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WES · Western Midstream Partners

45 filings

10-Q

WES 10-Q Quarterly Reports

Western Midstream Partners - 45 quarterly reports

Filing record · 2016–202610-K1210-Q368-K108

2026-Q3
Western Midstream Partners Quarterly Report for Q3 Ended Sep 30, 2026
Western Midstream Partners, LP (WES) reported solid financial results for the nine months ended September 30, 2026, demonstrating growth driven by strategic acquisitions and increased operational throughput across its midstream asset base. Total revenues and other increased significantly year-over-year, reflecting strong fee-based service revenues and higher product sales, bolstered by the successful integration of the Brazos Delaware acquisition in June 2026 and the Aris Water Solutions acquisition in October 2025. Despite increased operating expenses and interest expense related to debt for acquisitions, the partnership maintained robust profitability, with net income attributable to Western Midstream Partners, LP showing a healthy increase. The company's liquidity remains strong, supported by operating cash flows and an undrawn revolving credit facility. WES continues to focus on operational efficiency, system reliability, and environmental stewardship. Strategic capital allocation is evident through ongoing investments in expansion projects, particularly in the DBM water systems and West Texas complex, aiming to enhance capacity and service capabilities. The partnership also announced a subsequent event of acquiring another Delaware Basin produced-water gathering and disposal company and divesting its Southwest Wyoming assets, indicating proactive portfolio management.
Nov 4, 2026
2026-Q2
Western Midstream Partners Quarterly Report for Q2 Ended Jun 30, 2026
Western Midstream Partners, LP (WES) reported results for the quarter ended June 30, 2026 in its Form 10-Q. Total revenues and other were $1,224.7 million for the three months ended June 30, 2026, versus $942.3 million a year earlier, and net income attributable to Western Midstream Partners, LP was $403.6 million, compared with $341.7 million. For the six months, total revenues and other were $2,348.3 million and net income attributable to the Partnership was $753.8 million. Adjusted EBITDA was $736.5 million for the quarter and $1,419.7 million for the six months, and Distributable Cash Flow was $537.2 million for the quarter. Free Cash Flow for the six months was $505.9 million, down from $787.8 million a year earlier, primarily due to a $185.0 million increase in capital expenditures. The period was shaped by the June 11, 2026 closing of the Brazos Delaware acquisition, which added the Comanche complex in the Delaware Basin for a purchase price of approximately $1.67 billion, consisting of $820.3 million in cash and $852.0 million of common units. The Partnership also issued $700.0 million of 5.700% Senior Notes due 2036 and used the RCF and commercial paper program to fund part of the acquisition. Total long-term debt rose to $8.88 billion at June 30, 2026, from $8.20 billion at December 31, 2025, and cash and cash equivalents fell to $104.8 million from $819.5 million. The second-quarter per-unit distribution was declared at $0.930, unchanged from the first quarter, with aggregate payment of $392.7 million on August 14, 2026. The filing also notes a West Texas complex gas-gathering agreement amendment that replaced cost-of-service fees with fixed fees, in exchange for the redemption of common units valued at $610.0 million, and a related legal proceeding involving a subsidiary of Aris, which the court has since moved to Reeves County, Texas.
Aug 5, 2026
2026-Q1
Western Midstream Partners Quarterly Report for Q1 Ended Mar 31, 2026
Western Midstream Partners, LP (WES) reported first-quarter 2026 total revenues and other of $1,123,579 thousand ($1.12 billion), up from $917,116 thousand in the first quarter of 2025, with net income of $359,032 thousand versus $316,552 thousand a year earlier. Net income attributable to Western Midstream Partners, LP was $350,276 thousand, and diluted net income per common unit was $0.85 compared with $0.79. Adjusted EBITDA was $683,137 thousand compared with $593,572 thousand in the prior-year quarter, and Distributable Cash Flow was $508,924 thousand compared with $513,757 thousand. Results reflect the Aris Water Solutions acquisition, completed October 15, 2025, which drove much of the growth in produced-water volumes and revenues. Free Cash Flow fell to $242,298 thousand from $399,398 thousand a year earlier, as capital expenditures rose to $235,726 thousand from $142,402 thousand and net cash provided by operating activities declined to $469,903 thousand from $530,793 thousand. The Partnership declared a first-quarter 2026 distribution of $0.930 per unit, up from $0.910, payable May 15, 2026. Cash and cash equivalents were $647,495 thousand at March 31, 2026, and total long-term debt carrying value was $8,194,171 thousand, with $2.0 billion of effective borrowing capacity under the revolving credit facility. A significant subsequent event is the May 6, 2026 agreement to acquire Brazos Delaware II, LLC in an equity-and-cash transaction valued at $1.6 billion, consisting of approximately $800.0 million in common units and approximately $800.0 million in cash, with closing expected in the second quarter of 2026 subject to customary conditions and regulatory approvals. Occidental, which holds a significant interest in the Partnership, completed a unit redemption of approximately 15.3 million common units valued at $610.0 million in connection with a gathering agreement amendment with a subsidiary of Occidental.
May 6, 2026
2025-Q3
Western Midstream Partners Quarterly Report for Q3 Ended Sep 30, 2025
Western Midstream Partners, LP (WES) reported third-quarter 2025 results in its Form 10-Q filed November 4, 2025. Total revenues and other were $952.5 million for the three months ended September 30, 2025, versus $883.4 million a year earlier, and net income attributable to Western Midstream Partners, LP was $339.6 million, compared with $288.5 million. For the nine months, net income attributable to the Partnership was $990.3 million, down from $1.24 billion, primarily because of a $299.4 million gain on divestiture in the prior-year period. Adjusted EBITDA was $633.8 million for the quarter and $1.85 billion for the nine months, compared with $1.75 billion a year earlier. Free Cash Flow was $1.19 billion for the nine months, versus $1.01 billion in the prior-year period, and the Partnership repurchased no common units under its $250.0 million 2025 Purchase Program. The balance sheet shows cash and cash equivalents of $177.3 million at September 30, 2025, down from $1.09 billion at year-end 2024, after the retirement of $1.0 billion of 2025 senior notes. Short-term debt fell to $13.1 million, and long-term debt was $6.92 billion. The Board declared a third-quarter distribution of $0.910 per unit, unchanged from the second quarter, totaling $379.5 million, payable November 14, 2025. The filing also discloses a subsequent event: the October 15, 2025 acquisition of Aris Water Solutions, Inc. for $1.5 billion in equity and cash plus about $500 million of assumed senior notes, funded with roughly 26.6 million common units and $415.0 million in cash borrowed under the commercial paper program. Initial purchase accounting was not complete at filing. The Partnership's $2.0 billion revolving credit facility was undrawn at quarter-end, and it had $2.0 billion of effective borrowing capacity. Occidental remains the only customer exceeding 10% of revenues and holds a 42.4% limited partner interest. The filing also flags an ongoing discussion with Occidental about cost-of-service rate calculations on the DJ Basin oil-gathering system that could affect rates if resolved adversely.
Nov 4, 2025
2025-Q2
Western Midstream Partners Quarterly Report for Q2 Ended Jun 30, 2025
Western Midstream Partners, LP and its operating subsidiary Western Midstream Operating, LP reported second-quarter 2025 results in this Form 10-Q. For the three months ended June 30, 2025, total revenues and other were $942.3 million (versus $905.6 million in the prior-year quarter), and net income attributable to Western Midstream Partners, LP was $341.7 million, compared with $378.6 million a year earlier. For the six months ended June 30, 2025, net income attributable to the Partnership was $650.7 million, versus $951.5 million in 2024; the 2024 period included a $298.96 million gain on divestiture and other, net, largely from the sale of equity investments and the Marcellus Interest. Adjusted EBITDA was $617.9 million for the second quarter and $1.21 billion for the six months, and Free Cash Flow was $787.8 million for the six months, versus $649.8 million a year earlier. The Partnership's cash and cash equivalents fell to $129.7 million at June 30, 2025, from $1.09 billion at December 31, 2024, after WES Operating retired the $1.0 billion of 3.100% and 3.950% Senior Notes due 2025 at par. Total debt carrying value was $6.9 billion, with no borrowings under the $2.0 billion revolving credit facility and no commercial paper outstanding. The Board declared a second-quarter 2025 distribution of $0.910 per unit, unchanged from the first quarter, totaling $355.3 million, and no common units were repurchased under the $250.0 million 2025 Purchase Program. In a subsequent event dated August 6, 2025, the Partnership agreed to acquire Aris Water Solutions Inc. by merger in a transaction valued at $1.5 billion in equity and cash, plus Aris's $500 million of senior notes. The filing states that the Partnership expects to issue approximately 26.6 million common units and pay approximately $415 million in cash, with closing expected in the fourth quarter of 2025, subject to regulatory approvals and Aris shareholder approval.
Aug 6, 2025
2025-Q1
Western Midstream Partners Quarterly Report for Q1 Ended Mar 31, 2025
Western Midstream Partners, LP (WES) reported first-quarter 2025 net income attributable to Western Midstream Partners, LP of $309.0 million, or $0.79 per common unit (diluted), compared with $572.8 million, or $1.47 per unit, in the first quarter of 2024. The prior-year period included a $239.6 million gain on divestiture and other, net, tied to the sale of equity investments in the first quarter of 2024, which accounts for much of the year-over-year decline. Total revenues and other rose to $917.1 million from $887.7 million, with fee-based service revenues of $823.2 million versus $781.3 million. Adjusted EBITDA was $593.6 million compared with $608.4 million a year earlier, and Adjusted Gross Margin was $860.8 million versus $845.1 million. Operation and maintenance expense increased to $226.5 million from $194.9 million. Cash flow and liquidity improved: net cash provided by operating activities was $530.8 million versus $399.7 million, and Free Cash Flow was $399.4 million compared with $225.0 million in the prior-year quarter, mainly reflecting lower capital expenditures of $142.4 million versus $193.8 million. Cash and cash equivalents fell to $448.4 million from $1.09 billion at year-end 2024, as WES retired the $663.8 million principal of its 3.100% Senior Notes due 2025 at maturity. Total debt carrying value was $7.3 billion, with $336.8 million of senior notes due within the next year, and the $2.0 billion revolving credit facility was undrawn with no commercial paper outstanding. The Board declared a first-quarter 2025 distribution of $0.910 per unit, up from $0.875, totaling $355.3 million, and authorized a $250.0 million unit buyback through December 31, 2026, under which no units had been repurchased as of March 31, 2025. The filing also flags concentration and contractual risk: Occidental is the only customer exceeding 10% of consolidated revenues, and the Partnership is discussing with Occidental differing interpretations of the cost-of-service rate calculation under an oil-gathering contract for the DJ Basin system. The filing states that an adverse resolution could reduce rates and result in a non-cash charge to earnings. Throughput attributable to WES for natural-gas assets was 5,110 MMcf/d, up 2% from the prior-year quarter, with the North Loving plant start-up adding 250 MMcf/d of processing capacity at the West Texas complex in late February 2025.
