Delek Logistics Partners (NYSE:DKL) Issues Quarterly Earnings Results, Misses Expectations By $0.12 EPS

Key Points

• Delek Logistics reported quarterly EPS of $0.85, missing the $0.97 consensus estimate by $0.12, while revenue of $372.44 million exceeded analysts’ $355.44 million forecast.
• The partnership raised its 2026 Adjusted EBITDA guidance to $530 million–$560 million and expects its $180 million–$190 million growth-capital program to add up to $15 million of run-rate EBITDA in 2026 and another $60 million in 2027.
• Delek Logistics approved its 55th consecutive distribution increase, lifting the quarterly payout to $1.14 per unit; quarterly distributable cash flow was $73 million, with coverage of 1.11x.

Delek Logistics Partners (NYSE:DKL - Get Free Report) posted its earnings results on Friday. The oil and gas producer reported $0.85 EPS for the quarter, missing the consensus estimate of $0.97 by ($0.12), FiscalAI reports. Delek Logistics Partners had a negative return on equity of 935.80% and a net margin of 12.85%. The business had revenue of $372.44 million for the quarter, compared to analyst estimates of $355.44 million.

Here are the key takeaways from Delek Logistics Partners' conference call:

• Delek Logistics raised its 2026 Adjusted EBITDA guidance to $530 million-$560 million, citing continued strong performance across its segments.
• The $180 million-$190 million 2026 growth-capital program is expected to generate up to $15 million of run-rate EBITDA in 2026 and an additional $60 million in 2027.
• The company completed construction of its first sour-gas compressor station and is commissioning the associated AGI well at Libby; management expects a substantial gas-volume increase as the system comes online and is evaluating further capacity expansion.
• Quarterly Adjusted EBITDA was approximately $143 million, while distributable cash flow was $73 million and coverage was 1.11x. The partnership also approved its 55th consecutive distribution increase, to $1.14 per unit.
• A $220 million equity offering and debt refinancing strengthened the balance sheet, with quarter-end leverage at 3.85x and liquidity of about $1.3 billion; the offering also reduced Delek’s ownership to approximately 58%.

Delek Logistics Partners Trading Up 1.5%

NYSE:DKL traded up $0.75 on Friday, reaching $51.99. 141,488 shares of the stock traded hands, compared to its average volume of 79,634. The firm has a market capitalization of $2.97 billion, a price-to-earnings ratio of 18.11 and a beta of 0.43. The company's 50 day moving average is $55.63 and its 200-day moving average is $53.41. Delek Logistics Partners has a 1-year low of $42.82 and a 1-year high of $61.50.

Delek Logistics Partners Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Tuesday, November 10th. Investors of record on Tuesday, November 3rd will be issued a $1.14 dividend. The ex-dividend date is Tuesday, November 3rd. This is a boost from Delek Logistics Partners's previous quarterly dividend of $1.1350. This represents a $4.56 annualized dividend and a yield of 8.8%. Delek Logistics Partners's dividend payout ratio (DPR) is currently 158.19%.

Analyst Upgrades and Downgrades

Several equities analysts have issued reports on the stock. UBS Group upped their price target on shares of Delek Logistics Partners from $55.00 to $57.00 and gave the company a "neutral" rating in a research report on Monday, September 21st. Weiss Ratings upgraded shares of Delek Logistics Partners from a "hold (c+)" rating to a "buy (b-)" rating in a report on Friday, October 2nd. Finally, Zacks Research lowered shares of Delek Logistics Partners from a "strong-buy" rating to a "hold" rating in a report on Tuesday, September 22nd. Two research analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company's stock. According to MarketBeat.com, the stock presently has an average rating of "Hold" and a consensus target price of $55.60.

Insider Transactions at Delek Logistics Partners

In other news, EVP Robert Wright acquired 1,500 shares of Delek Logistics Partners stock in a transaction dated Thursday, August 13th. The shares were bought at an average cost of $50.00 per share, with a total value of $75,000.00. Following the purchase, the executive vice president owned 7,994 shares in the company, valued at $399,700. This trade represents a 23.10% increase in their position. The purchase was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, Chairman Ezra Yemin acquired 6,000 shares of the firm's stock in a transaction dated Thursday, August 13th. The shares were purchased at an average price of $50.00 per share, with a total value of $300,000.00. Following the completion of the transaction, the chairman owned 168,217 shares of the company's stock, valued at $8,410,850. This trade represents a 3.70% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. In the last ninety days, insiders have acquired 15,000 shares of company stock worth $750,000. Company insiders own 1.00% of the company's stock.

About Delek Logistics Partners

Delek Logistics Partners, L.P. NYSE: DKL is a master limited partnership that owns and operates midstream energy infrastructure and provides logistics services for crude oil, refined products and other hydrocarbons. The partnership is sponsored by Delek US Holdings, Inc, an independent refiner and marketer of petroleum products.

Delek Logistics' operations include crude oil gathering, transportation and storage; refined products transportation and terminalling; wholesale marketing; rail and truck services; and other logistics activities.

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