FINDLAY, Ohio, March 10, 2025 /PRNewswire/ -- MPLX LP (NYSE: MPLX) will host a conference call on Tuesday, May 6, 2025, at 9:30 a.m. EDT to discuss 2025 first-quarter financial results. Interested parties may listen to the conference call by visiting MPLX's website at www.mplx.com. A replay of the webcast will be available on MPLX's website for two weeks. Financial information, including the earnings release and other investor-related material, will also be available online prior to the conference call and ...

Core Viewpoint - MPLX LP reported mixed results in its fourth-quarter earnings, with earnings per unit beating estimates but total revenues falling short of expectations [2][3]. Financial Performance - Fourth-quarter earnings were $1.07 per unit, exceeding the Zacks Consensus Estimate of $1.04, but down from $1.10 in the same quarter last year [2]. - Total revenues for the quarter were $3.06 billion, missing the Zacks Consensus Estimate of $3.08 billion, but up from $2.97 billion year-over-year [2]. Operational Highlights - The better-than-expected earnings were driven by higher throughput and contributions from newly acquired assets in the Utica and Permian Basins, although these positives were partially offset by increased costs and expenses [3]. - Adjusted EBITDA from the Crude Oil and Products Logistics segment rose to $1.12 billion from $1.06 billion a year ago, supported by increased rates and higher throughput, with total pipeline throughput averaging 5.9 million barrels per day, a 1% increase from the prior year [5]. - Adjusted EBITDA from the Natural Gas and NGL Services segment increased to $639 million from $560 million, driven by higher volumes and contributions from new assets [6]. Cost and Expenses - Total costs and expenses increased to $1.72 billion from $1.59 billion year-over-year, primarily due to higher operating expenses and increased depreciation and amortization [8]. Cash Flow and Balance Sheet - Distributable cash flow for the quarter was $1.48 billion, providing 1.5X distribution coverage, up from $1.38 billion in the previous year [9]. - Adjusted free cash flow rose to $1,324 million from $964 million year-over-year [9]. - As of December 31, 2024, cash and cash equivalents were $1.52 billion, with total debt at $20.95 billion [10]. Future Outlook - MPLX anticipates capital spending of approximately $2 billion for 2025, with allocations of $1.45 billion for Natural Gas and NGL Services growth, $250 million for Crude Oil and Products Logistics growth, and $300 million for maintenance [11]. - Estimates for the stock have trended upward recently, indicating a promising outlook [12][14].

Company Performance - MPLX LP's stock closed at $53.04, reflecting a -0.06% change from the previous trading day, underperforming compared to the S&P 500's gain of 1.12% [1] - Over the past month, MPLX shares gained 0.84%, outperforming the Oils-Energy sector's loss of 5.86% and the S&P 500's loss of 4.13% [1] Earnings Projections - The upcoming earnings report for MPLX LP is projected to show earnings per share (EPS) of $1.07, a 9.18% increase from the same quarter last year [2] - The Zacks Consensus Estimate for revenue is $3.1 billion, reflecting a 9.04% increase from the previous year [2] - For the full year, projected earnings are $4.41 per share and revenue is $12.69 billion, indicating increases of +4.75% and +6.32% respectively from the prior year [3] Analyst Forecasts - Recent revisions to analyst forecasts for MPLX LP are important as they reflect short-term business trends, with positive revisions indicating analysts' confidence in the company's performance [4] - The Zacks Rank system, which incorporates estimate changes, currently ranks MPLX LP at 3 (Hold) [6] Valuation Metrics - MPLX LP has a Forward P/E ratio of 12.02, which is lower than the industry average of 17.22, suggesting it is trading at a discount [7] - The company has a PEG ratio of 1.66, compared to the industry average PEG ratio of 2.73, indicating a favorable growth expectation relative to its price [8] Industry Context - The Oil and Gas - Production and Pipelines industry, which includes MPLX LP, holds a Zacks Industry Rank of 88, placing it in the top 36% of over 250 industries [9]

Core Points - MPLX LP has priced $2.0 billion in unsecured senior notes, consisting of $1.0 billion of 5.400% senior notes due 2035 and $1.0 billion of 5.950% senior notes due 2055 [1] - The net proceeds will be used to repay outstanding senior notes and for general partnership purposes [2] - The offering is expected to close on March 10, 2025, subject to customary conditions [3] Company Overview - MPLX LP is a diversified, large-cap master limited partnership that operates midstream energy infrastructure and logistics assets, providing fuels distribution services [5] - The company's assets include a network of crude oil and refined product pipelines, storage facilities, and processing plants in key U.S. supply basins [5]

MPLX LP (MPLX) has announced the acquisition of the remaining interest in BANGL LLC from the affiliates of WhiteWater and Diamondback Energy. The deal involves acquiring the remaining 55% interest in BANGL, following which MPLX will take complete ownership of the NGL pipeline. The deal has been valued at $715 million.The NGL pipeline has a transportation capacity of 250,000 barrels per day (bbl/d), bringing the Permian production from West Texas to the Gulf Coast facilities. Currently, the capacity of the B ...

