2023-05-02 14:58:25 ET
Cheniere Energy ( NYSE: LNG ) reported Q1 earnings that easily beat analyst estimates and raised its full-year guidance, but the stock trades -3.3% Tuesday as most oil and gas equities are slammed alongside lower crude oil prices.
Q1 net income swung to a profit of $5.43B, or $22.10/share, from an $865M loss, or a $3.41/share loss, in the year-earlier quarter, primarily due to changes in fair value of the company's derivative portfolio of ~$4.7B before tax compared to the negative $3.4B of changes in fair value in the prior-year period, as well as increased total margins per MMBtu of liquefied natural gas delivered.
Q1 consolidated adjusted EBITDA increased to $3.6B from $3.15B in the year-ago quarter, due primarily to increased total margins per MMBtu of LNG delivered.
Cheniere Energy ( LNG ) said it set a new quarterly liquefied natural gas production record, delivering 619T Btu of LNG compared with 592T Btu in the year-earlier period.
Because of Cheniere's ( LNG ) hedging at the end of last year and earlier this year, Q1 earnings were insulated from the impact of falling gas prices , Mizuho analyst Robert Mosca said.
Cheniere ( LNG ) raised full-year guidance for adjusted EBITDA to $8.2B-$8.7B and distributable cash flow to $5.7-$6.2B.
The company said it expects to conduct planned maintenance at the Sabine Pass LNG plant this summer, but no dates or duration were provided.
More on Cheniere Energy:
- See financial and valuation comparisons to sector peers
- SA analysis: Cheniere Energy Remains A Strong Play On LNG Growth
- Stock price return: 5% gain YTD, 8.5% gain in the past 12 months
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Cheniere Energy slides despite Q1 beat and raise, record quarterly LNG output