CORR
$2.47
Corenergy Infrastructure Trust
$.15
6.47%
Earnings Details
3rd Quarter September 2022
Thursday, November 10, 2022 8:00:00 AM
Tweet Share Watch
Summary

CorEnergy Reaffirms

Corenergy Infrastructure Trust (CORR) reported a 3rd Quarter September 2022 loss of $0.12 per share on revenue of $33.0 million.. Revenue fell 11.0% compared to the same quarter a year ago.

The company said it continues to expect Adjusted EBITDA of $42.0 million to $44.0 million for the year ending December 31, 2022.

CorEnergy Infrastructure Trust Inc is engaged in acquiring and financing midstream and downstream real estate assets within the U.S. energy infrastructure sector.

Results
Reported Earnings
($0.12)
Earnings Whisper
-
Consensus Estimate
Reported Revenue
$33.0 Mil
Revenue Estimate
Growth
Earnings Growth
Revenue Growth
Power Rating
Grade
Earnings Release

CorEnergy Announces Third Quarter 2022 Results

KANSAS CITY, Mo.--(BUSINESS WIRE)--CorEnergy Infrastructure Trust, Inc. (NYSE: CORR, CORRPrA) ("CorEnergy" or the "Company") today announced financial results for the third quarter, ended September 30, 2022.

Third Quarter 2022 and Recent Highlights

  • Reported Total Revenue of $33.0 million for the three months ended September 30, 2022.
  • Generated Net Loss of $15.5 million, inclusive of a $16.2 million impairment to goodwill, and Adjusted EBITDA (a non-GAAP financial measure) of $8.9 million.
  • Transported an average of 164,748 barrels per day, versus 159,202 barrels per day the previous quarter.
  • Began collecting rate increases at two Crimson subsidiaries.
  • Declared a third quarter 2022 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 will be paid on November 30, 2022, to stockholders of record on November 16, 2022.

Management Commentary

“Our third quarter was characterized by steady performance from our predictable MoGas and Omega natural gas operations, where we are also evaluating expansion opportunities. We also reported improved volume on our Crimson assets as we continue to manage through disruptions in the global oil supply chain and operational issues with third-party infrastructure. We have initiated both cost efficiency measures and tariff increases on our California pipelines in response to this increased volatility, while maintaining our 2022 outlook calling for adjusted EBITDA of between $42.0 and $44.0 million,” said Dave Schulte, Chief Executive Officer.

“We are also advancing our work in the new carbon capture and sequestration market, where our California assets are well positioned as a critical linkage between large carbon emission sources and attractive storage reservoirs. CCS has emerged as a particular focus in California due to the California Air Resources Board making it a central pillar in its aggressive greenhouse gas reduction plans and economic incentives from government entities at both the federal and state levels that may be the best in the nation.”

Third Quarter Performance Summary

Third quarter financial highlights are as follows:

 

For the Three Months Ended

 

September 30, 2022

 

 

Per Share

 

Total

Basic

Diluted

Net Loss (Attributable to Common Stockholders)

$

(18,490,882

)

$

(1.17

)

$

(1.17

)

Net Cash Provided by Operating Activities

$

26,703,113

 

 

 

Adjusted Net Income1

$

1,096,465

 

 

 

Cash Available for Distribution (CAD)1

$

(1,006,756

)

 

 

Adjusted EBITDA2

$

8,882,866

 

 

 

 

 

 

 

Dividends Declared to Common Stockholders

 

$

0.05

 

 

1 Non-GAAP financial measure. Adjusted Net Income excludes special items of $405 thousand, which are transaction costs; however, CAD has not been so adjusted. Reconciliations of Adjusted Net Income and CAD, as presented, to Net 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 Non-GAAP financial measure. Adjusted EBITDA excludes special items of $405 thousand, which are transaction costs. Reconciliation of Adjusted EBITDA, as presented, to Net Loss is included at the end of this press release. See Note 2 below for additional information.

Crimson Rate Increases

During the third quarter, Crimson filed for a tariff increase of 34.9% on its Southern California pipeline system and 10% on its KLM pipeline. Both of these tariff filings were protested by shippers and are proceeding through the CPUC process with resolution expected in second half of 2023. The Company commenced collecting a 10% tariff increase on both systems after filing, subject to refund, as allowed by the CPUC rules. The Company plans to file and begin collecting an additional 10% increase on its Southern California pipeline system in August 2023, for a total effective increase of 21%, which represents the anniversary date of the original filing for that system, assuming the rate case has not been resolved by that time. CorEnergy believes Crimson's cost-of-service fully justifies both requested increases.

