Martin Midstream is a master limited partnership with a set of operations focused primarily on the U.S. Gulf Coast.

Its terminaling and storage business segment outperformed internal expectations during the first quarter, driven by higher than projected throughput at its Corpus Christi, Texas, crude terminal and lower-than-forecast expenses at the shore-based terminals and the Smackover refinery.

Also, the marine transportation segment, in particular its offshore fleet, performed well during the first quarter.

In natural gas services, Martin’s storage assets were again ahead of planned performance; however, offsetting performance were lower-than-anticipated volumes and margins across its natural gas liquids (NGL) businesses.

Its sulfur services segment met the plan even as the fertilizer business experienced weather-related fertilizer-application delays.

The partnership’s adjusted EBITDA from continuing operations for the first quarter of 2015 was $50.4 million compared to adjusted EBITDA from continuing operations for the first quarter of 2014 of $39.0 million, an increase of 29%. Net income for the first quarter of 2015 was $17.2 million, or $0.37 per limited partner unit.

Net income for the first quarter of 2014 was $11.8 million, or $0.43 per limited partner unit.

“Looking ahead to the second quarter, we expect to realize a delayed cash flow benefit from later than normal fertilizer application which should also serve to reduce some of the seasonality we typically experience,” said Ruben Martin, the partnership’s CEO.

“Additionally, we are optimistic that the lubricant packaging landscape will continue to improve,” he said.

Martin said that pertaining to growth projects, discussions with the partnership’s customers in both terminaling and storage and natural gas services segments have gained momentum during the first quarter.

It appears possible that the partnership will exceed its originally forecast growth capital expenditure budget for 2015, he said.

The partnership finished the first quarter with a distribution coverage ratio of 1.12 times. This performance included, for the first time since the fourth quarter 2012, paying incentive distribution rights totaling $3.7 million to our general partner.

Across all segments, the partnership’s distributable cash flow grew over 70% compared to the first quarter of last year. This was primarily attributable to strong cash flow from the acquisitions it made last year in natural gas storage and NGL pipeline transportation.

On Feb. 12, 2015, the partnership exited the natural gas liquids floating storage and trans-loading businesses as a result of the sale of its six liquefied petroleum gas pressure barges, collectively referred to as the “Floating Storage Assets,” for $41.3 million. The partnership recorded a gain on the disposition of $1.5 million.

Due to significantly lower natural gas liquid prices, revenues for the first quarter of 2015 were $305.4 million compared to $484.8 million for the first quarter of 2014.