Cheniere Energy Surpasses Q4 Earnings and Revenue Estimates

Cheniere Energy, Inc. LNG reported a fourth-quarter 2024 adjusted profit of $4.33 per share, which beat the Zacks Consensus Estimate of $2.69. The outperformance can be attributed to strength in liquefied natural gas (‘LNG’) shipments. During the period, Cheniere Energy loaded 606 trillion British thermal units (TBtu) of LNG, ahead of the consensus mark of 582 TBtu.However, the bottom line decreased from the year-ago quarter’s level of $5.76 per share. This was due to an increase in operating costs and expenses.Find the latest EPS estimates and surprises on Zacks Earnings Calendar.Revenues totaled $4.4 billion, beating the Zacks Consensus Estimate by $31 million but decreasing 8% from the year-ago quarter’s level of $4.8 billion.Cheniere Energy, Inc. Price, Consensus and EPS Surprise Cheniere Energy, Inc. price-consensus-eps-surprise-chart | Cheniere Energy, Inc. QuoteCheniere maintained its quarterly dividend of 50 cents per share of common stock paid on Feb. 21, 2025.In November 2024, Cheniere released an updated life cycle assessment study evaluating the greenhouse gas emissions intensity of its LNG. This peer-reviewed study introduces an advanced gas-pathing algorithm that enhances the accuracy of emissions modeling across its supply chain. The study incorporates real operational data and benefits from the company’s Quantification, Monitoring, Reporting and Verification program.The oil and gas storage and transportation company reported consolidated adjusted EBITDA of $1.57 billion in the fourth quarter, down 4.4% from a year-ago quarter’s level. This decline was due to moderating international gas prices and a higher share of LNG sold under long-term contracts, which resulted in lower margins per metric million British thermal units of LNG delivered compared with the previous year.Distributable cash flow (DCF) was $1.1 billion. In the reported quarter, the company shipped 167 cargoes compared with 169 in the year-ago period.In December 2024, Cheniere produced liquefied natural gas for the first time from the first train of the CCL Stage 3 Project, with substantial completion expected to be achieved by the end of the first quarter of 2025. Additionally, the first cargo of LNG was produced from the CCL Stage 3 Project in February 2025.LNG’s Costs & Balance SheetCosts and expenses amounted to $2.7 billion for the fourth quarter, up 12.9% from the prior-year quarter’s level.As of Dec. 31, 2024, Cheniere had approximately $2.6 billion of cash and cash equivalents. Its net long-term debt was $22.6 billion, with a debt-to-capitalization of 69.2%.LNG’s 2025 GuidanceThe company expects consolidated adjusted EBITDA in the range of $6.5-$7 billion for 2025.It also expects DCF in the band of $4.1-$4.6 billion.LNG’s Project UpdatesSabine Pass Liquefaction Project: The company, through its partners, operates six natural gas liquefaction trains at the Sabine Pass LNG terminal in Cameron Parish, LA. The terminal has a total production capacity of approximately 30 mtpa (million tonnes per annum) of liquefied natural gas.SPL Expansion Project: The company, through its partners, is developing an expansion adjacent to the SPL Project, known as the SPL Expansion Project, with an anticipated production capacity of up to approximately 20 mtpa of LNG, including potential debottlenecking opportunities.In February 2024, certain subsidiaries of Cheniere Partners submitted applications to the Federal Energy Regulatory Commission (“FERC”) for site approval to construct and operate the SPL Expansion Project. Additionally, these subsidiaries applied to the Department of Energy (“DOE”) for authorization to export LNG to both Free Trade Agreement (“FTA”) and non-FTA countries, excluding debottlenecking activities. In October 2024, the DOE granted authorization to export LNG to FTA countries.CCL Project: The company, in partnership with its collaborators, operates three natural gas liquefaction trains at the Corpus Christi LNG terminal, with a total production capacity of around 15 mtpa.CCL Stage 3 Project: The company, in partnership with its collaborators, is advancing an expansion adjacent to the CCL Project, referred to as the CCL Stage 3 Project. This expansion involves the development of seven midscale trains, with a total projected production capacity exceeding 10 mtpa of LNG. The first LNG production from the first train of the CCL Stage 3 Project was achieved in December 2024, and the first cargo of LNG was produced in February 2025.As of Dec. 31, the project is 77.2% complete and remains under active construction. The expected timeline for substantial completion is between the first half of 2025 and the second half of 2026. Key milestones include engineering, which is 