May 7, 2025
2024-Q3
Western Midstream Partners Quarterly Report for Q3 Ended Sep 30, 2024
Western Midstream Partners, LP (WES) reported third-quarter 2024 results in this Form 10-Q. For the three months ended September 30, 2024, total revenues and other were $883.4 million, operating income was $395.9 million, and net income was $295.9 million, compared with net income of $284.4 million in the same period of 2023. For the nine months ended September 30, 2024, net income was $1.27 billion, which includes a $299.4 million gain on divestiture and other, net, largely from the first-quarter sale of several equity investments and the second-quarter sale of the Marcellus Interest systems. Adjusted EBITDA was $566.9 million for the quarter and $1.75 billion for the nine months, and free cash flow was $1.01 billion for the nine months versus $682.2 million a year earlier. The balance sheet shows cash and cash equivalents of $1.12 billion at September 30, 2024, up from $272.8 million at year-end 2023, with total debt carrying value of $7.9 billion. WES Operating issued $800.0 million of 5.450% Senior Notes due 2034 in the third quarter and plans to use the proceeds to repay part of the 2025 maturities. Commercial paper of $610.3 million was repaid during the period, and $2.0 billion of revolving credit capacity was undrawn at quarter-end. Distributions of $0.875 per unit were declared for the third quarter, totaling $340.9 million, payable November 14, 2024. The filing notes that Occidental Petroleum is the general partner's parent and the largest source of related-party revenue, and that the company is discussing contract interpretations with Occidental regarding cost-of-service rates for the DJ Basin oil-gathering system. A negative resolution could reduce rates and result in a non-cash charge. Throughput attributable to WES for natural-gas assets was 5,016 MMcf/d for the quarter, and $627.8 million remained under the $1.25 billion unit repurchase program.
Nov 6, 2024
2024-Q2
Western Midstream Partners Quarterly Report for Q2 Ended Jun 30, 2024
Western Midstream Partners, LP (WES) reported second-quarter 2024 results in this Form 10-Q. Total revenues and other were $905.6 million for the three months ended June 30, 2024, compared with $738.3 million a year earlier, and $1.79 billion for the six months ended June 30, 2024, versus $1.47 billion in the prior-year period. Net income attributable to Western Midstream Partners, LP was $378.6 million for the quarter ($0.97 per common unit, diluted) and $951.5 million for the six months ($2.43 per common unit, diluted). Results for the first half were lifted by net gains on divestiture of $298.96 million, primarily from the first-quarter sale of several equity investments (Mont Belvieu JV, Whitethorn LLC, Panola and Saddlehorn) and the second-quarter sale of the 33.75% Marcellus Interest systems. Adjusted EBITDA was $578.1 million for the quarter and $1.19 billion for the six months, while free cash flow was $424.8 million for the quarter and $649.8 million for the six months. Net cash provided by operating activities was $1.03 billion for the six months. Capital expenditures were $405.7 million for the six months, led by the West Texas complex, including engineering and equipment milestone payments for the North Loving Plant. Debt carrying value was $7.1 billion at June 30, 2024, with $2.0 billion of effective borrowing capacity under the revolving credit facility and no commercial paper outstanding. The Board declared a second-quarter 2024 distribution of $0.875 per unit, unchanged from the first quarter, totaling $340.9 million. Throughput attributable to WES for natural-gas assets was 4,988 MMcf/d for the quarter and 4,989 MMcf/d for the six months, while crude-oil and NGL throughput declined to 515 MBbls/d for the quarter, reflecting divestitures. Produced-water throughput was 1,080 MBbls/d for the quarter. Management reported that disclosure controls were effective as of June 30, 2024.
Aug 7, 2024
2024-Q1
Western Midstream Partners Quarterly Report for Q1 Ended Mar 31, 2024
Western Midstream Partners, LP (the Partnership) reported first-quarter 2024 net income of $586.2 million, compared with $208.3 million in the first quarter of 2023. Total revenues and other rose to $887.7 million from $734.0 million, and operating income was $679.4 million versus $290.2 million. The increase was driven largely by a $239.6 million gain on divestiture and other, net, which resulted from the first-quarter sale of interests in Mont Belvieu JV, Whitethorn LLC, Panola, and Saddlehorn for combined proceeds of $588.6 million. Service revenues – fee based were $781.3 million, up from $647.9 million, reflecting the Meritage acquisition and higher throughput. Operating metrics improved year over year. Natural-gas throughput attributable to WES was 4,990 MMcf/d, and produced-water throughput was 1,126 MBbls/d, while crude-oil and NGLs throughput fell to 565 MBbls/d due to the divestitures. Adjusted EBITDA was $608.4 million versus $498.7 million a year earlier, and Free cash flow was $225.0 million versus $141.6 million. Net cash provided by operating activities was $399.7 million, compared with $302.4 million. The balance sheet reflects debt reduction and asset sales. Short-term debt fell to $108.4 million from $617.7 million after net commercial paper repayments of $510.4 million, and total long-term debt carrying value was $7.27 billion. The Partnership declared a first-quarter 2024 distribution of $0.875 per unit, up from $0.575 in the fourth quarter of 2023, and it had $627.8 million remaining under its $1.25 billion buyback program, with no units repurchased in the quarter. The Marcellus Interest systems sale closed in April 2024 for proceeds of $206.2 million, with an estimated net gain of approximately $65.0 million expected in the second quarter.
May 8, 2024
2023-Q3
Western Midstream Partners Quarterly Report for Q3 Ended Sep 30, 2023
Western Midstream Partners, LP reported third-quarter 2023 total revenues and other of $776.0 million, down from $837.6 million in the third quarter of 2022, and net income of $284.4 million, up from $273.6 million. For the nine months ended September 30, 2023, revenues and other were $2.25 billion (versus $2.47 billion) and net income was $752.3 million (versus $906.4 million). Adjusted EBITDA was $510.9 million for the quarter, up from $488.3 million in the second quarter of 2023, but $1.50 billion for the nine months, compared with $1.61 billion a year earlier. Free cash flow for the nine months was $682.2 million, down from $902.9 million. Management attributed the nine-month decline mainly to lower revenues and other, higher operation and maintenance expense, and higher capital expenditures, which were $536.4 million for the period. The partnership closed the $885.0 million acquisition of Meritage Midstream Services II, LLC on October 13, 2023, funded with cash including proceeds from a $600.0 million 6.350% Senior Notes due 2029 offering and RCF borrowings. During 2023, WES Operating also issued $750.0 million of 6.150% Senior Notes due 2033, repurchased $276.7 million of senior notes, and redeemed the $213.1 million Floating-Rate Senior Notes due 2023. Fitch upgraded WES Operating's long-term debt to BBB-, and its senior unsecured debt is now rated investment grade by Standard and Poor's, Moody's Investors Services, and Fitch Ratings. Total debt carrying value was $7.3 billion, with $2.0 billion available under the $2.0 billion RCF. For unitholders, the Board declared a third-quarter 2023 distribution of $0.5750 per unit, a $0.0125 increase from the second quarter, totaling $223.4 million payable November 13, 2023. The partnership repurchased 5,387,322 common units for $134.6 million during the nine months, including 5,100,000 units bought from Occidental, leaving $627.8 million authorized under its $1.25 billion buyback program. The filing also discloses a $52.1 million impairment of Rockies assets following a contract termination notice received in the first quarter of 2023, and an ongoing dispute with Occidental over cost-of-service rates on the DJ Basin oil-gathering system.
Nov 1, 2023
2023-Q2
Western Midstream Partners Quarterly Report for Q2 Ended Jun 30, 2023
Western Midstream Partners, LP (WES) reported second-quarter 2023 results in this Form 10-Q, with its consolidated financial statements presented alongside those of its operating subsidiary, Western Midstream Operating, LP. For the three months ended June 30, 2023, total revenues and other were $738.3 million (versus $876.4 million in the 2022 period), operating income was $336.7 million, and net income attributable to Western Midstream Partners, LP was $252.9 million, or $0.64 per common unit (diluted), compared with $0.74 a year earlier. For the six months ended June 30, 2023, net income attributable to the Partnership was $456.6 million, or $1.16 per unit, and operating income included a $52.6 million impairment, of which $52.1 million related to Rockies assets following a contract termination notice. Net cash provided by operating activities for the six months was $793.2 million, and Adjusted EBITDA was $987.0 million, against capital expenditures of $334.6 million. Balance-sheet and financing activity was significant during the quarter. WES Operating issued $750.0 million of 6.150% Senior Notes due 2033, used to repay revolving credit facility borrowings and for general partnership purposes, and it redeemed the $213.1 million Floating-Rate Senior Notes due 2023 with cash on hand. The Partnership reported long-term debt of $6.82 billion and $2.0 billion of available borrowing capacity under its revolving credit facility, which was extended to April 2028. Fitch upgraded WES Operating's long-term debt to BBB-, and the filing states that its senior unsecured ratings are now investment grade at S&P, Moody's, and Fitch. Distributions to unitholders for the second quarter were declared at $0.5625 per unit, up from $0.500 in the prior quarter, following a $0.356 per unit Enhanced Distribution paid on May 15, 2023. Throughput and margins were mixed. Total throughput attributable to WES for natural-gas assets was 4,254 MMcf/d for the second quarter, a 4% increase from the first quarter, while six-month crude-oil and NGLs throughput declined 8% year over year. Adjusted gross margin was $707.4 million for the quarter, up 2% from the prior quarter but down 4% for the six months. The filing also discusses an ongoing dispute with Occidental over cost-of-service rate calculations on the DJ Basin oil-gathering system, which could reduce rates and lead to a non-cash charge if resolved adversely.
