CORR CorEnergy Infrastructure Trust Inc NEW

CorEnergy Infrastructure Trust, Inc. (“CorEnergy” or the “Company”) today announced financial results for the fourth quarter 2021 and fiscal year ended December 31, 2021.

Fourth Quarter 2021 and Recent Highlights

• Reported consolidated revenue of $35.8 million for the three months ended December 31, 2021.

• Average transported crude oil volumes decreased 3.7% from third quarter.

• The fourth quarter revenue reflected the full benefit of the third quarter’s tariff increase, mitigating the impact of volume declines.

• The Company published its inaugural ESG report.

• Declared a fourth quarter 2021 Common Stock dividend of $0.05 per share and a 7.375% Series A Cumulative Redeemable Preferred Stock dividend of $0.4609375 per depositary share. Both dividends were paid on February 28, 2022, to stockholders of record on February 14, 2022.

Management Commentary

“In 2021 CorEnergy overcame the pandemic-related challenges of 2020 and we are now positioned for the future. We were able to transition our business model to a low-cost structure; owning and operating energy pipelines and storage assets. We optimized our capital structure for the benefit of our stockholders, internalized our REIT manager, and positioned our business for future growth. The benefits of these efforts were apparent in the third and fourth quarter run rate, as we established our new baseline in volumes and revenue that demonstrated our ability to fully cover our dividend expectations,” said Dave Schulte, Chief Executive Officer. “We expect to continue to earn and pay our $0.20 annualized common dividend in 2022, with potential for modest long-term growth. We published our inaugural ESG report, confirming that we have always operated responsibly and are positioned to grow in the new energy transition marketplace as well as through incremental acquisitions.”

Fourth Quarter and Fiscal Year 2021 Performance Summary

Fourth Quarter and Fiscal Year 2021 financial highlights are as follows:

 

For the Three Months Ended

 

For the Year Ended

 

December 31, 2021

 

December 31, 2021

 

 

 

Per Share

 

 

 

Per Share

 

Total3

 

Basic

 

Diluted

 

Total

 

Basic

 

Diluted

Net Loss (Attributable to Common Stockholders)

$

(4,796,465

)

 

$

(0.31

)

 

$

(0.31

)

 

$

(20,926,685

)

 

$

(1.44

)

 

$

(1.44

)

Net Cash Provided by Operating Activities

$

5,059,826

 

 

 

 

 

 

$

17,298,110

 

 

 

 

 

Adjusted Net Income1

$

835,087

 

 

 

 

 

 

$

11,973,197

 

 

 

 

 

Cash Available for Distribution1

$

1,087,946

 

 

 

 

 

 

$

(1,399,583

)

 

 

 

 

Adjusted EBITDA2

$

12,273,711

 

 

 

 

 

 

$

43,591,789

 

 

 

 

 

Dividends Declared to Common Stockholders

 

 

$

0.05

 

 

 

 

 

 

$

0.20

 

 

 

1 Adjusted Net Income excludes special items for the three months ended December 31, 2021 of $1.3 million and for the year ended December 31, 2021 of $6.9 million which are transaction costs; however CAD has not been so adjusted. Reconciliations of Adjusted Net Income and CAD, as presented, to Net Income (Loss) and Net Cash Provided by Operating Activities are included at the end of this press release. See Note 1 below for additional information.

2 Adjusted EBITDA excludes special items for the three months ended December 31, 2021 of $1.3 million and for the year ended December 31, 2021 of $6.9 million which are transaction costs. Reconciliation of Adjusted EBITDA, as presented, to Net Income (Loss) is included at the end of this press release. See Note 2 below for additional information.

Business Development Activities

CorEnergy maintains an active pipeline of business development opportunities, including traditional infrastructure and potential-alternative uses for its rights-of-way. The Company closely evaluates potential opportunities to ensure alignment with REIT-qualifying business activities. CorEnergy has identified multiple opportunities for negotiated transactions that could expand the Company's market reach or REIT-qualifying revenue sources. The Company will continue to prudently advance these opportunities.

