Hess Midstream LP Reports Estimated Results for the Fourth Quarter Of 2020
Hess Midstream LP (NYSE: HESM) reported a strong fourth quarter 2020 with net income of $132.3 million, up from $75.1 million in Q4 2019. Net income attributable to Hess Midstream was $6.6 million ($0.36 per Class A share). The company generated Adjusted EBITDA of $199.1 million and Distributable Cash Flow of $176.8 million, with an impressive distribution coverage ratio of approximately 1.4x. Revenues increased to $266.5 million, while total expenses decreased to $111.8 million, largely due to lower administrative costs. An increase in capital flexibility and business expansion is expected in 2021.
- Net income rose to $132.3 million in Q4 2020 from $75.1 million in Q4 2019.
- Adjusted EBITDA increased to $199.1 million.
- Distributable Cash Flow reached $176.8 million, with a distribution coverage ratio of approximately 1.4x.
- Capital expenditures decreased to $50.8 million from $108.2 million in the prior-year quarter, allowing for increased capital allocation flexibility.
- Water gathering volumes increased 62% year-over-year.
- Crude oil gathering volumes decreased by 2% and crude oil terminaling by 11% compared to Q4 2019 due to a natural decline in production.
- Total revenues of $266.5 million included only $6.8 million from minimum volume commitments, down from $42.6 million in the prior-year quarter.
Hess Midstream LP (NYSE: HESM) (“Hess Midstream”) today reported fourth quarter 2020 net income of
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1 Adjusted EBITDA, Distributable Cash Flow and Adjusted Free Cash Flow are non‑GAAP measures. Adjusted Free Cash Flow as reported in this release reflects Hess Midstream’s new definition of Adjusted Free Cash Flow, which is Distributable Cash Flow less expansion capital expenditures and ongoing contributions to equity investments, which is calculated in a manner consistent with similar measures used by other publicly traded midstream energy companies. Prior period calculations of Adjusted Free Cash Flow have been recast to conform to the new presentation, as applicable. Definitions and reconciliations of these non‑GAAP measures to GAAP reporting measures appear in the following pages of this release. |
Commenting on the fourth quarter 2020 results, John Gatling, President and Chief Operating Officer of Hess Midstream said, “We executed especially well in 2020, considering the many macro-challenges of the year. 2021 is another inflection point, with Hess Midstream expecting significant adjusted free cash flow and increasing capital allocation flexibility. We plan to continue to enhance our gas capture capability, building out field compression and completing tie in of the Tioga Gas Plant expansion. We remain well-positioned with both pipeline and rail infrastructure to provide our customers with capacity and optionality for crude oil export from the Bakken.”
Hess Midstream’s results contained in this release include historical results of HIP for all periods prior to the closing of the Partnership’s acquisition of HIP, incentive distribution rights simplification and conversion from a master limited partnership into an “Up-C” structure on December 16, 2019 (collectively, the “Transaction”), which was accounted for as a business combination of entities under common control. We refer to certain results as “attributable to Hess Midstream LP,” which exclude (i) noncontrolling interests in the Partnership retained by affiliates of Hess Corporation (“Hess”) and Global Infrastructure Partners, (ii) noncontrolling interests in the historical operating subsidiaries of the Partnership, and (iii) historical activity of HIP prior to its acquisition by the Partnership, which is included in “net parent investment.”
Ongoing Response to COVID-19
The safety of our workforce and the communities where we operate continues to be our top priority. A cross-functional response team remains in place to coordinate our COVID-19 response from a health and safety perspective and to ensure that the detailed prevention protocols in place at all Hess Midstream assets are based on the most current recommendations by government and public health agencies.
Financial Results
Revenues and other income in the fourth quarter of 2020 were
Net income for the fourth quarter of 2020 was
Adjusted EBITDA for the fourth quarter of 2020 was
Operational Highlights
Throughput volumes increased
Capital Expenditures
Capital expenditures for the fourth quarter of 2020 totaled
Quarterly Cash Distributions
On January 25, 2021, our general partner’s board of directors declared a cash distribution of
Annual Nomination Process
During the fourth quarter, Hess Midstream completed the annual nomination process set forth in our long-term commercial contracts with Hess. As part of the process, tariff rates were updated and MVCs were reviewed and updated. MVCs are set annually at
In addition, on December 30, 2020, Hess Midstream exercised its renewal options to extend for additional 10-year terms, through December 31, 2033, certain crude oil gathering, terminaling, storage, gas processing and gas gathering commercial agreements with Hess. There were no changes to any provisions of the existing commercial agreements as a result of the exercise of the renewal options.
