Kinder Morgan announces 2025 financial expectations
Published by Alfred Hamer,
Editorial Assistant
World Pipelines,
Kinder Morgan, Inc. has announced its preliminary 2025 financial projections. “We expect 4% growth from 2024 in Adjusted EBITDA and 8% growth in Adjusted EPS due to growth projects in all our business segments, but most prominently in Natural Gas Pipelines and Energy Transition Ventures,” said Kim Dang, KMI Chief Executive Officer.
“We are projecting an annualised dividend of US$1.17 in 2025, constituting the 8th year in a row in which we have increased our dividend. Our end-of-year 2025 Net Debt-to-Adjusted EBITDA ratio is forecast to be 3.8 times, which is in the lower part of our 3.5x-4.5x leverage target range and provides good capacity for additional opportunistic investment,” Dang concluded.
“We anticipate generating Adjusted EPS of US$1.27, up 8% compared to our year-end 2024 forecast of US$1.17 per share, and Adjusted EBITDA of US$8.3 billion, up 4% compared to the 2024 forecast of US$8 billion,” said KMI President Tom Martin.
“We expect to continue benefiting from strong natural gas market fundamentals driving growth on our existing natural gas transportation and storage assets, as well as creating expansion opportunities. Overall, our base business is relatively flat with expansion projects in our Natural Gas Pipelines segment and Energy Transition Ventures group as the primary growth drivers,” Martin concluded.
Below is a summary of KMI’s expectations for 2025:
- Generate US$1.27 of Adjusted EPS, up 8% versus our current 2024 forecast of US$1.17.
- Generate US$8.3 billion of Adjusted EBITDA, up 4% from the 2024 forecast of US$8 billion.
- Invest US$2.3 billion in discretionary capital expenditures, including expansion projects and contributions to joint ventures, funded out of internally generated cash flow.
- Return additional value to shareholders for 2025 through an anticipated declared US$1.17 per share dividend (annualised).
- End 2025 with a Net Debt-to-Adjusted EBITDA ratio of 3.8 times.
Read the article online at: https://www.worldpipelines.com/business-news/13122024/kinder-morgan-announces-2025-financial-expectations/
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