Outlook

CorEnergy provided the following outlook for 2022:

• Expected adjusted EBITDA of $44.0-$46.0 million,

• Maintenance capital expenditures expected to be in the range of $8.0 million to $9.0 million in 2022; quarterly maintenance costs are not expected to be uniform throughout the year due to project timing,

• Maintain at least $0.20/share annual run rate common dividend with upside potential from commercial opportunities.

Dividend and Distribution Declarations

The Company currently expects all of its 2022 Common Stock and Preferred Stock dividends will be characterized as Return of Capital for tax purposes.

Common Stock: A fourth quarter 2021 dividend of $0.05 per share was declared for CorEnergy's common stock. The dividend was paid on February 28, 2022, to stockholders of record on February 14, 2022.

Preferred Stock: For the Company's 7.375% Series A Cumulative Redeemable Preferred Stock, a cash dividend of $0.4609375 per depositary share was declared. The preferred stock dividend, which equates to an annual dividend payment of $1.84375 per depositary share, was paid on February 28, 2022, to stockholders of record on February 14, 2022.

Class A-1 Units: Pursuant to the terms of the Crimson transaction, the holders of Crimson Class A-1 Units received a cash distribution of $0.4609375 per unit based on the Company’s declared Series A Preferred dividend.

Class A-2 and Class A-3 Units: Pursuant to the terms of the Crimson transaction, the holders of Crimson Class A-2 and Class A-3 Units did not receive a cash distribution this quarter, since no dividend was declared on the underlying Class B Common Stock.

Fiscal Year 2021 Earnings Conference Call

CorEnergy will host a conference call on Monday, March 14, 2022 at 10:00 a.m. Central Time to discuss its financial results. Please dial into the call at +1-973-528-0011 at least five minutes prior to the scheduled start time. The call will also be webcast in a listen-only format. A link to the webcast will be accessible at corenergy.reit.

A replay of the call will be available until 10:00 a.m. Central Time on April 14, 2022, by dialing +1-919-882-2331. The Conference ID is 44517. A webcast replay of the conference call will also be available on the Company’s website, corenergy.reit.

About CorEnergy Infrastructure Trust, Inc.

CorEnergy Infrastructure Trust, Inc. (NYSE: CORR, CORRPrA) is a real estate investment trust that owns and operates or leases regulated natural gas transmission and distribution lines and crude oil gathering, storage and transmission pipelines and associated rights-of-way. For more information, please visit corenergy.reit.

Forward-Looking Statements

This press release contains certain statements that may include "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. All statements, other than statements of historical fact, included herein are "forward-looking statements." Although CorEnergy believes that the expectations reflected in these forward-looking statements are reasonable, they do involve assumptions, risks and uncertainties, and these expectations may prove to be incorrect. Actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including, among others, failure to realize the anticipated benefits of the Crimson transaction; the risk that CPUC approval is not obtained, is delayed or is subject to unanticipated conditions that could adversely affect CorEnergy or the expected benefits of the Crimson transaction; risks related to the uncertainty of the projected financial information with respect to Crimson, and those factors discussed in CorEnergy’s reports that are filed with the Securities and Exchange Commission. You should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Other than as required by law, CorEnergy does not assume a duty to update any forward-looking statement. In particular, any distribution paid in the future to our stockholders will depend on the actual performance of CorEnergy, its costs of leverage and other operating expenses and will be subject to the approval of CorEnergy’s Board of Directors and compliance with leverage covenants.

