Cheniere Energy's Q3 Earnings Beat Estimates, Revenues Down Y/Y

Financial Performance - Cheniere Energy, Inc. reported third-quarter 2024 adjusted profit of $3.93 per share, exceeding the Zacks Consensus Estimate of $1.79 and up from $2.37 in the same quarter last year, attributed to a decrease in costs and expenses [1] - Revenues totaled $3.8 billion, surpassing the Zacks Consensus Estimate of $3.7 billion, driven by a year-over-year increase in other revenues to $175 million, which beat the consensus estimate by 15.9%. However, this represents a 9.5% decrease from $4.2 billion in the year-ago quarter due to reduced LNG revenues [2] - Consolidated adjusted EBITDA was $1.5 billion, down 11.7% from the previous year, influenced by moderating international gas prices and a higher share of LNG sold under long-term contracts, resulting in lower margins [5] - Distributable cash flow (DCF) was reported at $0.8 million, with 158 cargoes shipped compared to 152 in the prior year, and total LNG exports increased to 568 trillion British thermal units (TBtu) from 545 TBtu [6] Dividend and Shareholder Returns - Cheniere increased its quarterly dividend by approximately 15%, raising it to 50 cents per share, payable on November 18, 2024 [3] Environmental Initiatives - In October 2024, Cheniere introduced a voluntary target to reduce Scope 1 methane emissions intensity at its liquefaction facilities, aligning with its broader climate strategy and the United Nations Environment Programme's Oil & Gas Methane Partnership 2.0 [4] Credit Ratings and Financial Health - Fitch Ratings upgraded Cheniere Corpus Christi Holdings, LLC's credit rating from BBB to BBB+, marking the 22nd upgrade since 2021. S&P Global Ratings revised the outlook from stable to positive in October 2024 [11] Costs and Balance Sheet - Costs and expenses for the third quarter amounted to $2.1 billion, down 50.7% from the prior year [12] - As of September 30, 2024, Cheniere had approximately $2.7 billion in cash and cash equivalents, with net long-term debt of $22.5 billion and a debt-to-capitalization ratio of 70.7% [12] Future Guidance - The company expects consolidated adjusted EBITDA in the range of $6 billion to $6.3 billion for 2024, with DCF projected between $3.4 billion and $3.7 billion [13] Project Updates - Cheniere operates six natural gas liquefaction trains at the Sabine Pass LNG terminal with a total production capacity of approximately 30 million tons per annum (mtpa) [14] - The SPL Expansion Project is being developed with an anticipated production capacity of up to 20 mtpa [15] - The CCL Project operates three liquefaction trains with a total capacity of around 15 mtpa, and the CCL Stage 3 Project is expected to exceed 10 mtpa [17][18] - As of September 30, 2024, the CCL Stage 3 Project is 67.8% complete, with substantial completion expected between the first half of 2025 and the second half of 2026 [19]