Segment Reporting (Tables)

9 Months Ended

Sep. 30, 2016

Segment Reporting

Summary of financial information for the reportable segments (in thousands)

Summarized financial information for the Partnership’s reportable segments is presented in the table below (in thousands):

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2016		2015		2016		2015
Wholesale Segment:
Sales
Gasoline and gasoline blendstocks	$	558,845	$	708,198	$	1,495,985	$	2,203,312
Crude oil (1)		129,293		311,381		438,390		927,371
Other oils and related products (2)		259,587		273,310		996,719		1,618,086
Total	$	947,725	$	1,292,889	$	2,931,094	$	4,748,769
Product margin
Gasoline and gasoline blendstocks	$	21,529	$	7,157	$	64,503	$	54,694
Crude oil (1)		(16,818)		15,719		(28,839)		67,804
Other oils and related products (2)		11,435		12,389		52,488		53,801
Total	$	16,146	$	35,265	$	88,152	$	176,299
Gasoline Distribution and Station Operations Segment:
Sales
Gasoline	$	818,403	$	927,154	$	2,250,140	$	2,530,999
Station operations (3)		101,943		104,699		288,186		286,191
Total	$	920,346	$	1,031,853	$	2,538,326	$	2,817,190
Product margin
Gasoline	$	88,111	$	88,297	$	220,497	$	203,205
Station operations (3)		48,729		49,047		140,921		130,836
Total	$	136,840	$	137,344	$	361,418	$	334,041
Commercial Segment:
Sales	$	162,127	$	161,461	$	457,789	$	579,448
Product margin	$	4,176	$	6,088	$	16,566	$	24,669
Combined sales and Product margin:
Sales	$	2,030,198	$	2,486,203	$	5,927,209	$	8,145,407
Product margin (4)	$	157,162	$	178,697	$	466,136	$	535,009
Depreciation allocated to cost of sales		(24,551)		(26,398)		(74,124)		(69,964)
Combined gross profit	$	132,611	$	152,299	$	392,012	$	465,045

(1) Crude oil consists of the Partnership’s crude oil sales and revenue from its logistics activities.

(2) Other oils and related products primarily consist of distillates, residual oil and propane.

(3) Station operations primarily consist of convenience store sales and rental income.

(4) Product margin is a non-GAAP financial measure used by management and external users of the Partnership’s consolidated financial statements to assess its business.  The table above includes a reconciliation of product margin on a combined basis to gross profit, a directly comparable GAAP measure. 

Schedule of reconciliation of the totals reported for the reportable segments to the applicable line items in the consolidated financial statements (in thousands)

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2016		2015		2016		2015
Combined gross profit	$	132,611	$	152,299	$	392,012	$	465,045
Operating costs and expenses not allocated to operating segments:
Selling, general and administrative expenses		36,705		42,480		108,329		136,657
Operating expenses		70,591		77,309		218,718		218,133
Amortization expense		2,260		2,319		7,128		10,730
Net loss on sale and disposition of assets		7,486		680		13,966		1,330
Goodwill and long-lived asset impairment		147,817		—		149,972		—
Total operating costs and expenses		264,859		122,788		498,113		366,850
Operating (loss) income		(132,248)		29,511		(106,101)		98,195
Interest expense		(21,197)		(20,643)		(65,192)		(51,057)
Income tax expense		(3,138)		(722)		(1,668)		(969)
Net (loss) income		(156,583)		8,146		(172,961)		46,169
Net loss (income) attributable to noncontrolling interest		37,032		66		39,076		(324)
Net (loss) income attributable to Global Partners LP	$	(119,551)	$	8,212	$	(133,885)	$	45,845

Schedule of total assets by reportable segment (in thousands)

		Wholesale		Commercial		GDSO		Unallocated		Total
September 30, 2016	$	644,571	$	980	$	1,307,202	$	431,767	$	2,384,520
December 31, 2015	$	774,352	$	3,224	$	1,392,397	$	493,702	$	2,663,675