Notes

1 Management uses CAD as a measure of long-term sustainable performance. Adjusted Net Income and CAD are non-GAAP measures. Adjusted Net Income represents net income (loss) adjusted for loss on impairment of leased property; loss on impairment and disposal of leased property; loss on termination of lease; deferred rent receivable write-off; loss (gain) on extinguishment of debt; gain on sale of equipment and transaction-related costs. CAD represents Adjusted Net Income adjusted for depreciation, amortization and ARO accretion (cash flows) and deferred tax expense (benefit) less transaction costs; maintenance capital expenditures; preferred dividend requirements and mandatory debt amortization. Reconciliations of Adjusted Net Income and CAD to Net Income (Loss) and Net Cash Provided By Operating Activities are included in the additional financial information attached to this press release.

2 Management uses Adjusted EBITDA as a measure of operating performance. Adjusted EBITDA represents net income (loss) adjusted for items such as gain on sale of equipment; and transaction-related costs. Adjusted EBITDA is further adjusted for depreciation, amortization and ARO accretion expense; income tax expense (benefit) and interest expense. The reconciliation of Adjusted EBITDA to Net Income (Loss) is included in the additional financial information attached to this press release.

Consolidated Balance Sheets

 

 

December 31, 2021

 

December 31, 2020

Assets

 

 

 

Property and equipment, net of accumulated depreciation of $37,022,035 and $22,580,810 (Crimson VIE:$338,452,392 and $0, respectively)

$

441,430,193

 

 

$

106,224,598

 

Leased property, net of accumulated depreciation of $258,207 and $6,832,167

 

1,267,821

 

 

 

64,938,010

 

Financing notes and related accrued interest receivable, net of reserve of $600,000 and $600,000

 

1,036,660

 

 

 

1,209,736

 

Cash and cash equivalents (Crimson VIE:$1,870,000 and $0, respectively)

 

12,496,478

 

 

 

99,596,907

 

Accounts and other receivables (Crimson VIE: $11,291,749 and $0, respectively)

 

15,367,389

 

 

 

3,675,977

 

Due from affiliated companies (Crimson VIE: $676,825 and $0, respectively)

 

676,825

 

 

 

—

 

Deferred costs, net of accumulated amortization of $345,775 and $2,130,334

 

796,572

 

 

 

1,077,883

 

Inventory (Crimson VIE: $3,839,865 and $0, respectively)

 

3,953,523

 

 

 

87,940

 

Prepaid expenses and other assets (Crimson VIE: $5,004,566 and $0, respectively)

 

9,075,043

 

 

 

2,054,804

 

Operating right-of-use assets (Crimson VIE: $5,647,631 and $0, respectively)

 

6,075,939

 

 

 

85,879

 

Deferred tax asset, net

 

206,285

 

 

 

4,282,576

 

Goodwill

 

16,210,020

 

 

 

1,718,868

 

Total Assets

$

508,592,748

 

 

$

284,953,178

 

Liabilities and Equity

 

 

 

Secured credit facilities, net of debt issuance costs of $1,275,244 and $0

$

99,724,756

 

 

$

—

 

Unsecured convertible senior notes, net of discount and debt issuance costs of $2,384,170 and $3,041,870

 

115,665,830

 

 

 

115,008,130

 

Asset retirement obligation

 

—

 

 

 

8,762,579

 

Accounts payable and other accrued liabilities (Crimson VIE: $9,743,904 and $0, respectively)

 

17,036,064

 

 

 

4,628,847

 

Management fees payable

 

—

 

 

 

971,626

 

Income tax liability

 

—

 

 

 

—

 

Due to affiliated companies (Crimson VIE: $648,316 and $0, respectively)

 

648,316

 

 

 

—

 

Operating lease liability (Crimson VIE: $5,647,036 and $0, respectively)

 

6,046,657

 

 

 

56,441

 

Unearned revenue (Crimson VIE: $199,405 and $0, respectively)

 

5,839,602

 

 

 

6,125,728

 

Total Liabilities

$

244,961,225

 

 

$

135,553,351

 

Equity

 

 

 

Series A Cumulative Redeemable Preferred Stock 7.375%, $129,525,675 and $125,270,350 liquidation preference ($2,500 per share, $0.001 par value), 10,000,000 authorized; 51,810 and 50,108 issued and outstanding at December 31, 2021 and December 31, 2020, respectively

