After a solid 3Q17, MLPs’ strong earnings performances continued in 4Q17. Of the top 20 limited partnerships by market cap, 17 reported YoY (year-over-year) rises in their quarterly revenues in the quarter, while 19 reported growth in their quarterly EBITDAs (earnings before interest, tax, depreciation, and amortization).
Seventeen of these limited partnerships reported quarter-over-quarter revenue rises, while 19 reported quarter-over-quarter rises in adjusted EBITDA. Cheniere Energy Partners (CQP) reported the highest YoY EBITDA growth among the selected MLPs. These 20 MLPs saw YoY median EBITDA growths of 13.2% in 4Q17.
In this series, we’ll do a quick earnings wrap-up for a few mid- to large-cap limited partnerships. Before that, let’s summarize the 4Q17 performances of four large-cap MLPs.
Enterprise Products Partners
Enterprise Products Partners (EPD), the largest US MLP by market cap, posted a 30.1% YoY revenue rise and 13.8% YoY EBITDA growth in its most recent quarter. However, EPD’s quarterly EBITDA margin contracted by 262 bps (basis points) YoY to 18.3%. For a post-earnings review of EPD, read Why Enterprise Products Partners’ 4Q17 Earnings Rose 14%.
Williams Partners (WPZ), the MLP subsidiary of Williams Companies (WMB), reported 1.5% and 3.3% YoY revenue and EBITDA rises, respectively, in 4Q17. To learn more about WPZ’s 4Q17 performance drivers, read Analyzing Williams Companies and Williams Partners’ 4Q17 Results.
Energy Transfer Partners
Energy Transfer Partners (ETP), the MLP subsidiary of Energy Transfer Equity (ETE), posted strong 4Q17 earnings. The Texas-based partnership reported 31.9% YoY and 30.5% YoY revenue and EBITDA rises, respectively, in 4Q17. For more details on ETP’s 4Q17 performance, read How ETE and ETP Fared in 4Q17.
For a post-earnings analysis of Plains All American Pipeline (PAA) and Magellan Midstream Partners (MMP), read Plains All American’s 4Q17 Distributable Cash Flow Rose 15% and Behind Magellan Midstream Partners’ Strong 4Q17 Results.