Segments

6 Months Ended

12 Months Ended

Sep. 30, 2014

Mar. 31, 2014

Segments

Segments

Note 12 — Segments

Our reportable segments are based on the way in which our management structure is organized. Certain financial data related to our segments is shown below. Transactions between segments are recorded based on prices negotiated between the segments.

Our crude oil logistics segment sells crude oil and provides crude oil transportation services to wholesalers, refiners, and producers. Our water solutions segment provides services for the treatment and disposal of wastewater generated from crude oil and natural gas production, and generates revenue from the sale of recycled water and recovered hydrocarbons. Our liquids segment supplies propane, butane, and other products, and provides natural gas liquids transportation, terminaling, and storage services to retailers, wholesalers, and refiners. Our retail propane segment sells propane and distillates to end users consisting of residential, agricultural, commercial, and industrial customers, and to certain re-sellers. Our retail propane segment consists of two divisions, which are organized based on the location of the operations. Our refined products and renewables segment provides integrated terminaling, storage, transportation, marketing, and related services for companies engaged in the trading, distribution and marketing of refined petroleum products, ethanol, and biodiesel. This segment began with our December 2013 acquisition of Gavilon Energy and expanded with our July 2014 acquisition of TransMontaigne.

Items labeled “corporate and other” in the table below include the operations of a compressor leasing business that we sold in February 2014 and certain natural gas marketing operations that we acquired in our December 2013 acquisition of Gavilon Energy and wound down during fiscal year 2014. The “corporate and other” category also includes certain corporate expenses that are incurred and are not allocated to the reportable segments. This data is included to reconcile the data for the reportable segments to data in our condensed consolidated financial statements.

	Three Months Ended						Six Months Ended
	September 30,						September 30,
	2014			2013			2014			2013
	(in thousands)
Revenues:
Crude oil logistics -
Crude oil sales	$	2,108,117		$	1,013,061		$	4,035,061		$	1,941,595
Crude oil transportation and other	13,082			9,794			25,196			19,729
Water solutions -
Water treatment and disposal	47,572			28,823			89,288			47,511
Water transportation	5,147			5,367			10,745			7,192
Liquids -
Propane sales	240,433			191,437			462,879			315,274
Other product sales	306,625			308,606			594,984			558,459
Other revenues	6,814			9,250			12,530			18,114
Retail propane -
Propane sales	48,552			40,651			100,578			87,342
Distillate sales	11,530			10,562			30,225			28,431
Other revenues	8,276			8,198			15,457			15,898
Refined products and renewables -
Refined products sales	2,489,795			—			3,476,018			—
Renewables sales	117,425			—			248,699			—
Corporate and other	1,333			1,485			2,794			2,959
Elimination of intersegment sales	(24,175		)	(33,297		)	(75,314		)	(62,610		)
Total revenues	$	5,380,526		$	1,593,937		$	9,029,140		$	2,979,894
Depreciation and Amortization:
Crude oil logistics	$	9,240		$	3,330		$	18,971		$	8,014
Water solutions	17,573			11,438			34,665			18,794
Liquids	3,384			2,672			6,585			5,376
Retail propane	7,684			6,871			15,255			14,111
Refined products and renewables	11,917			—			12,761			—
Corporate and other	301			750			1,237			1,490
Total depreciation and amortization	$	50,099		$	25,061		$	89,474		$	47,785
Operating Income (Loss):
Crude oil logistics	$	38		$	5,884		$	1,501		$	12,493
Water solutions	14,792			2,913			13,885			5,956
Liquids	10,929			14,605			10,016			12,490
Retail propane	(3,062		)	(4,520		)	(4,648		)	(6,024		)
Refined products and renewables	8,822			—			7,567			—
Corporate and other	(23,749		)	(8,937		)	(41,106		)	(22,312		)
Total operating income (loss)	$	7,770		$	9,945		$	(12,785	)	$	2,603

The following table summarizes additions to property, plant and equipment for each segment. This information has been prepared on the accrual basis, and includes property, plant and equipment acquired in acquisitions.

	Three Months Ended				Six Months Ended
	September 30,				September 30,
	2014		2013		2014		2013
	(in thousands)
Additions to property, plant and equipment:
Crude oil logistics	$	39,464	$	31,336	$	81,413	$	35,462
Water solutions	40,610		62,473		48,072		70,182
Liquids	1,911		13,209		3,070		28,316
Retail propane	9,567		4,546		12,411		11,492
Refined products and renewables	512,281		—		512,281		—
Corporate and other	1,809		217		3,262		846
Total	$	605,642	$	111,781	$	660,509	$	146,298

The following tables summarize long-lived assets (consisting of net property, plant and equipment, net intangible assets, and goodwill) and total assets by segment:

	September 30,		March 31,
	2014		2014
	(in thousands)
Total assets:
Crude oil logistics	$	2,079,380	$	1,723,812
Water solutions	964,336		875,714
Liquids	756,133		577,795
Retail propane	506,958		541,832
Refined products and renewables	2,183,674		303,230
Corporate and other	61,198		144,840
Total	$	6,551,679	$	4,167,223
Long-lived assets, net:
Crude oil logistics	$	996,615	$	980,978
Water solutions	910,467		848,479
Liquids	271,567		274,846
Retail propane	436,621		438,324
Refined products and renewables	772,916		60,720
Corporate and other	53,705		47,961
Total	$	3,441,891	$	2,651,308

Note 13 — Segments

Our reportable segments are based on the way in which our management structure is organized. Certain financial data related to our segments is shown below. Transactions between segments are recorded based on prices negotiated between the segments.

