Kinder Morgan 2Q23 revenue misses on lower prices
Published by Sara Simper,
Editorial Assistant
World Pipelines,
Pipeline and terminal operator Kinder Morgan on 19 July posted lower-than-expected 2Q23 revenue, hurt by lower commodity prices.
Oil and gas prices came under pressure during the April-June quarter as rising interest rates in key economies and a slower-than-expected manufacturing and consumption recovery in China dented fuel demand. Energy output has yet not reached pre-pandemic levels as companies have kept a tight rein on production, also pressuring pipeline operators' transport volumes.
Kinder Morgan faced lower commodity prices, higher interest expense in 2Q23 as well as higher sustaining capital expenditures vs the prior year period, President Kim Dang said. The Houston-based company said earnings from its products pipelines fell about 4.3% to US$286 million, while earnings from the transportation of CO2 fell about 17.4% to US$175 million, due to lower realised prices.
Kinder Morgan's revenue fell about 32% to US$3.50 billion in the quarter, and missed estimates of US$4.55 billion, according to Refinitiv data. On an adjusted basis, the company earned 24 cents per share, in line with estimates.
Read the latest issue of World Pipelines magazine for pipeline news, project stories, industry insight and technical articles.
World Pipelines’ July 2023 issue
Here’s a preview of the July 2023 issue of World Pipelines: the keynote article focuses on pipeline activity in South America; technical articles cover compressors, pipeline mapping and welding; and there’s insight into CO2 transport and HDD best practice.
Read the article online at: https://www.worldpipelines.com/business-news/04082023/kinder-morgan-2q23-revenue-misses-on-lower-prices/
You might also like
World Pipelines Podcast: Going global with IPLOCA
In this episode, Elizabeth Corner speaks to Georges Hage, Executive Secretary at IPLOCA, about IPLOCA's insights on the culture and characteristics of the pipeline contractor community, and how it works to support sustainable energy infrastructure.
Energy industry faces short-term instability, yet remains optimistic about long-term prospects, DNV report reveals
The energy industry is braced for short-term uncertainty caused by global instability, but remains optimistic in the long-term, according to DNV’s annual Energy Industry Insights survey.