Investor Webcast
Hess Midstream will review fourth quarter financial and operating results and other matters on a webcast today at 12:00 p.m. Eastern Time. The live audio webcast is accessible on the Investor page of our website www.hessmidstream.com. Conference call numbers for participation are 866-395-9624, or 213-660-0871 for international callers. The passcode number is 7380097. A replay of the conference call will be available at the same location following the event.
About Hess Midstream
Hess Midstream LP is a fee‑based, growth-oriented midstream company that operates, develops and acquires a diverse set of midstream assets to provide services to Hess and third‑party customers. Hess Midstream owns oil, gas and produced water handling assets that are primarily located in the Bakken and Three Forks Shale plays in the Williston Basin area of North Dakota. More information is available at www.hessmidstream.com.
Reconciliation of U.S. GAAP to Non‑GAAP Measures
In addition to our financial information presented in accordance with U.S. generally accepted accounting principles (“GAAP”), management utilizes certain additional non‑GAAP measures to facilitate comparisons of past performance and future periods. “Adjusted EBITDA” presented in this release is defined as reported net income (loss) before net interest expense, income tax expense, depreciation and amortization and our proportional share of depreciation of our equity affiliates, as further adjusted to eliminate the impact of certain items that we do not consider indicative of our ongoing operating performance, such as transaction costs, other income and other non-cash, non-recurring items, if applicable. “Distributable Cash Flow” or “DCF” is defined as Adjusted EBITDA less net interest, excluding amortization of deferred financing costs, cash paid for federal and state income taxes and maintenance capital expenditures. DCF does not reflect changes in working capital balances. We previously reported the non-GAAP measure of “free cash flow”, which we defined as Adjusted EBITDA less capital expenditures. As this definition varied from other definitions of free cash flow, we determined it was appropriate to discontinue reporting free cash flow as previously defined and to report Adjusted Free Cash Flow beginning with the fourth quarter of 2020. We define “Adjusted Free Cash Flow” as DCF less expansion capital expenditures and ongoing contributions to equity investments. We believe that investors’ understanding of our performance is enhanced by disclosing these measures as they may assist in assessing our operating performance as compared to other publicly traded companies in the midstream energy industry, without regard to historical cost basis or, in the case of Adjusted EBITDA, financing methods, and assessing the ability of our assets to generate sufficient cash flow to make distributions to our shareholders. These measures are not, and should not be viewed as, a substitute for GAAP net income or cash flow from operating activities and should not be considered in isolation. Reconciliations of Adjusted EBITDA, DCF and Adjusted Free Cash Flow to reported net income (GAAP) and net cash provided by operating activities (GAAP), are provided below. Hess Midstream is unable to project net cash provided by operating activities with a reasonable degree of accuracy because this metric includes the impact of changes in operating assets and liabilities related to the timing of cash receipts and disbursements that may not relate to the period in which the operating activities occur. Therefore, Hess Midstream is unable to provide projected net cash provided by operating activities, or the related reconciliation of projected Adjusted Free Cash Flow to projected net cash provided by operating activities without unreasonable effort.
