SEC Filing Summary: Suburban Propane Partners, L.P.
Business Context and Reporting Period
This Form 8-K, dated November 14, 2008, serves as a current report for Suburban Propane Partners, L.P. The filing primarily announces the release of Fiscal 2008 Fourth Quarter financial results via a press release (Exhibit 99.1). The company operates in the retail propane, fuel oil, natural gas, and electricity sectors.
Key Financial Metrics
The filing text itself does not provide specific numerical values for revenue, profit, cash flow, margins, debt, or liquidity. Instead, it defines the non-GAAP measures used in the accompanying press release to assess performance:
- EBITDA: Earnings before interest, income taxes, depreciation, and amortization.
- Adjusted EBITDA: EBITDA, net income, and net income per Common Unit excluding unrealized (non-cash) gains or losses from mark-to-market activity on derivative instruments (SFAS No. 133).
- Gross Margins: Defined as revenues less cost of products sold (excluding depreciation and amortization).
The company utilizes Adjusted EBITDA to evaluate liquidity, debt service obligations, distribution capabilities, and executive compensation performance. It is also a required component for calculating leverage and interest coverage ratios under the company's revolving credit agreement.
Material Changes
The filing text does not contain specific data regarding material changes in financial position compared to prior periods. It notes that the press release provides a reconciliation of Adjusted EBITDA to net cash provided by operating activities to assist in year-over-year comparisons.
Guidance, Outlook, and Risks
The filing highlights that profitability in the company's core businesses is largely dependent on the difference between retail sales prices and product costs. Consequently, the company emphasizes gross margins to help investors understand the impact of commodity price fluctuations on profitability. No specific forward-looking guidance or new risk factors are detailed in the text of this 8-K, other than the inherent commodity price sensitivity noted.
Investor Verification Checklist
- Review Exhibit 99.1 (Press Release) for specific Fiscal 2008 Fourth Quarter revenue, net income, and distribution figures.
- Verify the reconciliation of Adjusted EBITDA to net cash provided by operating activities to understand the impact of derivative mark-to-market adjustments.
- Assess the impact of commodity price volatility on gross margins as described in the press release.
- Confirm compliance with leverage and interest coverage ratios under the revolving credit agreement using the reported Adjusted EBITDA.