We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Plains All American (PAA) Q4 Earnings Miss, Revenues Beat
Read MoreHide Full Article
Plains All American Pipeline, L.P. (PAA - Free Report) reported fourth-quarter 2021 adjusted earnings of 25 cents per unit, which lagged the Zacks Consensus Estimate of 28 cents by 10.7%. The bottom line also declined 13.8% from the year-ago figure.
For the quarter under review, the partnership reported a GAAP loss of 56 cents per unit compared with a loss of 11 cents in the year-ago period.
For 2021, Plains All American’s earnings per unit were 95 cents, down 39% from $1.55 a year ago.
Total Revenues
Total revenues of $12,954 million surpassed the Zacks Consensus Estimate of $10,787 million by 20.1%. Further, the top line improved 117.2% from $5,963 million reported a year ago. Strong performance of its Crude Oil and Natural Gas Liquids (“NGL”) segment boosted the top line.
For 2021, Plains All American’s total revenues were $42,043 million, up 80.5% from the 2020 figure of $23,290 million.
Plains All American Pipeline, L.P. Price, Consensus and EPS Surprise
For the quarter under review, Plains All American’s total costs and expenses were $12,354 million, up 104.9% year over year. This increase was primarily due to higher purchases and related costs.
Total adjusted EBITDA for the quarter was $564 million, up 2% from the year-ago period.
During the quarter, the firm reorganized historical operating segments, namely Transportation, Facilities and Supply and Logistics, into two operating segments: Crude Oil and NGL.
During the quarter, Crude Oil volumes were 7,202 thousand barrels per day (Mbls/d) and NGL sales volume was 148 Mbls/d.
Net interest expenses decreased 1.9% year over year to $106 million.
The firm reduced its debt level by $993 million during 2021, which will lower capital servicing costs.
Segmental Performance
The Crude Oil segment’s adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) were $423 million. The performance of this segment was impacted by lower volumes on certain long-haul pipes, the impact of asset sales & the timing of expenses, partially offset by increased Permian gathering volumes.
The NGL Segment’s adjusted EBITDA was $141 million. The performance of this segment was driven by higher seasonal demand and improved NGL sales margin, partially offset by the impact of the Ft. Sask incident.
Financial Update
As of Dec 31, 2021, current assets were $6,137 million compared with $3,665 million at 2020-end.
As of Dec 31, 2021, Plains All American had long-term debt of $8,398 million compared with $9,382 million in the corresponding period of 2020. Free cash flow was $539 million, up 136% from $228 million in the year-ago period.
As of the same date, its long-term debt-to-total book capitalization was 46%, down from 49% at 2020-end.
Guidance
Plains All American’s 2022 adjusted EBITDA expectation is $2,200 million. Free cash flow after distribution for 2022 is expected to be $700 million.
Plains All Pipeline expects Crude pipeline volumes to average 7,150 Mbls/d and NGL sales volume to be 140 Mbls/d in 2022. The firm plans to invest $550 million in 2022 to strengthen operations.
Zacks Rank
Plains All American currently carries a Zacks Rank #3 (Hold).
Enterprise Products Partners L.P. (EPD - Free Report) reported fourth-quarter 2021 adjusted earnings per limited partner unit of 52 cents, missing the Zacks Consensus Estimate of 54 cents by 3.7%.
The Zacks Consensus Estimate for Enterprise Products Partners’ total revenues and earnings per unit for 2022 has moved up 9.3% and 5.7% year over year, respectively. EPD’s revenue and earnings per unit estimates for 2023 suggest a 6% and 6.1% year-over-year increase, respectively.
NuStar Energy L.P. (NS - Free Report) reported fourth-quarter 2021 adjusted earnings per limited partner unit of 14 cents, missing the Zacks Consensus Estimate of 29 cents by 51.7%.
The Zacks Consensus Estimate for NuStar Energy’s revenues and earnings per unit for 2022 indicates 9.9% and 123.3% year-over-year growth, respectively.
Upcoming Release
Delek Logistics Partners (DKL - Free Report) is scheduled to report fourth-quarter earnings on Feb 23, after market close. The Zacks Consensus Estimate for quarterly earnings is 97 cents.
