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10-QPeriod: Q3 FY2022

ENTERPRISE PRODUCTS PARTNERS L.P. Quarterly Report for Q3 Ended Sep 30, 2022

Filed November 8, 2022For Securities:EPDEPDU

Summary

Enterprise Products Partners L.P. (EPD) reported a strong third quarter of 2022, driven by robust growth across its midstream energy infrastructure segments. Total revenues surged significantly year-over-year, largely propelled by strong marketing revenues and higher commodity prices. The company's operating income also saw a healthy increase, reflecting increased volumes and operational efficiencies. EPD continues to invest in growth projects, with several expansions in the Permian Basin and other key areas, demonstrating a commitment to expanding its network and service offerings. The company maintained its financial strength, with ample liquidity and prudent management of its debt obligations. Overall, EPD's third-quarter results indicate a positive operational and financial performance, supported by favorable market conditions and strategic investments in infrastructure.

Financial Statements
Beta
Revenue$15.47B
Cost of Revenue$12.32B
Gross Profit$3.15B
Operating Expenses$13.87B
Operating Income$1.71B
Interest Expense$309.00M
Net Income$1.35B
Shares Outstanding (Diluted)2.20B

Key Highlights

  • 1Total revenues increased by approximately 43% to $15.5 billion for the third quarter of 2022, compared to $10.8 billion in the prior year period, primarily driven by higher marketing revenues and increased sales volumes, influenced by higher commodity prices.
  • 2Operating income rose by approximately 13% to $1.7 billion for the third quarter of 2022, up from $1.5 billion in the same period last year, reflecting strong performance across key business segments.
  • 3Net income attributable to common unitholders increased by approximately 18% to $1.36 billion ($0.62 per diluted unit) for the third quarter of 2022, compared to $1.15 billion ($0.52 per diluted unit) in the third quarter of 2021.
  • 4The company announced several growth projects, including expansions in the Permian Basin, demonstrating continued investment in its midstream infrastructure network.
  • 5Distributable Cash Flow (DCF) increased to $1.87 billion for the third quarter of 2022, up from $1.61 billion in the prior year period, supporting a distribution coverage ratio of 1.8x.
  • 6EPD repurchased approximately 2.9 million common units for $72 million under its 2019 Buyback Program during the third quarter, indicating a return of capital to unitholders.
  • 7The company ended the quarter with a strong liquidity position, with $3.3 billion in consolidated liquidity, including $167 million in unrestricted cash on hand.

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