Net Income Per Common Limited Partner Unit

6 Months Ended

Jun. 30, 2026

Net Income Per Common Limited Partner Unit

Net Income Per Common Limited Partner Unit

Note 14. Net Income Per Common Limited Partner Unit

Under the Partnership’s partnership agreement, for any quarterly period, the IDRs participate in net income only to the extent of the amount of cash distributions actually declared, thereby excluding the IDRs from participating in the Partnership’s undistributed net income or losses. Accordingly, the Partnership’s undistributed net income or losses is assumed to be allocated to the common unitholders and to the General Partner’s general partner interest.

Common units outstanding as reported in the accompanying consolidated financial statements at June 30, 2026 and December 31, 2025 excludes 146,584 and 230,273 common units, respectively, held on behalf of the Partnership pursuant to its repurchase program. These units are not deemed outstanding for purposes of calculating net income per common limited partner unit (basic and diluted). For all periods presented below, the Partnership’s preferred units are not potentially dilutive securities based on the nature of the conversion feature.

The following table provides a reconciliation of net income and the assumed allocation of net income to the common limited partners (after deducting amounts allocated to preferred unitholders) for purposes of computing net income per common limited partner unit for the periods presented (in thousands, except per unit data):


		Three Months Ended June 30, 2026													Three Months Ended June 30, 2025
					Common			General										Common			General
					Limited			Partner										Limited			Partner
Numerator:		Total			Partners			Interest			IDRs				Total			Partners			Interest			IDRs
Net income		$	70,985		$	65,109		$	5,876		$	—			$	25,210		$	20,595		$	4,615		$	—
Declared distribution		$	32,133		$	26,517		$	216		$	5,400			$	30,146		$	25,497		$	203		$	4,446
Assumed allocation of undistributed net income (loss)			38,852			38,592			260			—				(4,936)			(4,902)			(34)			—
Assumed allocation of net income		$	70,985		$	65,109		$	476		$	5,400			$	25,210		$	20,595		$	169		$	4,446
Less: Preferred limited partner interest in net income						1,781													1,781
Net income attributable to common limited partners					$	63,328												$	18,814
Denominator:
Basic weighted average common units outstanding						33,928													33,918
Dilutive effect of phantom units						189													177
Diluted weighted average common units outstanding						34,117													34,095
Basic net income per common limited partner unit					$	1.87												$	0.55
Diluted net income per common limited partner unit					$	1.86												$	0.55


		Six Months Ended June 30, 2026													Six Months Ended June 30, 2025
					Common			General										Common			General
					Limited			Partner										Limited			Partner
Numerator:		Total			Partners			Interest			IDRs				Total			Partners			Interest			IDRs
Net income		$	141,121		$	129,852		$	11,269		$	—			$	43,894		$	34,867		$	9,027		$	—
Declared distribution		$	63,272		$	52,524		$	425		$	10,323			$	59,961		$	50,824		$	404		$	8,733
Assumed allocation of undistributed net income (loss)			77,849			77,328			521			—				(16,067)			(15,957)			(110)			—
Assumed allocation of net income		$	141,121		$	129,852		$	946		$	10,323			$	43,894		$	34,867		$	294		$	8,733
Less: Preferred limited partner interest in net income						3,562													3,562
Net income attributable to common limited partners					$	126,290												$	31,305
Denominator:
Basic weighted average common units outstanding						33,909													33,902
Dilutive effect of phantom units						243													302
Diluted weighted average common units outstanding						34,152													34,204
Basic net income per common limited partner unit					$	3.72												$	0.92
Diluted net income per common limited partner unit					$	3.70												$	0.92

See Note 12, “Partners’ Equity and Cash Distributions” for information on declared cash distributions.