Crimson filed for a Tariff increase of 10% increase on its SPB system, but withdrew it due to increased volumes and general volume variability on that line. The Company will continuously monitor its cost-of-service and will file a rate increase on this system if conditions warrant.

Business Development Activities

CorEnergy continues to seek opportunities for negotiated transactions that could expand the Company's market reach or REIT-qualifying revenue sources, including both traditional infrastructure and potential alternative uses for its rights of way. The Company intends to continue to prudently advance these opportunities within our existing footprint or to enhance scale and diversification; however there can be no assurances that any such opportunities will be consummated on terms that are acceptable or advantageous or at all.

Outlook

CorEnergy is maintaining its outlook for 2022:

  • Expected Adjusted EBITDA of $42.0-$44.0 million, (see Note 2 below for additional details);
  • 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); and
  • The Company will continue to evaluate dividends, subject to Board approval, on a quarterly basis in line with current practices.

Dividend and Distribution Declarations

The Company currently expects to characterize at least some portion of its 2022 Common Stock and Preferred Stock dividends as Return of Capital for tax purposes.

Common Stock: A third quarter 2022 dividend of $0.05 per share was declared for CorEnergy's common stock. The dividend will be paid on November 30, 2022, to stockholders of record on November 16, 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 for the third quarter. The preferred stock dividend, which equates to an annual dividend payment of $1.84375 per depositary share, will be paid on November 30, 2022, to stockholders of record on November 16, 2022.

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

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 will not receive a cash distribution for the third quarter, because no dividend was declared on the underlying Class B Common Stock for the quarter.

Third Quarter Results Call

CorEnergy will host a conference call on Thursday, November 10, 2022 at 10:00 a.m. Central Time to discuss its financial results. The call may also include discussion of Company developments, and forward-looking and other material information about business and financial matters. To join the call, dial +1-973-528-0016 and provide access code 977524 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 December 9, 2022, by dialing +1-919-882-2331. The Conference ID is 46842. 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

With the exception of historical information, certain statements contained in this press release 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, such as those pertaining to our guidance, pursuit of growth opportunities, anticipated transportation volumes, expected rate increases, planned capital expenditures, planned dividend payment levels, capital resources and liquidity, and results of operations and financial condition. You can identify forward-looking statements by use of words such as "will," "may," "should," "could," "believes," "expects," "anticipates," "estimates," "intends," "projects," "goals," "objectives," "targets," "predicts," "plans," "seeks," or similar expressions or other comparable terms or discussions of strategy, plans or intentions. 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, changes in economic and business conditions; a decline in oil production levels; competitive and regulatory pressures; 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; compliance with environmental, safety and other laws; our continued ability to access debt and equity markets and comply with existing debt covenants; risks associated with climate change; risks associated with changes in tax laws and our ability to continue to qualify as a REIT; and other 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 dividends 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 and other applicable requirements.

Notes

1 Management uses Adjusted Net Income as a measure of profitability and 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 goodwill impairment, transaction-related costs, and gain on sale of equipment. CAD represents Adjusted Net Income adjusted for depreciation, amortization and ARO accretion (cash flows), stock-based compensation, and deferred tax expense less transaction-related 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, the most directly comparable corresponding GAAP measures, 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 loss on impairment of goodwill, transaction-related costs, depreciation, amortization and ARO accretion expense, stock-based compensation, income tax expense, interest expense and gain on the sale of equipment. The reconciliation of Adjusted EBITDA to Net Income (Loss), the most directly comparable GAAP measure, is included in the additional financial information attached to this press release. Future period non-GAAP guidance includes adjustments for special items not indicative of our core operations, which may include, without limitation, items included in the additional financial information attached to this press release. Such adjustments may be affected by changes in ongoing assumptions and judgments, as well as nonrecurring, unusual or unanticipated charges, expenses or gains or other items that may not directly correlate to the underlying performance of our business operations. The exact amounts of these adjustments are not currently determinable but may be significant. It is therefore not practicable to provide the comparable GAAP measures or reconcile this future period non-GAAP guidance to the most comparable GAAP measures.