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Fourth Quarter |
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(unaudited) |
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2020 |
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2019 |
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|
|
|
|
|
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(in millions, except ratio and per-share data) |
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|
|
|
|
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|
Reconciliation of Adjusted EBITDA and Distributable Cash Flow to net income: |
|
|
|
|
|
|
|
|
Net income |
|
$ |
132.3 |
|
|
$ |
75.1 |
|
Plus: |
|
|
|
|
|
|
|
|
Depreciation expense |
|
|
40.0 |
|
|
|
37.5 |
|
Proportional share of equity affiliates' depreciation |
|
|
1.3 |
|
|
|
1.5 |
|
Interest expense, net |
|
|
23.4 |
|
|
|
18.2 |
|
Income tax expense (benefit) |
|
|
2.1 |
|
|
|
(0.1 |
) |
Transaction costs |
|
|
- |
|
|
|
26.2 |
|
Adjusted EBITDA |
|
|
199.1 |
|
|
|
158.4 |
|
Less: |
|
|
|
|
|
|
|
|
Interest, net |
|
|
21.7 |
|
|
|
16.6 |
|
Maintenance capital expenditures |
|
|
0.6 |
|
|
|
1.7 |
|
Distributable cash flow |
|
$ |
176.8 |
|
|
$ |
140.1 |
|
|
|
|
|
|
|
|
|
|
Reconciliation of Adjusted EBITDA, Distributable Cash Flow and Adjusted Free Cash Flow to net cash provided by operating activities: |
|
|
|
|
|
|
|
|
Net cash provided by operating activities |
|
$ |
174.5 |
|
|
$ |
136.3 |
|
Changes in assets and liabilities |
|
|
1.4 |
|
|
|
(25.2 |
) |
Amortization of deferred financing costs |
|
|
(1.4 |
) |
|
|
(1.3 |
) |
Proportional share of equity affiliates' depreciation |
|
|
1.3 |
|
|
|
1.5 |
|
Interest expense, net |
|
|
23.4 |
|
|
|
18.2 |
|
Earnings from equity investments |
|
|
3.1 |
|
|
|
2.9 |
|
Distribution from equity investments |
|
|
(2.9 |
) |
|
|
- |
|
Transaction costs |
|
|
- |
|
|
|
26.2 |
|
Other |
|
|
(0.3 |
) |
|
|
(0.2 |
) |
Adjusted EBITDA |
|
$ |
199.1 |
|
|
$ |
158.4 |
|
Less: |
|
|
|
|
|
|
|
|
Interest, net |
|
|
21.7 |
|
|
|
16.6 |
|
Maintenance capital expenditures |
|
|
0.6 |
|
|
|
1.7 |
|
Distributable cash flow |
|
$ |
176.8 |
|
|
$ |
140.1 |
|
Less: |
|
|
|
|
|
|
|
|
Expansion capital expenditures |
|
|
50.2 |
|
|
|
106.5 |
|
Adjusted free cash flow* |
|
$ |
126.6 |
|
|
$ |
33.6 |
|
Distributed cash flow |
|
|
127.2 |
|
|
|
121.1 |
|
Distribution coverage ratio |
|
|
1.4 |
x |
|
|
1.2 |
x |
Distribution per Class A share/limited partner unit |
|
$ |
0.4471 |
|
|
$ |
0.4258 |
|
* Adjusted Free Cash Flow as reported in this release reflects Hess Midstream’s new definition of Adjusted Free Cash Flow, which is DCF less expansion capital expenditures and ongoing contributions to equity investments, which conforms to definitions used by other publicly traded midstream energy companies. Prior period calculations of Adjusted Free Cash Flow have been recast to conform to the new presentation, as applicable. |
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Guidance |
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Year Ending |
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December 31, 2021 |
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(Unaudited) |
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(in millions) |
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Reconciliation of Adjusted EBITDA, Distributable Cash Flow and Adjusted Free Cash Flow to net income: |
|
|
|
Net income |
$ |
590 – 620 |
|
Plus: |
|
|
|
Depreciation expense* |
|
160 |
|
Interest expense, net |
|
100 |
|
Income tax expense |
|
10 |
|
Adjusted EBITDA |
$ |
860 – 890 |
|
Less: |
|
|
|
Interest, net, and maintenance capital expenditures |
|
110 |
|
Distributable cash flow |
$ |
750 – 780 |
|
Less: |
|
|
|
Expansion capital expenditures |
|
140 |
|
Adjusted free cash flow |
$ |
610 – 640 |
|
*Includes proportional share of equity affiliates' depreciation |
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Cautionary Note Regarding Forward-looking Information
This press release contains “forward-looking statements” within the meaning of U.S. federal securities laws. Words such as “anticipate,” “estimate,” “expect,” “forecast,” “guidance,” “could,” “may,” “should,” “would,” “believe,” “intend,” “project,” “plan,” “predict,” “will,” “target” and similar expressions identify forward-looking statements, which are not historical in nature. Our forward-looking statements may include, without limitation: our future financial and operational results; our business strategy; our industry; our expected revenues; our future profitability; our maintenance or expansion projects; our projected budget and capital expenditures and the impact of such expenditures on our performance; and future economic and market conditions in the oil and gas industry.