Core Viewpoint - MPLX is a high-yield income investment with a current distribution yield of 7.3% and a compound annual growth rate of over 10% since 2021, having increased its payout every year since going public in 2012 [1][11] Acquisition Details - MPLX has made a $715 million acquisition to buy the remaining 55% interest in the BANGL pipeline system, which currently transports 250,000 barrels of natural gas liquids (NGLs) per day from the Permian Basin to the Gulf Coast [2][3] - The company is expanding the pipeline's capacity to 300,000 barrels per day, expected to be completed in the second half of next year [3] Financial Capacity and Growth - The acquisition is expected to be immediately accretive to cash flow, supporting both near-term income growth and long-term expansion [6] - MPLX has a low leverage ratio of 3.1 times, well below the 4.0x range its cash flows can support, providing financial flexibility for further investments [8] Ongoing Projects - MPLX has a backlog of organic expansion projects, including natural gas processing plants and pipelines, which will enhance cash flows through the end of the decade [6][10] - Key projects include the Secretariat and Harmon Creek III natural gas processing plants, and the Blackcomb and Rio Bravo pipelines, all set to enter service between 2025 and 2029 [10] Investment Outlook - The company has demonstrated strong income growth through organic projects and acquisitions, making it an attractive option for investors seeking a lucrative income stream [11]

FINDLAY, Ohio, Feb. 28, 2025 /PRNewswire/ -- MPLX LP (NYSE: MPLX) today announced it has signed a definitive agreement with affiliates of WhiteWater and Diamondback Energy to acquire the remaining 55% interest in BANGL, LLC for $715 million. Additionally, upon achievement of specific financial performance metrics, MPLX would make earnout payments up to a specified cap. The transaction is immediately accretive and is expected to generate mid-teen returns for the partnership."With full ownership of BANGL and ...

Core Viewpoint - MPLX LP has filed its Annual Report on Form 10-K for the year ended December 31, 2024, with the U.S. Securities and Exchange Commission, which is accessible on its website [1] Company Overview - MPLX LP is a diversified, large-cap master limited partnership that operates midstream energy infrastructure and logistics assets, providing fuels distribution services [3] - The company's assets include a network of crude oil and refined product pipelines, an inland marine business, light-product terminals, storage caverns, refinery tanks, docks, loading racks, and associated piping [3] - MPLX also owns crude oil and natural gas gathering systems and pipelines, as well as natural gas and NGL processing and fractionation facilities in key U.S. supply basins [3]