Consolidated Balance Sheets

 

September 30, 2022

December 31, 2021

Assets

(Unaudited)

 

Property and equipment, net of accumulated depreciation of $48,864,283 and $37,022,035, respectively (Crimson VIE*: $337,470,077, and $338,452,392, respectively)

$

438,249,633

 

$

441,430,193

 

Leased property, net of accumulated depreciation of $289,154 and $258,207, respectively

 

1,236,873

 

 

1,267,821

 

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

 

904,743

 

 

1,036,660

 

Cash and cash equivalents (Crimson VIE: $3,125,706 and $1,870,000, respectively)

 

21,776,263

 

 

12,496,478

 

Accounts and other receivables (Crimson VIE: $7,654,757 and $11,291,749, respectively)

 

10,609,744

 

 

15,367,389

 

Due from affiliated companies (Crimson VIE: $94,994 and $676,825, respectively)

 

94,994

 

 

676,825

 

Deferred costs, net of accumulated amortization of $631,408 and $345,775, respectively

 

510,939

 

 

796,572

 

Inventory (Crimson VIE: $5,859,262 and $3,839,865, respectively)

 

6,004,037

 

 

3,953,523

 

Prepaid expenses and other assets (Crimson VIE: $3,946,389 and $5,004,566, respectively)

 

5,699,079

 

 

9,075,043

 

Operating right-of-use assets (Crimson VIE: $4,755,606 and $5,647,631, respectively)

 

5,082,028

 

 

6,075,939

 

Deferred tax asset, net

 

111,681

 

 

206,285

 

Goodwill

 

 

 

16,210,020

 

Total Assets

$

490,280,014

 

$

508,592,748

 

Liabilities and Equity

 

 

Secured credit facilities, net of deferred financing costs of $817,972 and $1,275,244, respectively

$

99,182,028

 

$

99,724,756

 

Unsecured convertible senior notes, net of discount and debt issuance costs of $1,890,895 and $2,384,170, respectively

 

116,159,105

 

 

115,665,830

 

Accounts payable and other accrued liabilities (Crimson VIE: $14,935,627 and $9,743,904, respectively)

 

19,596,670

 

 

17,036,064

 

Income tax payable

 

344,630

 

 

 

Due to affiliated companies (Crimson VIE: $276,428 and $648,316, respectively)

 

276,428

 

 

648,316

 

Operating lease liability (Crimson VIE: $4,653,594 and $5,647,036, respectively)

 

4,951,891

 

 

6,046,657

 

Unearned revenue (Crimson VIE: $205,790 and $199,405, respectively)

 

5,990,897

 

 

5,839,602

 

Total Liabilities

$

246,501,649

 

$

244,961,225

 

 

 

 

Equity

 

 

Series A Cumulative Redeemable Preferred Stock 7.375%, $129,525,675 liquidation preference ($2,500 per share, $0.001 par value); 10,000,000 authorized; 51,810 issued and outstanding at September 30, 2022 and December 31, 2021

$

129,525,675

 

$

129,525,675

 

Common stock, non-convertible, $0.001 par value; 15,176,911 and 14,893,184 shares issued and outstanding at September 30, 2022 and December 31, 2021, respectively (100,000,000 shares authorized)

 

15,177

 

 

14,893

 

Class B Common Stock, $0.001 par value; 683,761 shares issued and outstanding at September 30, 2022 and December 31, 2021, (11,896,100 shares authorized)

 

684

 

 

684

 

Additional paid-in capital

 

329,796,049

 

 

338,302,735

 

Retained deficit

 

(339,752,470

)

 

(327,157,636

)

Total CorEnergy Equity

 

119,585,115

 

 

140,686,351

 

Non-controlling interest (Crimson)

 

124,193,250

 

 

122,945,172

 

Total Equity

 

243,778,365

 

 

263,631,523

 

Total Liabilities and Equity

$

490,280,014

 

$

508,592,748

 

*Variable Interest Entity (VIE)

 

 

Consolidated Statements of Operations (Unaudited)

 

For the Three Months Ended

 

September 30, 2022

June 30, 2022

Revenue

 

 

Transportation and distribution

$

31,305,546

 

$

28,112,834

 

Pipeline loss allowance subsequent sales

 

1,477,251

 

 

3,074,436

 

Lease

 

111,725

 

 

30,825

 

Other

 

67,164

 

 

303,341

 

Total Revenue

 

32,961,686

 

 

31,521,436

 

Expenses

 

 

Transportation and distribution

 

17,647,673

 

 

14,263,677

 

Pipeline loss allowance subsequent sales cost of revenue

 

1,385,028

 

 

2,438,987

 

General and administrative

 

5,743,342

 

 

5,276,363

 

Depreciation, amortization and ARO accretion

 

