Equitrans Midstream Announces Full-Year and Fourth Quarter 2023 Results
2023 Highlights:
-
Reported
$454.8 million of net income and$1.1 billion of Adjusted EBITDA -
Generated
$1.0 billion of net cash from operating activities - Recorded ~70% of total operating revenue from firm reservation fees
- Achieved ~8% transmission pipeline throughput growth versus 2022
- Achieved ~29% water operating revenue growth versus 2022
-
Fiscal Responsibility Act of 2023 enacted in
June 2023 ; provisions for 'Expediting Completion of the MVP' - Signed precedent agreements collectively providing 550 MMcf per day firm capacity in support of an amended Southgate project
"Following enactment of the Fiscal Responsibility Act of 2023, we have made substantial construction progress on the Mountain Valley Pipeline, and the major tasks to complete the pipeline continue to narrow,” said
Charletta continued, “As our teams continue to look for ways to optimize and grow our asset base, we are pleased with the strong results our business once again delivered for our stakeholders. Notably, we made significant progress on our in-basin organic projects, including the Ohio Valley Connector Expansion and a booster compression project for a producer customer, both of which are targeted for in-service in the first half of 2024, and we continued the build out of our mixed-use water system. Looking ahead, our well-integrated and strategically located system of gathering, transmission, and water assets is uniquely positioned to capture the benefits of MVP’s in-service.”
"Our Board of Directors has been engaged in a process with third parties that have expressed interest in strategic transactions with our Company,” said
2023 YEAR-END AND FOURTH QUARTER SUMMARY RESULTS
|
Three Months
|
|
Year Ended
|
||||
$ millions (except per share metrics) |
2023 |
|
2023 |
||||
Net income attributable to ETRN common shareholders |
$ |
134.2 |
|
|
$ |
386.7 |
|
Adjusted net income attributable to ETRN common shareholders |
$ |
138.9 |
|
|
$ |
398.4 |
|
Earnings per diluted share attributable to ETRN common shareholders |
$ |
0.31 |
|
|
$ |
0.89 |
|
Adjusted earnings per diluted share attributable to ETRN common shareholders |
$ |
0.32 |
|
|
$ |
0.91 |
|
Net income |
$ |
150.0 |
|
|
$ |
454.8 |
|
Adjusted EBITDA |
$ |
272.0 |
|
|
$ |
1,056.1 |
|
Deferred revenue |
$ |
87.6 |
|
|
$ |
329.3 |
|
Net cash provided by operating activities |
$ |
291.2 |
|
|
$ |
1,016.1 |
|
Free cash flow |
$ |
(240.6 |
) |
|
$ |
(128.6 |
) |
Retained free cash flow |
$ |
(305.5 |
) |
|
$ |
(388.5 |
) |
Net income attributable to ETRN common shareholders for the fourth quarter 2023 was impacted by several items, including a
For the full-year 2023, net income attributable to ETRN common shareholders was impacted by several items, including
As a result of the gathering agreement entered into with EQT in
Operating revenue for the fourth quarter 2023 increased by
Operating revenue for the full-year increased by
QUARTERLY DIVIDEND
For the fourth quarter 2023, ETRN paid a quarterly cash dividend of
TOTAL CAPITAL EXPENDITURES AND CAPITAL CONTRIBUTIONS
|
|
Three Months Ended
|
|
Year Ended
|
$ millions |
|
2023 |
|
2023 |
MVP |
|
|
|
|
Gathering(1) |
|
|
|
|
Transmission(2) |
|
|
|
|
Water |
|
|
|
|
Total |
|
|
|
|
(1) |
Excludes approximately |
(2) |
Includes capital contributions to MVP JV for the Southgate project. |
2024 GUIDANCE
Full-Year 2024 Financial Outlook(1)
$ millions |
|
|
Net income |
|
|
Adjusted EBITDA |
|
|
Deferred Revenue |
|
|
Free cash flow |
|
|
Retained free cash flow |
|
(1) |
Assumes MVP construction completion by |
Q1 2024 Financial Outlook(1)
$ millions |
|
|
Net income |
|
|
Adjusted EBITDA |
|
|
Deferred Revenue |
|
(1) |
Assumes MVP construction completion by |
Full-Year 2024 Capital Expenditures and Capital Contribution Outlook(1)
$ millions |
|
|
|
MVP(1) |
|
|
|
Gathering(2) |
|
|
|
Transmission(3) |
|
|
|
Water |
|
|
|
Total |
|
|
(1) |
Assumes MVP construction completion by 5/31/2024. |
(2) |
Excludes approximately |
(3) |
Includes capital contributions to MVP JV for the Southgate project. |
BUSINESS AND PROJECT UPDATES
Executive Succession
Effective
Mountain Valley Pipeline
Through
Strategic Process
The Company’s Board of Directors has been engaged in a process with third parties that have expressed interest in strategic transactions involving the Company. The board has engaged outside advisors and the process is ongoing. There is no assurance that such process will result in the execution, approval or completion of any specific transaction or outcome.