Financial Performance - Total revenues and other income for 2024 reached $11,933 million, an increase of 5.8% compared to $11,281 million in 2023[502]. - Net income attributable to MPLX LP for 2024 was $4,290 million, reflecting a 12.1% increase from $3,829 million in 2023[502]. - The company reported a comprehensive income of $4,318 million for 2024, compared to $3,932 million in 2023[505]. - Net income for 2024 was $4,357 million, an increase of 9.8% compared to $3,966 million in 2023[509]. - Income from equity method investments rose to $802 million in 2024, a significant increase from $600 million in 2023[502]. - Distributions to LP unitholders increased to $3,559 million in 2024 from $3,181 million in 2023, marking a rise of 11.9%[509]. - Cash and cash equivalents increased to $1,519 million in 2024, up from $1,048 million in 2023[507]. - Total assets grew to $37,511 million in 2024, compared to $36,529 million in 2023, marking a 2.7% increase[507]. - Total liabilities increased to $23,501 million in 2024, up from $22,945 million in 2023[507]. - The company reported a total equity balance of $13,807 million at the end of 2024, up from $12,689 million in 2023[511]. Operational Capacity and Developments - As of December 31, 2024, MPLX had approximately 10.2 Bcf/d of gas gathering capacity, 12.4 Bcf/d of natural gas processing capacity, and 829 mbpd of fractionation capacity[36]. - MPLX announced the construction of a Gulf Coast fractionation complex with two 150 mbpd facilities, expected to be operational in 2028 and 2029[28]. - A strategic joint venture was formed to develop a 400 mbpd LPG export terminal and associated pipeline, anticipated to be in service in 2028[28]. - The Crude Oil and Products Logistics segment includes a network of 14,766 miles of pipelines and associated storage assets[34]. - Under transportation services agreements, MPC has committed to minimum volumes of 1,904 mbpd for crude pipelines and 1,595 mbpd for refined product pipelines[42]. Regulatory and Compliance Issues - The company is subject to various environmental regulations, including the Clean Water Act and the Clean Air Act, which may impact operational costs[68]. - MPLX's natural gas pipeline operations are regulated by FERC, which oversees rates and service terms to ensure they are just and reasonable[76]. - State regulations may limit MPLX's ability to increase rates for intrastate services, affecting revenue potential[74]. - The company is subject to multiple federal and state regulations, including the Hazardous Liquid Pipeline Safety Act and the Pipeline Safety Act, which impose safety standards and compliance requirements[83]. - The company believes its operations are in substantial compliance with environmental laws, but future regulatory changes may lead to increased compliance costs and operational delays[87]. - The EPA's recent regulations regarding hazardous substances, including PFOA and PFOS, could impact the company's remediation costs, although the exact effects are currently unpredictable[90]. - Regulatory uncertainty surrounding the definition of "waters of the United States" may result in delays in permitting and impact pipeline construction and maintenance activities[95]. - The company has utilized AFFF containing PFAS chemicals for emergency response, which are currently the most effective foams for controlling petroleum-based liquid fires[97]. - EPA issued a final rule on December 2, 2023, regulating methane emissions from the Oil and Natural Gas Sector, requiring MPLX to control and reduce methane emissions in its operations[105]. - The Inflation Reduction Act of 2022 imposes a charge on methane emissions starting at $900 per metric ton in 2024, increasing to $1,500 per metric ton by 2026[106]. - Compliance with the Endangered Species Act may increase operating and capital costs due to potential delays in construction activities[107]. Risk Management and Financial Strategies - The company employs various strategies, including commodity derivative instruments, to hedge against commodity price risks, which directly affect profitability[465]. - The company’s risk management policy prohibits entering into speculative positions with derivative contracts[465]. - The company is exposed to credit risk from non-payment by customers, which is monitored through financial condition analysis and ongoing credit term assessments[475]. - The company’s management concluded that its internal control over financial reporting was effective as of December 31, 2024[483]. - A sensitivity analysis indicated that a hypothetical 100-basis-point change in interest rates would not have incremental effects on income before income taxes, given no open commodity derivative contracts[470]. - The company’s fixed-rate debt was valued at $19,574 million as of December 31, 2024, with a potential income change of $1,489 million from a 100-basis-point decrease in yield[472]. Employee and Organizational Insights - As of December 31, 2024, MPLX's general partner and its affiliates employed approximately 5,560 full-time employees[122]. - The company believes that its collaborative efforts and inclusive environment contribute to increased employee engagement and fulfilling careers[121]. - MPLX's employee compensation includes an annual bonus program that rewards employees based on the achievement of preset goals[127]. Accounting and Financial Reporting - The company does not elect hedge accounting for any derivatives, with changes in fair value reported in product sales and purchased product costs[549]. - Cash and cash equivalents include highly liquid investments with original maturities of three months or less[529]. - Receivables are recorded at the invoiced amount, with allowances for doubtful accounts reviewed quarterly[530]. - MPLX's inventories are valued at the lower of cost or net realizable value, determined primarily using the weighted-average cost method[534]. - The company assesses long-lived assets for impairment whenever changes indicate that the carrying value may not be recoverable[540]. - Equity investments in unconsolidated affiliates are accounted for using the equity method and reported in equity method investments on the balance sheets[537]. - MPLX utilizes the asset and liability method for accounting income taxes[554]. - Deferred income taxes are recognized for future tax consequences due to differences between financial statement carrying amounts and tax basis[554]. - Deferred tax assets and liabilities are measured using enacted tax rates applicable to taxable income in the years those temporary differences are expected to be resolved[554]. - Changes in tax rates affect deferred taxes, recognized as tax expense or benefit[554].

Core Viewpoint - The article highlights MPLX LP as a promising investment opportunity, particularly in the context of seeking new dividend opportunities amidst a challenging environment for growth stocks [1]. Company Overview - MPLX LP is positioned as a significant player in the oilfield industry, attracting attention for its potential to deliver dividends [1]. Analyst Background - The author has extensive experience in finance, particularly in the oilfield and real estate sectors, with over a decade of experience in complex due diligence and M&A transactions [1]. - The author has also provided equity research services for a Dubai-based family office managing over $20 million in assets [1]. Investment Insights - The article emphasizes the importance of analyzing financial statements and market trends to identify growth drivers in various industries, showcasing the author's expertise in equity research [1].