Aug 8, 2023
2023-Q1
Western Midstream Partners Quarterly Report for Q1 Ended Mar 31, 2023
Western Midstream Partners, LP reported net income of $208.3 million for the three months ended March 31, 2023, compared with $317.7 million a year earlier. Net income attributable to Western Midstream Partners, LP was $203.6 million, versus $308.7 million. Total revenues and other were $734.0 million, down from $758.3 million. Operating income fell to $290.2 million from $404.8 million, mainly because of $52.4 million of long-lived asset and other impairments and higher operation and maintenance expense of $174.2 million, compared with $129.0 million. Adjusted EBITDA was $498.7 million, versus $539.1 million, and Free cash flow was $141.6 million, versus $200.3 million. Net cash provided by operating activities was $302.4 million. At March 31, 2023, cash and cash equivalents were $112.6 million and the carrying value of debt was $6.7 billion. WES Operating redeemed the $213.1 million Floating-Rate Senior Notes due 2023 and had $495.0 million of revolving credit facility borrowings outstanding, leaving $1.5 billion of available capacity. The Board declared a regular distribution of $0.500 per unit plus an Enhanced Distribution of $0.356 per unit, or $0.856 per unit in total, payable May 15, 2023. The Partnership repurchased 285,688 common units for $7.1 million in the quarter, and $755.3 million remained under its $1.25 billion buyback program. In April 2023, WES Operating completed a $750.0 million offering of 6.150% Senior Notes due 2033, used the proceeds to repay all revolving credit facility borrowings, and amended the facility to extend maturity to April 2028 with capacity of up to $2.0 billion. Occidental remains the only customer above 10% of consolidated revenues. Separately, the filing discloses an amendment to a Delaware Basin gas gathering agreement with an Occidental subsidiary that extends the primary term through at least December 31, 2035, and it describes ongoing disputes, including a disagreement with Occidental over cost-of-service rate calculations for the DJ Basin oil-gathering system.
May 3, 2023
2022-Q3
Western Midstream Partners Quarterly Report for Q3 Ended Sep 30, 2022
Western Midstream Partners, LP (WES) reported third-quarter 2022 results in this Form 10-Q for the period ended September 30, 2022. For the three months ended September 30, 2022, total revenues and other were $837.6 million versus $763.8 million a year earlier, and net income attributable to Western Midstream Partners, LP was $265.7 million versus $255.7 million. For the nine months, net income attributable to the Partnership was $880.8 million versus $672.8 million, and total revenues and other were $2.47 billion versus $2.16 billion. Adjusted EBITDA for the nine months was $1.61 billion versus $1.47 billion, and free cash flow was $902.9 million versus $911.6 million. Operating cash flow for the nine months was $1.21 billion, and cash used in financing included $447.1 million of unit repurchases and $538.7 million of distributions to unitholders. The Partnership's quarterly distribution was $0.50000 per unit for the second and third quarters of 2022, and it repurchased 17,982,357 common units for $447.1 million during the nine months, including 10,000,000 units bought from Occidental. Net debt structure remained largely unchanged: total carrying value of debt was $7.0 billion, with $625.0 million outstanding under the $2.0 billion revolving credit facility and $1.4 billion of available capacity. WES Operating redeemed its $502.2 million 4.000% Senior Notes due 2022 at par during the second quarter. Subsequent events disclosed in the filing include the planned sale of the 15.00% interest in Cactus II for $264.8 million, expected to be received in the fourth quarter of 2022, and a board authorization in November 2022 to increase the unit buyback program from $1.0 billion to $1.25 billion. The filing also notes an ongoing related-party dispute with Occidental over cost-of-service rate calculations for the DJ Basin oil-gathering system.
Nov 2, 2022
2022-Q2
Western Midstream Partners Quarterly Report for Q2 Ended Jun 30, 2022
Western Midstream Partners, LP (formerly Western Gas Equity Partners, LP) reported results for the three and six months ended June 30, 2022. Total revenues and other were $876.4 million for the second quarter and $1.63 billion for the six months, compared with $719.1 million and $1.39 billion in the prior-year periods. Net income attributable to Western Midstream Partners, LP was $306.3 million for the quarter and $615.0 million for the six months. Adjusted EBITDA was $548.3 million for the quarter and $1.09 billion for the six months, versus $934.2 million in the first six months of 2021. Free cash flow was $372.1 million for the quarter and $572.4 million for the six months. Throughput rose in the period. Total throughput attributable to WES for produced-water assets reached 864 MBbls/d in the second quarter, up 15% from the first quarter of 2022. Gross margin was $588.8 million for the quarter and $1.14 billion for the six months. Management highlighted strong plant performance, higher commodity prices at the West Texas complex, and increased produced-water gathering and disposal volumes. Capital and balance sheet activity included the redemption of the $502.2 million 4.000% Senior Notes due 2022 at par. The company repurchased 3,314,562 common units for $79.2 million during the first half, and it repurchased 13,800,805 units from July 1 through July 29, 2022, for $346.1 million, including 10,000,000 units bought from Occidental. Long-term debt carrying value was $6.66 billion at June 30, 2022. The second-quarter distribution was $0.50 per unit, unchanged from the first quarter, and the company disclosed an ongoing dispute with Occidental over cost-of-service rates on the DJ Basin oil-gathering system.
Aug 3, 2022
2022-Q1
Western Midstream Partners Quarterly Report for Q1 Ended Mar 31, 2022
Western Midstream Partners, LP (WES) reported first-quarter 2022 results in its Form 10-Q filed May 10, 2022. Total revenues and other were $758.3 million, up from $675.0 million in the first quarter of 2021, and net income attributable to Western Midstream Partners, LP was $308.7 million, or $0.75 per common unit (diluted), compared with $185.8 million, or $0.44 per unit, a year earlier. Adjusted EBITDA was $539.1 million versus $443.1 million, and Adjusted gross margin was $704.8 million versus $614.6 million. Free cash flow was $200.3 million, compared with $211.8 million in the prior-year quarter. Net cash provided by operating activities was $276.5 million. The Board declared a first-quarter 2022 distribution of $0.50000 per unit, up $0.17300 from the fourth-quarter 2021 distribution of $0.32700, totaling $206.2 million in the aggregate and payable May 13, 2022. In February 2022 the Board authorized a buyback program of up to $1.0 billion of common units through December 31, 2024; during the quarter the partnership repurchased 225,355 units for $5.1 million, leaving $994.9 million available. The filing also notes that S&P upgraded WES Operating's long-term debt from "BB+" to "BBB-" in January 2022, which the company said would reduce annualized borrowing costs by $7.9 million. Liquidity remained a focus: as of March 31, 2022, the partnership had a $430.8 million working capital deficit, driven mainly by $718.2 million of short-term debt, including the 4.000% Senior Notes due 2022 that WES Operating redeemed at par on April 1, 2022. The $2.0 billion revolving credit facility had no outstanding borrowings and $2.0 billion of available capacity. The company raised its 2022 capital expenditure guidance to $550.0 million to $600.0 million, a $150.0 million increase to the midpoint, to support a portion of Mentone Train III and additional Delaware Basin well-connect and expansion capital. Occidental remains the dominant customer and holds 48.6% of the common units. The filing also discloses an ongoing dispute with Occidental over DJ Basin oil-gathering rate calculations and a lawsuit against Enterprise Products over Mont Belvieu fractionation revenue allocation.
May 10, 2022
2021-Q3
Western Midstream Partners Quarterly Report for Q3 Ended Sep 30, 2021
Western Midstream Partners, LP (formerly Western Gas Equity Partners, LP) reported results for the three and nine months ended September 30, 2021. Net income attributable to Western Midstream Partners, LP was $255.7 million for the third quarter, compared with $246.6 million a year earlier, and $672.8 million for the nine months, compared with $263.1 million. Total revenues and other were $763.8 million for the quarter and $2.16 billion for the nine months. Adjusted EBITDA was $531.6 million for the third quarter and $1.47 billion for the nine months, versus $1.55 billion in the prior-year nine-month period. Free cash flow was $320.0 million for the quarter and $913.6 million for the nine months. Nine-month net cash provided by operating activities was $1.10 billion, and capital expenditures were $217.8 million. During the nine months, WES Operating redeemed its 5.375% Senior Notes due 2021 at par ($431.1 million) and purchased and retired $500.0 million of senior notes via a tender offer in the third quarter, which resulted in a $24.7 million loss on early extinguishment of debt. The partnership repurchased 5,586,419 common units for $104.4 million under its $250.0 million Purchase Program, leaving $113.1 million authorized. The Board declared a third-quarter 2021 distribution of $0.32300 per unit, totaling $134.9 million, payable November 12, 2021. Total debt carrying value was $7.1 billion at September 30, 2021, including $220.0 million outstanding under the $2.0 billion revolving credit facility, and the company reported a $550.6 million working capital deficit, driven mainly by the $502.1 million 4.000% Senior Notes due 2022 classified as short-term. The filing also notes that Occidental holds 48.5% of the limited partner interest and that Occidental remains the only customer exceeding 10% of consolidated revenues. Key risks disclosed include the dependence on Occidental, an open cost-of-service rate dispute with Occidental regarding the DJ Basin oil gathering system, the Sanchez and Gavilan bankruptcy matters affecting the Springfield system, and an EPA/Colorado enforcement action at the Fort Lupton facility. Winter storm Uri and the Colorado blizzard reduced net income and Adjusted EBITDA by approximately $30 million in the nine months ended September 30, 2021, per management's estimate.
Nov 9, 2021
2021-Q2
Western Midstream Partners Quarterly Report for Q2 Ended Jun 30, 2021
Western Midstream Partners, LP (formerly Western Gas Equity Partners, LP) reported results for the three and six months ended June 30, 2021. Total revenues and other were $719.1 million for the second quarter and $1.39 billion for the six months, versus $671.8 million and $1.45 billion a year earlier. Net income attributable to Western Midstream Partners, LP was $231.3 million for the quarter and $417.1 million for the six months, compared with $273.0 million and $16.5 million in the prior-year periods. The six-month 2020 results included a $441.0 million goodwill impairment and $165.9 million of long-lived asset impairments. Adjusted EBITDA was $491.1 million for the quarter and $934.2 million for the six months, and free cash flow was $379.8 million for the quarter and $593.6 million for the six months. Net cash provided by operating activities was $713.7 million for the six months. The partnership's cash position and liquidity were supported by a $2.0 billion undrawn revolving credit facility, with $305.6 million of cash on hand at June 30, 2021. Total debt carrying value was $7.4 billion, and the balance sheet showed a $240.4 million working capital deficit, driven mainly by the $580.7 million of 4.000% Senior Notes due 2022 reclassified to short-term debt. The company redeemed its 5.375% Senior Notes due 2021 in the first quarter and repurchased 1,115,808 common units for $16.2 million. The Board declared a second-quarter 2021 distribution of $0.31900 per unit, or $134.7 million in aggregate, payable August 13, 2021. Key risks disclosed include dependence on Occidental as its largest customer and the owner of its general partner, a dispute with Occidental over cost-of-service rates on the DJ Basin oil gathering system, bankruptcy proceedings involving Sanchez affecting the Springfield system, and an estimated impact of about $30 million on net income and Adjusted EBITDA for the six months from winter storm Uri and a Colorado blizzard. Occidental's share of natural-gas throughput was 36% for the quarter.