During the third quarter 2023, ETRN commenced construction of the Ohio Valley Connector Expansion (OVCX) project. OVCX will increase deliverability on ETRN's Ohio Valley Connector pipeline by approximately 350 MMcf per day and is designed to meet growing demand in key markets in the mid-continent and
In late
The project is estimated to cost approximately
Fifth Amendment to Revolving Credit Agreement
On
Outstanding Debt and Liquidity
As of
2023 Year-End Earnings Conference Call Information
ETRN will host a conference call with security analysts today,
Call Access : A webcast/audio live stream of the call will be available on the internet, and participants are encouraged to pre-register online, in advance of the call. A link to the webcast/audio live stream will be available on the Investors page of ETRN’s website the day of the call.
Security Analysts
:: Dial-In Participation
To participate in the Q&A session, security analysts may access the call in the
All Other Participants :: Webcast/Audio Live Stream Registration
Please Note: For optimal audio quality, the webcast is best supported through
Call Replay: For 14 days following the call, an audio replay will be available at (800) 770-2030 or (647) 362-9199. The ETRN conference ID: 6625542.
ETRN management speaks to investors from time-to-time and the presentation for these discussions, which is updated periodically, is available via www.equitransmidstream.com.
NON-GAAP DISCLOSURES
Adjusted Net Income Attributable to ETRN Common Shareholders and Adjusted Earnings per Diluted Share Attributable to ETRN Common Shareholders
Adjusted net income (loss) attributable to ETRN common shareholders and adjusted earnings (loss) per diluted share attributable to ETRN common shareholders are non-GAAP supplemental financial measures that management and external users of ETRN’s consolidated financial statements, such as industry analysts and investors, may use to make period-to-period comparisons of earnings trends. Management believes that adjusted net income (loss) attributable to ETRN common shareholders and adjusted earnings (loss) per diluted share attributable to ETRN common shareholders as presented provide useful information for investors for evaluating period-over-period earnings. Adjusted net income (loss) attributable to ETRN common shareholders and adjusted earnings (loss) per diluted share attributable to ETRN common shareholders should not be considered as alternatives to net income (loss) attributable to ETRN common shareholders, earnings (loss) per diluted share attributable to ETRN common shareholders or any other measure of financial performance presented in accordance with GAAP. Adjusted net income (loss) attributable to ETRN common shareholders and adjusted earnings (loss) per diluted share attributable to ETRN common shareholders have important limitations as analytical tools because they exclude some, but not all, items that affect net income (loss) attributable to ETRN common shareholders and earnings (loss) per diluted share attributable to ETRN common shareholders, including as applicable, unrealized gain (loss) on derivative instruments, expenses for the
The table below reconciles adjusted net income attributable to ETRN common shareholders and adjusted earnings per diluted share attributable to ETRN common shareholders with net income (loss) attributable to ETRN common shareholders and earnings (loss) per diluted share attributable to ETRN common shareholders as derived from the statements of consolidated comprehensive income to be included in ETRN’s Annual Report on Form 10-K for the year ended
