Crestwood Announces Second Quarter 2023 Financial and Operating Results
Generated second quarter 2023 net income of
Placed into service the three-product gathering system in the City of Williston and Painted Woods areas of the Williston Basin; initial well results exceeding expectations
Achieved record
Expect full-year 2023E Adjusted EBITDA within the
Awarded Hart Energy’s 2023 ESG Award for the public midstream category, highlighting Crestwood’s continued commitment to sustainable operations
Second Quarter 2023 Financial Highlights1
-
Second quarter 2023 net income of
, compared to net income of$152 million in second quarter 2022, an increase of$39 million 286% year-over-year -
Second quarter 2023 Adjusted EBITDA of
, compared to$176 million in the second quarter 2022, a decrease of$180 million 2% year-over-year -
Second quarter 2023 distributable cash flow (“DCF”) to common unitholders of
and a coverage ratio of 1.3x$86 million -
Ended the second quarter with
of total debt outstanding, including$3.3 billion drawn on its$417 million revolving credit facility, and a consolidated leverage ratio of 4.25x$1.75 billion -
Announced second quarter 2023 cash distribution of
per common unit, or$0.65 5 per common unit on an annualized basis, payable on August 14, 2023, to unitholders of record as of August 7, 2023$2.62
Management Commentary
“In the second quarter 2023, strong producer activity resulted in 73 new wells connected to our gathering systems, which brings the year-to-date total to 143 well connects, exceeding our expectations set at the beginning of the year and driving quarter-over-quarter volumetric growth across substantially all of Crestwood’s gathering and processing assets.
Mr. Phillips continued, “While volumes and well connects outperformed across the portfolio, second quarter financial results of
Mr. Phillips concluded, “Based on second quarter results and the updated growth outlook for the third and fourth quarter, we currently anticipate full-year Adjusted EBITDA to be within the original guidance range of
1 Please see non-GAAP reconciliation tables included at the end of the press release. |
Second Quarter 2023 Results
Gathering and Processing North
Gathering and Processing North segment EBITDA totaled
Williston Basin
During the second quarter 2023, crude oil gathering volumes averaged 86 MBbl/d, natural gas gathering volumes averaged 231 MMcf/d, natural gas processing volumes averaged 252 MMcf/d, and produced water gathering volumes averaged 195 MBbl/d. Crude oil gathering and produced water gathering volumes increased year-over-year by
Crestwood invested
Powder River Basin
During the second quarter 2023, natural gas gathering volumes averaged 99 MMcf/d and natural gas processing volumes averaged 96 MMcf/d, which both decreased year-over-year by
Gathering & Processing South
Gathering and Processing South segment EBITDA totaled
During the second quarter 2023, natural gas gathering volumes averaged 535 MMcf/d, natural gas processing volumes averaged 444 MMcf/d, produced water gathering volumes averaged 133 MBbl/d, and crude oil gathering volumes averaged 28 MBbl/d. Natural gas gathering and processing volumes increased year-over-year by
Crestwood invested
Storage & Logistics
Storage & Logistics segment EBITDA totaled
Financial results in the second quarter 2023 were negatively impacted by net non-cash mark-to-market losses on NGL inventory positions caused by the decline in NGL prices. In response to the widening of the summer-to-winter spread during the inventory build season, Crestwood has built physical inventories across its NGL storage assets that are currently up over
Crestwood invested
O&M and G&A Expenses
Combined O&M and G&A expenses, net of non-cash unit-based compensation, in the second quarter 2023 were
Capitalization and Liquidity Update
During the second quarter 2023, Crestwood invested
As of June 30, 2023, Crestwood had
Crestwood currently has 71.3 million preferred units outstanding (par value of
Sustainability Program Update
In June 2023, Crestwood published its fifth annual sustainability report entitled Responsible Growth. Authentic Advancement. The report highlights the year-to-year progress Crestwood has achieved in its environmental, social, and governance (ESG) commitments and illustrates how the Company has worked to balance responsible business growth and sustainability objectives. It also includes comprehensive information on the achievements made in its second three-year sustainability strategy, initiated in January 2022, including deliverables achieved through its detailed carbon management plan.
