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Cash Distribution to Class B Unitholders
Ferrellgas Partners L.P. has announced a cash distribution of approximately $49.9 million to its Class B Unitholders on April 7, 2023, according to its quarterly report. This brings the total cash distributions to approximately $150.0 million for its Class B Unitholders. The report also states that the company did not make any cash distributions to its Class A Unitholders in fiscal years 2023 and 2022.
Cash Reserves
The company’s cash reserves, used for future anticipated expenditures, were $192.2 million and $179.2 million for the twelve months ended April 30, 2023, and January 31, 2023, respectively.
Operating Activities
In terms of operating activities, Ferrellgas Partners reported a net cash provided by operating activities of $143.2 million and $128.2 million for the nine months ended April 30, 2023, and 2022, respectively. This represents a $15.0 million increase in cash provided by operating activities, mainly due to a decrease in working capital requirements and an increase in cash flow from operations.
Working Capital Requirements
The decrease in working capital requirements was driven by a drop in inventory requirements and a decrease in accounts and notes receivable, net. These decreases were partially offset by an increase in accounts payable requirements.
Cash Flow from Operations
The increase in cash flow from operations was primarily due to a decrease in interest expense and an increase in gross profit. However, this increase was partially offset by an increase in operating expenses, general and administrative expenses, and a decrease in other income.
Investing Activities
In terms of investing activities, Ferrellgas Partners reported a net cash used in investing activities of $92.2 million and $76.8 million for the nine months ended April 30, 2023, and 2022, respectively. This increase in net cash used in investing activities was mainly due to increased business acquisitions and capital expenditures.
Financing Activities
Ferrellgas Partners reported a net cash used in financing activities of $105.0 million and $104.2 million for the nine months ended April 30, 2023, and 2022, respectively. This slight increase in cash used in financing activities was primarily due to an increase in preferred unit distributions, offset by a decrease in cash payments for financing costs.
Conclusion
In conclusion, Ferrellgas Partners’ quarterly report highlights the company’s cash distribution to Class B Unitholders, its cash reserves, and its cash flow from operating, investing, and financing activities. These figures provide insight into the financial stability and performance of the company.
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