$

129,525,675

 

 

$

125,270,350

 

Capital stock, non-convertible, $0.001 par value; 14,893,184 and 13,651,521 shares issued and outstanding at December 31, 2021 and December 31, 2020 (100,000,000 shares authorized)

 

14,893

 

 

 

13,652

 

Class B Common Stock, $0.001 par value; 683,761 and 0 shares issued and outstanding at December 31, 2021 and December 31, 2020, respectively (11,896,100 shares authorized)

 

684

 

 

 

—

 

Additional paid-in capital

 

338,302,735

 

 

 

339,742,380

 

Retained deficit

 

(327,157,636

)

 

 

(315,626,555

)

Total CorEnergy Equity

 

140,686,351

 

 

 

149,399,827

 

Non-controlling Interest (Crimson)

 

122,945,172

 

 

 

—

 

Total Equity

 

263,631,523

 

 

 

149,399,827

 

Total Liabilities and Equity

$

508,592,748

 

 

$

284,953,178

 

Consolidated Statements of Operations

 

 

(Unaudited)

 

 

 

 

 

For the Three Months Ended December 31,

 

For the Years Ended December 31,

 

2021

 

2020

 

2021

 

2020

Revenue

 

 

 

 

 

 

 

Transportation and distribution revenue

$

32,854,736

 

 

$

5,815,990

 

 

$

116,536,612

 

 

$

19,972,351

 

Pipeline loss allowance subsequent sales

 

2,491,014

 

 

 

—

 

 

 

8,606,850

 

 

 

—

 

Lease revenue

 

37,175

 

 

 

30,125

 

 

 

1,246,090

 

 

 

21,351,123

 

Deferred rent receivable write-off

 

—

 

 

 

—

 

 

 

—

 

 

 

(30,105,820

)

Other revenue

 

384,913

 

 

 

32,098

 

 

 

1,744,244

 

 

 

120,417

 

Sales revenue

 

 

 

 

 

—

 

 

 

—

 

Total Revenue

 

35,767,838

 

 

 

5,878,213

 

 

 

128,133,796

 

 

 

11,338,071

 

Expenses

 

 

 

 

 

 

 

Transportation and distribution expenses

 

16,350,585

 

 

 

2,023,900

 

 

 

58,146,006

 

 

 

6,059,707

 

Pipeline loss allowance subsequent sales cost of revenue

 

2,303,500

 

 

 

—

 

 

 

8,194,040

 

 

 

—

 

General and administrative

 

6,266,627

 

 

 

2,036,287

 

 

 

26,641,161

 

 

 

12,231,922

 

Depreciation, amortization and ARO accretion expense

 

4,464,037

 

 

 

2,174,630

 

 

 

14,801,676

 

 

 

13,654,429

 

Loss on impairment of leased property

 

—

 

 

 

—

 

 

 

—

 

 

 

140,268,379

 

Loss on impairment and disposal of leased property

 

—

 

 

 

—

 

 

 

5,811,779

 

 

 

146,537,547

 

Loss on termination of lease

 

—

 

 

 

—

 

 

 

165,644

 

 

 

458,297

 

Total Expenses

 

29,384,749

 

 

 

6,234,817

 

 

 

113,760,306

 

 

 

319,210,281

 

Operating Income (Loss)

$

6,383,089

 

 

$

(356,604

)

 

$

14,373,490

 

 

$

(307,872,210

)

Other Income (Expense)

 

 

 

 

 

 

 

Other income

$

402,823

 

 

$

21,937

 

 

$

769,682

 

 

$

471,449

 

Interest expense

 

(3,163,480

)

 

 

(2,247,994

)

 

 

(12,742,157

)

 

 

(10,301,644

)

Gain (loss) on extinguishment of debt

 

—

 

 

 

—

 

 

 

(861,814

)

 

 

11,549,968

 

Total Other Income (Expense)

