Plains All American Pipeline, L.P. (PAA - Free Report) reported third-quarter 2019 adjusted earnings of 52 cents per unit, beating the Zacks Consensus Estimate of 39 cents by 33.33%. Moreover, the bottom line improved 20.9% from the year-ago quarter on increased Permian Basin Systems volumes.
In the quarter under review, the partnership reported GAAP earnings of 55 cents per unit, down from the year-ago figure of 87 cents.
Total revenues in the third quarter amounted to $7,886 million, surpassing the Zacks Consensus Estimate of $7,880 million by 0.1%. However, revenues declined 10.3% from $8,792 million a year ago.
In the Transportation segment, adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) of $462 million increased 19% from the year-ago quarter, courtesy of expanded volumes in Permian Basin systems along with the start-up of Sunrise II and Cactus II pipeline systems in fourth-quarter 2018 and third quarter of 2019, respectively. Performance in the central region pipelines also contributed to the strong performance.
In the Facilities segment, adjusted EBITDA of $173 million remained flat with the year-ago reported figure.
The Supply and Logistics segment reported adjusted EBITDA of $92 million, which increased 23% from the year-ago $75 million. The improvement was backed by favourable crude oil differentials in the Permian Basin, partially offset by lower NGL margins.