Aug 9, 2021
2021-Q1
Western Midstream Partners Quarterly Report for Q1 Ended Mar 31, 2021
Western Midstream Partners, LP (WES) reported first-quarter 2021 operating income of $292.3 million, compared with an operating loss of $(214.9) million in the first quarter of 2020, which included $596.8 million of goodwill and long-lived asset impairments. Net income attributable to Western Midstream Partners, LP was $185.8 million, or $0.44 per common unit, versus a loss of $(256.5) million in the prior-year quarter. Total revenues and other were $675.0 million, down from $774.3 million, and Adjusted EBITDA was $443.1 million versus $513.6 million a year earlier. Free cash flow was $213.8 million, and net cash provided by operating activities was $261.6 million. Throughput declined year over year: natural-gas throughput attributable to WES was 4,045 MMcf/d, down 9% from the prior-year quarter, and crude-oil and NGLs throughput was 604 MBbls/d, down 21%. Management estimates winter storm Uri and a Colorado blizzard reduced net income and Adjusted EBITDA by approximately $30 million in the quarter. Debt carrying value was $7.4 billion, WES Operating redeemed its $431.1 million 5.375% Senior Notes due 2021 at par, and the $2.0 billion revolving credit facility had no outstanding borrowings and $2.0 billion of available capacity. The partnership declared a first-quarter 2021 distribution of $0.31500 per unit, or $133.0 million in aggregate, payable May 14, 2021. It repurchased 1,115,808 common units for $16.2 million under a $250.0 million buyback program, leaving $201.2 million authorized. The filing also discloses an ongoing dispute with Occidental over cost-of-service rates on the DJ Basin oil gathering system and ongoing Sanchez bankruptcy proceedings affecting the Springfield system.
May 10, 2021
2020-Q3
Western Midstream Partners Quarterly Report for Q3 Ended Sep 30, 2020
Western Midstream Partners, LP (formerly Western Gas Equity Partners, LP) reported third-quarter 2020 results in this Form 10-Q, with the financial statements presented for both the Partnership and Western Midstream Operating, LP. For the three months ended September 30, 2020, total revenues and other were $679.0 million versus $666.0 million in 2019, and operating income was $347.1 million versus $268.7 million. For the nine months, operating income fell to $506.0 million from $897.7 million, largely because of $596.8 million of goodwill and long-lived asset impairments taken in the first quarter, including a $441.0 million goodwill impairment. Net income attributable to the Partnership was $246.6 million for the quarter and $263.1 million for the nine months. Adjusted EBITDA rose to $518.4 million for the quarter from $410.2 million, and free cash flow was $339.2 million versus $70.7 million. The filing describes a period of cash preservation and credit pressure. Following the COVID-19 demand shock and commodity-price declines, the quarterly distribution was cut 50% to $0.31100 per unit and held at that level for the third quarter, and 2020 capital expenditure guidance was reduced. WES Operating's credit ratings were downgraded below investment grade by Fitch, S&P and Moody's, increasing annualized borrowing costs by $34.6 million. At quarter end the partnership reported $7.9 billion of carrying value of debt, $138.0 million of cash, and $2.0 billion of undrawn RCF capacity, and it reported a $193.5 million working capital deficit driven by the 5.375% Senior Notes due 2021 being classified as short-term. The filing also notes several subsequent and related developments: the sale of the Fort Union interest for $27.0 million in combined proceeds in October 2020, a November 2020 announcement of a buyback program of up to $250 million of common units through December 31, 2021, a 2020 operating-performance update tied to producer activity in its areas of operation, and ongoing legal matters including an EPA/Colorado Clean Air Act enforcement action and bankruptcy-related disputes involving Sanchez and Gavilan.
Nov 9, 2020
2020-Q2
Western Midstream Partners Quarterly Report for Q2 Ended Jun 30, 2020
Western Midstream Partners, LP (WES) reported a sharply lower first half of 2020, driven by a $441.0 million goodwill impairment and $165.9 million of long-lived asset impairments recorded in the first quarter. Net income (loss) attributable to Western Midstream Partners, LP was $16.5 million for the six months ended June 30, 2020, compared with $288.3 million a year earlier. For the three months ended June 30, 2020, net income attributable to the Partnership was $273.0 million, and operating income was $373.8 million. Adjusted EBITDA was $514.4 million for the quarter and $1.03 billion for the six months, and free cash flow was $208.6 million for the quarter and $423.2 million for the six months. Adjusted gross margin was $686.96 million for the quarter, up from $596.5 million a year earlier. The filing is dominated by the effects of COVID-19 and weaker commodity prices. Management cut the quarterly distribution by 50% to $0.31100 per unit, which was maintained for the second quarter, and lowered 2020 capital expenditure guidance to $400.0 million to $450.0 million on August 10, 2020. Credit ratings on WES Operating's debt were downgraded to below investment grade by Fitch, S&P and Moody's, which the filing says will raise annualized borrowing costs by $35.0 million. In January 2020, WES Operating issued $3.2 billion of fixed-rate senior notes and $300.0 million of floating-rate notes and used the proceeds to repay the $3.0 billion term loan. Liquidity remained adequate, with $1.9 billion of available RCF capacity at June 30, 2020, although the company reported a $331.9 million working capital deficit because the 5.375% Senior Notes due 2021 were classified as short-term debt. Revenue is concentrated with Occidental, which the filing identifies as the only customer exceeding 10% of consolidated revenues. Related-party revenues were $473.4 million for the quarter. Effective April 1, 2020, changes to marketing contracts with AESC reduced reported service and product revenues and cost of product without affecting operating income or net income. The filing also discloses an EPA and Colorado enforcement action against a subsidiary over leak detection and repair compliance at the Fort Lupton facility, and a Sanchez bankruptcy motion to reject Springfield system gathering agreements.
Aug 10, 2020
2020-Q1
Western Midstream Partners Quarterly Report for Q1 Ended Mar 31, 2020
Western Midstream Partners, LP (formerly Western Gas Equity Partners, LP) reported a first-quarter 2020 net loss attributable to the Partnership of $(256.5) million, compared with net income of $118.7 million in the first quarter of 2019. The swing was driven primarily by a $441.0 million goodwill impairment and $155.8 million of long-lived asset impairments, which pushed operating income to $(214.9) million. Total revenues and other rose to $774.3 million from $671.9 million, and Adjusted EBITDA increased to $513.6 million from $428.3 million. Free cash flow was $214.6 million, compared with $(71.8) million a year earlier, reflecting lower capital expenditures. The filing shows significant stress from the COVID-19 pandemic and the oil-market disruption. The Partnership cut its first-quarter 2020 per-unit distribution to $0.31100 from the prior-quarter level, a stated 50.0% decrease, and reduced expected 2020 capital expenditures to $450.0 million to $550.0 million, a 45% reduction to prior guidance. WES Operating's debt was downgraded by Fitch and S&P to BB+, leaving its credit rating below investment grade at all three major agencies and increasing annualized borrowing costs by $17.5 million. Total debt carrying value stood at $8.1 billion at March 31, 2020, after the January 2020 issuance of $3.2 billion of senior notes and $300.0 million of floating-rate notes, which were used to repay the $3.0 billion Term loan facility. The Partnership also disclosed that Sanchez Energy elected to reject its Springfield gathering agreements with WES on April 29, 2020, and that the company is negotiating environmental penalties over leak detection and repair non-compliance. Management stated that the ultimate impact of the pandemic is unpredictable, and that additional distribution reductions may be necessary.
May 5, 2020
2019-Q3
Western Midstream Partners Quarterly Report for Q3 Ended Sep 30, 2019
Western Midstream Partners, LP (formerly Western Gas Equity Partners, LP) reported its third-quarter 2019 results in this Form 10-Q, the first full period following the February 28, 2019 Merger with Western Midstream Operating, LP (formerly Western Gas Partners, LP) and the acquisition of the Anadarko Midstream Assets (AMA) for $2.0 billion in cash-related consideration and equity. Total revenues and other rose to $666.0 million for the quarter from $587.9 million a year earlier, and operating income increased to $268.7 million from $257.6 million. Net income attributable to Western Midstream Partners, LP was $121.2 million for the quarter, down from $151.4 million, reflecting a $67.9 million other expense driven by non-cash losses on interest-rate swaps of $68.3 million. Adjusted EBITDA was $410.2 million for the quarter versus $385.8 million, and distributable cash flow was $304.4 million, with a declared third-quarter distribution of $0.62000 per unit ($280.9 million in aggregate) and a coverage ratio of 1.08x. Balance sheet leverage increased materially during the period. Long-term debt was $7.73 billion at September 30, 2019, versus $4.79 billion at December 31, 2018, driven by a $3.0 billion Term loan facility (later amended to extend maturity to December 2020) and $160.0 million outstanding under the $2.0 billion revolving credit facility. Working capital was a $203.6 million deficit, which the filing attributes primarily to construction at the West Texas and DJ Basin complexes, the DBM oil system and DBM water systems. Nine-month capital expenditures were $947.3 million, of which $852.4 million was expansion capital. Following Occidental's acquisition of Anadarko on August 8, 2019, Occidental owns the general partner and holds 55.4% of the Partnership's common units. The filing also discloses that Kerr-McGee Gathering LLC and WGR Operating, LP are in negotiations with the EPA and the states of Colorado and Wyoming over leak detection and repair requirements under the Clean Air Act, and management believes a resolution will likely involve a penalty above $100,000 for each matter. Credit ratings were BBB- (S&P), BBB- (Fitch) and Ba1 (Moody's) as of September 30, 2019, and S&P revised its outlook to negative in October 2019.
