Plains All American (PAA) Q3 Earnings Beat, Sales Down Y/Y
Zacks Investment Research | Nov 05, 2019 10:41PM ET
Plains All American Pipeline, L.P. (NYSE:PAA) reported third-quarter 2019 adjusted earnings of 52 cents per unit, beating the Zacks Consensus Estimate of 39 cents by 33.33%. Moreover, the bottom line improved 20.9% from the year-ago quarter on increased Permian Basin Systems volumes.
In the quarter under review, the partnership reported GAAP earnings of 55 cents per unit, down from the year-ago figure of 87 cents.
Total Revenues
Total revenues in the third quarter amounted to $7,886 million, surpassing the Zacks Consensus Estimate of $7,880 million by 0.1%. However, revenues declined 10.3% from $8,792 million a year ago.
Segmental Performance
In the Transportation segment, adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) of $462 million increased 19% from the year-ago quarter, courtesy of expanded volumes in Permian Basin systems along with the start-up of Sunrise II and Cactus II pipeline systems in fourth-quarter 2018 and third quarter of 2019, respectively. Performance in the central region pipelines also contributed to the strong performance.
In the Facilities segment, adjusted EBITDA of $173 million remained flat with the year-ago reported figure.
The Supply and Logistics segment reported adjusted EBITDA of $92 million, which increased 23% from the year-ago $75 million. The improvement was backed by favourable crude oil differentials in the Permian Basin, partially offset by lower NGL margins.
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.