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Ferrellgas Partners (FGP) Lags Q3 Earnings, Sales Estimates

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Ferrellgas Partners LP (FGP - Free Report) reported third-quarter fiscal 2018 adjusted earnings of 18 cents per unit, missing the Zacks Consensus Estimate of 26 cents by 30.8%.

Total Revenues

In the reported quarter, Ferrellgas Partners’ total revenues were $515.8 million, missing the Zacks Consensus Estimate of $621 million by 17%. The top line also declined 4.1% from $538 million in the prior-year quarter.

Revenues declined primarily due to lower sales Midstream operations segment which slumped 82%. Sales in the Propane and other gas liquids segment improved 22%. Other segment reported slightly lower sales compared with year-ago quarter’s levels.

Ferrellgas Partners, L.P. Price, Consensus and EPS Surprise

Highlights of the Release

In the reported quarter, nearly 246.3 million gallons of Propane were sold compared with 212.2 million gallons in the prior-year quarter. Customer base increased 1.7% year over year. Year to date company’s Blue Rhino tank exchange sales locations have increased 9.5%.

Operating expenses in the reported quarter were $116.6 million, down 11.3% from $104.8 million in the prior-year quarter.

General and administrative expenses in the quarter under review were $11.7 million, up from $9.9 million in the prior-year quarter.

Interest expenses were $40.3 million, up from $39.8 million in the prior-year quarter.

In the quarter under review, the company completed divestiture of Bridger Energy and Bridger Rail.

Financial Position

Ferrellgas Partners’ cash and cash equivalents were $9.5 million as of Apr 30, 2018, compared with $5.8 million as of Jul 31, 2017.

Long-term debt was $1,995.6 million as of Apr 30, 2018, compared with $1,995.8 million as of Jul 31, 2017.

Zacks Rank

Ferrellgas Partners 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 From Same Space

Sunoco LP (SUN - Free Report) reported first-quarter 2018 adjusted earnings of 10 cents per share, missing the Zacks Consensus Estimate of 57 cents by 82.5%.

Sprague Resources LP (SRLP - Free Report) reported first-quarter earnings $3.21 per share, which surpassed the Zacks Consensus Estimate $1.54 by 108.4%.

Calumet Specialty Products Partners, L.P. (CLMT - Free Report) reported first-quarter 2018 loss of 4 cents per share, narrower than the Zacks Consensus Estimate of 45 cents.

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