Nov 4, 2019
2019-Q2
Western Midstream Partners Quarterly Report for Q2 Ended Jun 30, 2019
Western Midstream Partners, LP (formerly Western Gas Equity Partners, LP) and its subsidiary Western Midstream Operating, LP (formerly Western Gas Partners, LP) reported results for the three and six months ended June 30, 2019, following the February 28, 2019 Merger and the acquisition of the Anadarko Midstream Assets (AMA), which was recast into prior periods as a transfer between entities under common control. For the quarter, total revenues and other rose to $685.1 million from $518.1 million, operating income was $310.1 million versus $114.2 million, and net income attributable to Western Midstream Partners, LP was $169.6 million versus $100.2 million. Adjusted EBITDA was $432.9 million compared with $311.1 million, and distributable cash flow was $335.5 million compared with $249.1 million. The Partnership declared a second-quarter 2019 distribution of $0.61800 per unit, or $280.0 million in aggregate, and reported a coverage ratio of 1.20x for the quarter. Leverage and liquidity increased materially. Long-term debt was $7.49 billion at June 30, 2019, versus $4.79 billion at December 31, 2018, reflecting a $2.0 billion Term loan facility used to fund the AMA acquisition and repay the APCWH Note Payable, along with $920.0 million of RCF borrowings. The filing reports a $163.1 million working capital deficit, $1.1 billion of available RCF capacity, and a $1.0 billion incremental Term loan commitment available through September 30, 2019 following a July 2019 amendment. Interest expense rose to $79.5 million for the quarter from $42.2 million, and other expense included non-cash interest-rate swap losses of $59.0 million. The filing also highlights risks tied to Anadarko, the Partnership's controlling unitholder and primary customer. Anadarko has agreed to be acquired by Occidental Petroleum, with a stockholder vote scheduled for August 8, 2019, and the Partnership's general partner would come under Occidental's control if the merger closes. Other disclosed risks include Sanchez Energy's deferred interest payment, Colorado Senate Bill 19-181, and pending EPA leak-detection settlements.
Jul 31, 2019
2019-Q1
Western Midstream Partners Quarterly Report for Q1 Ended Mar 31, 2019
Western Midstream Partners, LP (formerly Western Gas Equity Partners, LP) reported first-quarter 2019 results following the February 28, 2019 Merger, in which Western Gas Equity Partners combined with its subsidiary WES Operating and acquired the Anadarko Midstream Assets (AMA) from Anadarko for about $2.0 billion in cash plus WES Operating common units. The filing presents the financial statements of both Western Midstream Partners, LP and Western Midstream Operating, LP, with financial information recast to include AMA for all periods. For the quarter, total revenues and other rose to $671.9 million from $501.1 million, operating income was $318.9 million versus $224.9 million, and net income attributable to Western Midstream Partners, LP was $118.7 million versus $131.5 million. Net income per common unit fell to $0.30 from $0.46, and the decline was driven by a $35.6 million non-cash loss on interest-rate swaps recorded in other income (expense). Adjusted EBITDA was $428.3 million compared with $312.1 million a year earlier, and distributable cash flow was $340.2 million versus $264.1 million. The Partnership declared a first-quarter 2019 distribution of $0.61000 per unit, totaling $276.3 million, which the filing states produced a coverage ratio of 1.23x. Total debt carrying value was $7.2 billion at March 31, 2019, including $2.0 billion of short-term borrowings under a 364-day facility used to fund the cash portion of the Merger and related costs, leaving a working capital deficit of $2.2 billion. The filing also notes that Anadarko agreed on April 11, 2019 to be acquired by Chevron, a transaction expected to close in the second half of 2019, which creates potential conflicts of interest for the general partner and dependence on Anadarko as the primary customer.
May 1, 2019
2018-Q3
Western Midstream Partners Quarterly Report for Q3 Ended Sep 30, 2018
Western Gas Equity Partners, LP (now Western Midstream Partners) reported third-quarter 2018 net income attributable to Western Gas Equity Partners, LP of $107.5 million, compared with $96.2 million in the third quarter of 2017. For the nine months ended September 30, 2018, net income attributable to the partnership was $276.1 million, compared with $277.1 million a year earlier. Total revenues and other were $507.8 million for the quarter, versus $574.7 million, and operating income was $199.6 million, versus $178.7 million. The partnership's only cash-generating assets are its partnership interests in Western Gas Partners, LP (WES), so its results closely track WES's results. The partnership adopted ASU 2014-09 (Topic 606) on January 1, 2018, which reduced opening partners' capital by $44.4 million and shifted the timing and presentation of certain revenues and product costs. The filing states that the adjustments to previously reported 2018 interim figures had no impact on operating income, net income, balance sheets, cash flows or WES's non-GAAP metrics, and were not considered material. Nine-month net cash provided by operating activities was $749.4 million, compared with $642.5 million, while capital expenditures rose to $949.0 million from $419.2 million, driven by construction and expansion at the DBJV system, DJ Basin complex and DBM complex. Long-term debt stood at $4.57 billion at September 30, 2018. The Board of WGP GP declared a third-quarter 2018 distribution of $0.59500 per unit ($130.3 million in aggregate), and WES declared $0.965 per unit ($230.2 million in aggregate). WES's distributable cash flow coverage ratio was 1.08x for the quarter. The filing also flags Colorado's Proposition 112 on the November 2018 ballot, which, if passed, is expected to significantly reduce demand for WES's midstream services in Colorado.
Oct 31, 2018
2018-Q2
Western Midstream Partners Quarterly Report for Q2 Ended Jun 30, 2018
Western Gas Equity Partners, LP (WGP) reported results for the quarter ended June 30, 2018, in this Form 10-Q filed August 1, 2018. WGP's only cash-generating assets are its partnership interests in Western Gas Partners, LP (WES), and its consolidated results include WES. For the three months ended June 30, 2018, net income attributable to WGP was $67.6 million ($0.31 per common unit), compared with $104.9 million ($0.48 per unit) a year earlier. For the six months, net income attributable to WGP was $168.6 million ($0.77 per unit), versus $180.9 million ($0.83 per unit) in 2017. Total revenues and other were $435.9 million for the quarter, down from $525.5 million, largely reflecting the adoption of Topic 606 on January 1, 2018, which reduced product sales and cost of product. Impairments were $127.2 million for the quarter, primarily related to the shutdown of the Third Creek and Kitty Draw gathering systems. At the WES level, the filing reports Adjusted EBITDA of $271.7 million for the quarter versus $274.8 million a year earlier, and Distributable cash flow of $221.8 million versus $247.2 million. WES's coverage ratio for the quarter was 0.98x, against distributions declared of $225.7 million. WGP raised its quarterly distribution to $0.58250 per unit for the second quarter of 2018, and WES raised its distribution to $0.950 per unit. Capital expenditures for the six months were $650.1 million, and WES acquired a 20% interest in Whitethorn ($150.6 million) and a 15% interest in Cactus II ($11.3 million) in June 2018. Leverage increased during the period: long-term debt rose to $4.18 billion from $3.49 billion at year-end 2017, reflecting WES's issuance of $400.0 million of 2028 Notes and $700.0 million of 2048 Notes in March 2018. WGP also reported a $28.0 million WGP RCF borrowing, and the WES RCF had no outstanding borrowings at June 30, 2018. Anadarko holds 77.8% of WGP common units, and the filing discloses a pending SWEPI arbitration in which DBJV seeks approximately $194.2 million in gathering fees, with a decision expected by the end of the third quarter of 2018.
Aug 1, 2018
2018-Q1
Western Midstream Partners Quarterly Report for Q1 Ended Mar 31, 2018
Western Gas Equity Partners, LP (WGP) reported first-quarter 2018 net income of $150.5 million on total revenues and other of $437.2 million, compared with $102.7 million of net income and $516.2 million of revenues in the first quarter of 2017. Net income attributable to Western Gas Equity Partners, LP was $101.0 million, or $0.46 per common unit, versus $75.9 million, or $0.35 per unit, a year earlier. The company has no independent operations; its only cash-generating assets are its partnership interests in Western Gas Partners, LP (WES), so its results closely track WES. Results were affected by the January 1, 2018 adoption of ASU Topic 606, which lowered reported product sales and cost of product and shifted a $44.4 million cumulative-effect reduction to opening equity. WES's operating income was $188.1 million, up 36% from the prior-year quarter, while Adjusted EBITDA rose to $272.1 million from $255.0 million and distributable cash flow was $231.4 million, supporting a 1.05x coverage ratio on the $0.935 per unit distribution declared for the quarter. Capital spending was heavy, with $302.3 million of capital expenditures and an estimated 2018 total capital expenditure range raised to $1.35 billion to $1.45 billion. To fund this, WES issued $400.0 million of 4.500% notes due 2028 and $700.0 million of 5.300% notes due 2048 in March 2018 and used proceeds to repay $630.0 million of WES RCF borrowings. WES also entered a new five-year $1.5 billion revolving credit facility, and WGP reduced its own revolver commitments to $35.0 million. Long-term debt rose to $4.18 billion at March 31, 2018, from $3.49 billion at year-end 2017. Cash and cash equivalents increased to $523.7 million. Management disclosed a pending arbitration against SWEPI LP over approximately $194.2 million in gathering fees for January 2016 to July 2017, with a decision expected by the end of 2018; SWEPI has counterclaimed for $14.9 million. Anadarko Petroleum Corporation remains the dominant customer and affiliate, holding 81.6% of WGP's common units.
May 2, 2018
2017-Q3
Western Midstream Partners Quarterly Report for Q3 Ended Sep 30, 2017
Western Gas Equity Partners, LP (WGP), a Delaware master limited partnership formed by Anadarko Petroleum Corporation, reported its quarterly results for the three and nine months ended September 30, 2017. WGP's only cash-generating assets are its partnership interests in Western Gas Partners, LP (WES), and its consolidated results include WES. For the third quarter of 2017, total revenues and other were $574.7 million (versus $481.6 million in the prior-year quarter), operating income was $178.7 million (versus $196.6 million), and net income attributable to WGP was $96.2 million (versus $91.4 million). For the nine months, net income attributable to WGP was $277.1 million, or $1.27 per common unit, compared with $262.1 million in the prior-year period. Results included $170.1 million of impairments in the first nine months, principally a $158.8 million impairment at the Granger complex, and a $135.0 million net gain on divestiture and other, which was driven by a $125.7 million gain on the Property Exchange for the Additional DBJV System Interest. Distributions were a central theme. WGP raised its third-quarter 2017 distribution to $0.53750 per unit, payable November 2017, and WES raised its third-quarter distribution to $0.905 per unit. WES reported distributable cash flow of $695.6 million for the nine months and a coverage ratio of 1.09x for the third quarter. Net cash provided by operating activities for WGP was $642.5 million for the nine months, compared with $654.7 million a year earlier. Capital expenditures excluding acquisitions were higher in the nine months, and management lowered its 2017 total capital expenditure estimate to a range of $800.0 million to $850.0 million. Balance sheet activity included total long-term debt of $3.37 billion at September 30, 2017, cash of $153.0 million, a $250.0 million drawn balance on the WES revolving credit facility, and a $37.3 million settlement of the Deferred purchase price obligation to Anadarko. Anadarko held 81.6% of WGP's limited partner interest, and WGP's unitholders had received distributions totaling $324.3 million in the nine months.
