Group 1 - RBC Capital raised the price target on Cheniere Energy Partners (CQP) to $62 from $58 while maintaining a Sector Perform rating on the shares [1] - The update in estimates follows the company's recent Q4 results [1] - Cheniere is expected to continue progress on the Sabine Pass Liquefaction expansion [1]

Core Insights - Cheniere Energy Partners, L.P. (CQP) reported fourth-quarter 2025 earnings per unit of $1.08, surpassing the Zacks Consensus Estimate of $1.04 and improving from $1.05 in the same quarter last year [1][9] - Total revenues for the quarter reached $2.9 billion, an increase from $2.5 billion year-over-year, also exceeding the Zacks Consensus Estimate of $2.6 billion [1][9] Financial Performance - The strong quarterly results were driven by higher total margins per million British thermal units (Btu) of liquefied natural gas (LNG) and reduced total operating costs [2] - CQP sent 114 cargoes in the fourth quarter, up from 110 cargoes in the prior-year quarter, with total LNG volume at 416 trillion Btu, compared to 401 trillion Btu a year ago [3] - Adjusted EBITDA for the fourth quarter was $1,014 million, reflecting a 14% increase from $890 million in the previous year, primarily due to higher margins per million Btu of LNG delivered [3] Costs and Expenses - The cost of sales for the quarter was $968 million, down from $1.2 billion in the same period last year [4] - Operating and maintenance expenses rose slightly to $221 million from $214 million in the fourth quarter of 2024 [4] - Total operating costs and expenses decreased to $1.4 billion from $1.6 billion in the December-end quarter of 2024 [4] Balance Sheet - As of December 31, 2025, CQP had $182 million in cash and cash equivalents and a net long-term debt of $14.2 billion [5] Future Outlook - CQP announced its distribution guidance for 2026, expecting to distribute between $3.10 and $3.40 per common unit, maintaining a base distribution of $3.10 [6] Market Position - CQP currently holds a Zacks Rank 3 (Hold), with better-ranked stocks in the energy sector including Archrock Inc. (AROC) with a Zacks Rank 1 (Strong Buy), TechnipFMC plc (FTI) also at Rank 1, and Galp Energia (GLPEY) at Rank 2 (Buy) [7]

Financial Performance - Cheniere Energy Partners reported $10.8 billion in annual revenue for 2025 and $3.7 billion in adjusted EBITDA [1] - The partnership's Q4 net income increased over 100% year-over-year to $1.3 billion, driven by favorable derivative valuations and higher margins per MMBtu of LNG delivered [1] Milestones and Future Guidance - The company celebrated the 10th anniversary of the first cargo export from the Sabine Pass facility, which has exported over 3,270 cargoes to date [2] - For 2026, Cheniere Partners has set distribution guidance of $3.10 to $3.40 per unit, maintaining a steady base distribution of $3.10 [2] Expansion Projects - Cheniere Energy Partners is focused on the Sabine Pass Expansion Project, aiming to add up to 20 mtpa of additional capacity, currently awaiting regulatory approvals from the FERC and DOE [3] - The company continues to optimize its existing 30 mtpa footprint [3] Business Operations - Cheniere Energy Partners, through its subsidiaries, provides liquefied natural gas (LNG) to integrated energy companies, utilities, and energy trading companies both in the US and internationally [4]

Cheniere Energy, Inc. Fourth Quarter and Full Year 2025 February 26, 2026 This presentation contains certain statements that are, or may be deemed to be, "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements, other than statements of historical or present facts or conditions, included or incorporated by reference herein are "forward- looking statements." Included among "forw ...