Forward-looking statements are based on our current understanding, assessments, estimates and projections of relevant factors and reasonable assumptions about the future. Forward-looking statements are subject to certain known and unknown risks and uncertainties that could cause actual results to differ materially from our historical experience and our current projections or expectations of future results expressed or implied by these forward-looking statements. The following important factors could cause actual results to differ materially from those in our forward-looking statements: the direct and indirect effects of the COVID-19 global pandemic and other public health developments on our business and those of our business partners, suppliers and customers, including Hess; the ability of Hess and other parties to satisfy their obligations to us, including Hess’ ability to meet its drilling and development plans on a timely basis or at all and the operation of joint ventures that we may not control; our ability to generate sufficient cash flow to pay current and expected levels of distributions; reductions in the volumes of crude oil, natural gas, natural gas liquids (“NGLs”) and produced water we gather, process, terminal or store; fluctuations in the prices and demand for crude oil, natural gas and NGLs, including as a result of the COVID-19 global pandemic; changes in global economic conditions and the effects of a global economic downturn on our business and the business of our suppliers, customers, business partners and lenders; our ability to comply with government regulations or make capital expenditures required to maintain compliance, including our ability to obtain or maintain permits necessary for capital projects in a timely manner, if at all, or the revocation or modification of existing permits; our ability to successfully identify, evaluate and timely execute our capital projects, investment opportunities and growth strategies, whether through organic growth or acquisitions; costs or liabilities associated with federal, state and local laws, regulations and governmental actions applicable to our business, including legislation and regulatory initiatives relating to environmental protection and safety, such as spills, releases, pipeline integrity and measures to limit greenhouse gas emissions; our ability to comply with the terms of our credit facility, indebtedness and other financing arrangements, which, if accelerated, we may not be able to repay; reduced demand for our midstream services, including the impact of weather or the availability of the competing third-party midstream gathering, processing and transportation operations; potential disruption or interruption of our business due to catastrophic events, such as accidents, severe weather events, labor disputes, information technology failures, constraints or disruptions and cyber-attacks; any limitations on our ability to access debt or capital markets on terms that we deem acceptable, including as a result of weakness in the oil and gas industry or negative outcomes within commodity and financial markets; liability resulting from litigation; and other factors described in Item 1A—Risk Factors in our Annual Report on Form 10-K and any additional risks described in our other filings with the Securities and Exchange Commission.
