Energy Transfer Equity’s financial results

Distributable cash flow, as adjusted.

For the three months ended 30 June 2015, Energy Transfer Equity’s (ETE) distributable cash flow was US$335 million compared to US$218 million for the three months ended 30 June 2014; an increase of US$117 million.

For the six months ended 30 June 2015 ETE’s was US$656 million, compared to US$417 million for the six months that ended the year before at an increase of US$239 million.

Distributable cash flow, per unit

ETE’s was US$0.31 for the three months ended 30 June 2015, which was an increase of 55% compared to the three months that ended 30 June 2014. ETE’s net income attributable to partners was US$298 million for those three months again in 2015, compared to the US$164 million for the three months the year prior – an increase of US$134 million.

ETE’s was also US$0.61 for the six months ended 30 June 2015, which was an increase of 61% compared to the six months ended 30 June 2014. ETE’s net income attributable to partners was consequently US$582 million for the six months ended 30 June 2015, compared to US332 million for the six months ended 30 June 2014 – an increase of $250 million.

Recent key accomplishments and other developments

• In July 2015, ETE completed a two-for-one split of its outstanding common units. All unit and per-unit amounts reported herein have been adjusted to give effect to the split.
• In July 2015, ETE’s Board of Directors approved a US$0.02 increase in its quarterly distribution to US$0.265 per ETE common unit. This was on a post-split basis for the second quarter that ended 30 June 2015, at an increase of 39% on an annualised basis compared to the second quarter of 2014, and an increase of 8% on an annualised basis compared to the first quarter of 2015. For the quarter that ended 30 June 2015, ETE’s distribution coverage ratio is 1.19x.
• In July 2015, ETE entered into an exchange and repurchase agreement with Energy Transfer Partners, L.P. (ETP). ETE will exchange 21.0 million ETP common units for 100% of the general partner interest and incentive distribution rights of Sunoco LP. In addition, ETE agreed to provide ETP with a US$35 million annual IDR subsidy for two years. This transaction is expected to close in August 2015.
• During the second quarter of 2015, ETE repurchased approximately US$294 million of ETE common units under its current buyback programme.
• In May 2015, ETE issued a US$1 billion aggregate principal amount of its 5.5% senior notes due 2027.
• As of 30 June 2015, ETE’s US$1.5 billion revolving credit facility had US$230 million of outstanding borrowings and its leverage ratio – as defined by the credit agreement – was 2.93x.

Additional information

The partnership has scheduled a conference call for 8:00 a.m. central time, 6 August 2015 to discuss its second quarter 2015 results. The conference call will be broadcast live via an internet web cast, which can be accessed through www.energytransfer.com and will also be available for replay on the partnership’s website for a limited time.

Edited from various sources by Stephanie Roker

Read the article online at: https://www.worldpipelines.com/business-news/06082015/energy-transfer-equity-financial-results/