Summary
Cheniere Energy, Inc. (LNG) reported a net loss of $1.084 billion for the three months ended September 30, 2021, compared to a net loss of $463 million in the prior year period. This widened loss was primarily driven by substantial derivative losses, largely from commodity derivatives, due to unfavorable shifts in international forward commodity curves. Despite the net loss, total revenues saw a significant increase to $3.200 billion from $1.460 billion year-over-year, attributed to higher LNG volumes delivered and improved pricing from its integrated marketing function, as well as the non-recurrence of customers not taking delivery of scheduled LNG cargoes. The company also made progress on its strategic initiatives, including the initiation of a quarterly dividend, an increase in its share repurchase program authorization, and advancements in its liquefaction projects, with Train 6 at the Sabine Pass LNG Project introducing feed gas. Financially, Cheniere Energy continues to manage its debt, issuing new notes and repaying existing debt, and has seen positive outlook changes from credit rating agencies. The company remains focused on operational excellence and expanding its liquefaction infrastructure.
Financial Highlights
51 data points| Revenue | $3.20B |
| R&D Expenses | $2.00M |
| SG&A Expenses | $70.00M |
| Operating Expenses | $5.55B |
| Operating Income | -$2.35B |
| Interest Expense | $364.00M |
| Net Income | -$1.08B |
| EPS (Basic) | $-4.27 |
| EPS (Diluted) | $-4.27 |
| Shares Outstanding (Basic) | 253.60M |
| Shares Outstanding (Diluted) | 253.60M |
Key Highlights
- 1Total revenues increased to $3.20 billion for Q3 2021 from $1.46 billion in Q3 2020, driven by higher LNG volumes and pricing.
- 2Net loss attributable to common stockholders widened to $1.084 billion for Q3 2021 from $463 million in Q3 2020, primarily due to significant derivative losses.
- 3Train 6 at the Sabine Pass LNG Project introduced feed gas, with substantial completion expected in Q1 2022.
- 4The company initiated a quarterly dividend of $0.33 per share, demonstrating a commitment to returning capital to shareholders.
- 5Cheniere Energy successfully managed its debt profile through new issuances and repayments, and received positive outlook revisions from credit rating agencies.
- 6The company has a strong contracted capacity with a weighted average remaining contract life of approximately 17.5 years for its Liquefaction Projects.
- 7Significant increases in cash from operating activities were noted, rising to $2.057 billion for the nine months ended September 30, 2021, from $765 million in the prior year period.