Crestwood continues to be recognized externally for its commitment to sustainability and was recently awarded Hart Energy’s 2023 ESG Award for the public midstream category. In addition, the Company’s Sustainalytics rating improved by 10 percent due to its strong ESG disclosures and policies and programs that follow best practices for the midstream industry. For more information on Crestwood’s approach to sustainability, please visit https://esg.crestwoodlp.com.
Upcoming Conference Participation
Crestwood plans to participate in the following investor conferences. Prior to the start of each conference, new presentation materials may be posted to the “Investors” section of Crestwood’s website (www.crestwoodlp.com).
-
Citi One-on-One Midstream / Energy Infrastructure Conference, August 22-23, 2023,
Las Vegas, NV - NYSE Investor Access Day, September 12, 2023, Virtual
-
Capital One Securities Energy Conference, December 5, 2023,
Houston, TX -
Wells Fargo Midstream and Utility Symposium, December 6-7, 2023,
New York, New York
Earnings Conference Call Schedule
Management will host a conference call for investors and analysts of Crestwood today at 9:00 a.m. Eastern Time (8:00 a.m. Central Time), which will be broadcast live over the Internet. Investors will be able to access the webcast via the “Investors” page of Crestwood’s website at www.crestwoodlp.com. Please log in at least ten minutes in advance to register and download any necessary software. A replay will be available shortly after the call for 90 days.
Non-GAAP Financial Measures
Adjusted EBITDA, distributable cash flow and free cash flow are non-GAAP financial measures. The accompanying schedules of this news release provide reconciliations of these non-GAAP financial measures to their most directly comparable financial measures calculated and presented in accordance with GAAP. Our non-GAAP financial measures should not be considered as alternatives to GAAP measures such as net income or operating income or any other GAAP measure of liquidity or financial performance.
Forward-Looking Statements
This news release contains forward-looking statements within the meaning of the
About Crestwood Equity Partners LP
CRESTWOOD EQUITY PARTNERS LP |
|||||||||||||||
Consolidated Statements of Operations |
|||||||||||||||
(in millions, except per unit data) |
|||||||||||||||
(unaudited) |
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|
|
|
||||||||||||
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Three Months Ended June 30, |
|
Six Months Ended June 30, |
||||||||||||
|
|
2023 |
|
|
|
2022 |
|
|
|
2023 |
|
|
|
2022 |
|
|
|
|
|
|
|
|
|
||||||||
Revenues |
$ |
1,021.2 |
|
|
$ |
1,448.0 |
|
|
$ |
2,284.3 |
|
|
$ |
3,031.8 |
|
Cost of products/services sold |
|
784.6 |
|
|
|
1,213.2 |
|
|
|
1,782.0 |
|
|
|
2,577.6 |
|
|
|
|
|
|
|
|
|
||||||||
Operating expenses and other: |
|
|
|
|
|
|
|
||||||||
Operations and maintenance |
|
53.2 |
|
|
|
46.6 |
|
|
|
109.8 |
|
|
|
89.0 |
|
General and administrative |
|
25.0 |
|
|
|
26.5 |
|
|
|
56.6 |
|
|
|
69.9 |
|
Depreciation, amortization and accretion |
|
81.1 |
|
|
|
80.6 |
|
|
|
162.5 |
|
|
|
155.4 |
|
Loss on long-lived assets, net |
|
1.8 |
|
|
|
7.2 |
|
|
|
