MIC Reports Fourth Quarter and Full Year 2021 Financial and Operational Results

Macquarie Infrastructure Holdings, LLC (NYSE: MIC) (the “Company”) today announced its financial and operational results from continuing operations for the fourth quarter and full year 2021.

“Following the successful conclusion of the sales of our IMTT and Atlantic Aviation businesses, our continuing operations are composed principally of Hawaii Gas,” said Christopher Frost, chief executive officer of MIC. “The ongoing approval process related to the proposed merger of the Company with an entity managed by Argo Infrastructure Partners, LP is proceeding as anticipated. We continue to expect to receive the remaining approval from the Hawaii Public Utilities Commission and to conclude the transaction in the first half of 2022.” 

“If the merger is concluded on or prior to July 1, 2022, unitholders will receive merger consideration of $3.83 per unit in cash,” Frost added. “If the merger is concluded after July 1, 2022, unitholders will receive $4.11 per unit in cash.”

“Our financial results from continuing operations in the fourth quarter and full year 2021 reflect a continued increase in the number of people visiting Hawaii and the resulting growth in gas sales by our Hawaii Gas business,” said Frost.

Financial and Operational Results

MIC’s ongoing businesses include Hawaii Gas and several smaller operations collectively engaged in efforts to reduce the cost and improve the reliability and sustainability of energy in Hawaii. These businesses generate revenue primarily from the provision of gas to commercial, residential, and governmental customers and the generation of power. 

MIC’s results from continuing operations in 2021 reflect improving conditions for its operations as the number of visitors to Hawaii recovers from COVID-induced lows. The number of visitors to Hawaii increased to approximately 65% of pre-pandemic levels for the full year. The increase in the number of visitors drove hotel occupancy and restaurant patronage higher and consequently gas sales by Hawaii Gas. 

The volume of gas sold by Hawaii Gas increased 21% in 2021 versus 2020. The financial impact of the increase in sales was partially offset by a higher average wholesale cost of Liquified Petroleum Gas distributed by the business. The total volume of gas sold was 11% below the level recorded in 2019 prior to the pandemic.

Each of MIC’s key financial performance metrics for 2021 reflect the impact of increased expenses of approximately $291.3 million primarily associated with the sale of its Atlantic Aviation business and the Company’s reorganization as a limited liability company. The majority of these expenses were incurred in the third quarter of the year.

MIC recorded a net loss from continuing operations of $300.3 million in 2021 compared with a net loss of $96.6 million in 2020. 

The Company reported Adjusted EBITDA excluding non-cash items from continuing operations (excluding the above-noted transaction and reorganization expenses) of $39.2 million in 2021 versus $34.2 million in 2020. 

MIC used $288.2 million of cash in operating activities during the year compared with use of $46.4 million in 2020. 

The Company reported Adjusted Free Cash Flow from continuing operations (excluding the above-noted transaction and reorganization expenses) of $27.8 million in 2021 versus $12.1 million in 2020.  

About MIC

MIC owns and operates businesses providing energy services, production and distribution in Hawaii. For additional information, please visit the MIC website at www.macquarie.com/mic.