Reconciliation of Adjusted Net Income Attributable to ETRN Common Shareholders and Adjusted Earnings per Diluted Share Attributable to ETRN Common Shareholders
|
Three Months
|
|
Year Ended
|
||||
(Thousands, except per share information) |
2023 |
|
2023 |
||||
Net income attributable to ETRN common shareholders |
$ |
134,242 |
|
|
$ |
386,717 |
|
Add back (deduct): |
|
|
|
||||
Unrealized loss (gain) on derivative instruments |
|
5,946 |
|
|
|
(1,531 |
) |
|
|
306 |
|
|
|
9,444 |
|
Contract asset write-down |
|
— |
|
|
|
7,800 |
|
Tax impact of non-GAAP items(1) |
|
(1,622 |
) |
|
|
(4,075 |
) |
Adjusted net income attributable to ETRN common shareholders
|
$ |
138,872 |
|
|
$ |
398,355 |
|
Diluted weighted average common shares outstanding, assuming dilution |
|
439,362 |
|
|
|
436,132 |
|
Adjusted earnings per diluted share attributable to ETRN common shareholders |
$ |
0.32 |
|
|
$ |
0.91 |
|
(1) |
The adjustments were tax effected at ETRN’s federal and state statutory tax rate for each period including certain discrete valuation allowance adjustments as necessary. |
Adjusted EBITDA
Adjusted EBITDA excludes the impact of certain non-operating income and expenses, non-cash items, and other items that ETRN believes are not indicative of ETRN's ongoing operations or affect the comparability of results period to period. As used in this news release, Adjusted EBITDA means, as applicable, net income (loss), plus income tax expense (benefit), net interest expense, depreciation, amortization of intangible assets, payments on the preferred interest in
The table below reconciles adjusted EBITDA with net income as derived from the statements of consolidated comprehensive income to be included in ETRN's Annual Report on Form 10-K for the year ended
Reconciliation of Adjusted EBITDA
|
Three Months
|
|
Year Ended
|
||||
(Thousands) |
2023 |
|
2023 |
||||
Net income: |
$ |
150,039 |
|
|
$ |
454,754 |
|
Add (deduct): |
|
|
|
||||
Income tax benefit |
|
(4,528 |
) |
|
|
(18,823 |
) |
Net interest expense |
|
111,949 |
|
|
|
426,884 |
|
Depreciation |
|
70,603 |
|
|
|
279,386 |
|
Amortization of intangible assets |
|
16,205 |
|
|
|
64,819 |
|
Preferred Interest payments |
|
2,746 |
|
|
|
10,984 |
|
Non-cash long-term compensation expense |
|
5,890 |
|
|
|
39,313 |
|
|
|
306 |
|
|
|
9,444 |
|
Contract asset write-down |
|
— |
|
|
|
7,800 |
|
Equity income |
|
(77,597 |
) |
|
|
(175,215 |
) |
AFUDC – equity |
|
(376 |
) |
|
|
(1,068 |
) |
Unrealized loss (gain) on derivative instruments |
|
5,946 |
|
|
|
(1,531 |
) |
Adjusted EBITDA attributable to noncontrolling interest(1) |
|
(9,212 |
) |
|
|
(40,649 |
) |
Adjusted EBITDA |
$ |
271,971 |
|
|
$ |
1,056,098 |
|
(1) |
Reflects adjusted EBITDA attributable to noncontrolling interest associated with the third-party ownership interest in Eureka. Adjusted EBITDA attributable to noncontrolling interest for the three months ended |
Free Cash Flow
As used in this news release, free cash flow means, as applicable, net cash provided by operating activities plus principal payments received on the Preferred Interest, distributions received from the MVP JV included in net cash provided by (used in) investing activities, and less net cash provided by operating activities attributable to noncontrolling interest, dividends paid to Series A Preferred Shareholders, capital expenditures (excluding the noncontrolling interest share (40%) of Eureka capital expenditures), capital contributions to MVP JV and distributions received from the MVP JV associated with MVP financing activities.
Retained Free Cash Flow
As used in this news release, retained free cash flow means free cash flow less dividends paid to common shareholders.
