Enterprise Products Partners L.P.’s (EPD - Free Report) third-quarter 2016 adjusted earnings per limited partner unit of 30 cents came in line with the Zacks Consensus Estimate.
However, the bottom line deteriorated from the year-ago quarterly earnings of 34 cents. Lower commodity sale prices hampered results.
Quarterly distribution at Enterprise Products increased 5.2% year over year to 40.5 cents per common unit, or $1.62 per unit on an annualized basis. Adjusted distributable cash flow of $978 million provided coverage of 1.15x. The partnership retained $124 million in cash flow, thereby reducing its financing needs.
Revenues in the quarter plunged to $5,920.4 million from $6,307.9 million in the year-ago quarter.
Third-Quarter Segmental Performance
Gross operating income in the NGL Pipeline & Services segment increased to $704 million from $696 million in the year-ago quarter.
Onshore Natural Gas Pipeline and Services’ gross operating income decreased to $179 million from $192 million in the year-ago quarter.
Gross operating income from the Onshore Crude Oil Pipelines & Services segment was $254 million as against $255 million in the year-ago quarter.
Petrochemical & Refined Product Services segment reported gross operating income of $172 million compared with the year-earlier level of $192 million.
The Offshore Pipelines & Services segment had no contribution to gross operating income as the partnership closed the sale of its offshore Gulf of Mexico business on Jul 24, 2015. In the prior-year quarter it recorded a gross operating margin of $7 million.
ENTERPRISE PROD Price, Consensus and EPS Surprise
Financials
During the quarter, the partnership spent $621 million. Outstanding total debt principal as of Sep 30, 2016 was $24.2 billion. Enterprise had consolidated liquidity of $3.5 billion, which comprised unrestricted cash on hand and available borrowing capacity.
Zacks Rank
Enterprise Products Partners currently has a Zacks Rank #3 (Hold).
Some better-ranked players from the same sector are Enbridge Inc. (ENB - Free Report) , Braskem SA (BAK - Free Report) and TransCanada Corporation (TRP - Free Report) . All these stocks sport a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Enbridge Inc. reported a negative earnings surprise of 10.00% in the preceding year quarter.
TransCanada posted a positive earnings surprise of 22.92% in the last reported quarter.
Enviva Partners has a mixed earnings surprise history. The partnership posted positive earnings surprises in two of the last four quarters. It reported a positive earnings surprise of 20.51% in the preceding quarter.
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Enterprise Products Partners L.P.’s (EPD - Free Report) third-quarter 2016 adjusted earnings per limited partner unit of 30 cents came in line with the Zacks Consensus Estimate.
However, the bottom line deteriorated from the year-ago quarterly earnings of 34 cents. Lower commodity sale prices hampered results.
Quarterly distribution at Enterprise Products increased 5.2% year over year to 40.5 cents per common unit, or $1.62 per unit on an annualized basis. Adjusted distributable cash flow of $978 million provided coverage of 1.15x. The partnership retained $124 million in cash flow, thereby reducing its financing needs.
Revenues in the quarter plunged to $5,920.4 million from $6,307.9 million in the year-ago quarter.
Third-Quarter Segmental Performance
Gross operating income in the NGL Pipeline & Services segment increased to $704 million from $696 million in the year-ago quarter.
Onshore Natural Gas Pipeline and Services’ gross operating income decreased to $179 million from $192 million in the year-ago quarter.
Gross operating income from the Onshore Crude Oil Pipelines & Services segment was $254 million as against $255 million in the year-ago quarter.
Petrochemical & Refined Product Services segment reported gross operating income of $172 million compared with the year-earlier level of $192 million.
The Offshore Pipelines & Services segment had no contribution to gross operating income as the partnership closed the sale of its offshore Gulf of Mexico business on Jul 24, 2015. In the prior-year quarter it recorded a gross operating margin of $7 million.
ENTERPRISE PROD Price, Consensus and EPS Surprise
Financials
During the quarter, the partnership spent $621 million. Outstanding total debt principal as of Sep 30, 2016 was $24.2 billion. Enterprise had consolidated liquidity of $3.5 billion, which comprised unrestricted cash on hand and available borrowing capacity.
Zacks Rank
Enterprise Products Partners currently has a Zacks Rank #3 (Hold).
Some better-ranked players from the same sector are Enbridge Inc. (ENB - Free Report) , Braskem SA (BAK - Free Report) and TransCanada Corporation (TRP - Free Report) . All these stocks sport a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Enbridge Inc. reported a negative earnings surprise of 10.00% in the preceding year quarter.
TransCanada posted a positive earnings surprise of 22.92% in the last reported quarter.
Enviva Partners has a mixed earnings surprise history. The partnership posted positive earnings surprises in two of the last four quarters. It reported a positive earnings surprise of 20.51% in the preceding quarter.
Confidential from Zacks
Beyond this Analyst Blog, would you like to see Zacks' best recommendations that are not available to the public? Our Executive VP, Steve Reitmeister, knows when key trades are about to be triggered and which of our experts has the hottest hand. Click to see them now>>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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