Equitrans Midstream Corp (ETRN) Reports Q3 2023 Earnings: Net Income at $129.7 Million
Equitrans Midstream Corp (NYSE:ETRN) reported a net income of $129.7 million and $249.9 million of Adjusted EBITDA in Q3 2023.
The company generated $201.6 million of net cash from operating activities and recorded 71% of total operating revenue from firm reservation fees.
ETRN achieved a 12% transmission pipeline throughput growth compared to the same quarter last year.
The company announced a quarterly cash dividend of $0.15 per common share.
Equitrans Midstream Corp (NYSE:ETRN) released its financial and operational results for the third quarter of 2023 on October 31, 2023. The company reported a net income of $129.7 million and $249.9 million of Adjusted EBITDA. ETRN generated $201.6 million of net cash from operating activities and recorded 71% of total operating revenue from firm reservation fees. The company also achieved a 12% transmission pipeline throughput growth compared to the same quarter last year.
Financial Highlights
ETRN reported a net income attributable to common shareholders of $112.8 million for Q3 2023. The company's earnings per diluted share attributable to common shareholders stood at $0.26. Adjusted net income attributable to ETRN common shareholders was $122.8 million, with adjusted earnings per diluted share attributable to ETRN common shareholders at $0.28. The company's net income was impacted by several items, including a $7.8 million write-down of a contract asset in the water segment and a $3.4 million unrealized loss on derivative instruments.
Operational Achievements
ETRN's operations continue to deliver, with integrated gathering and transmission assets providing the flexibility to take on significant ramps in volume. The company anticipates several years of mid-single digit annual volume growth, based primarily on possessing the direct connections to MVP, having currently available capacity provided by gathering and transmission assets, and the world-class resource base that sits under its assets.
Capital Expenditures and Guidance
ETRN's total capital expenditures for Q3 2023 stood at $315 million. The company's full-year 2023 forecast for total capital expenditures is between $1,090 - $1,140 million. For the full-year 2023, ETRN expects a net income of $425 - $445 million and Adjusted EBITDA of $1,020 - $1,040 million.
Leadership Transition
As previously announced, Diana M. Charletta will succeed Thomas F. Karam as chief executive officer, effective January 1, 2024. At that time, Mr. Karam will become ETRN's executive chairman.
Dividend Announcement
For the third quarter 2023, ETRN will pay a quarterly cash dividend of $0.15 per common share on November 14, 2023 to ETRN common shareholders of record at the close of business on November 3, 2023.
Explore the complete 8-K earnings release (here) from Equitrans Midstream Corp for further details.
This article first appeared on GuruFocus.