The table below reconciles free cash flow and retained free cash flow with net cash provided by operating activities as derived from the statements of consolidated cash flows to be included in ETRN's Annual Report on Form 10-K for the year ended
Reconciliation of Free Cash Flow and Retained Free Cash Flow
|
Three Months
|
|
Year Ended
|
||||
(Thousands) |
2023 |
|
2023 |
||||
Net cash provided by operating activities |
$ |
291,218 |
|
|
$ |
1,016,078 |
|
Add (deduct): |
|
|
|
||||
Principal payments received on the Preferred Interest |
|
1,490 |
|
|
|
5,837 |
|
Net cash provided by operating activities attributable to noncontrolling interest(1) |
|
(5,733 |
) |
|
|
(30,568 |
) |
ETRN Series A Preferred Shares dividends(2) |
|
(14,628 |
) |
|
|
(58,512 |
) |
Capital expenditures(3)(4) |
|
(103,969 |
) |
|
|
(372,004 |
) |
Capital contributions to MVP JV |
|
(408,934 |
) |
|
|
(689,405 |
) |
Free cash flow |
$ |
(240,556 |
) |
|
$ |
(128,574 |
) |
Less: |
|
|
|
||||
Dividends paid to common shareholders(5) |
|
(64,990 |
) |
|
|
(259,920 |
) |
Retained free cash flow |
$ |
(305,546 |
) |
|
$ |
(388,494 |
) |
(1) |
Reflects 40% of |
(2) |
Reflects cash dividends paid of |
(3) |
Does not reflect amounts related to the noncontrolling interest share of Eureka. |
(4) |
ETRN accrues capital expenditures when the work has been completed but the associated bills have not yet been paid. Accrued capital expenditures are excluded from the statements of consolidated cash flows until they are paid. |
(5) |
Third quarter 2023 dividend of |
Adjusted EBITDA, free cash flow and retained free cash flow are non-GAAP supplemental financial measures that management and external users of ETRN's consolidated financial statements, such as industry analysts, investors, lenders, and rating agencies, may use to assess:
- ETRN’s operating performance as compared to other publicly traded companies in the midstream energy industry without regard to historical cost basis or, in the case of adjusted EBITDA, financing methods
- The ability of ETRN’s assets to generate sufficient cash flow to pay dividends to ETRN’s shareholders
- ETRN’s ability to incur and service debt and fund capital expenditures and capital contributions
- The viability of acquisitions and other capital expenditure projects and the returns on investment of various investment opportunities.
ETRN believes that adjusted EBITDA, free cash flow, and retained free cash flow provide useful information to investors in assessing ETRN's financial condition and results of operations. Adjusted EBITDA, free cash flow, and retained free cash flow should not be considered as alternatives to net income (loss), operating income, or net cash provided by operating activities, as applicable, or any other measure of financial performance or liquidity presented in accordance with GAAP. Adjusted EBITDA, free cash flow, and retained free cash flow have important limitations as analytical tools because they exclude some, but not all, items that affect net income (loss), operating income and net cash provided by operating activities. Additionally, because these non-GAAP metrics may be defined differently by other companies in ETRN's industry, ETRN's definitions of adjusted EBITDA, free cash flow, and retained free cash flow may not be comparable to similarly titled measures of other companies, thereby diminishing the utility of the measures. Free cash flow and retained free cash flow should not be viewed as indicative of the actual amount of cash that ETRN has available for dividends or that ETRN plans to distribute and are not intended to be liquidity measures.
ETRN is unable to provide a reconciliation of projected adjusted EBITDA from projected net income (loss), the most comparable financial measure calculated in accordance with GAAP, or a reconciliation of projected free cash flow or retained free cash flow to net cash provided by operating activities, the most comparable financial measure calculated in accordance with GAAP. ETRN has not provided a reconciliation of projected adjusted EBITDA to projected net income (loss), the most comparable financial measure calculated in accordance with GAAP, due to the inherent difficulty and impracticability of predicting certain amounts required by GAAP with a reasonable degree of accuracy. Net income (loss) includes the impact of depreciation expense, income tax expense (benefit), the impact of changes in the projected fair value of derivative instruments prior to settlement, potential changes in estimates for certain contract liabilities and unbilled revenues and certain other items that impact comparability between periods and the tax effect of such items, which may be significant and difficult to project with a reasonable degree of accuracy. Therefore, a reconciliation of projected adjusted EBITDA to projected net income (loss) is not available without unreasonable effort.
