Replies to post #2481 on NGL Energy Partners LP (NGL)

[jugs]

Yes, it was brought up early in the CC. It had to come up because company debt is now cut to a hair more than half. DCF is the term indicating potential leverage when it comes to distributions and DCF is now so strong that distributions most assuredly must increase as this is mandated via the SES's 90% payout requirement. Too, acquisitions now slated and awaiting completion---are poised to expand our water division which is our most profitable area of business. So we have an expanding field of opportunity and it spells increasing income.

We've already gone through Quarter 1 in NGL's fiscal year so I'm thinking the 10% add-on will probably begin in in the October quarter (#3 on the fiscal calendar). It doesn't matter a lot to me---I'm liking that it's going to happen within the targeted fiscal year.

Very exciting times, wouldn't you agree?

[pete807]

Page 7 on the CC transcript posted by SA

We declared a $0.39 per unit a $1.56 annualized distribution for this quarter. Management expects to recommend to the Board that we continue at this distribution rate until at least our fiscal third quarter distribution which would be declared in January 2019 as we rebuild coverage to our targeted 1.3 times coverage or better.

To Trueheart: What is not to like about the yield via healthy distribution while we wait for the value to be recognized by mr, market, and a short squeeze forces the naysayers to go elsewhere?

???

Dividends don't do it for me

I like share buybacks btw,... debt pay down was also addressed. Things are going to be fine, imo.
-pete