2.2 |
|
|
|
11.0 |
|
|
|
161.1 |
|
|
|
160.9 |
|
|
|
331.1 |
|
|
|
325.3 |
|
Operating income |
|
75.5 |
|
|
|
73.9 |
|
|
|
171.2 |
|
|
|
128.9 |
|
Earnings from unconsolidated affiliates, net |
|
132.4 |
|
|
|
6.0 |
|
|
|
134.1 |
|
|
|
9.0 |
|
Interest and debt expense, net |
|
(55.4 |
) |
|
|
(40.1 |
) |
|
|
(111.0 |
) |
|
|
(76.2 |
) |
Other income (expense), net |
|
— |
|
|
|
(0.1 |
) |
|
|
0.1 |
|
|
|
0.2 |
|
Income before income taxes |
|
152.5 |
|
|
|
39.7 |
|
|
|
194.4 |
|
|
|
61.9 |
|
Provision for income taxes |
|
(0.6 |
) |
|
|
(0.3 |
) |
|
|
(0.9 |
) |
|
|
(0.3 |
) |
Net income |
|
151.9 |
|
|
|
39.4 |
|
|
|
193.5 |
|
|
|
61.6 |
|
Net income attributable to non-controlling partner |
|
10.3 |
|
|
|
10.3 |
|
|
|
20.5 |
|
|
|
20.5 |
|
Net income attributable to Crestwood Equity Partners LP |
|
141.6 |
|
|
|
29.1 |
|
|
|
173.0 |
|
|
|
41.1 |
|
Net income attributable to preferred units |
|
15.0 |
|
|
|
15.0 |
|
|
|
30.0 |
|
|
|
30.0 |
|
Net income attributable to partners |
$ |
126.6 |
|
|
$ |
14.1 |
|
|
$ |
143.0 |
|
|
$ |
11.1 |
|
|
|
|
|
|
|
|
|
||||||||
Net income per limited partner unit: |
|
|
|
|
|
|
|
||||||||
Basic |
$ |
1.20 |
|
|
$ |
0.14 |
|
|
$ |
1.36 |
|
|
$ |
0.12 |
|
Diluted |
$ |
1.16 |
|
|
$ |
0.14 |
|
|
$ |
1.31 |
|
|
$ |
0.11 |
|
CRESTWOOD EQUITY PARTNERS LP |
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Selected Balance Sheet Data |
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(in millions) |
|||||
|
June 30,
|
|
December 31,
|
||
|
(unaudited) |
|
|
||
|
|
|
|
||
Cash |
$ |
7.7 |
|
$ |
7.5 |
|
|
|
|
||
Outstanding debt: |
|
|
|
||
Revolving Credit Facilities |
$ |
417.4 |
|
$ |
1,129.1 |
Senior Notes |
|
2,850.0 |
|
|
2,250.0 |
Other |
|
24.6 |
|
|
26.7 |
Subtotal |
|
3,292.0 |
|
|
3,405.8 |
Less: deferred financing costs, net |
|
32.9 |
|
|
27.5 |
Total debt |
$ |
3,259.1 |
|
$ |
3,378.3 |
|
|
|
|
||
Partners' capital |
|
|
|
||
Total partners' capital |
$ |
1,919.2 |
|
$ |
1,907.2 |
Common units outstanding |
|
105.2 |
|
|
104.6 |
CRESTWOOD EQUITY PARTNERS LP |
|||||||||||||||
Reconciliation of Non-GAAP Financial Measures |
|||||||||||||||
(in millions) |
|||||||||||||||
(unaudited) |
|||||||||||||||
|
Three Months Ended June 30, |
|
Six Months Ended June 30, |
||||||||||||
|
|
2023 |
|
|
|
2022 |
|
|
|
2023 |
|
|
|
2022 |
|
Net Income to Adjusted EBITDA |
|
|
|
|
|
|
|
||||||||
Net income |
$ |
151.9 |
|
|
$ |
39.4 |
|
|
$ |
193.5 |
|
|
$ |
61.6 |
|
Interest and debt expense, net |
|
55.4 |
|
|
|
40.1 |
|
|
|
111.0 |
|
|
|
76.2 |
|
Provision for income taxes |
|
0.6 |
|
|
|
0.3 |
|
|
|
0.9 |
|
|
|
0.3 |
|
Depreciation, amortization and accretion |
|
81.1 |
|
|
|
80.6 |
|
|
|
162.5 |
|
|
|
155.4 |
|
EBITDA (a) |
$ |
289.0 |
|
|
$ |
160.4 |
|
|
$ |
467.9 |
|
|
$ |
293.5 |
|
Significant items impacting EBITDA: |
|
|
|
|
|
|
|
||||||||
Unit-based compensation |
|
9.2 |
|
|
|
8.6 |
|
|
|
19.2 |
|
|
|
17.2 |
|
Loss on long-lived assets, net |
|
1.8 |
|
|
|
7.2 |
|
|
|
2.2 |
|
|
|
11.0 |
|
Earnings from unconsolidated affiliates, net |
|
(132.4 |
) |
|
|
(6.0 |
) |
|
|
(134.1 |
) |
|
|
(9.0 |
) |
Adjusted EBITDA from unconsolidated affiliates, net |
|
2.0 |
|
|
|
10.9 |
|
|
|
6.2 |
|
|
|
18.5 |
|
