Delek Logistics Partners (NYSE:DKL) reported fourth-quarter net income of $47.3 million on Friday, marking a significant year-over-year increase from the $35.3 million recorded in late 2024.
On a per-unit basis, the Brentwood, Tennessee-based master limited partnership earned $0.88 per diluted common limited partner unit, up from $0.68 a year ago.
The partnership’s operational strength was reflected in its adjusted EBITDA, which climbed to $142.3 million for the period, compared to $114.3 million in the fourth quarter of 2024.
The results included a $44.1 million impact from sales-type lease accounting, underscoring the evolving structure of the partnership's long-term service agreements.
Distributable cash flow, a key metric for midstream entities that measures the ability to pay out distributions to unit holders, rose to $73.3 million on an adjusted basis.
This compares to $69.5 million in the prior-year period.
While net cash provided by operating activities saw a slight dip to $43.2 million from $49.9 million, the partnership maintained a robust coverage ratio to support its quarterly distributions.
The record financial performance follows Delek Logistics' recent moves to diversify its customer base and expand its footprint in the Permian and Delaware Basins.
Earlier today, the partnership initiated its 2026 adjusted EBITDA guidance, forecasting a range of $520 million to $560 million.