Summary
Kinder Morgan, Inc. (KMI) reported solid financial results for the first quarter of 2019, demonstrating resilience and operational strength. Total revenues slightly increased to $3.429 billion from $3.418 billion in the prior year, while net income attributable to Kinder Morgan, Inc. rose by 6% to $556 million, or $0.24 per diluted share, compared to $524 million, or $0.22 per diluted share, in the first quarter of 2018. This performance was driven by strong contributions from the Natural Gas Pipelines segment, which saw a 7% increase in revenues, and improved operational efficiency across other segments, partially offset by lower contributions from the CO2 segment due to commodity prices and the divestiture of the Kinder Morgan Canada business. The company also made significant progress in its capital structure management, notably utilizing proceeds from the Trans Mountain Pipeline System sale to reduce debt. Liquidity remains strong, with substantial borrowing capacity available on its credit facilities. KMI continues to focus on returning value to shareholders, declaring a quarterly dividend of $0.25 per common share, reflecting confidence in its ongoing operational performance and financial stability.
Financial Highlights
52 data points| Revenue | $3.43B |
| Cost of Revenue | $948.00M |
| Gross Profit | $2.48B |
| Operating Expenses | $2.41B |
| Operating Income | $1.02B |
| Net Income | $556.00M |
| EPS (Basic) | $0.24 |
| Shares Outstanding (Basic) | 2.26B |
Key Highlights
- 1Net income attributable to Kinder Morgan, Inc. increased by 6% to $556 million, or $0.24 per diluted share, from $524 million, or $0.22 per diluted share, in Q1 2018.
- 2Total revenues saw a modest increase to $3.429 billion, up from $3.418 billion in Q1 2018.
- 3Natural Gas Pipelines segment reported strong performance with a 7% revenue increase and a 12% rise in Segment EBDA before certain items, driven by expansion projects and higher capacity sales.
- 4The company utilized proceeds from the Trans Mountain Pipeline System sale to reduce debt, repaying $0.4 billion in commercial paper and $1.3 billion in maturing long-term debt.
- 5Cash flow from operating activities was $635 million for the quarter, down from $974 million in the prior year, primarily due to foreign income tax payments related to the Trans Mountain sale.
- 6Kinder Morgan declared a quarterly dividend of $0.25 per common share, an increase from $0.20 per share in the prior year's quarter.
- 7Consolidated assets decreased to $76.29 billion from $78.87 billion at the end of 2018, largely reflecting debt reduction activities.