ETRN is unable to project net cash provided by operating activities because this metric includes the impact of changes in operating assets and liabilities related to the timing of cash receipts and disbursements that may not relate to the period in which the operating activities occurred. ETRN is unable to project these timing differences with any reasonable degree of accuracy to a specific day, three or more months in advance. Therefore, ETRN is unable to provide projected net cash provided by operating activities, or the related reconciliation of each of projected free cash flow and projected retained free cash flow to projected net cash provided by operating activities, without unreasonable effort. ETRN provides a range for the forecasts of net income (loss), adjusted EBITDA, deferred revenue, free cash flow and retained free cash flow to allow for the inherent difficulty of predicting certain amounts and the variability in the timing of cash spending, receipts and project in-service (as applicable) and the impact on the related reconciling items, many of which interplay with each other.
About
Visit www.equitransmidstream.com; and to learn more about our ESG practices visit www.equitransmidstream.com/sustainability-reporting/
Cautionary Statements
This news release contains certain forward-looking statements within the meaning of Section 21E of the United States Securities Exchange Act of 1934, as amended (the Exchange Act), and Section 27A of the United States Securities Act of 1933, as amended (the Securities Act), concerning ETRN and other matters. These statements may discuss goals, intentions and expectations as to future plans, trends, events, results of operations or financial condition, or otherwise, based on current beliefs of the management of ETRN, as well as assumptions made by, and information currently available to, such management. Words such as “aim,” “anticipate,” “approximate,” “aspire,” “assume,” “believe,” “budget,” “continue,” “could,” “design,” “estimate,” “expect,” “focused,” “forecast,” “goal,” “guidance,” “intend,” “may,” “objective,” “opportunity,” “outlook,” “plan,” “position,” “potential,” “predict,” “project,” “pursue,” “scheduled,” “seek,” “should,” “strategy,” “strive,” “target,” “view,” “will,” or “would” and similar expressions are used to identify forward-looking statements. These statements are subject to various risks and uncertainties, many of which are outside ETRN's control. Without limiting the generality of the foregoing, forward-looking statements contained in this communication may include the following and/or statements with respect thereto, as applicable: expectations of plans, strategies, objectives and growth and anticipated financial and operational performance of ETRN and its affiliates, including guidance and any changes in such guidance in respect of ETRN’s gathering, transmission and storage and water services revenue and volume, including the anticipated effects associated with the