 

(2,760,657

)

 

 

(2,226,057

)

 

 

(12,834,289

)

 

 

1,719,773

 

Income (loss) before income taxes

 

3,622,432

 

 

 

(2,582,661

)

 

 

1,539,201

 

 

 

(306,152,437

)

Taxes

 

 

 

 

 

 

 

Current tax expense (benefit)

 

(42,845

)

 

 

3,662

 

 

 

(1,531

)

 

 

(395,843

)

Deferred tax expense (benefit)

 

3,853,952

 

 

 

85,357

 

 

 

4,076,290

 

 

 

310,985

 

Income tax expense (benefit), net

 

3,811,107

 

 

 

89,019

 

 

 

4,074,759

 

 

 

(84,858

)

Net Income (Loss)

 

(188,675

)

 

 

(2,671,680

)

 

 

(2,535,558

)

 

 

(306,067,579

)

Less: Net Income attributable to non-controlling interest

 

2,219,660

 

 

 

—

 

 

 

8,995,523

 

 

 

—

 

Net Income (Loss) attributable to CorEnergy Stockholders

$

(2,408,335

)

 

$

(2,671,680

)

 

$

(11,531,081

)

 

$

(306,067,579

)

Preferred dividend requirements

 

2,388,130

 

 

 

2,309,672

 

 

 

9,395,604

 

 

 

9,189,809

 

Net Income (Loss) attributable to Common Stockholders

$

(4,796,465

)

 

$

(4,981,352

)

 

$

(20,926,685

)

 

$

(315,257,388

)

 

 

 

 

 

 

 

 

Earnings (Loss) Per Common Share:

 

 

 

 

 

 

 

Basic

$

(0.31

)

 

$

(0.36

)

 

$

(1.44

)

 

$

(23.09

)

Diluted

$

(0.31

)

 

$

(0.36

)

 

$

(1.44

)

 

$

(23.09

)

Weighted Average Shares of Common Stock Outstanding:

 

 

 

 

 

 

 

Basic

 

15,559,737

 

 

 

13,651,521

 

 

 

14,581,850

 

 

 

13,650,718

 

Diluted

 

15,559,737

 

 

 

13,651,521

 

 

 

14,581,850

 

 

 

13,650,718

 

Dividends declared per share

$

0.050

 

 

$

0.050

 

 

$

0.200

 

 

$

0.900

 

Consolidated Statements of Cash Flows

 

 

For the Years Ended December 31,

 

2021

 

2020

Operating Activities

 

 

 

Net loss

$

(2,535,558

)

 

$

(306,067,579

)

Adjustments to reconcile net loss to net cash provided by operating activities:

 

 

 

Deferred income tax

 

4,076,290

 

 

 

310,985

 

Depreciation, amortization and ARO accretion

 

16,406,557

 

 

 

14,924,464

 

Loss on impairment of leased property

 

—

 

 

 

140,268,379

 

Loss on impairment and disposal of leased property

 

5,811,779

 

 

 

146,537,547

 

Loss on termination of lease

 

165,644

 

 

 

458,297

 

Deferred rent receivable write-off, noncash

 

—

 

 

 

30,105,820

 

(Gain) loss on extinguishment of debt

 

861,814

 

 

 

(11,549,968

)

Gain on sale of equipment

 

(16,508

)

 

 

(13,683

)

Changes in assets and liabilities:

 

 

 

Deferred rent receivables

 

—

 

 

 

(247,718

)

Accounts and other receivables

 

(92,089

)

 

 

467,257

 

Financing note accrued interest receivable

 

(8,780

)

 

 

(18,069

)

Inventory

 

(2,183,946

)

 

 

—

 

Prepaid expenses and other assets

 

(958,283

)

 

 

(1,424,332

)

Due from affiliated companies, net

 

(28,509

)

 

 

—

 

Management fee payable

 

(971,626

)

 

 

(698,324

)

Accounts payable and other accrued liabilities

 