Financial Performance - Cheniere Partners reported Q4 2025 revenues of $2.91 billion, an 18% increase from $2.46 billion in Q4 2024, and full-year revenues of $10.76 billion, a 24% increase from $8.70 billion in 2024[4] - Net income for Q4 2025 was $1.29 billion, up 107% from $623 million in Q4 2024, and for the full year 2025, net income was $2.99 billion, a 19% increase from $2.51 billion in 2024[4] - Adjusted EBITDA for Q4 2025 was $1.01 billion, a 14% increase from $890 million in Q4 2024, and for the full year, it was $3.66 billion, a 2% increase from $3.57 billion in 2024[4] LNG Exports - Cheniere Partners exported 114 LNG cargoes in Q4 2025, a 4% increase from 110 cargoes in Q4 2024, and a total of 428 cargoes for the full year, a slight decrease from 431 cargoes in 2024[4] - The Sabine Pass LNG terminal has a total production capacity of over 30 mtpa, with over 3,270 LNG cargoes exported to date[10] - The SPL Expansion Project is being developed with an expected peak production capacity of up to approximately 20 mtpa, pending regulatory approvals[11] Cash Distribution and Guidance - The company declared a cash distribution of $0.830 per common unit for Q4 2025, with a total cash distribution of $3.300 per common unit for the full year 2025[5] - Full year 2026 distribution guidance is set at $3.10 to $3.40 per common unit, maintaining a base distribution of $3.10[3] Liquidity and Debt Management - As of December 31, 2025, Cheniere Partners had total available liquidity of $2.025 billion, including $182 million in cash and cash equivalents[8] - In December 2025, Cheniere Partners redeemed $300 million of its 5.875% Senior Secured Notes due 2026, with an additional $200 million redeemed in February 2026[9] - Long-term debt decreased to $14,161 million in 2025 from $14,761 million in 2024, indicating improved debt management[23] Assets and Equity - Total assets decreased slightly to $17,437 million in 2025 from $17,453 million in 2024[23] - Total partners' equity improved to $414 million in 2025, up from a deficit of $509 million in 2024[23] Expenses and Inventory - The company reported a depreciation and amortization expense of $688 million for the twelve months ended December 31, 2025[25] - Interest expense for the twelve months ended December 31, 2025, was $753 million, down from $800 million in 2024[25] - The company’s inventory increased to $180 million in 2025 from $151 million in 2024, indicating potential growth in operations[23] Fair Value of Derivatives - The change in fair value of commodity derivatives resulted in a loss of $732 million for the twelve months ended December 31, 2025[25]

LNG Production and Capacity - The Sabine Pass LNG Terminal has a total production capacity of over 30 mtpa and operational regasification capacity of approximately 4 Bcf/d[28][34]. - The company has received FERC approvals for a total of 1,661.94 Bcf/yr (33 mtpa) for both FTA and non-FTA countries, with additional approvals for the SPL Expansion Project expected in November 2025[29][49]. - The SPL Expansion Project aims to achieve a peak production capacity of approximately 20 mtpa of LNG, with a two-phased approach including three liquefaction trains[30][43]. - The company has secured long-term natural gas supply agreements to support its Liquefaction Project and expansion plans[31]. - The company is focused on maximizing LNG production to generate steady revenues and operating cash flows while maintaining a prudent capital structure[31]. - The company anticipates that global demand for LNG will increase by approximately 64%, from 410 mtpa in 2024 to 671 mtpa in 2040, according to Wood Mackenzie[71]. - The company is well-positioned to capture a portion of the incremental market need for LNG production, with competitive capital and operating costs[71]. Revenue and Customer Base - Major customers contributing 10% or more of total revenues include BG Gulf Coast LNG (22%), Korea Gas Corporation (15%), and GAIL (India) Limited (15%)[35]. Regulatory Compliance - The company is subject to extensive regulatory requirements from the FERC, PHMSA, and other governmental agencies, which could impact operations and construction[38][50]. - The company has received DOE export licenses for LNG exports, with ongoing approvals for non-FTA countries pending[48][49]. - The company is committed to compliance with the Dodd-Frank Act and CFTC regulations regarding derivatives trading and market practices[54][56]. - The Sabine Pass LNG Terminal is subject to various environmental regulations that may increase compliance costs and operational expenses[57]. Operational Management - The company performs major maintenance activities during shoulder months to mitigate impacts on annual operating results, as production levels are affected by seasonal variations[37]. - As of December 31, 2025, Cheniere and its subsidiaries employed 1,717 full-time employees, including 508 supporting the Sabine Pass LNG Terminal operations[80]. Environmental and Emissions Management - Cheniere achieved a methane emissions intensity target of less than 0.03% across its liquefaction sites for 2024, receiving third-party limited assurance[76]. - The company does not expect the methane emissions charge from the Inflation Reduction Act to materially affect its operations or financial condition[61]. - Cheniere's climate strategy includes collaboration with midstream companies and academic institutions on emissions measurement and mitigation initiatives[77]. Market Trends and Investments - Significant investments are ongoing in natural gas projects across Europe and Asia, with over 9,000 kilometers of natural gas pipelines under construction in India[70]. - Over 50 mtpa of regasification capacity has been added in Europe since 2022, with more planned to secure access to LNG and reduce reliance on Russian gas[70]. Financial Instruments and Accounting - The ultimate fair value of the company's derivative instruments is uncertain, with a possibility of material changes due to commodity price volatility impacting liquefaction supply derivatives[284]. - Recent accounting standards have been summarized in Note 3 of the Notes to Consolidated Financial Statements[285]. Oil Price Exposure - The company has limited exposure to oil price movements due to a significant portion of its LNG production capacity being contracted under long-term SPAs[72].