Change in fair value of commodity inventory-related derivative contracts |
|
3.0 |
|
|
|
(4.9 |
) |
|
|
(0.5 |
) |
|
|
0.8 |
|
Significant transaction and environmental related costs and other items |
|
3.3 |
|
|
|
3.5 |
|
|
|
7.6 |
|
|
|
20.5 |
|
Adjusted EBITDA (a) |
$ |
175.9 |
|
|
$ |
179.7 |
|
|
$ |
368.5 |
|
|
$ |
352.5 |
|
|
|
|
|
|
|
|
|
||||||||
Distributable Cash Flow (b) |
|
|
|
|
|
|
|
||||||||
Adjusted EBITDA (a) |
$ |
175.9 |
|
|
$ |
179.7 |
|
|
$ |
368.5 |
|
|
$ |
352.5 |
|
Cash interest expense (c) |
|
(55.1 |
) |
|
|
(40.4 |
) |
|
|
(111.1 |
) |
|
|
(76.0 |
) |
Maintenance capital expenditures (d) |
|
(8.4 |
) |
|
|
(7.4 |
) |
|
|
(15.3 |
) |
|
|
(8.8 |
) |
Adjusted EBITDA from unconsolidated affiliates, net |
|
(2.0 |
) |
|
|
(10.9 |
) |
|
|
(6.2 |
) |
|
|
(18.5 |
) |
Distributable cash flow from unconsolidated affiliates |
|
2.0 |
|
|
|
10.1 |
|
|
|
5.7 |
|
|
|
16.8 |
|
PRB cash received in excess of recognized revenues (e) |
|
— |
|
|
|
2.7 |
|
|
|
— |
|
|
|
9.8 |
|
Provision for income taxes |
|
(0.6 |
) |
|
|
(0.3 |
) |
|
|
(0.9 |
) |
|
|
(0.3 |
) |
Distributable cash flow attributable to CEQP |
|
111.8 |
|
|
|
133.5 |
|
|
|
240.7 |
|
|
|
275.5 |
|
Distributions to preferred |
|
(15.0 |
) |
|
|
(15.0 |
) |
|
|
(30.0 |
) |
|
|
(30.0 |
) |
Distributions to Niobrara preferred |
|
(10.4 |
) |
|
|
(10.4 |
) |
|
|
(20.7 |
) |
|
|
(20.7 |
) |
Distributable cash flow attributable to CEQP common |
$ |
86.4 |
|
|
$ |
108.1 |
|
|
$ |
190.0 |
|
|
$ |
224.8 |
|
(a) |
EBITDA is defined as income before debt-related costs (interest and debt expense), income taxes and depreciation, amortization and accretion expense. Adjusted EBITDA considers the adjusted earnings impact of our unconsolidated affiliates by adjusting our equity earnings or losses from our unconsolidated affiliates to reflect our proportionate share (based on the distribution percentage) of their EBITDA, excluding gains and losses on long-lived assets and other impairments. Adjusted EBITDA also considers the impact of certain significant items, such as unit-based compensation, gains or losses on long-lived assets, third party costs incurred related to potential and completed acquisitions, certain environmental remediation costs, the change in fair value of commodity inventory-related derivative contracts, costs associated with the realignment and restructuring of our operations and corporate structure, and other transactions identified in a specific reporting period. The change in fair value of commodity inventory-related derivative contracts is considered in determining Adjusted EBITDA given that the timing of recognizing gains and losses on these derivative contracts differs from the recognition of revenue for the related underlying sale of inventory to which these derivatives relate. Changes in the fair value of other derivative contracts is not considered in determining Adjusted EBITDA given the relatively short-term nature of those derivative contracts. EBITDA and Adjusted EBITDA are not measures calculated in accordance with |
(b) |