(2,627,549

)

 

 

(1,903,936

)

Unearned revenue

 

(601,126

)

 

 

(766,070

)

Net cash provided by operating activities

$

17,298,110

 

 

$

10,383,070

 

Investing Activities

 

 

 

Acquisition of Crimson Midstream Holdings, net of cash acquired

 

(69,002,052

)

 

 

—

 

Acquisition of Corridor InfraTrust Management, net of cash acquired

 

952,487

 

 

 

—

 

Purchases of property and equipment, net

 

(15,883,609

)

 

 

(2,186,155

)

Proceeds from sale of property and equipment

 

97,210

 

 

 

15,000

 

Proceeds from insurance recovery

 

60,153

 

 

 

—

 

Principal payment on financing note receivable

 

155,008

 

 

 

43,333

 

Decrease in financing note receivable

 

26,849

 

 

 

—

 

Net cash used in investing activities

$

(83,593,954

)

 

$

(2,127,822

)

Financing Activities

 

 

 

Debt financing costs

 

(2,735,922

)

 

 

—

 

Cash paid for maturity of convertible notes

 

—

 

 

 

(1,676,000

)

Cash paid for repurchase of convertible notes

 

—

 

 

 

(1,316,250

)

Cash paid for settlement of Pinedale Secured Credit Facility

 

—

 

 

 

(3,074,572

)

Repurchases of Series A preferred stock

 

—

 

 

 

(161,997

)

Dividends paid on Series A preferred stock

 

(9,395,604

)

 

 

(9,242,797

)

Dividends paid on Common Stock

 

(2,439,446

)

 

 

(12,286,368

)

Common Stock issued under the director's compensation plan

 

22,500

 

 

 

—

 

Distributions to non-controlling interest

 

(2,256,113

)

 

 

—

 

Advances on revolving line of credit

 

24,000,000

 

 

 

—

 

Payments on revolving line of credit

 

(22,000,000

)

 

 

—

 

Principal payments on secured credit facilities

 

(6,000,000

)

 

 

(1,764,000

)

Net cash used in financing activities

$

(20,804,585

)

 

$

(29,521,984

)

Net change in cash and cash equivalents

$

(87,100,429

)

 

$

(21,266,736

)

Cash and cash equivalents at beginning of period

 

99,596,907

 

 

 

120,863,643

 

Cash and cash equivalents at end of period

$

12,496,478

 

 

$

99,596,907

 

 

 

 

 

Supplemental Disclosure of Cash Flow Information

 

 

 

Interest paid

 

11,224,582

 

 

 

9,272,409

 

Income taxes paid (net of refunds)

 

(635,730

)

 

 

(466,236

)

 

 

 

 

Non-Cash Investing Activities

 

 

 

Proceeds from sale of leased property provided directly to secured lender

$

—

 

 

$

18,000,000

 

Purchases of property, plant and equipment in accounts payable and other accrued liabilities

 

113,847

 

 

 

591,421

 

In-kind consideration for the Grand Isle Gathering System provided as partial consideration for the Crimson Midstream Holdings acquisition

 

48,873,169

 

 

 

—

 

Crimson credit facility assumed and refinanced in connection with the Crimson Midstream Holdings acquisition

 

105,000,000

 

 

 

—

 

Equity consideration attributable to non-controlling interest holder in connection with the Crimson Midstream Holdings acquisition

 

116,205,762

 

 

 

—

 

Series A preferred stock issued due to internalization transaction

 

4,245,112

 

 

 

—

 

Common stock issued due to internalization transaction

 

7,096,153

 

 

 

—

 

Class B Common Stock issued due to internalization transaction

 

3,288,890

 

 

 

—

 

 

 

 

 

Non-Cash Financing Activities

 

 

 

Proceeds from sale of leased property used in settlement of Pinedale Secured Credit Facility

$

—

 

 

$

(18,000,000

)

Common stock issued upon exchange and conversion of convertible notes

 

