Macquarie Infrastructure Corporation (NYSE: MIC) has reported USD 11 million in first quarter 2020 net income from continuing operations, down 83% compared with the first quarter of 2019, the company said.
This decrease reflects the absence of the termination fee at IMTT, reduced sales activity at Atlantic Aviation and MIC Hawaii and increased general and administrative expenses primarily related to MIC´s pursuit of strategic alternatives.
The first quarter results reflect the stable performance of its operating businesses through the first 10 weeks of the quarter and a sharp decline in Atlantic Aviation and MIC Hawaii´s performance in the last two weeks as a result of the implementation of travel, public gathering and other restrictions to combat the outbreak of COVID-19.
The impact of the COVID-19 pandemic on Atlantic Aviation and MIC Hawaii was partially offset by improved performance by International-Matex Tank Terminals, excluding the impact of an approximately USD 39 million contract termination payment and received in the first quarter of 2019.
Adjusted EBITDA excluding non-cash items from continuing operations totaled USD 152 million for the quarter, down 25% versus the prior comparable period or 7% excluding the termination fee.
MIC generated cash from operating activities of USD 99 million for the quarter, a decrease of 34% versus the prior comparable period. The decrease primarily reflects the reduction in EBITDA and declines in the amounts of products purchased and lower wholesale product prices, partially offset by declines in the amount of products sold and lower retail product prices.
MIC owns and operates a diversified group of businesses providing basic services to customers in the United States. Its businesses consist of a bulk liquid terminals business, International-Matex Tank Terminals; an airport services business, Atlantic Aviation; and entities comprising an energy services, production and distribution segment, MIC Hawaii.