As and when made, we believe that our forward-looking statements are reasonable. However, given these risks and uncertainties, caution should be taken not to place undue reliance on any such forward-looking statements since such statements speak only as of the date when made and there can be no assurance that such forward-looking statements will occur and actual results may differ materially from those contained in any forward-looking statement we make. Except as required by law, we undertake no obligation to publicly update or revise any forward-looking statements, whether because of new information, future events or otherwise.
HESS MIDSTREAM LP |
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SUPPLEMENTAL FINANCIAL DATA (UNAUDITED) |
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(IN MILLIONS) |
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Fourth |
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Fourth |
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Third |
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Quarter |
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Quarter |
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Quarter |
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2020 |
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2019 |
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2020 |
|
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Statement of operations |
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|
|
|
|
Revenues |
|
|
|
|
|
|
|
|
|
|
|
|
Affiliate services |
|
$ |
266.5 |
|
|
$ |
253.1 |
|
|
$ |
264.7 |
|
Other income |
|
|
- |
|
|
|
0.4 |
|
|
|
0.1 |
|
Total revenues |
|
|
266.5 |
|
|
|
253.5 |
|
|
|
264.8 |
|
Costs and expenses |
|
|
|
|
|
|
|
|
|
|
|
|
Operating and maintenance expenses (exclusive of depreciation shown separately below) |
|
|
66.6 |
|
|
|
92.7 |
|
|
|
83.9 |
|
Depreciation expense |
|
|
40.0 |
|
|
|
37.5 |
|
|
|
39.5 |
|
General and administrative expenses |
|
|
5.2 |
|
|
|
33.0 |
|
|
|
4.2 |
|
Total costs and expenses |
|
|
111.8 |
|
|
|
163.2 |
|
|
|
127.6 |
|
Income from operations |
|
|
154.7 |
|
|
|
90.3 |
|
|
|
137.2 |
|
Income from equity investments |
|
|
3.1 |
|
|
|
2.9 |
|
|
|
3.6 |
|
Interest expense, net |
|
|
23.4 |
|
|
|
18.2 |
|
|
|
23.2 |
|
Income before income tax expense (benefit) |
|
|
134.4 |
|
|
|
75.0 |
|
|
|
117.6 |
|
Income tax expense (benefit) |
|
|
2.1 |
|
|
|
(0.1 |
) |
|
|
1.8 |
|
Net income |
|
$ |
132.3 |
|
|
$ |
75.1 |
|
|
$ |
115.8 |
|
Less: Net income (loss) attributable to net parent investment |
|
|
- |
|
|
|
(11.0 |
) |
|
|
- |
|
Less: Net income attributable to noncontrolling interest |
|
|
125.7 |
|
|
|
70.0 |
|
|
|
110.2 |
|
Net income attributable to Hess Midstream LP |
|
|
6.6 |
|
|
|
16.1 |
|
|
|
5.6 |
|
Less: General partner's interest in net income |
|
|
- |
|
|
|
0.3 |
|
|
|
- |
|
Limited partners' interest in net income |
|
$ |
6.6 |
|
|
$ |
15.8 |
|
|
$ |
5.6 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income attributable to Hess Midstream LP per Class A share/limited partner unit: |
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
$ |
0.36 |
|
|
$ |
0.28 |
|
|
$ |
0.31 |
|
Diluted |
|
$ |
0.36 |
|
|
$ |
0.28 |
|
|
$ |
0.31 |
|
Weighted average Class A shares outstanding subsequent to December 16, 2019: |