Our crude oil logistics segment sells crude oil and provides crude oil transportation services to wholesalers, refiners, and producers. Our water solutions segment provides services for the transportation, treatment, and disposal of wastewater generated from crude oil and natural gas production, and generates revenue from the sale of recycled wastewater and recovered hydrocarbons. Our liquids segment supplies propane, butane, and other products, and provides natural gas liquids transportation, terminaling, and storage services to retailers, wholesalers, and refiners. Our retail propane segment sells propane and distillates to end users consisting of residential, agricultural, commercial, and industrial customers, and to certain re-sellers. Our retail propane segment consists of two divisions, which are organized based on the location of the operations.

We also operate a refined products marketing business, which purchases gasoline and diesel fuel from suppliers and typically sells these products in back-to-back contracts to customers at a nationwide network of third-party owned terminaling and storage facilities. We also operate a renewables business, which purchases ethanol primarily at production facilities, and transports the ethanol for sale at various locations to refiners and blenders, and purchases biodiesel from production facilities in the Midwest and in Houston, Texas, and transports the product using leased railcars for sale to refiners and blenders. These businesses were acquired in our December 2013 acquisition of Gavilon Energy.

Items labeled “corporate and other” in the table below include the operations of a compressor leasing business that we acquired in our June 2012 merger with High Sierra and sold in February 2014, and the natural gas marketing operations that we acquired in our December 2013 acquisition of Gavilon Energy and began winding down during fiscal 2014. The “corporate and other” category also includes certain corporate expenses that are incurred and are not allocated to the reportable segments. This data is included to reconcile the data for the reportable segments to data in our consolidated financial statements.

Certain information related to the results of operations of each segment is shown in the tables below:

	Year Ended March 31,
	2014			2013			2012
	(in thousands)
Revenues:
Crude oil logistics -
Crude oil sales	$	4,559,923		$	2,322,706		$	—
Crude oil transportation and other	36,469			16,442			—
Water solutions -
Water treatment and disposal	125,788			54,334			—
Water transportation	17,312			7,893			—
Liquids -
Propane sales	1,632,948			841,448			923,022
Other product sales	1,231,965			858,276			251,627
Other revenues	31,062			33,954			2,462
Retail propane -
Propane sales	388,225			288,410			175,417
Distillate sales	127,672			106,192			6,547
Other revenues	35,918			35,856			17,370
Refined products	1,180,895			—			—
Renewables	176,781			—			—
Corporate and other	437,713			4,233			—
Eliminations of intersegment sales	(283,397		)	(151,977		)	(65,972		)
Total revenues	$	9,699,274		$	4,417,767		$	1,310,473

	Year Ended March 31,
	2014		2013		2012
	(in thousands)
Depreciation and amortization:
Crude oil logistics	$	22,111	$	9,176	$	—
Water solutions	55,105		20,923		—
Liquids	11,018		11,085		3,661
Retail propane	28,878		25,496		11,450
Refined products	109		—		—
Renewables	516		—		—
Corporate and other	3,017		2,173		—
Total depreciation and amortization	$	120,754	$	68,853	$	15,111

	Year Ended March 31,
	2014			2013			2012
	(in thousands)
Operating income (loss):
Crude oil logistics	$	678		$	34,236		$	—
Water solutions	10,317			8,576			—
Liquids	71,888			30,336			9,735
Retail propane	61,285			46,869			9,616
Refined products	4,080			—			—
Renewables	2,434			—			—
Corporate and other	(44,117		)	(32,710		)	(4,321		)
Total operating income	$	106,565		$	87,307		$	15,030

The table below shows additions to property, plant and equipment for each segment. This information has been prepared on the accrual basis, and includes property, plant and equipment acquired in acquisitions.

	Year Ended March 31,
	2014		2013		2012
	(in thousands)
Additions to property, plant and equipment, including acquisitions (accrual basis):
Crude oil logistics	$	204,642	$	89,860	$	—
Water solutions	100,877		137,116		—
Liquids	52,560		15,129		50,276
Retail propane	24,430		66,933		150,181
Refined products	719		—		—
Renewables	519		—		—
Corporate and other	7,242		17,858		—
Total	$	390,989	$	326,896	$	200,457

The following tables show long-lived assets (consisting of property, plant and equipment, intangible assets, and goodwill) and total assets by segment:

	March 31,
			2013
	2014		(Note 2)
	(in thousands)
Total assets:
Crude oil logistics	$	1,723,812	$	801,351
Water solutions	875,714		466,412
Liquids	577,795		474,141
Retail propane	541,832		513,301
Refined products	157,581		—
Renewables	145,649		—
Corporate and other	144,840		36,413
Total	$	4,167,223	$	2,291,618
Long-lived assets, net:
Crude oil logistics	$	980,978	$	357,230
Water solutions	848,479		453,909
Liquids	274,846		238,192
Retail propane	438,324		441,762
Refined products	27,017		—
Renewables	33,703		—
Corporate and other	47,961		31,996
Total	$	2,651,308	$	1,523,089