Core Insights - Cheniere Energy Partners (CQP) is a partnership formed by Cheniere Energy, focusing primarily on the assets at Sabine Pass, which is a strategic LNG facility [1] Company Overview - Cheniere Energy is recognized as one of the largest energy companies in the United States [1] - The partnership CQP is specifically involved with the operations and assets related to liquefied natural gas (LNG) [1] Analyst Background - The analyst has over a decade of experience in financial markets, primarily in hedge funds, with a focus on sectors like technology, particularly SaaS and cloud businesses [1] - The analyst emphasizes rigorous standards in investment decisions and conducts independent research [1]

Core Insights - Cheniere Energy Partners, L.P. (CQP) reported Q3 2025 earnings per unit of 81 cents, missing the Zacks Consensus Estimate of $1.01 and declining from 84 cents in the same quarter last year [1][9] - Total revenues for the quarter reached $2.4 billion, an increase from $2.1 billion year-over-year, but fell short of the $2.5 billion forecast [1][9] - Total operating costs and expenses rose to $1.7 billion from $1.2 billion in the previous year, influenced by higher sales costs [5][9] Financial Performance - Adjusted EBITDA for Q3 was $885 million, up 4% from $852 million a year ago, primarily due to lower operating and maintenance expenses and improved LNG margins [4] - The cost of sales increased significantly to $1.3 billion from $773 million year-over-year, while operating and maintenance expenses decreased slightly to $191 million from $200 million [5] - The total LNG volume delivered was 374 trillion British thermal units (TBtu), slightly lower than the previous year's 377 TBtu but exceeding the estimate of 368 TBtu [3] Operational Highlights - CQP sent 104 cargoes in Q3, remaining flat year-over-year and surpassing the estimate of 101 [3] - The partnership maintains a strong distribution outlook for 2025, expecting to distribute between $3.25 and $3.35 per common unit, with a base distribution of $3.10 [7] Balance Sheet - As of September 30, 2025, CQP had $121 million in cash and cash equivalents and a net long-term debt of $14.2 billion [6] Market Position - CQP currently holds a Zacks Rank 3 (Hold), with notable peers in the energy sector including Oceaneering International (Rank 1), Canadian Natural Resources (Rank 2), and FuelCell Energy (Rank 2) [8]

Financial Data and Key Metrics Changes - In Q3 2025, the company generated consolidated adjusted EBITDA of approximately $1.6 billion, distributable cash flow of approximately $1.6 billion, and net income of approximately $1 billion [7][30] - The full-year 2025 guidance for consolidated adjusted EBITDA remains at $6.6 to $7 billion, while the distributable cash flow guidance has been raised from $4.4 to $4.8 billion to $4.8 to $5.2 billion [7][39] - The increase in distributable cash flow guidance is primarily due to a discrete IRS rule change related to the Corporate Alternative Minimum Tax [7][39] Business Line Data and Key Metrics Changes - The company produced and exported 163 cargoes of LNG during the third quarter, achieving a milestone of the 3,000th LNG cargo produced at Sabine Pass [8] - The operational challenges faced were primarily due to variability in natural gas quality, which required real-time adjustments to liquefaction processes [9][10] Market Data and Key Metrics Changes - Global LNG demand in Q3 2025 was supported by European imports, while Asian demand remained soft, leading to price differentials that incentivized U.S. cargoes to Europe [18][20] - European LNG imports increased year on year, while Russian piped gas volumes decreased by 43% year on year [21][24] - Asian LNG imports declined by 4% year on year in Q3 2025, with a notable decrease in demand from China and India [22][24] Company Strategy and Development Direction - The company is focused on expanding its Corpus Christi Stage 3 and Sabine Pass projects while maintaining operational excellence and a disciplined capital allocation program [4][5] - The company aims to achieve over 50 million tons of LNG production in 2026, supported by the startup of remaining trains at Corpus Christi Stage 3 [10][41] - The company emphasizes a disciplined approach to new liquefaction capacity under long-term contracts, ensuring high visibility into future cash flows [29] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the challenges faced in 2025, including geopolitical unrest and rising costs, but expressed confidence in the company's ability to deliver predictable results [4][6] - The company expects a record year for LNG production in 2026, with planned maintenance designed to enhance long-term production reliability [10][41] - Management remains optimistic about the long-term demand for LNG, particularly in Asia, as new supply enters the market [26][28] Other Important Information - The company deployed approximately $1.8 billion under its capital allocation plan in Q3 2025, including $600 million in growth CapEx and $1 billion in share repurchases [10][32] - The company declared a dividend of $0.555 per common share, marking a 10% increase from the prior quarter [36] Q&A Session Summary Question: Thoughts on buybacks and future trajectory - Management indicated that the buyback program is expected to continue at a similar pace, with plans to seek an increase in the authorization next year [51] Question: LNG market demand and pricing - Management discussed the potential for lower prices to incentivize demand in Asia, highlighting the importance of power generation and industrial demand as key drivers [52][54] Question: Impact of EU's ban on Russian gas imports - Management expressed optimism about increased marketing opportunities in Europe, given the strong relationships with EU counterparties [63] Question: Incremental capacity expansion plans - Management confirmed a disciplined approach to future expansions, focusing on projects that meet robust financial hurdles and are fully contracted [65][67] Question: Variability in feed gas composition - Management explained ongoing efforts to address feed gas variability through process adjustments and small capital investments [71][73]