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
|
18.0 |
|
|
|
18.0 |
|
|
|
18.0 |
|
Diluted |
|
|
18.2 |
|
|
|
18.0 |
|
|
|
18.1 |
|
Weighted average limited partner units outstanding prior to December 16, 2019 |
|
|
|
|
|
|
|
|
|
|
|
|
Basic: |
|
|
|
|
|
|
|
|
|
|
|
|
Common |
|
|
|
|
|
|
27.3 |
|
|
|
|
|
Subordinated |
|
|
|
|
|
|
27.3 |
|
|
|
|
|
Diluted: |
|
|
|
|
|
|
|
|
|
|
|
|
Common |
|
|
|
|
|
|
27.5 |
|
|
|
|
|
Subordinated |
|
|
|
|
|
|
27.3 |
|
|
|
|
|
HESS MIDSTREAM LP |
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SUPPLEMENTAL FINANCIAL DATA (UNAUDITED) |
||||||||
(IN MILLIONS) |
||||||||
|
|
Year Ended December 31, |
|
|||||
|
|
2020 |
|
|
2019 |
|
||
Statement of operations |
|
|
|
|
|
|
|
|
Revenues |
|
|
|
|
|
|
|
|
Affiliate services |
|
$ |
1,091.6 |
|
|
$ |
847.6 |
|
Other income |
|
|
0.3 |
|
|
|
0.7 |
|
Total revenues |
|
|
1,091.9 |
|
|
|
848.3 |
|
Costs and expenses |
|
|
|
|
|
|
|
|
Operating and maintenance expenses (exclusive of depreciation shown separately below) |
|
|
337.4 |
|
|
|
276.8 |
|
Depreciation expense |
|
|
156.9 |
|
|
|
142.5 |
|
General and administrative expenses |
|
|
21.1 |
|
|
|
52.4 |
|
Total costs and expenses |
|
|
515.4 |
|
|
|
471.7 |
|
Income from operations |
|
|
576.5 |
|
|
|
376.6 |
|
Income from equity investments |
|
|
10.3 |
|
|
|
3.4 |
|
Interest expense, net |
|
|
94.7 |
|
|
|
62.4 |
|
Gain on sale of property, plant and equipment |
|
|
0.1 |
|
|
|
- |
|
Income before income tax expense (benefit) |
|
|
492.2 |
|
|
|
317.6 |
|
Income tax expense (benefit) |
|
|
7.3 |
|
|
|
(0.1 |
) |
Net income |
|
$ |
484.9 |
|
|
$ |
317.7 |
|
Less: Net income (loss) attributable to net parent investment |
|
|
- |
|
|
|
(55.0 |
) |
Less: Net income attributable to noncontrolling interest |
|
|
460.9 |
|
|
|
302.6 |
|
Net income attributable to Hess Midstream LP |
|
|
24.0 |
|
|
|
70.1 |
|
Less: General partner's interest in net income |
|
|
- |
|
|
|
3.4 |
|
Limited partners' interest in net income |
|
$ |
24.0 |
|
|
$ |
66.7 |
|
|
|
|
|
|
|
|
|
|
Net income attributable to Hess Midstream LP per Class A share/limited partner unit: |
|
|
|
|
|
|
|
|
Basic: |
|
$ |
1.33 |
|
|
$ |
1.21 |
|
Diluted: |
|
$ |
1.31 |
|
|
$ |
1.20 |
|
Weighted average Class A shares outstanding subsequent to December 16, 2019 |
|
|
|
|
|
|
|
|
Basic |
|
|
18.0 |
|
|
|
18.0 |
|
Diluted |
|
|
18.1 |
|
|
|
18.0 |
|
Weighted average limited partner units outstanding prior to December 16, 2019 |
|
|
|
|
|
|
|
|
Basic: |
|
|
|
|
|
|
|
|
Common |
|
|
|
|
|
|
27.3 |
|
Subordinated |
|
|
|
|
|
|
27.3 |
|
Diluted: |
|
|
|
|
|
|
|
|
Common |
|
|
|
|
|
|
27.5 |
|
Subordinated |
|
|
|
|
|
|
27.3 |
|
HESS MIDSTREAM LP |
||||||||||||||||||||
SUPPLEMENTAL FINANCIAL DATA (UNAUDITED) |
||||||||||||||||||||
(IN MILLIONS) |
||||||||||||||||||||
|
|
Fourth Quarter 2020 |
|
|||||||||||||||||
|
|
Gathering |
|
|
Processing
|
|
|
Terminaling
|
|
|
Interest
|
|
|
Total |
|
|||||
Statement of operations |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Affiliate services |
|
$ |
141.0 |
|
|
$ |
96.6 |
|
|
$ |
28.9 |
|
|
$ |
- |
|
|
$ |
266.5 |
|
Total revenues |
|
|
141.0 |
|
|
|
96.6 |
|
|
|
28.9 |
|
|
|
- |
|
|
|
266.5 |
|
Costs and expenses |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating and maintenance expenses (exclusive of depreciation shown separately below) |
|
|
33.4 |
|
|
|
27.3 |
|
|
|