4,028,800

 

 

3,992,314

 

Loss on impairment of goodwill

 

16,210,020

 

 

 

Total Expenses

 

45,014,863

 

 

25,971,341

 

Operating Income (loss)

$

(12,053,177

)

$

5,550,095

 

Other Income (expense)

 

 

Other income

$

76,050

 

$

136,023

 

Interest expense

 

(3,483,208

)

 

(3,342,906

)

Total Other Expense

 

(3,407,158

)

 

(3,206,883

)

Income (loss) before income taxes

 

(15,460,335

)

 

2,343,212

 

Taxes

 

 

Current tax expense

 

35,187

 

 

156,877

 

Deferred tax expense

 

6,182

 

 

16,209

 

Income tax expense, net

 

41,369

 

 

173,086

 

Net Income (loss)

 

(15,501,704

)

 

2,170,126

 

Less: Net income attributable to non-controlling interest

 

601,048

 

 

966,671

 

Net income (loss) attributable to CorEnergy

$

(16,102,752

)

$

1,203,455

 

Preferred stock dividends

 

2,388,130

 

 

2,388,130

 

Net loss attributable to Common Stockholders

$

(18,490,882

)

$

(1,184,675

)

 

 

 

Net Loss Per Common Share:

 

 

Basic

$

(1.17

)

$

(0.08

)

Diluted

$

(1.17

)

$

(0.08

)

Weighted Average Shares of Common Stock Outstanding:

 

 

Basic

 

15,773,469

 

 

15,673,703

 

Diluted

 

15,773,469

 

 

15,673,703

 

Dividends declared per common share

$

0.050

 

$

0.050

 

Consolidated Statements of Cash Flows (Unaudited)

 

For the Nine Months Ended

 

September 30, 2022

September 30, 2021

Operating Activities

 

 

Net loss

$

(8,966,821

)

$

(2,346,883

)

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

 

 

Deferred income tax, net

 

94,604

 

 

222,337

 

Depreciation, amortization and ARO accretion

 

11,997,781

 

 

10,337,639

 

Amortization of debt issuance costs

 

1,236,178

 

 

1,192,821

 

Goodwill impairment

 

16,210,020

 

 

 

Loss on impairment and disposal of leased property

 

 

 

5,811,779

 

Loss on termination of lease

 

 

 

165,644

 

Loss on extinguishment of debt

 

 

 

861,814

 

Gain on sale of equipment

 

(39,678

)

 

(16,508

)

Stock-based compensation

 

384,383

 

 

22,500

 

Changes in assets and liabilities:

 

 

Accounts and other receivables

 

2,715,207

 

 

702,251

 

Financing note accrued interest receivable

 

 

 

(8,780

)

Inventory

 

(2,050,514

)

 

(1,572,534

)

Prepaid expenses and other assets

 

4,296,890

 

 

(2,409,857

)

Due from affiliated companies, net

 

209,943

 

 

(188,578

)

Management fee payable

 

 

 

(971,626

)

Accounts payable and other accrued liabilities

 

1,213,961

 

 

1,361,746

 

Income tax liability

 

344,630

 

 

33,027

 

Operating lease liability

 

(1,094,766

)

 

(496,900

)

Unearned revenue

 

151,295

 

 

(439,106

)

Net cash provided by operating activities

$

26,703,113

 

$

12,260,786

 

Investing Activities

 

 

Acquisition of Crimson Midstream Holdings, net of cash acquired

 

 

 

(69,002,053

)

Acquisition of Corridor InfraTrust Management, net of cash acquired

 

 

 

952,487

 

Purchases of property and equipment

 

(7,759,603

)

 

(15,024,412

)

Proceeds from reimbursable projects

 

2,385,858

 

 

 

Proceeds from sale of property and equipment

 

55,075

 

 

97,210

 

Proceeds from insurance recovery

 

 

 

60,153

 

Principal payment on financing note receivable

 

131,917

 

 

113,595

 

Cash received from third parties for reimbursable projects

 

 

 

26,849

 

Net cash used in investing activities

$

(5,186,753

)

$

(82,776,171

)

Financing Activities

 

 

Debt financing costs

 

 

 

(2,735,922

)

Dividends paid on Series A preferred stock

 

(7,164,390

)

 

(7,007,474

)

Dividends paid on Common Stock

 

(1,644,549

)

 

(1,799,268

)

Distributions to non-controlling interest

 

(2,427,636

)

 

(1,446,901

)

Advances on revolving line of credit

 