Nov 1, 2017
2017-Q2
Western Midstream Partners Quarterly Report for Q2 Ended Jun 30, 2017
Western Gas Equity Partners, LP (WGP) reported a second quarter 2017 net income attributable to WGP of $104.9 million, versus $88.9 million in the second quarter of 2016, and net income attributable to WGP of $180.9 million for the six months ended June 30, 2017, compared with $170.7 million a year earlier. WGP has no independent operations; its only cash-generating assets are its partnership interests in Western Gas Partners, LP (WES), so its results and distributions depend entirely on WES. Six-month results were shaped by a $167.9 million impairment, including $158.8 million at the Granger complex after a producer's bankruptcy reduced a throughput fee, offset by a $134.9 million net gain on divestiture and other, which includes a $125.7 million gain from the property exchange for the Additional DBJV System Interest and a $16.3 million gain from the sale of the Helper and Clawson systems. WGP's distribution rose to $0.52750 per unit for the second quarter of 2017, and WES's distribution rose to $0.890 per unit. Over the six months, WES received $52.9 million in final insurance settlement proceeds for the December 2015 DBM complex incident, and WES settled its deferred purchase price obligation to Anadarko for $37.3 million. Long-term debt rose to $3.28 billion at June 30, 2017, from $3.12 billion at year-end 2016, mainly from $160.0 million of WES RCF borrowings, and cash fell to $188.8 million from $359.1 million. Throughput for WES's natural gas assets attributable to WES totaled 3,472 MMcf/d for the second quarter of 2017, a decrease from the prior year period, driven largely by the property exchange and production declines, while processing throughput rose on DBM complex volumes. Management also disclosed that the Wattenberg gas gathering agreement with Anadarko's subsidiary was extended to expire on or about December 31, 2027, and that WES is in negotiations with the EPA over leak detection and repair compliance at two facilities.
Jul 26, 2017
2017-Q1
Western Midstream Partners Quarterly Report for Q1 Ended Mar 31, 2017
Western Gas Equity Partners, LP (WGP), a Delaware master limited partnership formed by Anadarko Petroleum Corporation, reported first-quarter 2017 net income attributable to WGP of $75.9 million, or $0.35 per common unit, compared with $81.8 million in the first quarter of 2016. Total revenues and other rose to $516.2 million from $383.1 million, but results were weighed down by a $164.7 million impairment, mainly a $158.8 million charge at the Granger complex after a producer's bankruptcy reduced throughput fees. WGP's only assets are its partnership interests in Western Gas Partners, LP (WES), so its cash flow depends entirely on WES distributions. The quarter included a $125.4 million net gain on the Property Exchange, in which WES acquired the remaining 50% interest in the DBJV system in exchange for its Non-Operated Marcellus Interest and $155.0 million in cash. WES also received $29.8 million of insurance proceeds related to the December 2015 DBM complex incident. WGP raised its quarterly distribution to $0.49125 per unit, and WES raised its distribution to $0.875 per unit, with a stated coverage ratio of 1.15x. Leverage and liquidity remained stable. WGP had $28.0 million outstanding under its revolving credit facility and $222.0 million available, while WES had $1.195 billion available under its revolving credit facility and no borrowings outstanding. Long-term debt carrying value was $3.12 billion at March 31, 2017, and cash and cash equivalents declined to $122.7 million from $359.1 million at year-end 2016.
May 3, 2017
2016-Q3
Western Midstream Partners Quarterly Report for Q3 Ended Sep 30, 2016
Western Gas Equity Partners, LP (WGP) reported third-quarter 2016 results for the period ended September 30, 2016, as a holding company whose only cash-generating assets are its partnership interests in Western Gas Partners, LP (WES). For the three months ended September 30, 2016, net income attributable to Western Gas Equity Partners, LP was $91.4 million ($0.42 per common unit), compared with $109.2 million ($0.41 per unit) in the prior-year quarter. For the nine months, net income attributable to WGP was $262.1 million ($1.15 per unit), versus $180.5 million ($0.53 per unit) in 2015. Total revenues and other were $481.6 million for the quarter and $1.29 billion for the nine months. Operating income for the nine months was $524.1 million, compared with $272.4 million in 2015, which included a $276.6 million impairment charge. WES's growth activity in 2016 centered on the Springfield acquisition from Anadarko for $750.0 million, funded with $712.5 million in cash, including $247.5 million of WES RCF borrowings, $25.0 million of WGP RCF borrowings used to buy WES common units, and $440.0 million plus $246.9 million of net proceeds from Series A Preferred unit issuances. WES also commenced operation of Train IV at the DBM complex in May 2016, and Train V was commenced in October 2016. Train II, damaged in the December 2015 DBM fire, is expected to return to service by the end of 2016. WES had received $34.7 million in insurance proceeds related to the DBM incident as of September 30, 2016. WES's balance sheet shows long-term debt of $2.94 billion and a $1.18 billion undrawn WES RCF. WGP declared a third-quarter 2016 distribution of $0.44750 per unit, totaling $98.0 million, payable November 22, 2016. The filing also notes that the deferred purchase price obligation to Anadarko was reduced by $259.9 million during the nine months, to a net present value of $16.4 million, and that the Hugoton system was classified as held for sale and sold on October 31, 2016.
Nov 2, 2016
2016-Q2
Western Midstream Partners Quarterly Report for Q2 Ended Jun 30, 2016
Western Gas Equity Partners, LP (WGP) reported a second quarter 2016 net income attributable to the partnership of $88.9 million, compared with $87.7 million in the second quarter of 2015, and $170.7 million for the six months ended June 30, 2016, versus $71.3 million a year earlier. WGP has no independent operations; its only cash-generating assets are its partnership interests in Western Gas Partners, LP (WES). Results were recast to include the Springfield interest, which WES acquired from Anadarko on March 14, 2016 for $750.0 million ($712.5 million in cash plus 1,253,761 WES common units). Consolidated revenues and other were $428.7 million for the quarter versus $466.0 million a year earlier, and operating income rose to $175.3 million from $169.9 million. The DBM complex fire and explosion of December 3, 2015 continued to affect results. Train IV commenced operation in May 2016, Train III returned to full service in May 2016, and Train II is expected back by the end of 2016. WES reported $5.5 million of insurance proceeds received through June 30, 2016, and a further $29.1 million received through the filing date, to be recorded in the third quarter. Adjusted EBITDA attributable to WES was $250.6 million for the quarter, up from $245.6 million, and distributable cash flow was $199.3 million, down from $211.7 million, reflecting $14.1 million of Series A Preferred unit distributions. WES raised its quarterly distribution to $0.830 per unit for the second quarter of 2016 and declared the same amount for payment in August 2016. Financing activity was significant. WES issued 14,030,611 Series A Preferred units in March 2016 and 7,892,220 more in April 2016, generating net proceeds of $440.0 million and $246.9 million. WES's long-term debt carrying value was $2.96 billion at June 30, 2016, and the company issued $500.0 million of 4.650% Senior Notes due 2026 in July 2016. The filing also reports that the deferred purchase price obligation to Anadarko was revised down by $241.1 million, to a net present value of $29.2 million, and that a material weakness in internal control over impairment determinations, disclosed for year-end 2015, was remediated as of June 30, 2016.
Jul 27, 2016
2016-Q1
Western Midstream Partners Quarterly Report for Q1 Ended Mar 31, 2016
Western Gas Equity Partners, LP (WGP), a Delaware master limited partnership whose only cash-generating assets are its partnership interests in Western Gas Partners, LP (WES), reported net income attributable to WGP of $81.8 million for the first quarter of 2016, compared with a net loss of $16.4 million in the first quarter of 2015. Consolidated revenues and other were $383.1 million versus $437.0 million a year earlier, and operating income was $152.2 million versus an operating loss of $123.2 million, the prior-year period being driven by a $272.6 million impairment expense. Interest expense rose to $32.1 million from $23.0 million, largely due to the 2025 Notes issued in June 2015 and accretion on the deferred purchase price obligation to Anadarko. The quarter's most significant events were WES's acquisition of Springfield Pipeline from Anadarko for $750.0 million, funded with $712.5 million in cash and 1,253,761 WES common units, and the issuance of 14,030,611 WES Series A Preferred units to private investors for $440.0 million in net proceeds. Following the Springfield closing, WES repaid $250.0 million of its revolver in April 2016, $247.5 million of it from the sale of 7,892,220 additional Series A Preferred units. Total long-term debt was $3.05 billion at March 31, 2016, and WGP declared a distribution of $0.42375 per unit for the first quarter. Operationally, the DBM complex fire and explosion on December 3, 2015 left virtually no processing activity in the quarter. WES's natural gas throughput fell 11% and its Adjusted gross margin rose 3%, to $311.2 million. Management reported that disclosure controls were not effective at March 31, 2016 because of a material weakness in impairment-related controls, with remediation expected by the end of the second quarter of 2016.
May 4, 2016
2015-Q3-A
Western Midstream Partners Quarterly Report (Amendment) for Q3 Ended Sep 30, 2015
Western Gas Equity Partners, LP (WGP), a Delaware master limited partnership formed by Anadarko Petroleum Corporation, filed this amended Form 10-Q/A for the quarter ended September 30, 2015. Its only cash-generating assets are its partnership interests in Western Gas Partners, LP (WES), which it consolidates through its 100% ownership of WES GP. The filing restates the three and nine months ended September 30, 2015 to reflect an impairment charge of $264.4 million at WES's Red Desert complex, which had been incorrectly omitted in the original filing. Restated nine-month net income attributable to WGP is $118.6 million, or $0.53 per common unit, compared with $178.985 million in the prior-year period, and the nine-month impairments line is $276.2 million. The company also identified a material weakness in internal control over impairment testing and concluded that its disclosure controls were not effective as of September 30, 2015. Operationally, WES reported total revenues and other of $1.19 billion for the nine months ended September 30, 2015, up from $1.02 billion a year earlier, and it completed the DBJV acquisition from Anadarko with a deferred purchase price obligation of $184.2 million at September 30, 2015. WES also sold its Dew and Pinnacle systems for net proceeds of $146.7 million, recording a gain of $77.2 million, and it issued $500.0 million of 3.950% Senior Notes due 2025. WGP raised its distribution to $0.38125 per unit for the third quarter of 2015, a 31% increase over the year-earlier third quarter. The filing also reports WES's adjusted gross margin, adjusted EBITDA and distributable cash flow, along with a coverage ratio of 1.05x for the quarter. Management expects remediation of the material weakness to be completed by the end of the second quarter of 2016.
