Cheniere Partners Q3 Earnings Miss Estimates on Higher Expenses

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]