Accordingly, investors should not place undue reliance on forward-looking statements as a prediction of actual results. ETRN has based these forward-looking statements on management’s current expectations and assumptions about future events. While ETRN considers these expectations and assumptions to be reasonable, they are inherently subject to significant business, economic, competitive, regulatory, judicial, construction and other risks and uncertainties, many of which are difficult to predict and are beyond ETRN’s control, including, as it pertains to the MVP project, risks and uncertainties such as the physical construction conditions, including steep slopes and any further unexpected geological impediments, continued crew availability, ability to meet contractor draw down plans, productivity realizable, project opposition, the receipt of certain time of year and other variances and approvals, if applicable, and weather. The risks and uncertainties that may affect the operations, performance and results of ETRN’s business and forward-looking statements include, but are not limited to, those set forth under Part I, "Item 1A. Risk Factors" in ETRN's Annual Report on Form 10-K for the year ended
|
|||||||||||||||
STATEMENTS OF CONSOLIDATED COMPREHENSIVE INCOME |
|||||||||||||||
|
Three Months Ended
|
|
Years Ended
|
||||||||||||
|
2023 |
|
2022 |
|
2023 |
|
2022 |
||||||||
|
|
|
|
|
|
|
|
||||||||
|
(Thousands, except per share amounts) |
||||||||||||||
Operating revenues |
$ |
360,609 |
|
|
$ |
355,239 |
|
|
$ |
1,393,929 |
|
|
$ |
1,357,747 |
|
Operating expenses: |
|
|
|
|
|
|
|
||||||||
Operating and maintenance |
|
46,297 |
|
|
|
53,847 |
|
|
|
177,972 |
|
|
|
154,667 |
|
Selling, general and administrative |
|
42,193 |
|
|
|
36,398 |
|
|
|
187,374 |
|
|
|
128,472 |
|
Depreciation |
|
70,603 |
|
|
|
68,923 |
|
|
|
279,386 |
|
|
|
272,195 |
|
Amortization of intangible assets |
|
16,205 |
|
|
|
16,205 |
|
|
|
64,819 |
|
|
|
64,819 |
|
Total operating expenses |
|
175,298 |
|
|
|
175,373 |
|
|
|
709,551 |
|
|
|
620,153 |
|
Operating income |
|
185,311 |
|
|
|
179,866 |
|
|
|
684,378 |
|
|
|
737,594 |
|
Equity income |
|
77,597 |
|
|
|
77 |
|
|
|
175,215 |
|
|
|
168 |
|
Impairment of equity method investment |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(583,057 |
) |
Other (expense) income, net |
|
(5,448 |
) |
|
|
5,747 |
|
|
|
3,222 |
|
|
|
13,871 |
|
Loss on extinguishment of debt |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(24,937 |
) |
Net interest expense |
|
(111,949 |
) |
|
|
(105,010 |
) |
|
|
(426,884 |
) |
|
|
(394,333 |
) |
Income (loss) before income taxes |
|
145,511 |
|
|
|
80,680 |
|
|
|
435,931 |
|
|
|
(250,694 |
) |
Income tax (benefit) expense |
|
(4,528 |
) |
|
|
(1,483 |
) |
|
|
(18,823 |
) |
|
|
6,444 |
|
Net income (loss) |
|
150,039 |
|
|
|
82,163 |
|
|
|
454,754 |
|
|
|
(257,138 |
) |
Net income attributable to noncontrolling interests |
|
1,169 |
|
|
|
1,549 |
|
|
|
9,525 |
|
|
|
12,204 |
|
Net income (loss) attributable to ETRN |
|
148,870 |
|
|
|
80,614 |
|
|
|
445,229 |
|
|
|
(269,342 |
) |
Preferred dividends |
|
14,628 |
|
|
|
14,628 |
|
|
|
58,512 |
|
|
|
58,512 |
|
Net income (loss) attributable to ETRN common shareholders |
$ |
134,242 |
|
|
$ |
