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Segment Data
 3 Months Ended
Mar. 31, 2025
Segment Reporting [Abstract]  
Segment Data Segment Data
We aggregate our operating segments into four reportable segments: (i) gathering and processing; (ii) wholesale marketing and terminalling; (iii) storage and transportation; and (iv) investment in pipeline joint ventures. Operations that are not specifically included in the reportable segments are included in Corporate and other segment. The Partnership defines its segments based on how internally reported financial information is regularly reviewed by its chief operating decision maker ("CODM") to analyze financial performance, make decisions and allocate resources.
The CODM is the President of the Partnership. The CODM evaluates performance based on EBITDA for planning and forecasting purposes. The CODM considers budget to actual variances on a monthly basis when making decisions about allocation of operating and capital resources to each segment. EBITDA is an important measure used by management to evaluate the financial performance of our core operations. EBITDA is not a GAAP measure, but the components of EBITDA are computed using amounts that are determined in accordance with GAAP. A reconciliation of EBITDA to Net Income is included in the tables below. We define EBITDA as net income (loss) before net interest expense, income tax expense, depreciation and amortization expense, including amortization of marketing contract intangible, which is included as a component of net revenues in our accompanying condensed consolidated statements of income and comprehensive income.
Assets by segment are not a measure used to assess the performance of the Partnership by the CODM and thus is not disclosed.
The following is a summary of business segment operating performance as measured by EBITDA for the periods indicated (in thousands):
Three Months Ended March 31, 2025
(In thousands)Gathering and ProcessingWholesale Marketing and TerminallingStorage and TransportationInvestments in Pipeline Joint VenturesCorporate and OtherConsolidated
Net revenues:
Affiliate (1)
$38,567 $64,708 $23,046 $— $— $126,321 
Third party80,036 41,991 1,582 — — 123,609 
Total revenue118,603 106,699 24,628 — — 249,930 
Cost of materials and other24,344 89,653 15,027 — 28 129,052 
Operating expenses30,581 3,799 5,161 — 1,444 40,985 
Income from equity method investments— — — (10,150)— (10,150)
Other segment items (2)
(4,261)10 26 — 8,782 4,557 
Segment EBITDA $67,939 $13,237 $4,414 $10,150 $(10,254)85,486 
Depreciation and amortization$24,723 $952 $1,281 $— $760 27,716 
Interest income$(11,365)$(4,161)$(7,021)$— $— (22,547)
Interest expense$— $— $— $— $41,101 41,101 
Income tax expense182 
Net income$39,034 
Capital spending (3)
$71,311 $90 $542 $— $— $71,943 
Three Months Ended March 31, 2024
(In thousands)Gathering and ProcessingWholesale Marketing and TerminallingStorage and TransportationInvestments in Pipeline Joint VenturesCorporate and OtherConsolidated
Net revenues:
Affiliate (1)
$52,553 $52,882 $34,190 $— $— $139,625 
Third party43,330 66,388 2,732 — — 112,450 
Total revenue95,883 119,270 36,922 — — 252,075 
Cost of materials and other17,869 91,904 13,893 — 27 123,693 
Operating expenses19,705 3,828 5,021 — 3,362 31,916 
Income from equity method investments— — — (8,490)— (8,490)
Other segment items (2)
550 (1,736)(119)— 4,760 3,455 
Segment EBITDA$57,759 $25,274 $18,127 $8,490 $(8,149)101,501 
Depreciation and amortization$21,154 $1,712 $2,775 $— $854 26,495 
Amortization of marketing contract intangible$— $1,803 $— $— $— 1,803 
Interest expense$— $— $— $— $40,229 40,229 
Income tax expense326 
Net income$32,648 
Capital spending (3)
$14,723 $(84)$526 $— $— $15,165 
(1) Affiliate revenue for the wholesale marketing and terminalling segment is presented net of amortization expense pertaining to the marketing contract intangible of $1.8 million for the three months ended March 31, 2024. There was no amortization recorded during the three months ended March 31, 2025 related to this intangible, as the associated agreement was terminated on August 5, 2024.
(2) Other segment items include general and administrative expense, other operating (income) loss and other income. Additionally, the wholesale marketing and terminalling segment includes amortization of the marketing contract intangible for the three months ended March 31, 2024.
(3) Capital spending includes additions on an accrual basis.