Feb 3, 2016
2015-Q2-A
Western Midstream Partners Quarterly Report (Amendment) for Q2 Ended Jun 30, 2015
This restated quarterly report from Western Gas Equity Partners, LP (WGP) covers the three and six months ended June 30, 2015. WGP's only cash-generating assets are its partnership interests in Western Gas Partners, LP (WES), so its results track WES closely. The restatement corrects an impairment test error as of March 31, 2015. The error incorrectly included WES's commodity price swap agreements with Anadarko in the triggering-event assessment, and the filing records a $264.4 million impairment at the Red Desert complex. For the six months, the restated net loss is $(61.7) million, compared with net income of $198.5 million as originally reported. Net income attributable to WGP for the six months falls to $29.3 million from $124.8 million, and per-unit earnings fall to $0.13 from $0.56. Three-month results are essentially unchanged, with net income attributable to WGP of $68.9 million and $0.31 per unit. Operationally, WES reported three-month natural gas throughput of 4,083 MMcf/d, a 13% increase, and adjusted gross margin of $0.69 per Mcf. Total revenues for the three months were $416.6 million. WGP raised its quarterly distribution to $0.36375 per unit, a 6% increase over the first quarter of 2015 and a 34% increase over the second quarter of 2014. WES raised its distribution to $0.750 per unit. Six-month cash flow from operating activities was $300.4 million, and capital expenditures were $338.2 million. Total debt principal at WES was $2.69 billion at June 30, 2015. Management concluded that a material weakness in internal control over financial reporting existed as of June 30, 2015, so disclosure controls were not effective. The filing states that remediation is expected to be completed by the end of the second quarter of 2016. The filing also discloses a pending DCP Midstream lawsuit scheduled for trial in June 2016, which management does not believe will have a material effect, and ongoing EPA negotiations over leak detection requirements at the Granger, Wyoming facility.
Feb 3, 2016
2015-Q1-A
Western Midstream Partners Quarterly Report (Amendment) for Q1 Ended Mar 31, 2015
Western Gas Equity Partners, LP (now Western Midstream Partners, NYSE: WGP) filed this Form 10-Q/A to restate its unaudited results for the three months ended March 31, 2015. The restatement corrects an error in the impairment test: commodity price swap agreements with Anadarko were wrongly included when assessing whether a triggering event had occurred. As restated, impairments for the quarter were $272.6 million, including a $264.4 million charge at WES's Red Desert complex, compared with $8.2 million as originally reported. Net loss was $177.4 million, and net loss attributable to Western Gas Equity Partners, LP was $39.7 million, versus net income of $53.2 million in the first quarter of 2014. Net loss per common unit was $(0.19), compared with $0.25 as originally reported. Excluding the impairment, the underlying business grew. Total revenues rose to $388.4 million from $301.2 million, and Western Gas Partners, LP's (WES) adjusted EBITDA attributable to WES was $180.9 million, up from $148.1 million. Distributable cash flow was $148.0 million, and the filing states a coverage ratio of 1.11x. Net cash provided by operating activities was $155.5 million. WGP declared a first-quarter 2015 distribution of $0.34250 per unit, and WES declared $0.725 per unit. WES also acquired a 50% interest in the DBJV system from Anadarko for a deferred payment obligation with a net present value of $175.7 million at March 31, 2015. Management concluded that a material weakness in internal control over financial reporting existed as of March 31, 2015, so disclosure controls and procedures were not effective. The restatement also reclassified $11.8 million of third-party electricity reimbursements from operation and maintenance expense to revenues for the quarter. The company expects remediation to be completed by the end of the second quarter of 2016. The filing notes that a DCP Midstream lawsuit is scheduled for trial in June 2016, and management does not expect it to have a material effect.
Feb 3, 2016
2015-Q3
Western Midstream Partners Quarterly Report for Q3 Ended Sep 30, 2015
Western Gas Equity Partners, LP (WGP), which at the time of this filing was the publicly traded master limited partnership that owned the general partner and a significant limited partner interest in Western Gas Partners, LP (WES), reported third-quarter 2015 net income attributable to WGP of $88.3 million, or $0.40 per common unit, compared with $66.4 million in the prior-year quarter. For the nine months, net income attributable to WGP was $213.1 million, or $0.97 per unit. Consolidated total revenues and other were $385.1 million for the quarter and $1.19 billion for the nine months, and the results include a $77.2 million gain on the sale of the Dew and Pinnacle systems in East Texas, which brought net proceeds of $146.7 million. The filing states that WGP's only cash-generating assets are its partnership interests in WES, so its cash distributions depend entirely on WES. WES's operating performance improved over the period. Adjusted gross margin attributable to WES was $263.7 million for the quarter, up from $247.5 million, and adjusted EBITDA was $182.9 million, up from $179.0 million. Distributable cash flow was $152.8 million, and WES's coverage ratio was 1.05x for the quarter and 1.13x for the nine months. Growth drivers included Lancaster Train II in the DJ Basin complex, which began operations in June 2015, and the DBM acquisition completed in November 2014. WES also raised its quarterly distribution to $0.775 per unit for the third quarter of 2015, and WGP raised its distribution to $0.38125 per unit. The balance sheet shows total assets of $7.17 billion and long-term debt of $2.59 billion at September 30, 2015. WES's capital expenditure outlook for 2015 was lowered to $580 million to $620 million, including equity investments, from an originally reported $675 million to $745 million. The filing also discloses a deferred purchase price obligation to Anadarko for the DBJV system with a net present value of $184.2 million, and a pending EPA negotiation over leak detection and repair at WGR Operating's Granger, Wyoming facility that management considers reasonably likely to result in a fine or penalty above $100,000.
Oct 29, 2015
2015-Q2
Western Midstream Partners Quarterly Report for Q2 Ended Jun 30, 2015
Western Gas Equity Partners, LP (WGP), a Delaware master limited partnership formed by Anadarko Petroleum Corporation, reported its second-quarter 2015 Form 10-Q. Its only cash-generating assets are its partnership interests in Western Gas Partners, LP (WES), which it consolidates through its 100% ownership of WES GP. WGP reported net income attributable to Western Gas Equity Partners, LP of $67.8 million for the three months ended June 30, 2015, up from $59.4 million a year earlier, and net income per common unit of $0.31 versus $0.25. For the six months, net income attributable to WGP was $124.8 million, or $0.56 per unit. Total revenues for the three months rose to $402.4 million from $345.6 million, though interest expense climbed to $27.6 million from $20.9 million and depreciation, amortization and impairments rose to $66.0 million from $45.3 million. At the WES level, the filing shows growth driven largely by the DJ Basin complex, the DBM acquisition completed in November 2014, and the start-up of Lancaster Train II in June 2015. Natural gas-related throughput attributable to WES rose 13% for both the three and six months, and cash distributions declared to WES unitholders increased to $0.750 per unit for the second quarter. WGP raised its own quarterly distribution to $0.36375 per unit. Net cash provided by operating activities was $300.4 million for the six months, while capital expenditures totaled $338.2 million. Total long-term debt at June 30, 2015, was $2.68 billion, and WES had $917.2 million available under its revolving credit facility. The filing also highlights the DBJV acquisition from Anadarko, which carries a deferred purchase price obligation with a net present value of $179.9 million, due March 31, 2020. Anadarko remains the dominant customer and counterparty, and WES's commodity price swap agreements with Anadarko were extended through December 31, 2015, for the DJ Basin complex and the Hugoton system. Management also disclosed that WES is negotiating with the U.S. EPA over alleged leak detection and repair non-compliance at its Granger, Wyoming facility, and that a likely resolution would involve a fine or penalty above $100,000.
Jul 30, 2015
2015-Q1
Western Midstream Partners Quarterly Report for Q1 Ended Mar 31, 2015
Western Gas Equity Partners, LP (WGP), the Anadarko-controlled master limited partnership whose only cash-generating assets are its partnership interests in Western Gas Partners, LP (WES), reported first-quarter 2015 net income of $85.97 million on total revenues of $375.09 million, versus $93.80 million and $293.72 million in the first quarter of 2014. Net income attributable to WGP was $57.03 million, compared with $53.16 million a year earlier, and net income per common unit was $0.25 against $0.23. The financial statements were recast to include the DBJV system, which WES acquired from Anadarko on March 2, 2015, for a deferred purchase price obligation with a net present value of $175.7 million at quarter-end. Interest expense rose to $22.96 million from $13.96 million, reflecting the 5.450% 2044 Notes and the 2.600% 2018 Notes issued in March 2014 and higher average borrowings on the WES revolver, which stood at $620.0 million at March 31, 2015. Total long-term debt was $2.53 billion, and WES had a $29.0 million working capital deficit. Cash flow from operations was $155.46 million, while capital expenditures totaled $200.94 million, and WES's Train II at the Lancaster plant is expected to begin operations in the second quarter of 2015. WGP declared a first-quarter 2015 distribution of $0.34250 per unit, up 37% from the first quarter of 2014, and WES declared $0.725 per unit, up 16%. The WGP distribution totals $75.0 million payable in May 2015. WES's coverage ratio was 1.11x. The filing also discloses an EPA negotiation over alleged Clean Air Act leak detection violations at the Granger, Wyoming facility, which management believes is reasonably likely to result in a fine or penalty above $100,000.
