah. Good morning, Brian. I think the answer to the question is it depends. It is, of course, an uncertain environment. I think certain of our businesses are positioned to benefit from the direction global trade is going, particularly as it relates to our assets that have more direct exposure to the international energy markets and flows.

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

You may have seen President Trump a number of weeks ago stated that one of his primary goals was through all of this to have it end up where Europe was committing to purchase more energy products from The United States. And I think he quoted up to $350,000,000,000 of energy products every year. Repauno is obviously best positioned to take advantage of that with natural gas liquids being shipped out of the East Coast to the European market. So, I will tell you, we have seen some positive indications at Repauno in particular and some increase in interest. As I mentioned on the call, we've signed three contracts and an LOI over the past several, several months.

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

Each consecutive signing has come at a higher rate. And as we've been utilizing supply and our remaining supply has diminished, we've seen customers willing to pay more for the declining supply that we have. That's a good sign. People want to make sure they have the supply available at Repauno or anywhere in the event energy flows to Europe pick up in the coming months. So encouraged by Repauno.

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

At the same time, Jefferson is also export terminal. We export waxy crudes out of Utah. And so that business, I think, could also benefit. Transstar, it's certainly a potential benefit. I mean, there was certainly some good news out of the negotiations with Great Britain yesterday for steel imports into Great Britain from The US looking to increase.

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

I can't say the Gary And Mon Valley complexes at Transstar are big players in the export markets, but that doesn't mean that they couldn't be. And so that's probably only a good thing as well. At Long Ridge, we're more focused on our internal business there and the things that we're doing. So, not sure tariffs are a huge plus or minus at Long Ridge, but I think we have a lot of opportunity at Long Ridge, obviously, regardless of whatever happens on the international market.

Brian Mckenna
Director - Equity Research at Citizens JMP

Okay. Super helpful. And then maybe just following up on Repauno, and it's good to hear all that positive commentary. And it's good to see the the incremental $30,000,000 of adjusted EBITDA from that third contract. Is there any remaining capacity to to contract beyond what you have today?

Brian Mckenna
Director - Equity Research at Citizens JMP

And then thinking about the upside potential from phase two, I mean, that $80,000,000 the top end of the range, or could there actually be some upside to that longer term?

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

There's not a tremendous amount of available capacity above and beyond the 70,000 barrels we have contracted it under LOI for phase two. Where there is available capacity is remaining of phase one. I'll give you a sort of an example. For phase one, which of course is operating today, we have a contract with a customer who has committed to minimum volumes of 8,500 barrels per day. That customer just recently nominated for next month, I think it was over 13,000 barrels per day.

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

We have the total capacity to handle over 20,000 barrels per day for phase one. And so that is underutilized and there's definitely upside for phase one. I think another call it annual $10,000,000 of EBITDA out of phase one if we can increase utilization closer to the 80%, ninety %. Phase two, the 70,000 barrels that we have in place is not a lot of remaining capacity based on the design of phase two that would have to come from phase three in the future.

Brian Mckenna
Director - Equity Research at Citizens JMP

Yeah. Got it. Okay. And then just the last one for me, the 20 megawatt increase at the power plant, Long Ridge, it's great to hear that. That's been fast tracked.

Brian Mckenna
Director - Equity Research at Citizens JMP

I think you said it should be authorized at some point later in 2025. I mean, are there any other you know, any more specifics you can give here? Or is it three two, four two? Just trying to think through that. And then can you just remind us on the incremental earnings from the increase here?

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

Yep. It would likely be 4q. I don't I don't I don't think it will be 3q, but it's a great sign. I mean, our confidence level now regarding the approval for the up rate is extremely high. There were a number of plants in the PJM that were on the list for being fast tracked, and many did not get chosen, we did.

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

And that's just very encouraging. It's about $8,000,000 of incremental EBITDA upon the up rate. The up rate requires no capital. It could happen effectively overnight. It's a quick software change.

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

The turbine is certainly capable today of generating up to five zero five megawatts. So, as soon as we're approved, we'll turn it on. Timing is not a definitive thing with the PJM. There's no specific guidance on the timetable. Based on everything we're hearing, I would expect it would be late this year.

Brian Mckenna
Director - Equity Research at Citizens JMP

Okay. I'll leave it there. Thanks, Ken.

Operator

Thank you. Our next question comes from Greg Lewis with BTIG. Your line is open.

Gregory Lewis
Managing Director at BTIG

Yes, thank you and good morning and thanks for taking my questions. Joe, I was hoping to get a little bit more color around TransStar, I. E, the $10,000,000 of adjusted EBITDA side. That I guess couple of things there. Is that going to require any CapEx on the part of Transstar or is that just really squeezing more money out of the existing footprint?

