Summary
Cheniere Energy, Inc. (LNG) reported a net loss of $117.1 million for the first quarter of 2013, a widening from the $56.4 million net loss in the same period of 2012. This loss was primarily driven by increased general and administrative expenses and derivative losses, despite a reduction in interest expenses. The company's balance sheet saw a significant increase in total assets to $6.58 billion from $4.64 billion year-over-year, largely due to substantial investments in property, plant, and equipment, particularly for the ongoing Liquefaction Project. Financially, Cheniere's cash position decreased, with unrestricted cash and cash equivalents at $178.0 million, down from $201.7 million at the end of 2012. However, total assets were bolstered by a significant increase in restricted cash and cash equivalents, totaling over $2.18 billion, which is earmarked for project development. The company raised substantial capital during the quarter through debt issuances, notably $1.5 billion in 2021 Sabine Pass Liquefaction Notes, to fund its ongoing construction of liquefaction trains. Key developments include the significant progress on Train 1 and Train 2 of the Liquefaction Project, which are ahead of schedule, and the securing of new Sale and Purchase Agreements (SPAs) for Train 5. The company is actively advancing its large-scale LNG export projects, which represent substantial long-term growth potential, though these ventures require significant capital investment and carry inherent construction and financial risks.
Financial Highlights
51 data points| Revenue | $65.91M |
| R&D Expenses | $17.09M |
| Operating Expenses | $133.36M |
| Operating Income | -$67.45M |
| Interest Expense | $40.26M |
| Net Income | -$117.11M |
| EPS (Basic) | $-0.54 |
| EPS (Diluted) | $215634000.00 |
| Shares Outstanding (Basic) | 215.63M |
Key Highlights
- 1Cheniere reported a net loss of $117.1 million for Q1 2013, an increase from $56.4 million in Q1 2012, mainly due to higher G&A expenses and derivative losses.
- 2Total assets grew to $6.58 billion, driven by significant investments in property, plant, and equipment for the Liquefaction Project.
- 3Unrestricted cash and cash equivalents decreased to $178.0 million, while restricted cash and cash equivalents increased substantially to over $2.18 billion, primarily for project funding.
- 4The company raised $1.5 billion through the issuance of 5.625% Senior Secured Notes due 2021 to fund the construction of its liquefaction trains.
- 5Construction on Train 1 and Train 2 of the Liquefaction Project is progressing well, with completion estimated for late 2015 for Train 1, ahead of schedule.
- 6New long-term LNG Sale and Purchase Agreements (SPAs) were secured for Train 5, adding to the contracted export capacity.
- 7Long-term debt increased significantly to $3.67 billion, reflecting the financing of large-scale infrastructure projects.