—

 

 

 

419,129

 

Crimson A-2 Units dividends payment in-kind

 

610,353

 

 

 

—

 

Non-GAAP Financial Measurements (Unaudited)

The following table presents a reconciliation of Net Loss, as reported in the Consolidated Statements of Operations, to Adjusted Net Income (Loss) and CAD:

 

For the Three Months Ended

 

For the Year Ended

 

December 31, 2021

 

December 31, 2020

 

December 31, 2021

 

December 31, 2020

Net Loss

$

(188,675

)

 

$

(2,671,680

)

 

$

(2,535,558

)

 

$

(306,067,579

)

Add:

 

 

 

 

 

 

 

Loss on impairment of leased property

 

—

 

 

 

—

 

 

 

—

 

 

 

140,268,379

 

Loss on impairment and disposal of leased property

 

—

 

 

 

—

 

 

 

5,811,779

 

 

 

146,537,547

 

Loss on termination of lease

 

—

 

 

 

—

 

 

 

165,644

 

 

 

458,297

 

Deferred rent receivable write-off

 

—

 

 

 

—

 

 

 

—

 

 

 

30,105,820

 

Loss (gain) on extinguishment of debt

 

—

 

 

 

—

 

 

 

861,814

 

 

 

(11,549,968

)

Other accruals write-off

 

(297,800

)

 

 

—

 

 

 

(297,800

)

 

 

—

 

Gain (loss) on the sale of equipment

 

—

 

 

 

(10,141

)

 

 

(16,508

)

 

 

(13,683

)

Transaction costs

 

1,321,562

 

 

 

528,113

 

 

 

6,947,334

 

 

 

1,673,920

 

Transaction bonus

 

—

 

 

 

—

 

 

 

1,036,492

 

 

 

—

 

Adjusted Net Income (Loss)

$

835,087

 

 

$

(2,153,708

)

 

$

11,973,197

 

 

$

1,412,733

 

Add:

 

 

 

 

 

 

 

Depreciation, amortization and ARO accretion (Cash Flows)

 

4,876,097

 

 

 

2,482,689

 

 

 

16,406,557

 

 

 

14,924,464

 

Deferred tax expense (benefit)

 

3,853,952

 

 

 

85,357

 

 

 

4,076,290

 

 

 

310,985

 

Less:

 

 

 

 

 

 

 

Transaction costs

 

1,321,562

 

 

 

528,113

 

 

 

6,947,334

 

 

 

1,673,920

 

Transaction bonus

 

—

 

 

 

—

 

 

 

1,036,492

 

 

 

—

 

Maintenance capital expenditures

 

1,958,286

 

 

 

—

 

 

 

7,339,994

 

 

 

—

 

Preferred dividend requirements - Series A

 

2,388,130

 

 

 

2,309,672

 

 

 

9,395,604

 

 

 

9,189,809

 

Preferred dividend requirements - Non-controlling interest

 

809,212

 

 

 

—

 

 

 

3,136,203

 

 

 

—

 

Mandatory debt amortization

 

2,000,000

 

 

 

—

 

 

 

6,000,000

 

 

 

1,764,000

 

Cash Available for Distribution

$

1,087,946

 

 

$

(2,423,447

)

 

$

(1,399,583

)

 

$

4,020,453

 

The financial impacts of the Crimson assets only represent the period from February 1, 2021 to December 31, 2021.

