Hess Midstream LP(US:HESM)2025-04-30 12:00Financial Performance - First quarter 2025 net income was $161.4 million, a slight decrease from $161.9 million in the first quarter of 2024, with net income attributable to Hess Midstream LP at $71.6 million or $0.65 per Class A share, up from $0.60 per Class A share in the prior year[1][6]. - Adjusted EBITDA for the first quarter of 2025 was $292.3 million, compared to $274.5 million in the first quarter of 2024, reflecting a year-over-year increase[7][17]. - Revenues for the first quarter of 2025 were $382.0 million, an increase of $26.4 million from $355.6 million in the prior-year quarter, primarily due to higher physical volumes[5][19]. - Total revenues for Q1 2025 were $382.0 million, an increase of 7.5% from $355.6 million in Q4 2024[27]. - Net income attributable to Hess Midstream LP for Q1 2025 was $71.6 million, compared to $44.6 million in Q1 2024, representing a 60.2% increase[27]. - Income from operations for Q1 2025 was $237.4 million, up from $222.0 million in Q4 2024, reflecting a growth of 6.9%[27]. - Affiliate services revenue in Q1 2025 was $374.3 million, compared to $349.4 million in Q4 2024, marking a 7.0% increase[27]. Operational Metrics - Throughput volumes increased by 8% for gas processing, 7% for oil terminaling, and 9% for water gathering compared to the first quarter of 2024, driven by higher production levels[4][9]. - Gas gathering throughput volumes increased to 431 Mcf of natural gas per day in Q1 2025, up from 404 Mcf per day in Q1 2024[33]. - Crude oil gathering volumes rose to 117 bopd in Q1 2025, compared to 106 bopd in Q1 2024[33]. - The company reported an increase in gas processing volumes to 424 Mcf of natural gas per day in Q1 2025, compared to 393 Mcf per day in Q1 2024[33]. - Crude terminals throughput was 125 bopd in Q1 2025, slightly up from 117 bopd in Q1 2024[33]. Expenses and Cash Flow - Capital expenditures for the first quarter of 2025 totaled $50.1 million, up from $35.2 million in the prior-year quarter, mainly due to the expansion of gas compression and pipeline infrastructure[10][17]. - Interest expense for the first quarter of 2025 was $56.4 million, an increase from $48.5 million in the prior-year quarter, primarily due to new debt issuances[5][17]. - Adjusted Free Cash Flow for the first quarter of 2025 was $190.7 million, slightly down from $192.9 million in the first quarter of 2024[7][17]. - Operating and maintenance expenses for Q1 2025 were $85.6 million, up from $78.1 million in Q4 2024, indicating a rise of 9.6%[27]. - Interest expense for Q1 2025 was $56.4 million, compared to $48.5 million in Q4 2024, an increase of 16.3%[27]. - Operating and maintenance expenses totaled $92.7 million in Q4 2024, with depreciation expenses at $51.3 million[31]. - The company experienced a net interest expense of $52.2 million in Q4 2024, impacting overall profitability[31]. Guidance and Future Outlook - Hess Midstream reaffirmed its full year 2025 guidance, projecting net income between $715 million and $765 million, Adjusted EBITDA between $1,235 million and $1,285 million, and capital expenditures of $300 million[12][20]. - The company anticipates continued growth in revenues and profitability, driven by strategic investments and market expansion[23]. - Hess Midstream LP is actively pursuing opportunities for organic growth and potential acquisitions to enhance its service offerings[23]. - The company is closely monitoring the impact of global economic conditions and regulatory changes on its operations and financial performance[23]. Debt and Financing - The company had a drawn balance of $128.0 million on its revolving credit facility as of March 31, 2025, following the issuance of $800.0 million in senior unsecured notes[8][12].