Beginning in 2023, distributable cash flow is defined as Adjusted EBITDA, adjusted for cash interest expense, maintenance capital expenditures, income taxes and our proportionate share (based on the distribution percentage) of our unconsolidated affiliates' distributable cash flow. In 2022, distributable cash flow also includes the cash received from our Powder River Basin operations in excess of revenue recognized. Distributable cash flow should not be considered an alternative to cash flows from operating activities or any other measure of financial performance calculated in accordance with |
(c) |
Interest and debt expense less amortization of deferred financing costs plus capitalized interest and amortization of debt premium. |
(d) |
Maintenance capital expenditures are defined as those capital expenditures which do not increase operating capacity or revenues from existing levels. |
(e) |
Cash received from customers of our Powder River Basin operations pursuant to certain contractual minimum revenue commitments in excess of related revenue recognized under FASB ASC 606 during the three and six months ended June 30, 2022. |
CRESTWOOD EQUITY PARTNERS LP |
|||||||||||||||
Reconciliation of Non-GAAP Financial Measures |
|||||||||||||||
(in millions) |
|||||||||||||||
(unaudited) |
|||||||||||||||
|
Three Months Ended June 30, |
|
Six Months Ended June 30, |
||||||||||||
|
2023 |
|
2022 |
|
2023 |
|
2022 |
||||||||
Operating Cash Flows to Adjusted EBITDA |
|
|
|
|
|
|
|
||||||||
Net cash provided by operating activities |
$ |
21.2 |
|
|
$ |
29.5 |
|
|
$ |
267.1 |
|
|
$ |
252.0 |
|
Net changes in operating assets and liabilities |
|
91.7 |
|
|
|
106.9 |
|
|
|
(21.4 |
) |
|
|
(6.0 |
) |
Amortization of debt-related deferred costs |
|
(0.8 |
) |
|
|
(0.4 |
) |
|
|
(1.6 |
) |
|
|
(1.2 |
) |
Interest and debt expense, net |
|
55.4 |
|
|
|
40.1 |
|
|
|
111.0 |
|
|
|
76.2 |
|
Unit-based compensation |
|
(9.2 |
) |
|
|
(8.6 |
) |
|
|
(19.2 |
) |
|
|
(17.2 |
) |
Loss on long-lived assets, net |
|
(1.8 |
) |
|
|
(7.2 |
) |
|
|
(2.2 |
) |
|
|
(11.0 |
) |
Earnings from unconsolidated affiliates, net, adjusted for cash distributions received |
|
131.8 |
|
|
|
(0.2 |
) |
|
|
133.2 |
|
|
|
0.2 |
|
Deferred income taxes |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
0.1 |
|
Provision for income taxes |
|
0.6 |
|
|
|
0.3 |
|
|
|
0.9 |
|
|
|
0.3 |
|
Other non-cash income |
|
0.1 |
|
|
|
— |
|
|
|
0.1 |
|
|
|
0.1 |
|
EBITDA (a) |
$ |
289.0 |
|
|
$ |
160.4 |
|
|
$ |
467.9 |
|
|
$ |
293.5 |
|
Unit-based compensation |
|
9.2 |
|
|
|
8.6 |
|
|
|
19.2 |
|
|
|
17.2 |
|
Loss on long-lived assets, net |
|
1.8 |
|
|
|
7.2 |
|
|
|
2.2 |
|
|
|
11.0 |
|
Earnings from unconsolidated affiliates, net |
|
(132.4 |
) |
|
|
(6.0 |
) |
|
|
(134.1 |
) |
|
|
(9.0 |
) |
Adjusted EBITDA from unconsolidated affiliates, net |
|
2.0 |
|
|
|
10.9 |
|
|
|
6.2 |
|
|
|
18.5 |
|
Change in fair value of commodity inventory-related derivative contracts |
|
3.0 |
|
|
|
(4.9 |
) |
|
|
(0.5 |
) |
|
|
0.8 |
|
Significant transaction and environmental related costs and other items |
|
3.3 |
|
|
|
3.5 |
|
|
|
7.6 |
|
|
|
20.5 |
|
Adjusted EBITDA (a) |
$ |
175.9 |
|
|
$ |
179.7 |
|
|
$ |
368.5 |
|
|
$ |
352.5 |
|
|
|
|
|
|
|
|
|
||||||||
Distributable Cash Flow (b) |
|
|
|
|
|
|
|
||||||||
Adjusted EBITDA (a) |
$ |
175.9 |
|
|
$ |
179.7 |
|
|
$ |
368.5 |
|
|
$ |
352.5 |
|