May 6, 2015
2014-Q3
Western Midstream Partners Quarterly Report for Q3 Ended Sep 30, 2014
Western Gas Equity Partners, LP (WGP), a Delaware master limited partnership whose only cash-generating assets are its partnership interests in Western Gas Partners, LP (WES), reported net income attributable to Western Gas Equity Partners, LP of $59.952 million for the third quarter of 2014, compared with $44.444 million in the third quarter of 2013, and $164.747 million for the nine months ended September 30, 2014, versus $111.343 million a year earlier. Total revenues were $326.465 million for the quarter and $935.866 million for the nine months, and net income per common unit was $0.27 and $0.76, respectively. The statements are recast to include the TEFR Interests acquired from Anadarko in March 2014. Consolidated total assets were $5.065 billion at September 30, 2014, and long-term debt was $2.083 billion, up from $1.418 billion at December 31, 2013, reflecting WES's issuance of $400.0 million of 5.450% Senior Notes due 2044 and an additional $100.0 million of 2.600% Senior Notes due 2018. The filing reports that WES's distribution was raised to $0.675 per unit for the third quarter of 2014, and WGP's distribution to $0.29125 per unit, both declared October 20, 2014. Operating highlights for WES include total throughput attributable to WES of 3,459 MMcf/d for the quarter, a 5% increase, and adjusted gross margin per Mcf for natural gas assets of $0.67 for the quarter, a 16% increase. Anadarko remains the dominant customer and the only customer exceeding 10% of consolidated revenues. Net cash provided by operating activities was $401.2 million for the nine months, and capital expenditures were $492.3 million. A significant subsequent event is WES's October 28, 2014 agreement to acquire Nuevo Midstream for $1.5 billion in cash, funded with cash on hand, borrowings under the WES revolving credit facility, and $750.0 million of Class C units issued to Anadarko. The transaction is expected to close in the fourth quarter of 2014, subject to regulatory approval and customary conditions. The filing also discloses a pending EPA negotiation over alleged leak detection and repair non-compliance at WES's Granger, Wyoming facility, where management believes a penalty above $100,000 is reasonably likely.
Oct 29, 2014
2014-Q2
Western Midstream Partners Quarterly Report for Q2 Ended Jun 30, 2014
Western Gas Equity Partners, LP (now Western Midstream Partners) reported results for the three and six months ended June 30, 2014 in this Form 10-Q. Consolidated revenues were $329.9 million for the quarter, up from $251.4 million, and $609.4 million for the six months versus $477.2 million. Operating income was $114.4 million for the quarter versus $68.9 million, and net income attributable to Western Gas Equity Partners, LP was $55.3 million versus $34.5 million. Net income per common unit was $0.25 for the quarter and $0.48 for the six months. The company's only cash-generating assets are its partnership interests in Western Gas Partners, LP (WES), including the 2.0% general partner interest, 100% of the incentive distribution rights, and a 40.6% limited partner interest in WES as of June 30, 2014. WES's operating performance improved over the period. Throughput attributable to WES was 3,561 MMcf/d for the quarter, a 13% increase, driven by the Non-Operated Marcellus Interest and the DJ Basin complex, including the start-up of Train I at the Lancaster plant in April 2014. Adjusted EBITDA attributable to WES rose to $167.3 million for the quarter from $107.6 million. WES acquired the TEFR Interests (interests in TEP, TEG and FRP) from Anadarko in March 2014 for $356.3 million in cash, funded largely with borrowings. Total long-term debt rose to $2.02 billion at June 30, 2014, from $1.42 billion at December 31, 2013. WGP declared a distribution of $0.27125 per unit for the second quarter of 2014, a 9% increase over the first quarter of 2014. WES declared a distribution of $0.650 per unit, a 4% increase over the first quarter. WGP's results depend entirely on distributions from WES. Anadarko remains the dominant customer, and the filing notes a pending EPA leak detection and repair matter at WES's Granger, Wyoming facility that management believes is reasonably likely to result in a fine or penalty exceeding $100,000.
Aug 6, 2014
2014-Q1
Western Midstream Partners Quarterly Report for Q1 Ended Mar 31, 2014
Western Gas Equity Partners, LP (WGP) filed this Form 10-Q for the quarter ended March 31, 2014. WGP is a master limited partnership whose only cash-generating assets are its partnership interests in Western Gas Partners, LP (WES), including WES GP, a 41.0% limited partner interest in WES, and 100% of WES's incentive distribution rights. Consolidated revenues were $279.5 million for the first quarter of 2014, up from $225.8 million a year earlier, while net income was $90.2 million versus $51.7 million. Net income attributable to WGP rose to $49.5 million from $32.4 million, and net income per common unit was $0.23 compared with $0.12. Growth was driven largely by the TEFR Interests acquisition in March 2014, higher throughput at the Non-Operated Marcellus Interest and Brasada facility, and higher equity income from the Mont Belvieu JV. Balance sheet activity was dominated by financing. Long-term debt increased to $1.91 billion from $1.42 billion at year-end 2013, reflecting the issuance of $400.0 million of 5.450% Senior Notes due 2044, $100.0 million of additional 2.600% Senior Notes due 2018, and $350.0 million of borrowings under the WES revolving credit facility used to fund the TEFR Interests acquisition. WES had $1.19 billion available under its revolving credit facility at quarter-end. Net cash provided by operating activities was $122.5 million, while investing outflows were $576.7 million, including $360.9 million of acquisitions from affiliates and $189.3 million of capital expenditures. Distributions remain a central focus. WGP raised its quarterly distribution to $0.25000 per unit for the first quarter of 2014, an 8% increase over the fourth quarter of 2013 and a 40% increase over the first quarter of 2013. WES raised its distribution to $0.625 per unit, its twentieth consecutive quarterly increase. WES reported a distribution coverage ratio of 1.21x, and Anadarko Petroleum Corporation remained the dominant customer and holder of WGP's units.
May 7, 2014
2013-Q3
Western Midstream Partners Quarterly Report for Q3 Ended Sep 30, 2013
Western Gas Equity Partners, LP (WGP), a Delaware master limited partnership formed by Anadarko in 2012, reported its third-quarter 2013 results in this Form 10-Q. Its only cash-generating assets are its partnership interests in Western Gas Partners, LP (WES), so its results closely track WES. For the three months ended September 30, 2013, WGP reported total revenues of $278.0 million and net income attributable to Western Gas Equity Partners, LP of $44.3 million, or $0.20 per common unit, compared with $19.3 million in the prior-year quarter. For the nine months, net income attributable to WGP was $111.4 million, or $0.49 per common unit. Net income attributable to noncontrolling interests was $36.8 million for the quarter. WES's operating activity expanded over the period. Total revenues rose from $234.7 million to $278.0 million in the quarter, and operating income increased from $61.3 million to $89.5 million. The filing notes that WES raised its quarterly distribution to $0.58 per unit for the third quarter, and WGP's distribution to $0.21375 per unit, payable in November 2013. During the first nine months, WES completed the Non-Operated Marcellus Interest, Anadarko-Operated Marcellus Interest, Mont Belvieu JV and OTTCO acquisitions, issued $250.0 million of 2.600% Senior Notes due 2018, and completed a May 2013 equity offering that generated $424.7 million in net proceeds. Balance sheet and liquidity are central to the investor picture. Total debt outstanding was $1.52 billion at September 30, 2013, against cash and cash equivalents of $57.1 million, and the filing reports a $55.0 million working capital deficit. Capital expenditures for the nine months totaled $469.7 million, and WES raised its 2013 total capital expenditure estimate to a range of $670 million to $740 million, excluding acquisitions. The filing also discloses that WES depends on Anadarko for the substantial majority of its natural gas volumes, and that a $260.0 million note receivable from Anadarko is a source of interest income.
Nov 7, 2013
2013-Q2
Western Midstream Partners Quarterly Report for Q2 Ended Jun 30, 2013
Western Gas Equity Partners, LP (WGP) reported second-quarter 2013 results that consolidate its interest in Western Gas Partners, LP (WES), its only cash-generating asset. For the three months ended June 30, 2013, total revenues were $255.1 million versus $220.3 million a year earlier, and net income attributable to Western Gas Equity Partners, LP was $34.7 million, compared with $18.7 million. For the six months, net income attributable to WGP was $67.0 million versus $35.7 million, and net cash provided by operating activities was $162.4 million. Net income per common unit was $0.16 for the quarter. The period was dominated by acquisitions and financing. WES acquired Anadarko's 33.75% non-operated interest in the Liberty and Rome gathering systems, a 33.75% interest in three operated Marcellus gathering systems, and a 25% interest in the Mont Belvieu JV fractionators. Capital expenditures were $339.8 million for the six months, and total debt outstanding rose to $1.42 billion at June 30, 2013, from $1.17 billion at December 31, 2012. WES also completed a May 2013 equity offering of 7,015,000 common units with net proceeds of $424.9 million. The Brasada processing plant began start-up operations in June 2013, and construction continued on the Lancaster plant. Distributions continued to rise. WES declared a $0.56 per unit distribution for the second quarter of 2013, a 4% increase over the first quarter and its seventeenth consecutive quarterly increase. WGP declared a $0.1975 per unit distribution for the same quarter, a 10% increase over the first quarter. WES reported distributable cash flow of $168.9 million for the six months, and the filing states a coverage ratio of 1.13x for both the three and six months ended June 30, 2013. Anadarko remains the dominant customer and holds 91.0% of WGP's limited partner interest.
Aug 1, 2013
2013-Q1
Western Midstream Partners Quarterly Report for Q1 Ended Mar 31, 2013
Western Gas Equity Partners, LP (WGP) reported first-quarter 2013 consolidated net income of $51.7 million, up from $45.6 million a year earlier, with net income attributable to Western Gas Equity Partners, LP of $32.3 million versus $17.1 million. Total revenues rose to $229.7 million from $224.7 million, while operating income fell to $62.8 million from $67.2 million, reflecting higher operation and maintenance and depreciation expenses. WGP's only cash-generating assets are its partnership interests in Western Gas Partners, LP (WES), so its results closely track WES, which reported Adjusted EBITDA of $95.9 million and distributable cash flow of $79.1 million for the quarter, with a distribution coverage ratio of 1.13x. The quarter was dominated by acquisitions and financing. WES acquired a 33.75% non-operated interest in the Liberty and Rome gathering systems from an Anadarko subsidiary and a 33.75% interest in three Anadarko-operated Marcellus gathering systems from a third party, funded largely by $250.0 million and $133.5 million of borrowings and cash on hand. Cash and cash equivalents fell to $91.5 million from $422.6 million, and long-term debt rose to $1.55 billion from $1.17 billion, while partners' capital declined to $682.8 million in common units. WGP declared a first-quarter 2013 distribution of $0.17875 per unit, and WES declared $0.54 per unit. Investors should note the concentration of risk: WES depends on Anadarko for the substantial majority of its natural gas volumes and for a large share of its revenues, and WGP is 91.0% owned by Anadarko. The filing also discloses a DCP Midstream lawsuit against Anadarko and a WES subsidiary, with trial set for April 2014, which management does not believe will have a material effect. The filing reports a $101.3 million working capital deficit, primarily due to cash used for the Non-Operated Marcellus Interest acquisition.
May 6, 2013