65,986 |
|
|
$ |
386,717 |
|
|
$ |
(327,854 |
) |
|
|
|
|
|
|
|
|
||||||||
Earnings (loss) per share of common stock attributable to ETRN common shareholders - basic |
$ |
0.31 |
|
|
$ |
0.15 |
|
|
$ |
0.89 |
|
|
$ |
(0.76 |
) |
Earnings (loss) per share of common stock attributable to ETRN common shareholders - diluted |
$ |
0.31 |
|
|
$ |
0.15 |
|
|
$ |
0.89 |
|
|
$ |
(0.76 |
) |
|
|
|
|
|
|
|
|
||||||||
Weighted average common shares outstanding - basic |
|
434,102 |
|
|
|
433,365 |
|
|
|
433,963 |
|
|
|
433,341 |
|
Weighted average common shares outstanding - diluted |
|
439,362 |
|
|
|
434,347 |
|
|
|
436,132 |
|
|
|
433,341 |
|
|
||||||||||||
GATHERING RESULTS OF OPERATIONS |
||||||||||||
|
Three Months Ended
|
|
Years Ended
|
|||||||||
|
2023 |
|
2022 |
|
2023 |
|
2022 |
|||||
|
|
|
|
|
|
|
|
|||||
FINANCIAL DATA |
(Thousands, except per day amounts) |
|||||||||||
Firm reservation fee revenues(1) |
$ |
143,954 |
|
|
$ |
147,015 |
|
$ |
572,899 |
|
$ |
562,947 |
Volumetric-based fee revenues |
|
85,180 |
|
|
|
71,280 |
|
|
297,268 |
|
|
327,632 |
Total operating revenues |
|
229,134 |
|
|
|
218,295 |
|
|
870,167 |
|
|
890,579 |
Operating expenses: |
|
|
|
|
|
|
|
|||||
Operating and maintenance |
|
26,532 |
|
|
|
29,223 |
|
|
96,863 |
|
|
101,194 |
Selling, general and administrative |
|
25,391 |
|
|
|
22,539 |
|
|
113,710 |
|
|
82,590 |
Depreciation |
|
49,226 |
|
|
|
49,106 |
|
|
196,547 |
|
|
195,059 |
Amortization of intangible assets |
|
16,205 |
|
|
|
16,205 |
|
|
64,819 |
|
|
64,819 |
Total operating expenses |
|
117,354 |
|
|
|
117,073 |
|
|
471,939 |
|
|
443,662 |
Operating income |
$ |
111,780 |
|
|
$ |
101,222 |
|
$ |
398,228 |
|
$ |
446,917 |
|
|
|
|
|
|
|
|
|||||
Other (expense) income, net(2) |
$ |
(5,946 |
) |
|
$ |
5,102 |
|
$ |
1,531 |
|
$ |
13,312 |
|
|
|
|
|
|
|
|
|||||
OPERATIONAL DATA |
|
|
|
|
|
|
|
|||||
Gathered volumes (BBtu per day) |
|
|
|
|
|
|
|
|||||
Firm capacity(1) |
|
5,567 |
|
|
|
5,248 |
|
|
5,441 |
|
|
5,211 |
Volumetric-based services |
|
2,357 |
|
|
|
2,137 |
|
|
2,238 |
|
|
2,484 |
Total gathered volumes |
|
7,924 |
|
|
|
7,385 |
|
|
7,679 |
|
|
7,695 |
|
|
|
|
|
|
|
|
|||||
Capital expenditures(3) |
$ |
68,591 |
|
|
$ |
69,939 |
|
$ |
267,748 |
|
$ |
265,864 |
(1) |
Includes revenues and volumes, as applicable, from contracts with MVCs. |
(2) |
Other (expense) income, net, includes the unrealized (loss) gain on derivative instruments associated with the Henry Hub cash bonus payment provision and gain on sale of gathering assets in the year ended |
(3) |
Includes approximately |
|
||||||||||||
TRANSMISSION RESULTS OF OPERATIONS |
||||||||||||
|
Three Months Ended
|
|
Years Ended
|
|||||||||
|
2023 |
|
2022 |
|
2023 |
|
2022 |
|||||
|
|
|
|
|
|
|
|
|||||
FINANCIAL DATA |
(Thousands, except per day amounts) |
|||||||||||
Firm reservation fee revenues |
$ |
94,939 |
|
$ |
98,640 |
|
$ |
361,416 |
|
$ |
370,769 |
|
Volumetric-based fee revenues |
|
18,159 |
|
|
12,447 |
|
|
81,703 |
|
|
33,748 |
|
Total operating revenues |
|
113,098 |
|
|
111,087 |
|
|
443,119 |
|
|
404,517 |
|
Operating expenses: |
|
|
|
|
|
|
|
|||||