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

It is no additional capital. Nothing, certainly no material additional capital. We're talking maybe tens of thousands of dollars or a hundred thousand dollars for a certain project here or there. There are, as I said, over a dozen projects. We keep an active list.

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

That active list probably has 30 to 40 opportunities. But in terms of the near term activities that we expect to turn on this year, it's well over a dozen. The opportunities are across a number of the railroads at Transstar. Some, most are regarding new freight business, transloading or just serving new customers. And then a portion, I would say maybe 20% of the opportunities are additional mechanical work, primarily at our new car repair shop on the Union Railroad in the Pittsburgh area.

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

So, it's nice to have diversity across many different railroads. These are the types of things where you have to pursue them for a number of months before they actually kick in and come to fruition. But once they've kicked in, they tend to be very sticky. And so, we're always adding to the list of opportunities and been staffing up at TransStar. So, pretty encouraged.

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

I think we're going to have some good momentum ahead.

Gregory Lewis
Managing Director at BTIG

Okay, great to hear. And then a little bit of a broad question, you called out the $2,000,000 off hire at Jefferson. Are there as we look out over the next few quarters, just so we're kind of all on the same page, are any other contract roll offs across, I guess, maybe TransStar, Jefferson and any I don't think Long Ridge or planned maintenance is that we should be aware of as we look out over the next couple quarters?

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

Nothing across Jefferson. The only consistent maintenance outages we have are really at Long Ridge where every six months or so we have a brief mountain maintenance outage that can last anywhere from three, four, five days to up to ten days or so. It's a pretty typical thing. It's required, and we take those maintenance outages every six months. We try to manage to take those outages at times when we can dovetail it nicely with gas production or otherwise, so that it has a minimal financial impact.

Kenneth Nicholson
Kenneth Nicholson
CEO & President at FTAI Infrastructure

We are going to take a maintenance outage here in the second quarter at Long Ridge. Again, don't expect it to have a material financial impact for the quarter. We expect certainly the full impact of the consolidation of Longridge to by far overwhelm any impact from a maintenance outage. Outside of that, no meaningful contract roles or episodes like we had in the first quarter with Jefferson.

Gregory Lewis
Managing Director at BTIG

Okay, great. Thank you very much.

Operator

Thank you. I'm showing no further questions at this time. I'd like to turn the call back over to Alan Andrini for closing remarks.

Alan Andreini
Alan Andreini
Head - Investor Relations at FTAI Infrastructure

Thank you, Michelle, and thank you all for participating in today's call. We look forward to updating you after Q2.

Operator

Thank you for your participation. You may now disconnect. Everyone, have a great day.

Executives
    • Alan Andreini
      Alan Andreini
      Head - Investor Relations
    • Kenneth Nicholson
      Kenneth Nicholson
      CEO & President
    • Ken Nicholson
      Ken Nicholson
      Chief Executive Officer
Analysts

Key Takeaways

  • FTAI reported Q1 adjusted EBITDA of $35.2 million, up 21% sequentially and 29% year-over-year, and the board authorized a quarterly dividend of $0.03 per share with management targeting over $400 million in annual EBITDA if the pipeline fully converts.
  • The consolidation of Long Ridge—via acquisition of the partner’s 49.9% stake—generated a $120 million non-cash gain (excluded from adjusted EBITDA) and March run-rate EBITDA annualized at roughly $130 million, with mid-year capacity revenue expected to lift the run rate to $160 million and a PJM-fast-tracked 20 MW upgrade (+$8 million EBITDA) plus potential data-center deals (~$70 million EBITDA) further boosting results.
  • Repauno kicked off a $300 million tax-exempt debt financing for Phase II, securing contracts and LOIs for 71,000 bpd that represent about $80 million of annual EBITDA—$30 million above prior guidance—with revenue slated to begin in late 2026 and Phase III storage permitting under way.
  • TransStar delivered Q1 adjusted EBITDA of $19.9 million on stable volumes, and has near-term line of sight on over a dozen third-party projects that could add at least $10 million of annual EBITDA, while M&A efforts aim to diversify and expand its rail network.
  • Jefferson’s Q1 EBITDA of $8 million was dampened by four tanks off lease, but three new contracts will bring $25 million of annual EBITDA starting this year, and further negotiations could drive annualized EBITDA toward $120 million.
AI Generated. May Contain Errors.
Earnings Conference Call
FTAI Infrastructure Q1 2025
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