Cash interest expense (c) |
|
(55.1 |
) |
|
|
(40.4 |
) |
|
|
(111.1 |
) |
|
|
(76.0 |
) |
Maintenance capital expenditures (d) |
|
(8.4 |
) |
|
|
(7.4 |
) |
|
|
(15.3 |
) |
|
|
(8.8 |
) |
Adjusted EBITDA from unconsolidated affiliates, net |
|
(2.0 |
) |
|
|
(10.9 |
) |
|
|
(6.2 |
) |
|
|
(18.5 |
) |
Distributable cash flow from unconsolidated affiliates |
|
2.0 |
|
|
|
10.1 |
|
|
|
5.7 |
|
|
|
16.8 |
|
PRB cash received in excess of recognized revenues (e) |
|
— |
|
|
|
2.7 |
|
|
|
— |
|
|
|
9.8 |
|
Provision for income taxes |
|
(0.6 |
) |
|
|
(0.3 |
) |
|
|
(0.9 |
) |
|
|
(0.3 |
) |
Distributable cash flow attributable to CEQP |
|
111.8 |
|
|
|
133.5 |
|
|
|
240.7 |
|
|
|
275.5 |
|
Distributions to preferred |
|
(15.0 |
) |
|
|
(15.0 |
) |
|
|
(30.0 |
) |
|
|
(30.0 |
) |
Distributions to Niobrara preferred |
|
(10.4 |
) |
|
|
(10.4 |
) |
|
|
(20.7 |
) |
|
|
(20.7 |
) |
Distributable cash flow attributable to CEQP common |
$ |
86.4 |
|
|
$ |
108.1 |
|
|
$ |
190.0 |
|
|
$ |
224.8 |
|
|
|
|
|
|
|
|
|
||||||||
Free Cash Flow After Distributions (f) |
|
|
|
|
|
|
|
||||||||
Distributable cash flow attributable to CEQP common |
$ |
86.4 |
|
|
$ |
108.1 |
|
|
$ |
190.0 |
|
|
$ |
224.8 |
|
Less: Growth capital expenditures (g) |
|
35.8 |
|
|
|
42.6 |
|
|
|
93.7 |
|
|
|
66.8 |
|
Less: Distributions to common unitholders |
|
68.9 |
|
|
|
64.2 |
|
|
|
137.9 |
|
|
|
128.4 |
|
Free cash flow after distributions |
$ |
(18.3 |
) |
|
$ |
1.3 |
|
|
$ |
(41.6 |
) |
|
$ |
29.6 |
|
(a) |
EBITDA is defined as income before debt-related costs (interest and debt expense), income taxes and depreciation, amortization and accretion expense. Adjusted EBITDA considers the adjusted earnings impact of our unconsolidated affiliates by adjusting our equity earnings or losses from our unconsolidated affiliates to reflect our proportionate share (based on the distribution percentage) of their EBITDA, excluding gains and losses on long-lived assets and other impairments. Adjusted EBITDA also considers the impact of certain significant items, such as unit-based compensation, gains or losses on long-lived assets, third party costs incurred related to potential and completed acquisitions, certain environmental remediation costs, the change in fair value of commodity inventory-related derivative contracts, costs associated with the realignment and restructuring of our operations and corporate structure, and other transactions identified in a specific reporting period. The change in fair value of commodity i nventory-related derivative contracts is considered in determining Adjusted EBITDA given that the timing of recognizing gains and losses on these derivative contracts differs from the recognition of revenue for the related underlying sale of inventory to which these derivatives relate. Changes in the fair value of other derivative contracts is not considered in determining Adjusted EBITDA given the relatively short-term nature of those derivative contracts. EBITDA and Adjusted EBITDA are not measures calculated in accordance with |
|
(b) |
