Kirby Corporation · NYSE:KEX
Kirby — Q3 2021 Earnings Presentation
14 slides from Kirby's earnings presentation, Oct 28, 2021
Slide 1: 3Q 2021 Earnings Conference Call
3Q 2021 Earnings Conference Call October 28, 2021
Slide 2: Disclosures
Disclosures Forward Looking Statements Statements contained in this conference call with respect to the future are forward-looking statements. These statements reflect management’s reasonable judgment with respect to future events. Forward-looking statements involve risks and uncertainties. Actual r
Slide 3: 3Q 2021 Overview
3Q 2021 Overview Financial Summary $ millions except earnings (loss) per share 3Q 2021 3Q 2020 Variance % 2Q 2021 Variance % Revenues $ 598.9 $ 496.6 $ 102.3 21% $ 559.6 $ 39.3 7% Operating income (316.9) 29.9 (346.8) -1160% 24.0 (340.9) -1420% Net earnings (loss) attributable to Kirby (264.7) 27.5
Slide 4: Marine Transportation – 3Q Overview
Marine Transportation – 3Q Overview Inland COVID-19 delta variant negatively impacted operations – Lower demand for refined products and crude – Reduced barge volumes and utilization – Positive employee cases challenged vessel crewing – Increased costs for additional chartered horsepower Hurrica
Slide 5: Hurricane Ida
Hurricane Ida Results in prolonged shutdown of many Louisiana refineries and chemical plants Hurricane Ida made landfall in SE Louisiana on August 29, 2021 – Category 4 storm with sustained 150 mph winds – Storm surge caused the Mississippi River to flow backwards – Significant damage to refinerie
Slide 6: Distribution & Services – 3Q Overview
Distribution & Services – 3Q Overview Commercial and Industrial Power generation activity benefited from back-up power installations and increased utilization of the rental fleet during hurricane season Increased Thermo King product sales and summer service demand Marine repair impacted by red
Slide 7: 3Q 2021 One-Time Items
3Q 2021 One-Time Items Coastal restructuring including the sale of Hawaii assets and retirement of wire equipment Charge relates to coastal marine transportation – Sale of 4 tank barges and 7 tugboats in Hawaii • Equipment will be chartered until existing contracts expire on December 31, 2021 • Sa
Slide 8: Marine Transportation
Marine Transportation 3Q 2021 Financial Summary $ millions 3Q 2021 3Q 2020 Variance % 2Q 2021 Variance % Revenue $ 338.5 $ 320.6 $ 17.9 6% $ 332.9 $ 5.6 2% Operating income 16.9 32.4 (15.5) -48% 18.5 (1.6) -9% Operating margin 5.0% 10.1% -5.1% 5.6% -0.6% Inland – Contributed 76% of marine transpor
Slide 9: Barge Construction and Retirements
Barge Construction and Retirements 3Q 2021 Update and FY 2021 Outlook Inland 3Q 2021 FY 2021 (barrels in millions) Barges Barrels Barges Barrels Beginning of period 1,046 23.4 1,066 24.1 Reductions: Retirements (9) (0.2) (28) (0.9) Charters returned (1) - (4) (0.1) End of period 1,036 23.2 1,034 23.
Slide 10: Distribution & Services
Distribution & Services 3Q 2021 Financial Summary $ millions 3Q 2021 3Q 2020 Variance % 2Q 2021 Variance % Revenue $ 260.4 $ 176.0 $ 84.4 48% $ 226.7 $ 33.7 15% Operating income 11.0 1.1 9.9 900% 6.2 4.8 77% Operating margin 4.2% 0.6% 3.6% 2.7% 1.5% Commercial and industrial – Improved demand for
Slide 11: Balance Sheet, Capital Expenditures, and Liquidity
Balance Sheet, Capital Expenditures, and Liquidity Strong Liquidity and Free Cash Flow Position As of September 30, 2021 Total Cash and Available Debt Cash Equivalents Liquidity $1.21B $54M $908M Third quarter results: – $83 million of net cash provided by operating activities – $34 million of cap
Slide 12: Marine Transportation – 4Q 2021 Outlook
Marine Transportation – 4Q 2021 Outlook Barge markets expected to continue to materially improve Inland – Expecting an improved inland barge market partially muted by continued Hurricane Ida disruptions – Barge volumes expected to benefit from economic growth, increased post-storm production, pent
Slide 13: Distribution & Services – 4Q 2021 Outlook
Distribution & Services – 4Q 2021 Outlook Near-term activity reductions due to normal seasonality and supply chain delays Oil and gas – Favorable oil prices expected to drive continued improvement in U.S. rig and frac activity – Robust demand for new transmissions, parts, and service – Strong manu
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