 

For the Three Months Ended

 

For the Year Ended

 

December 31, 2021

 

December 31, 2020

 

December 31, 2021

 

December 31, 2020

Net cash provided by (used in) operating activities

$

5,059,824

 

 

$

(339,304

)

 

$

17,298,110

 

 

$

10,383,070

 

Changes in working capital

 

3,481,550

 

 

 

225,529

 

 

 

7,471,908

 

 

 

4,591,192

 

Other accruals write-off

 

(297,800

)

 

 

—

 

 

 

(297,800

)

 

 

—

 

Maintenance capital expenditures

 

(1,958,286

)

 

 

—

 

 

 

(7,339,994

)

 

 

—

 

Preferred dividend requirements

 

(2,388,130

)

 

 

(2,309,672

)

 

 

(9,395,604

)

 

 

(9,189,809

)

Preferred dividend requirements - non-controlling interest

 

(809,212

)

 

 

—

 

 

 

(3,136,203

)

 

 

—

 

Mandatory debt amortization included in financing activities

 

(2,000,000

)

 

 

—

 

 

 

(6,000,000

)

 

 

(1,764,000

)

Cash Available for Distribution

$

1,087,946

 

 

$

(2,423,447

)

 

$

(1,399,583

)

 

$

4,020,453

 

 

 

 

 

 

 

 

 

Other Special Items:

 

 

 

 

 

 

 

Transaction costs

$

1,321,562

 

 

$

528,113

 

 

$

6,947,334

 

 

$

1,673,920

 

Transaction bonus

 

—

 

 

 

—

 

 

 

1,036,492

 

 

 

—

 

 

 

 

 

 

 

 

 

Other Cash Flow Information:

 

 

 

 

 

 

 

Net cash used in investing activities

$

(817,783

)

 

$

(1,292,944

)

 

$

(83,593,954

)

 

$

(2,127,822

)

Net cash used in financing activities

 

(6,837,520

)

 

 

(2,992,249

)

 

 

(20,804,585

)

 

 

(29,521,984

)

The financial impacts of the Crimson assets only represent the period from February 1, 2021 to December 31, 2021.

 

For the Three Months Ended

 

For the Year Ended

 

December 31, 2021

 

December 31, 2020

 

December 31, 2021

 

December 31, 2020

Net Loss

$

(188,675

)

 

$

(2,671,680

)

 

$

(2,535,558

)

 

$

(306,067,579

)

Add:

 

 

 

 

 

 

 

Loss on impairment of leased property

 

—

 

 

 

—

 

 

 

—

 

 

 

140,268,379

 

Loss on impairment and disposal of leased property

 

—

 

 

 

—

 

 

 

5,811,779

 

 

 

146,537,547

 

Loss on termination of lease

 

—

 

 

 

—

 

 

 

165,644

 

 

 

458,297

 

Deferred rent receivable write-off

 

—

 

 

 

—

 

 

 

—

 

 

 

30,105,820

 

Loss (gain) on extinguishment of debt

 

—

 

 

 

—

 

 

 

861,814

 

 

 

(11,549,968

)

Other accruals write-off

 

(297,800

)

 

 

—

 

 

 

(297,800

)

 

 

—

 

Gain on the sale of equipment

 

—

 

 

 

(10,141

)

 

 

(16,508

)

 

 

(13,683

)

Transaction costs

 

1,321,562

 

 

 

528,113

 

 

 

6,947,334

 

 

 

1,673,920

 

Transaction bonus

 

—

 

 

 

—

 

 

 

1,036,492

 

 

 

—

 

Depreciation, amortization and ARO accretion expense

 

4,464,037

 

 

 

2,174,630

 

 

 

14,801,676

 

 

 

13,654,429

 

Income tax expense (benefit), net

 

3,811,107

 

 

 

89,019

 

 

 

4,074,759

 

 

 

(84,858

)

Interest expense, net

 

3,163,480

 

 

 

2,247,994

 

 

 

12,742,157

 

 

 

10,301,644

 

Adjusted EBITDA

$

12,273,711

 

 

$

2,357,935

 

 

$

43,591,789

 

 

$

25,283,948

 

The financial impacts of the Crimson assets only represent the period from February 1, 2021 to December 31, 2021.

Source: CorEnergy Infrastructure Trust, Inc.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220314005225/en/

CorEnergy Infrastructure Trust, Inc. Investor Relations Debbie Hagen or Matt Kreps 877-699-CORR (2677) info@corenergy.reit