97.2% complete, procurement at 97.2%, subcontract work at 88.2% and construction progress at 42.6%.CCL Midscale Trains 8 & 9 Project: Cheniere, in partnership with its collaborator, is developing two additional midscale trains, known as the CCL Midscale Trains 8 & 9 Project, with an anticipated total production capacity of approximately 3 mtpa of LNG. This expansion will be located adjacent to the CCL Stage 3 Project.In March 2023, Cheniere’s certain subsidiaries submitted an application to the FERC for authorization to site, construct and operate the CCL Midscale Trains 8 & 9 Project. In April 2023, it also applied to the DOE for approval to export LNG to both FTA and non-FTA countries. In July 2023, the company received authorization from the DOE to export LNG to FTA countries. In June 2024, the company received a positive Environmental Assessment from the FERC and expects to obtain the remaining regulatory approvals for the project in 2025.LNG currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Important Energy EarningsWhile we have discussed LNG’s fourth-quarter results in detail, let’s see how other energy companies have fared this earnings season.Liberty Energy LBRT, the Denver, CO-based oil and gas equipment company, announced an adjusted net income of 10 cents per share, which marginally beat the Zacks Consensus Estimate of 9 cents. This was primarily due to a year-over-year decrease in costs and expenses. However, the bottom line underperformed the year-ago quarter’s reported figure of 54 cents due to poor equipment and service execution, along with lower activity.Ahead of the earnings release, Liberty Energy’s board of directors declared a quarterly dividend of 8 cents per share to its Class A common shareholders of record as of March 6. The payout, unchanged from the previous quarter, will be made on March 20.The company returned $175 million to its shareholders through the repurchase of 3.8% of shares and quarterly cash dividends in 2024. For the quarter ended, Liberty repurchased and retired 1,581,495 shares of Class A common stock at an average price of $17.88 per share, representing 1% of shares outstanding for a total of around $28 million.Energy infrastructure provider Kinder Morgan, Inc. KMI reported fourth-quarter 2024 adjusted earnings per share of 32 cents, which missed the Zacks Consensus Estimate of 33 cents. The bottom line improved from 28 cents in the prior-year quarter.Total quarterly revenues of $3.99 billion missed the Zacks Consensus Estimate of $4.16 billion. The top line decreased from $4.04 billion in the prior-year quarter.The lower-than-expected quarterly earnings were primarily due to decreased volumes on certain systems, asset divestitures, and lower crude, CO2 and NGL volumes.As of Dec. 31, 2024, KMI reported $88 million in cash and cash equivalents. At the quarter's end, its long-term debt amounted to $29.8 billion.SLB SLB, a Houston, TX-based oil and gas equipment and services provider, reported fourth-quarter 2024 earnings of 92 cents per share (excluding charges and credits), which beat the Zacks Consensus Estimate of 90 cents. The bottom line also increased from the year-ago quarter’s level of 86 cents.The oilfield service giant recorded total quarterly revenues of $9.28 billion, which beat the Zacks Consensus Estimate of $9.18 billion. The top line improved from the year-ago quarter’s figure of $8.99 billion.The strong quarterly earnings were primarily driven by broad-based earnings growth and margin expansion, especially in the Middle East and Asia. Additionally, advancements in AI and autonomous operations continue to contribute significantly to SLB’s growth.SLB reported a free cash flow of $1.63 billion in the fourth quarter. As of Dec. 31, 2024, the company had approximately $4.67 billion in cash and short-term investments. It registered a long-term debt of $11.02 billion at the end of the quarter.Just Released: Zacks Top 10 Stocks for 2025Hurry – you can still get in early on our 10 top tickers for 2025. Handpicked by Zacks Director of Research Sheraz Mian, this portfolio has been stunningly and consistently successful. From inception in 2012 through November, 2024, the Zacks Top 10 Stocks gained +2,112.6%, more than QUADRUPLING the S&P 500’s +475.6%. Sheraz has combed through 4,400 companies covered by the Zacks Rank and handpicked the best 10 to buy and hold in 2025. You can still be among the first to see these just-released stocks with enormous potential. See New Top 10 Stocks >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Schlumberger Limited (SLB): Free Stock Analysis Report Cheniere Energy, Inc. (LNG): Free Stock Analysis Report Kinder Morgan, Inc. (KMI): Free Stock Analysis Report Liberty Energy Inc. (LBRT): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks