MARTIN MIDSTREAM PARTNERS L.P. Q1 FY2023 earnings call

• Adjusted EBITDA in Q1 was $30.6M, in line with guidance. Trailing 12-month adjusted EBITDA was $117.6M. - Land transportation optimistic about annual guidance despite recession talk. Marine transportation benefited from day rate revenue and inland barge market strength. - Terminalling and Storage expects improved performance from May. - Sulfur Services' fertilizer group underperformed due to weather-impacted agriculture demand, but seeing increased demand in April. - Balance sheet: Long-term debt reduced by $16M to $500M; $40M borrowing capacity under revolver. CapEx: $6.6M maintenance CapEx and $800k gross CapEx in Q1. - Distributable cash flow $9.5M, free cash flow $8.7M. - DSM semi-camp joint venture: Permits received; employee recruitment initiated; Plainview project on schedule.

Transportation: Adjusted EBITDA was $13.2 million in Q1, with land transportation having $10.7 million (vs guidance $9.5M) and marine transportation $2.6 million (vs guidance $2.1M). Terminalling and Storage: Adjusted EBITDA was $9.1 million (vs guidance $8.4M). Sulfur Services: Adjusted EBITDA was $7.2 million (vs guidance $9.6M). Specialty Products: Adjusted EBITDA was $5.2 million (vs guidance $6.1M). Butane Optimization: Liquidated ~730,000 barrels of butane inventory in Q1, expects $20M proceeds in Q2 to pay down revolving line of credit.

• Optimistic about achieving annual guidance in land transportation despite recession talk in second half. - Terminalling and Storage expects better performance from May forward. - Anticipates ~$1M per quarter from shore-based terminals contract starting October 1, 2022, picking up in May. - Expects to come in between $70M to $80M on revolver debt reduction for the year.

• Weather impacted fertilizer demand leading to underperformance in Sulfur Services' fertilizer group. - General discussion of recession and its potential impact on second half performance. - Uncertainty around third party contracting for underground storage related to butane.

Q: Regarding transportation, any impact from refinery turnarounds?

A: Randy Tauscher says refineries serviced have had normal turnaround year, no negative impact seen.

Q: On Terminalling and Storage, shore-based terminals contract?

A: Bob Bondurant says contract kicked in Oct 1, 2022, expects volumes to pick up in May.

Q: On underground storage re-contracting?

A: Bob Bondurant says looking at it, expect MLP and general partner contract in next 30-45 days.

Q: On sulfur pearling side?

A: Bob Bondurant says volumes better than anticipated, over 3200 tons/day through terminals in Beaumont.

Q: On butane liquidation proceeds?

A: Sharon Taylor says expects to come in between $70M to $80M on revolver debt reduction for the year.