Financial Data and Key Metrics Changes - In Q3 2025, the company generated consolidated adjusted EBITDA of approximately $1.6 billion, distributable cash flow of approximately $1.6 billion, and net income of approximately $1 billion [7][30]. - The full-year 2025 guidance for consolidated adjusted EBITDA remains at $6.6 billion to $7 billion, while the distributable cash flow guidance has been raised from $4.4 billion-$4.8 billion to $4.8 billion-$5.2 billion [7][40]. Business Line Data and Key Metrics Changes - The company produced and exported 163 cargoes of LNG during the third quarter, achieving production levels within financial forecasts despite operational challenges [8][9]. - The substantial completion of the third train of Corpus Christi Stage 3 was achieved ahead of schedule, with expectations for 2026 to be a record year for LNG production, targeting over 50 million tons [6][10]. Market Data and Key Metrics Changes - Global LNG demand in Q3 2025 was primarily driven by European imports, while Asian demand remained subdued, leading to price stability in the market [17][18]. - European LNG imports increased year on year, while piped gas volumes from Russia decreased by 43% compared to the previous year [20][21]. Company Strategy and Development Direction - The company is focused on executing its growth strategy, including the expansion of Corpus Christi Stage 3 and the development of mid-scale trains [4][5]. - The company aims to maintain a disciplined approach to capital allocation, ensuring investments meet robust financial hurdles and are primarily contracted with investment-grade counterparties [16][62]. Management's Comments on Operating Environment and Future Outlook - Management acknowledged challenges in the operating environment, including geopolitical unrest and rising costs, but emphasized a disciplined approach to navigating these challenges [4][6]. - The company expects a significant increase in liquefaction capacity globally, which will help stabilize prices and catalyze demand in price-sensitive markets [26][28]. Other Important Information - The company repurchased approximately 4.4 million shares for just over $1 billion during the third quarter, reflecting confidence in long-term value [11][34]. - A dividend of $0.555 per common share was declared, marking a 10% increase from the previous quarter and a nearly 70% increase since initiation [37]. Q&A Session Summary Question: Thoughts on the pace of buybacks going forward - Management indicated that the buyback program is expected to continue at a strong pace, with plans to seek an increase in the buyback authorization next year [51][52]. Question: Comments on LNG market demand in Asia - Management expressed optimism about medium to long-term demand growth in Asia, particularly in power generation and industrial sectors, despite current volatility [54][56]. Question: Impact of EU's ban on Russian natural gas imports - Management anticipates increased marketing opportunities in Europe as the EU leans further into U.S. LNG, with strong relationships with EU counterparties [59][60]. Question: Incremental capacity expansion plans - The company plans to remain disciplined in capital investments, focusing on brownfield developments and ensuring projects meet financial hurdles [62][64]. Question: Future FID timing for Sabine Train 7 - Management indicated that FID for Sabine Train 7 is contingent on receiving necessary permits, with potential for early preparations to lock in costs [74][75].