5.9 |
|
|
|
- |
|
|
|
66.6 |
|
Depreciation expense |
|
|
24.8 |
|
|
|
11.2 |
|
|
|
4.0 |
|
|
|
- |
|
|
|
40.0 |
|
General and administrative expenses |
|
|
2.1 |
|
|
|
1.7 |
|
|
|
0.1 |
|
|
|
1.3 |
|
|
|
5.2 |
|
Total costs and expenses |
|
|
60.3 |
|
|
|
40.2 |
|
|
|
10.0 |
|
|
|
1.3 |
|
|
|
111.8 |
|
Income (loss) from operations |
|
|
80.7 |
|
|
|
56.4 |
|
|
|
18.9 |
|
|
|
(1.3 |
) |
|
|
154.7 |
|
Income from equity investments |
|
|
- |
|
|
|
3.1 |
|
|
|
- |
|
|
|
- |
|
|
|
3.1 |
|
Interest expense, net |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
23.4 |
|
|
|
23.4 |
|
Income before income tax expense (benefit) |
|
|
80.7 |
|
|
|
59.5 |
|
|
|
18.9 |
|
|
|
(24.7 |
) |
|
|
134.4 |
|
Income tax expense (benefit) |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
2.1 |
|
|
|
2.1 |
|
Net income (loss) |
|
|
80.7 |
|
|
|
59.5 |
|
|
|
18.9 |
|
|
|
(26.8 |
) |
|
|
132.3 |
|
Less: Net income (loss) attributable to noncontrolling interest |
|
|
75.4 |
|
|
|
55.8 |
|
|
|
17.6 |
|
|
|
(23.1 |
) |
|
|
125.7 |
|
Net income (loss) attributable to Hess Midstream LP |
|
$ |
5.3 |
|
|
$ |
3.7 |
|
|
$ |
1.3 |
|
|
$ |
(3.7 |
) |
|
$ |
6.6 |
|
|
|
Fourth Quarter 2019 |
|
|||||||||||||||||
|
|
Gathering |
|
|
Processing
|
|
|
Terminaling
|
|
|
Interest
|
|
|
Total |
|
|||||
Statement of operations |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Affiliate |
|
$ |
124.9 |
|
|
$ |
86.9 |
|
|
$ |
41.3 |
|
|
$ |
- |
|
|
$ |
253.1 |
|
Other income |
|
|
- |
|
|
|
0.4 |
|
|
|
- |
|
|
|
- |
|
|
|
0.4 |
|
Total revenues |
|
|
124.9 |
|
|
|
87.3 |
|
|
|
41.3 |
|
|
|
- |
|
|
|
253.5 |
|
Costs and expenses |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating and maintenance expenses (exclusive of depreciation shown separately below) |
|
|
46.2 |
|
|
|
25.6 |
|
|
|
20.9 |
|
|
|
- |
|
|
|
92.7 |
|
Depreciation expense |
|
|
22.1 |
|
|
|
11.2 |
|
|
|
4.2 |
|
|
|
- |
|
|
|
37.5 |
|
General and administrative expenses |
|
|
3.1 |
|
|
|
1.5 |
|
|
|
0.2 |
|
|
|
28.2 |
|
|
|
33.0 |
|
Total costs and expenses |
|
|
71.4 |
|
|
|
38.3 |
|
|
|
25.3 |
|
|
|
28.2 |
|
|
|
163.2 |
|
Income (loss) from operations |
|
|
53.5 |
|
|
|
49.0 |
|
|
|
16.0 |
|
|
|
(28.2 |
) |
|
|
90.3 |
|
Income from equity investments |
|
|
- |
|
|
|
2.9 |
|
|
|
- |
|
|
|
- |
|
|
|
2.9 |
|
Interest expense, net |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
18.2 |
|
|
|
18.2 |
|
Income before income tax expense (benefit) |
|
|
53.5 |
|
|
|
51.9 |
|
|
|
16.0 |
|
|
|
(46.4 |
) |
|
|
75.0 |
|
Income tax expense (benefit) |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(0.1 |
) |
|
|
(0.1 |
) |
Net income (loss) |
|
|
53.5 |
|
|
|
51.9 |
|
|
|
16.0 |
|
|
|
(46.3 |
) |
|
|
75.1 |
|
Less: Net income (loss) attributable to net parent investment |
|
|
2.0 |
|
|
|
- |
|
|
|
- |
|
|
|
(13.0 |
) |
|
|
(11.0 |
) |
Less: Net income (loss) attributable to noncontrolling interest |
|
|
42.7 |
|
|
|
42.7 |
|
|
|
13.3 |
|
|
|
(28.7 |
) |
|
|
70.0 |
|
Net income (loss) attributable to Hess Midstream LP |
|
$ |
8.8 |
|
|
$ |
9.2 |
|
|
$ |
2.7 |
|
|
$ |
(4.6 |
) |
|
$ |
16.1 |
|
HESS MIDSTREAM LP |
||||||||||||||||||||
SUPPLEMENTAL FINANCIAL DATA (UNAUDITED) |
||||||||||||||||||||
(IN MILLIONS) |
||||||||||||||||||||
|
|
Third Quarter 2020 |
|
|||||||||||||||||
|
|
Gathering |
|
|
Processing
|
|
|
Terminaling
|
|
|
Interest
|
|
|
Total |
|
|||||