9,000,000

 

 

19,000,000

 

Payments on revolving line of credit

 

(4,000,000

)

 

(16,000,000

)

Principal payments on Crimson secured credit facility

 

(6,000,000

)

 

(4,000,000

)

Net cash used in financing activities

$

(12,236,575

)

$

(13,989,565

)

Net change in Cash and Cash Equivalents

 

9,279,785

 

 

(84,504,950

)

Cash and Cash Equivalents at beginning of period

 

12,496,478

 

 

99,596,907

 

Cash and Cash Equivalents at end of period

$

21,776,263

 

$

15,091,957

 

 

 

 

 

 

 

Supplemental Disclosure of Cash Flow Information

 

 

Interest paid

$

8,802,697

 

$

10,206,280

 

Income taxes paid (net of refunds)

 

(12,055

)

 

(635,730

)

 

 

 

Non-Cash Investing Activities

 

 

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

 

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

 

2,249,585

 

 

 

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

 

 

Change in accounts payable and accrued expenses related to debt financing costs

$

 

$

235,198

 

Crimson A-2 Units dividends payment-in-kind

 

 

 

610,353

 

Reinvestment of Dividends Paid to Common Stockholders

 

601,184

 

 

 

Dividend equivalents accrued on RSUs

 

34,145

 

 

 

Non-GAAP Financial Measurements (Unaudited)

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

 

For the Three Months Ended

 

September 30, 2022

June 30, 2022

Net Income (loss)

$

(15,501,704

)

$

2,170,126

Add:

 

 

Loss on goodwill impairment

 

16,210,020

 

 

Transaction costs

 

405,149

 

 

221,241

Less:

 

 

Gain on the sale of equipment

 

17,000

 

 

22,678

Adjusted Net Income, excluding special items

$

1,096,465

 

$

2,368,689

Add:

 

 

Depreciation, amortization and ARO accretion (Cash Flows)

 

4,440,858

 

 

4,404,174

Stock-based compensation

 

233,024

 

 

151,359

Deferred tax expense

 

6,182

 

 

16,209

Less:

 

 

Transaction costs

 

405,149

 

 

221,241

Maintenance capital expenditures

 

1,180,794

 

 

1,475,433

Preferred dividend requirements - Series A

 

2,388,130

 

 

2,388,130

Preferred dividend requirements - Non-controlling interest

 

809,212

 

 

809,212

Mandatory debt amortization

 

2,000,000

 

 

2,000,000

Cash Available for Distribution (CAD)

$

(1,006,756

)

$

46,415

The following table reconciles net cash provided by operating activities, as reported in the Consolidated Statements of Cash Flows to CAD:

 

For the Three Months Ended

 

September 30, 2022

June 30, 2022

Net cash provided by operating activities

$

8,051,926

 

$

10,070,603

 

Changes in working capital

 

(2,680,546

)

 

(3,351,413

)

Maintenance capital expenditures

 

(1,180,794

)

 

(1,475,433

)

Preferred dividend requirements

 

(2,388,130

)

 

(2,388,130

)

Preferred dividend requirements - non-controlling interest

 

(809,212

)

 

(809,212

)

Mandatory debt amortization included in financing activities

 

(2,000,000

)

 

(2,000,000

)

Cash Available for Distribution (CAD)

$

(1,006,756

)

$

46,415

 

 

 

 

Other Special Items:

 

 

Transaction costs

$

405,149

 

$

221,241

 

 

 

 

Other Cash Flow Information:

 

 

Net cash used in investing activities

$

(3,275,513

)

$

(857,208

)

Net cash used in financing activities

 

(752,405

)

 

(4,749,222

)

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

 

For the Three Months Ended

 

September 30, 2022

June 30, 2022

Net Income (loss)

$

(15,501,704

)

$

2,170,126

Add:

 

 

Loss on goodwill impairment

 

16,210,020

 

 

Transaction costs

 

405,149

 

 

221,241

Depreciation, amortization and ARO accretion

 

4,028,800

 

 

3,992,314

Stock-based compensation

 

233,024

 

 

151,359

Income tax expense, net

 

41,369

 

 

173,086

Interest expense, net

 

3,483,208

 

 

3,342,906

Less:

 

 

Gain on the sale of equipment

 

17,000

 

 

22,678

Adjusted EBITDA

$

8,882,866

 

$

10,028,354

Source: CorEnergy Infrastructure Trust, Inc.

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

Source: CorEnergy Infrastructure Trust, Inc.