Summary
Cheniere Energy, Inc. (LNG) reported a profitable third quarter and nine months ended September 30, 2018, a significant improvement from the net loss reported in the same periods of 2017. This turnaround was driven by increased LNG revenues from its Sabine Pass Liquefaction (SPL) Project, benefiting from additional operational trains coming online. The company also made substantial progress on its Corpus Christi Liquefaction (CCL) Project, with Stage 1 nearing completion and Stage 2 under active construction. Financially, Cheniere generated positive operating cash flows and managed its debt effectively, including issuing new senior notes and prepaying existing credit facilities. The company continues to expand its contracted volumes with new long-term LNG sale and purchase agreements (SPAs) with major international customers, reinforcing its growth strategy and market position. The development pipeline for future projects, including Corpus Christi Stage 3 and additional trains at Sabine Pass, remains a key focus for long-term growth.
Financial Highlights
49 data points| Revenue | $1.82B |
| Cost of Revenue | $1.03B |
| Gross Profit | $792.00M |
| R&D Expenses | $2.00M |
| SG&A Expenses | $74.00M |
| Operating Expenses | $1.39B |
| Operating Income | $425.00M |
| Interest Expense | $221.00M |
| Net Income | $65.00M |
| EPS (Basic) | $0.26 |
| EPS (Diluted) | $0.26 |
| Shares Outstanding (Basic) | 247.20M |
| Shares Outstanding (Diluted) | 250.20M |
Key Highlights
- 1Achieved net income attributable to common stockholders of $65 million ($0.26/share) for Q3 2018, a significant turnaround from a net loss of $289 million ($1.24/share) in Q3 2017.
- 2Generated $1.5 billion in cash flow from operating activities for the nine months ended September 30, 2018, compared to $895 million in the prior year period.
- 3Recognized increased LNG revenues, totaling $1.7 billion for Q3 2018 and $5.3 billion for the nine months ended September 30, 2018, driven by additional operational trains at the Sabine Pass LNG Project.
- 4Made significant progress on the Corpus Christi Liquefaction (CCL) Project, with Stage 1 at 93.9% completion and Stage 2 at 36.3% completion as of September 30, 2018.
- 5Secured new long-term SPAs with major customers including Vitol Inc., CPC Corporation, PetroChina International Company Limited, and Trafigura Pte Ltd, enhancing future revenue streams.
- 6Completed debt transactions including issuing $1.1 billion in 2026 CQP Senior Notes and using proceeds to prepay outstanding indebtedness under the CQP Credit Facilities.