Summary
Enterprise Products Partners L.P. (EPD) reported a solid second quarter and first half of 2013, demonstrating revenue growth driven by increased volumes across its midstream energy services segments, particularly in crude oil and natural gas. Total revenues for the quarter increased by approximately 14% year-over-year, reaching $11.15 billion, with the six-month period seeing a similar increase to $22.53 billion. The company successfully managed operating costs, leading to an increase in operating income for both periods. Key investments in new infrastructure, such as the Eagle Ford Shale assets and the Mont Belvieu complex, are beginning to contribute to performance, with further expansion projects in crude oil storage and refined products export facilities planned. Financially, EPD showed improved liquidity, with increased cash flows from operations, and continued to manage its debt levels effectively through strategic refinancing and new debt issuances. The partnership also continued its commitment to unitholders by declaring and paying cash distributions. The company's financial health is further supported by its strategic positioning in key North American energy production basins and its diversified asset base, which collectively mitigate some of the volatility associated with commodity price fluctuations.
Financial Highlights
42 data points| Revenue | $11.15B |
| Cost of Revenue | $9.46B |
| Gross Profit | $1.69B |
| Operating Expenses | $10.41B |
| Operating Income | $774.20M |
| Interest Expense | $200.20M |
| Net Income | $552.50M |
| Shares Outstanding (Diluted) | 1.84B |
Key Highlights
- 1Revenue increased to $11.15 billion for the second quarter of 2013 and $22.53 billion for the first six months, up from $9.79 billion and $21.04 billion respectively in the prior year.
- 2Operating income grew to $774.2 million for the quarter and $1.73 billion for the six-month period, indicating improved operational profitability.
- 3Net income attributable to limited partners was $552.5 million for the quarter and $1.31 billion for the six-month period.
- 4The company's cash flow from operations increased to $1.53 billion for the first six months of 2013, up from $1.34 billion in the same period of 2012, demonstrating strong operational cash generation.
- 5EPD continued to expand its asset base, with significant capital expenditures of $1.98 billion in the first six months of 2013 on growth projects and investments in unconsolidated affiliates.
- 6Total debt remained substantial at $16.97 billion, but the company managed its debt maturity profile and liquidity, including filing a new universal shelf registration statement.
- 7Distributions paid to limited partners increased to $1.17 billion for the six-month period, reflecting a commitment to returning capital to unitholders.