Beginning in 2023, distributable cash flow is defined as Adjusted EBITDA, adjusted for cash interest expense, maintenance capital expenditures, income taxes and our proportionate share (based on the distribution percentage) of our unconsolidated affiliates' distributable cash flow. In 2022, distributable cash flow also includes the cash received from our Powder River Basin operations in excess of revenue recognized. Distributable cash flow should not be considered an alternative to cash flows from operating activities or any other measure of financial performance calculated in accordance with |
|
(c) |
Interest and debt expense less amortization of deferred financing costs plus capitalized interest and amortization of debt premium. |
|
(d) |
Maintenance capital expenditures are defined as those capital expenditures which do not increase operating capacity or revenues from existing levels. |
|
(e) |
Cash received from customers of our Powder River Basin operations pursuant to certain contractual minimum revenue commitments in excess of related revenue recognized under FASB ASC 606 during the three and six months ended June 30, 2022. |
|
(f) |
Free cash flow after distributions is defined as distributable cash flow attributable to common unitholders less growth capital expenditures and distributions to common unitholders. Free cash flow after distributions should not be considered an alternative to cash flows from operating activities or any other measure of liquidity calculated in accordance with |
|
(g) |
Includes |
CRESTWOOD EQUITY PARTNERS LP |
|||||||||||||||
Segment Data |
|||||||||||||||
(in millions) |
|||||||||||||||
(unaudited) |
|||||||||||||||
|
Three Months Ended June 30, |
|
Six Months Ended June 30, |
||||||||||||
|
2023 |
|
2022 |
|
2023 |
|
2022 |
||||||||
Gathering and Processing North |
|
|
|
|
|
|
|
||||||||
Revenues |
$ |
300.0 |
|
|
$ |
431.0 |
|
|
$ |
614.4 |
|
|
$ |
793.6 |
|
Costs of product/services sold |
|
136.9 |
|
|
|
250.8 |
|
|
|
289.3 |
|
|
|
456.4 |
|
Operations and maintenance expenses |
|
26.4 |
|
|
|
27.5 |
|
|
|
55.7 |
|
|
|
51.2 |
|
Gain on long-lived assets, net |
|
— |
|
|
|
— |
|
|
|
0.1 |
|
|
|
— |
|
EBITDA |
$ |
136.7 |
|
|
$ |
152.7 |
|
|
$ |
269.5 |
|
|
$ |
286.0 |
|
|
|
|
|
|
|
|
|
||||||||
Gathering and Processing South |
|
|
|
|
|
|
|
||||||||
Revenues |
$ |
151.9 |
|
|
$ |
35.3 |
|
|
$ |
317.0 |
|
|
$ |
66.0 |
|
Costs of product/services sold |
|
100.2 |
|
|
|
0.6 |
|
|
|
208.7 |
|
|
|
— |
|
Operations and maintenance expenses |
|
15.2 |
|
|
|
7.6 |
|
|
|
30.3 |
|
|
|
14.3 |
|
Loss on long-lived assets, net |
|
(1.9 |
) |
|
|
(7.1 |
) |
|
|
(2.7 |
) |
|
|
(6.9 |
) |
Earnings from unconsolidated affiliates, net |
|
0.6 |
|
|
|
4.8 |
|
|
|
0.9 |
|
|
|
7.4 |
|
EBITDA |
$ |
35.2 |
|
|
$ |
24.8 |
|
|
$ |
76.2 |
|
|
$ |
52.2 |
|
|
|
|
|
|
|
|
|
||||||||
Storage and Logistics |
|
|
|
|
|
|
|
||||||||
Revenues |
$ |
569.3 |
|
|
$ |
981.7 |
|
|
$ |
1,352.9 |
|
|
$ |
2,172.2 |
|
Costs of product/services sold |
|
547.5 |
|
|
|
961.8 |
|
|
|
1,284.0 |
|
|
|
2,121.2 |
|
Operations and maintenance expenses |
|
11.6 |
|
|
|
11.5 |
|
|
|
23.8 |
|
|
|
23.5 |
|
Loss on long-lived assets, net |
|
— |
|
|
|
(0.1 |
) |
|
|
— |
|
|
|
(4.1 |
) |
Earnings from unconsolidated affiliates, net |
|
131.8 |
|
|
|
1.2 |
|
|
|
133.2 |
|
|
|
1.6 |
|
EBITDA |
$ |
142.0 |
|
|
$ |
9.5 |
|
|
$ |
178.3 |
