Energy Transfer LP Q1 FY2022 Earnings Call

· Earnings call transcript and AI-powered summary

Quarterly Performance Highlights

  • Adjusted EBITDA was $3.3 billion. This is lower than the $5 billion reported in Q1 2021; however, the prior-year period included a $2.4 billion benefit from Winter Storm Uri. Excluding Uri impacts, Q1 2022 adjusted EBITDA would have been approximately 25% higher year-over-year.
  • Distributable Cash Flow (DCF), as adjusted, was $2.1 billion versus $3.9 billion in Q1 2021. Again, the prior year included Winter Storm Uri benefits.
  • Excess cash flow after distributions reached approximately $1.5 billion (incurred basis: $1.1 billion).
  • Quarterly distribution increased to $0.20 per common unit, an increase of more than 30% versus Q1 2021. Management reiterated its target of eventually returning the distribution to $1.22 annually.
  • Leverage ratio improved to 3.55x, moving closer to the 4.0x–4.5x target range.

Segment-Level Results

  • NGL and Refined Products:
    • Adjusted EBITDA rose to $700 million from $647 million in Q1 2021.
    • NGL transportation volumes increased to 1.8 million bpd (from 1.5 million bpd).
    • Fractionation volumes averaged 804,000 bpd (up from 726,000 bpd).
  • Crude Oil:
    • Adjusted EBITDA was $593 million (up from $510 million).
    • Crude volumes rose to 4.2 million bpd (from 3.5 million bpd).

Continue Reading

Unlock the full AI-powered summary with key highlights, financial performance, and analyst Q&A.

Upgrade to Professional
Operator: Hello, and welcome to the Energy Transfer First Quarter 2022 Earnings Conference Call. My name is Brandon, and I'll be your operator for today. At this time, all participants are in a listen-only mode. Later, we will conduct the question and answer session. [Operator Instructions] As a reminder, this conference is being recorded. I will now turn the call over to Tom Long, Energy Transfer's Co-CEO. And Mr. Long, you may begin. Tom Long: Thank you, operator. Good afternoon, everyone, and welcome to the Energy Transfer first quarter 2022 earnings call. I'm also joined today by Mackie McCrea and other members of our senior management team, who are here to help answer your questions after our prepared remarks. Hopefully, you saw the press release we issued earlier this afternoon, as well as the slides posted to our website. As a reminder, we will be making forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934. These statements are based on our current beliefs as well as certain assumptions and information currently available to us and are discussed in more detail in our quarterly report on Form 10-Q for the quarter ended March 31, 2022, which we expect to be filed tomorrow, May 5. I'll also refer to adjusted EBITDA and distributable cash flow, or DCF, both of which are non-GAAP financial measures. You'll find a reconciliation of our non-GAAP measures on our website. I'd like to start today by looking at some of our first quar

Continue Reading

Unlock the full earnings call transcript with speaker labels and formatted dialogue.

Upgrade to Professional