Summary
Cheniere Energy, Inc. (LNG) reported its first quarter 2011 financial results, highlighting continued investment in its liquefaction project at the Sabine Pass LNG terminal and a net loss attributable to common stockholders of $39.8 million ($0.60 per share) for the three months ended March 31, 2011. Total revenues remained relatively flat year-over-year at $79.2 million, compared to $79.5 million in the prior year's first quarter. The company's financial position shows total assets of $2.56 billion and total liabilities and deficit of $2.56 billion, with a significant portion of assets comprising property, plant, and equipment, indicating ongoing capital expenditure in its core infrastructure projects. The company continues to focus on developing its liquefaction and export capabilities at Sabine Pass, with significant progress on regulatory applications and the signing of Memoranda of Understanding (MOUs) with potential customers. While revenue streams from LNG terminal operations remained stable, the net loss increased compared to the prior year, driven by higher LNG terminal and pipeline development expenses associated with these growth initiatives. Cheniere's liquidity appears manageable, with sufficient cash to fund operations until its 2012 debt maturities, but the company anticipates further restructuring of its finances through commercial agreements, debt refinancing, or asset sales to enhance its capital structure.
Financial Highlights
27 data points| Revenue | $79.23M |
| R&D Expenses | $8.44M |
| Operating Expenses | $55.66M |
| Operating Income | $23.57M |
| Interest Expense | $64.15M |
| Net Income | -$39.84M |
| EPS (Basic) | $-0.60 |
| Shares Outstanding (Basic) | 66.95M |
| Shares Outstanding (Diluted) | 66.95M |
Key Highlights
- 1Net loss attributable to common stockholders was $39.8 million ($0.60 per share) for Q1 2011, compared to $35.2 million ($0.64 per share) in Q1 2010.
- 2Total revenues were $79.2 million for Q1 2011, largely unchanged from $79.5 million in Q1 2010.
- 3Significant increase in LNG terminal and pipeline development expenses, from $0.7 million in Q1 2010 to $8.4 million in Q1 2011, primarily due to the liquefaction project.
- 4Consolidated assets totaled $2.56 billion as of March 31, 2011, with property, plant, and equipment representing the largest asset category.
- 5Total long-term debt (including related parties) stood at $2.99 billion as of March 31, 2011.
- 6The company has sufficient cash to meet its operating expenses until at least May 2012, the maturity date of the 2007 Term Loan, with plans to restructure finances.
- 7Submitted applications to FERC for liquefaction and export facilities at Sabine Pass and received DOE authorization for LNG exports to FTA countries.