|
|
$ |
25.0 |
|
|
|
|
|
|
|
|
|
||||||||
Total Segment EBITDA |
$ |
313.9 |
|
|
$ |
187.0 |
|
|
$ |
524.0 |
|
|
$ |
363.2 |
|
Corporate |
|
(24.9 |
) |
|
|
(26.6 |
) |
|
|
(56.1 |
) |
|
|
(69.7 |
) |
EBITDA |
$ |
289.0 |
|
|
$ |
160.4 |
|
|
$ |
467.9 |
|
|
$ |
293.5 |
|
CRESTWOOD EQUITY PARTNERS LP |
|||||||
Operating Statistics |
|||||||
(unaudited) |
|||||||
|
Three Months Ended
|
|
Six Months Ended June 30, |
||||
|
2023 |
|
2022 |
|
2023 |
|
2022 |
Gathering and Processing North |
|
|
|
|
|
|
|
Gas gathering volumes (MMcf/d) |
|
|
|
|
|
|
|
Williston Basin |
231.3 |
|
240.8 |
|
230.9 |
|
244.2 |
Powder River Basin |
99.3 |
|
107.8 |
|
97.6 |
|
103.0 |
Total gas gathering volumes |
330.6 |
|
348.6 |
|
328.5 |
|
347.2 |
Processing volumes (MMcf/d) |
|
|
|
|
|
|
|
Williston Basin |
252.4 |
|
267.6 |
|
254.5 |
|
273.9 |
Powder River Basin |
96.3 |
|
104.8 |
|
94.8 |
|
99.5 |
Total processing volumes |
348.7 |
|
372.4 |
|
349.3 |
|
373.4 |
Williston Basin |
|
|
|
|
|
|
|
Water gathering volumes (MBbls/d) |
194.9 |
|
164.6 |
|
183.1 |
|
169.0 |
Crude oil gathering volumes (MBbls/d) |
86.3 |
|
76.2 |
|
83.4 |
|
78.0 |
|
|
|
|
|
|
|
|
Gathering and Processing South |
|
|
|
|
|
|
|
Gas gathering volumes (MMcf/d) |
|
|
|
|
|
|
|
|
535.0 |
|
269.9 |
|
514.9 |
|
252.2 |
Marcellus (b) |
— |
|
209.5 |
|
— |
|
212.1 |
Barnett (b) |
— |
|
211.6 |
|
— |
|
212.9 |
Total gas gathering volumes |
535.0 |
|
691.0 |
|
514.9 |
|
677.2 |
Processing volumes (MMcf/d) |
|
|
|
|
|
|
|
|
443.8 |
|
150.5 |
|
423.3 |
|
133.8 |
Barnett (b) |
— |
|
69.7 |
|
— |
|
70.4 |
Total processing volumes |
443.8 |
|
220.2 |
|
423.3 |
|
204.2 |
|
|
|
|
|
|
|
|
Water gathering volumes (MBbls/d) |
132.6 |
|
142.7 |
|
135.7 |
|
122.6 |
Crude oil gathering volumes (MBbls/d) |
28.4 |
|
23.6 |
|
25.4 |
|
21.9 |
|
|
|
|
|
|
|
|
Storage and Logistics |
|
|
|
|
|
|
|
Gulf Coast Storage - firm contracted capacity (Bcf) (a)(c) |
— |
|
28.9 |
|
29.2 |
|
28.9 |
% of operational capacity contracted |
|
|
|
|
|
|
|
Firm storage services (MMcf/d) (a) |
— |
|
244.0 |
|
263.3 |
|
319.0 |
Interruptible services (MMcf/d) (a) |
— |
|
161.3 |
|
250.7 |
|
158.3 |
COLT Hub |
|
|
|
|
|
|
|
Rail loading (MBbls/d) |
18.6 |
|
10.2 |
|
16.7 |
|
14.1 |
Outbound pipeline (MBbls/d) (d) |
29.5 |
|
26.7 |
|
26.3 |
|
26.1 |
NGL Operations |
|
|
|
|
|
|
|
NGL volumes sold or processed (MBbls/d) |
100.4 |
|
116.0 |
|
121.3 |
|
137.9 |
NGL volumes trucked (MBbls/d) |
17.4 |
|
18.2 |
|
19.7 |
|
20.6 |
(a) |
Includes operational data for our |
|
(b) |
The Barnett assets and the Marcellus assets were sold in July 2022 and October 2022, respectively. |
|
(c) |
In April 2023, we sold our equity interest in Tres Palacios Gas Storage LLC. |
|
(d) |
Represents only throughput leaving the terminal. |
View source version on businesswire.com: https://www.businesswire.com/news/home/20230731523120/en/
Crestwood Equity Partners LP
Investor Contact
Andrew Thorington, 713-380-3028
andrew.thorington@crestwoodlp.com
Vice President, Finance & Investor Relations
Sustainability and Media Contact
Joanne Howard, 832-519-2211
joanne.howard@crestwoodlp.com
Senior Vice President, Sustainability and Corporate Communications
Source: Crestwood Equity Partners LP