Operating and maintenance |
|
12,875 |
|
|
17,456 |
|
|
55,180 |
|
|
33,429 |
|
Selling, general and administrative |
|
14,707 |
|
|
11,512 |
|
|
57,446 |
|
|
37,782 |
|
Depreciation |
|
14,260 |
|
|
13,907 |
|
|
56,056 |
|
|
55,614 |
|
Total operating expenses |
|
41,842 |
|
|
42,875 |
|
|
168,682 |
|
|
126,825 |
|
Operating income |
$ |
71,256 |
|
$ |
68,212 |
|
$ |
274,437 |
|
$ |
277,692 |
|
|
|
|
|
|
|
|
|
|||||
Equity income |
$ |
77,597 |
|
$ |
77 |
|
$ |
175,215 |
|
$ |
168 |
|
Impairment of equity method investment |
$ |
— |
|
$ |
— |
|
$ |
— |
|
$ |
(583,057 |
) |
|
|
|
|
|
|
|
|
|||||
OPERATIONAL DATA |
|
|
|
|
|
|
|
|||||
Transmission pipeline throughput (BBtu per day) |
|
|
|
|
|
|
|
|||||
Firm capacity(1) |
|
3,553 |
|
|
3,312 |
|
|
3,402 |
|
|
3,140 |
|
Interruptible capacity |
|
50 |
|
|
10 |
|
|
24 |
|
|
33 |
|
Total transmission pipeline throughput |
|
3,603 |
|
|
3,322 |
|
|
3,426 |
|
|
3,173 |
|
|
|
|
|
|
|
|
|
|||||
Average contracted firm transmission reservation commitments (BBtu per day) |
|
3,953 |
|
|
4,211 |
|
|
3,812 |
|
|
4,059 |
|
|
|
|
|
|
|
|
|
|||||
Capital expenditures(2) |
$ |
29,328 |
|
$ |
12,977 |
|
$ |
84,224 |
|
$ |
35,971 |
|
(1) |
Firm capacity includes volumes associated with firm capacity contracts including volumes in excess of firm capacity. |
(2) |
Transmission capital expenditures do not include aggregate capital contributions made to the MVP JV for the MVP and Southgate projects of approximately |
|
|||||||||||
WATER RESULTS OF OPERATIONS |
|||||||||||
|
Three Months Ended
|
|
Years Ended
|
||||||||
|
2023 |
|
2022 |
|
2023 |
|
2022 |
||||
|
|
|
|
|
|
|
|
||||
FINANCIAL DATA |
(Thousands, except MMgal amounts) |
||||||||||
Firm reservation fee revenues(1) |
$ |
9,375 |
|
$ |
9,375 |
|
$ |
39,168 |
|
$ |
33,877 |
Volumetric-based fee revenues |
|
9,002 |
|
|
16,482 |
|
|
41,475 |
|
|
28,774 |
Total operating revenues |
|
18,377 |
|
|
25,857 |
|
|
80,643 |
|
|
62,651 |
Operating expenses: |
|
|
|
|
|
|
|
||||
Operating and maintenance |
|
6,868 |
|
|
7,142 |
|
|
25,833 |
|
|
19,960 |
Selling, general and administrative |
|
1,878 |
|
|
2,117 |
|
|
15,498 |
|
|
8,073 |
Depreciation |
|
7,014 |
|
|
5,533 |
|
|
26,043 |
|
|
20,016 |
Total operating expenses |
|
15,760 |
|
|
14,792 |
|
|
67,374 |
|
|
48,049 |
Operating income |
$ |
2,617 |
|
$ |
11,065 |
|
$ |
13,269 |
|
$ |
14,602 |
|
|
|
|
|
|
|
|
||||
OPERATIONAL DATA |
|
|
|
|
|
|
|
||||
Water services volumes (MMgal) |
|
|
|
|
|
|
|
||||
Firm capacity(1) |
|
121 |
|
|
110 |
|
|
513 |
|
|
433 |
Volumetric-based services |
|
235 |
|
|
348 |
|
|
942 |
|
|
706 |
Total water volumes |
|
356 |
|
|
458 |
|
|
1,455 |
|
|
1,139 |
|
|
|
|
|
|
|
|
||||
Capital expenditures |
$ |
13,893 |
|
$ |
17,437 |
|
$ |
45,691 |
|
$ |
66,569 |
(1) |
Includes revenues and volumes from contracts with MVCs or Annual Revenue Commitments (ARCs), as applicable. |
View source version on businesswire.com: https://www.businesswire.com/news/home/20240220943165/en/
Analyst inquiries:
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Media inquiries:
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Source: