Cheniere Energy Partners (CQP) Q3 2024 earnings summary

Executive summary

• Q3 2024 revenues were $2.06–$2.1 billion and net income was $635 million; nine-month revenues were $6.2–$6.24 billion and net income was $1.89–$1.9 billion.

• LNG cargoes exported rose 4% year-over-year, with 377 TBtu loaded in Q3 2024, up from 362 TBtu in Q3 2023.

• Adjusted EBITDA reached $852 million for Q3 2024 and $2.7 billion for the nine months, both up year-over-year.

• Declared Q3 2024 cash distribution of $0.810 per common unit, with full-year guidance of $3.15–$3.35 per unit.

• SPL Expansion Project is underway, with FERC and DOE applications submitted and FTA export authorization received in October 2024.

Financial highlights

• Q3 2024 revenues decreased 3% year-over-year; nine-month revenues down 11% from 2023.

• Q3 2024 net income fell 20% year-over-year; nine-month net income down 44% from 2023, mainly due to unfavorable derivative fair value changes.

• Basic and diluted EPS for Q3 2024 was $1.08, compared to $1.19 in Q3 2023; nine-month EPS was $3.21, down from $5.53 year-over-year.

• Adjusted EBITDA increased 7% in Q3 2024 and 4% for the nine months, driven by higher LNG volumes delivered.

• LNG volumes loaded and recognized as revenues increased to 377 TBtu in Q3 2024 from 362 TBtu in Q3 2023.

Outlook and guidance

• Approximately 80% of anticipated production is contracted under long-term agreements with a weighted average remaining life of 14 years.

• Full-year 2024 distribution guidance reaffirmed at $3.15–$3.35 per common unit, with a base of $3.10.

• Expansion plans at Sabine Pass could add up to 20 mtpa of capacity, pending commercial and financing arrangements.

• Management expects to meet cash requirements through operating cash flows and available liquidity.