Statement of operations |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Affiliate services |
|
$ |
142.9 |
|
|
$ |
90.1 |
|
|
$ |
31.7 |
|
|
$ |
- |
|
|
$ |
264.7 |
|
Other income |
|
|
- |
|
|
|
0.1 |
|
|
|
- |
|
|
|
|
|
|
|
0.1 |
|
Total revenues |
|
|
142.9 |
|
|
|
90.2 |
|
|
|
31.7 |
|
|
|
- |
|
|
|
264.8 |
|
Costs and expenses |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating and maintenance expenses (exclusive of depreciation shown separately below) |
|
|
44.1 |
|
|
|
30.4 |
|
|
|
9.4 |
|
|
|
- |
|
|
|
83.9 |
|
Depreciation expense |
|
|
24.2 |
|
|
|
11.2 |
|
|
|
4.1 |
|
|
|
- |
|
|
|
39.5 |
|
General and administrative expenses |
|
|
2.2 |
|
|
|
1.5 |
|
|
|
0.2 |
|
|
|
0.3 |
|
|
|
4.2 |
|
Total costs and expenses |
|
|
70.5 |
|
|
|
43.1 |
|
|
|
13.7 |
|
|
|
0.3 |
|
|
|
127.6 |
|
Income (loss) from operations |
|
|
72.4 |
|
|
|
47.1 |
|
|
|
18.0 |
|
|
|
(0.3 |
) |
|
|
137.2 |
|
Income from equity investments |
|
|
- |
|
|
|
3.6 |
|
|
|
- |
|
|
|
- |
|
|
|
3.6 |
|
Interest expense, net |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
23.2 |
|
|
|
23.2 |
|
Income before income tax expense (benefit) |
|
|
72.4 |
|
|
|
50.7 |
|
|
|
18.0 |
|
|
|
(23.5 |
) |
|
|
117.6 |
|
Income tax expense (benefit) |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
1.8 |
|
|
|
1.8 |
|
Net income (loss) |
|
|
72.4 |
|
|
|
50.7 |
|
|
|
18.0 |
|
|
|
(25.3 |
) |
|
|
115.8 |
|
Less: Net income (loss) attributable to noncontrolling interest |
|
|
67.9 |
|
|
|
47.5 |
|
|
|
16.9 |
|
|
|
(22.1 |
) |
|
|
110.2 |
|
Net income (loss) attributable to Hess Midstream LP |
|
$ |
4.5 |
|
|
$ |
3.2 |
|
|
$ |
1.1 |
|
|
$ |
(3.2 |
) |
|
$ |
5.6 |
|
HESS MIDSTREAM LP |
||||||||||||
SUPPLEMENTAL OPERATING DATA (UNAUDITED) |
||||||||||||
(IN THOUSANDS) |
||||||||||||
|
|
Fourth |
|
|
Fourth |
|
|
Third |
|
|||
|
|
Quarter |
|
|
Quarter |
|
|
Quarter |
|
|||
|
|
2020 |
|
|
2019 |
|
|
2020 |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
Throughput volumes |
|
|
|
|
|
|
|
|
|
|
|
|
Gas gathering - Mcf of natural gas per day |
|
|
333 |
|
|
|
323 |
|
|
|
316 |
|
Crude oil gathering - bopd |
|
|
130 |
|
|
|
133 |
|
|
|
138 |
|
Gas processing - Mcf of natural gas per day |
|
|
317 |
|
|
|
308 |
|
|
|
296 |
|
Crude terminals - bopd |
|
|
132 |
|
|
|
148 |
|
|
|
141 |
|
NGL loading - blpd |
|
|
15 |
|
|
|
16 |
|
|
|
12 |
|
Water gathering - blpd |
|
|
81 |
|
|
|
50 |
|
|
|
78 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year Ended December 31, |
|
|||||
|
|
|
|
|
|
2020 |
|
|
2019 |
|
||
Throughput volumes |
|
|
|
|
|
|
|
|
|
|
|
|
Gas gathering - Mcf of natural gas per day |
|
|
|
|
|
|
323 |
|
|
|
275 |
|
Crude oil gathering - bopd |
|
|
|
|
|
|
140 |
|
|
|
118 |
|
Gas processing - Mcf of natural gas per day |
|
|
|
|
|
|
306 |
|
|
|
260 |
|
Crude terminals - bopd |
|
|
|
|
|
|
145 |
|
|
|
131 |
|
NGL loading - blpd |
|
|
|
|
|
|
14 |
|
|
|
15 |
|
Water gathering - blpd |
|
|
|
|
|
|
70 |
|
|
|
41 |
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20210127005209/en/
FAQ
What were Hess Midstream's Q4 2020 financial results?
How much was the cash distribution declared by Hess Midstream for Q4 2020?
What is the distribution coverage ratio for Hess Midstream in Q4 2020?
What were the capital expenditures for Hess Midstream in Q4 2020?
What factors contributed to Hess Midstream's revenue growth in Q4 2020?