The Zacks Consensus Estimate for Delek Logistics Partners’ 2022 revenues and earnings per unit indicates year-over-year growth of 9.6% and 14.2%, respectively.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Plains All American (PAA) Q4 Earnings Miss, Revenues Beat
Plains All American Pipeline, L.P. (PAA - Free Report) reported fourth-quarter 2021 adjusted earnings of 25 cents per unit, which lagged the Zacks Consensus Estimate of 28 cents by 10.7%. The bottom line also declined 13.8% from the year-ago figure.
For the quarter under review, the partnership reported a GAAP loss of 56 cents per unit compared with a loss of 11 cents in the year-ago period.
For 2021, Plains All American’s earnings per unit were 95 cents, down 39% from $1.55 a year ago.
Total Revenues
Total revenues of $12,954 million surpassed the Zacks Consensus Estimate of $10,787 million by 20.1%. Further, the top line improved 117.2% from $5,963 million reported a year ago. Strong performance of its Crude Oil and Natural Gas Liquids (“NGL”) segment boosted the top line.
For 2021, Plains All American’s total revenues were $42,043 million, up 80.5% from the 2020 figure of $23,290 million.
Plains All American Pipeline, L.P. Price, Consensus and EPS Surprise
Plains All American Pipeline, L.P. price-consensus-eps-surprise-chart | Plains All American Pipeline, L.P. Quote
Highlights of the Release
For the quarter under review, Plains All American’s total costs and expenses were $12,354 million, up 104.9% year over year. This increase was primarily due to higher purchases and related costs.
Total adjusted EBITDA for the quarter was $564 million, up 2% from the year-ago period.
During the quarter, the firm reorganized historical operating segments, namely Transportation, Facilities and Supply and Logistics, into two operating segments: Crude Oil and NGL.
During the quarter, Crude Oil volumes were 7,202 thousand barrels per day (Mbls/d) and NGL sales volume was 148 Mbls/d.
Net interest expenses decreased 1.9% year over year to $106 million.
The firm reduced its debt level by $993 million during 2021, which will lower capital servicing costs.
Segmental Performance
The Crude Oil segment’s adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) were $423 million. The performance of this segment was impacted by lower volumes on certain long-haul pipes, the impact of asset sales & the timing of expenses, partially offset by increased Permian gathering volumes.
The NGL Segment’s adjusted EBITDA was $141 million. The performance of this segment was driven by higher seasonal demand and improved NGL sales margin, partially offset by the impact of the Ft. Sask incident.
Financial Update
As of Dec 31, 2021, current assets were $6,137 million compared with $3,665 million at 2020-end.
As of Dec 31, 2021, Plains All American had long-term debt of $8,398 million compared with $9,382 million in the corresponding period of 2020. Free cash flow was $539 million, up 136% from $228 million in the year-ago period.
As of the same date, its long-term debt-to-total book capitalization was 46%, down from 49% at 2020-end.
Guidance
Plains All American’s 2022 adjusted EBITDA expectation is $2,200 million. Free cash flow after distribution for 2022 is expected to be $700 million.
Plains All Pipeline expects Crude pipeline volumes to average 7,150 Mbls/d and NGL sales volume to be 140 Mbls/d in 2022. The firm plans to invest $550 million in 2022 to strengthen operations.
Zacks Rank
Plains All American currently carries a Zacks Rank #3 (Hold).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Other Releases
Enterprise Products Partners L.P. (EPD - Free Report) reported fourth-quarter 2021 adjusted earnings per limited partner unit of 52 cents, missing the Zacks Consensus Estimate of 54 cents by 3.7%.
The Zacks Consensus Estimate for Enterprise Products Partners’ total revenues and earnings per unit for 2022 has moved up 9.3% and 5.7% year over year, respectively. EPD’s revenue and earnings per unit estimates for 2023 suggest a 6% and 6.1% year-over-year increase, respectively.
NuStar Energy L.P. (NS - Free Report) reported fourth-quarter 2021 adjusted earnings per limited partner unit of 14 cents, missing the Zacks Consensus Estimate of 29 cents by 51.7%.
The Zacks Consensus Estimate for NuStar Energy’s revenues and earnings per unit for 2022 indicates 9.9% and 123.3% year-over-year growth, respectively.
Upcoming Release
Delek Logistics Partners (DKL - Free Report) is scheduled to report fourth-quarter earnings on Feb 23, after market close. The Zacks Consensus Estimate for quarterly earnings is 97 cents.
The Zacks Consensus Estimate for Delek Logistics Partners’ 2022 revenues and earnings per unit indicates year-over-year growth of 9.6% and 14.2%, respectively.