Financial Data and Key Metrics Changes - Kinetic reported adjusted EBITDA of $250 million for Q1 2025, a 7% increase year-over-year driven by process gas volume growth and margin expansion in the Midstream Logistics segment [6][14] - Distributable cash flow was $157 million, and free cash flow was $120 million for the quarter [14] - The company affirmed full-year adjusted EBITDA guidance of $1.09 billion to $1.15 billion, expecting a meaningful acceleration in growth during the second half of the year [15][16] Business Line Data and Key Metrics Changes - The Midstream Logistics segment generated adjusted EBITDA of $159 million, up 11% year-over-year due to increased processed gas volumes and margin expansion from Northern Delaware assets [14] - The Pipeline Transportation segment reported adjusted EBITDA of $94 million, down 2% year-over-year, primarily due to the absence of contributions from Gulf Coast Express following its sale [15] Market Data and Key Metrics Changes - Kinetic's operations are primarily focused on the Permian Basin, which is expected to remain resilient despite macroeconomic challenges [8][10] - The company anticipates over 1 billion cubic feet per day of gas growth per year, even if Permian crude production remains flat [10] Company Strategy and Development Direction - Kinetic is focused on providing flow assurance and operational reliability to producer customers, with a strong emphasis on organic and inorganic growth opportunities [10][12] - The company announced a $500 million share repurchase program, reflecting confidence in its value proposition and commitment to returning capital to shareholders [6][13] - Kinetic is taking a measured approach to future spending, with less than $50 million of committed growth capital in 2026, allowing flexibility in investment decisions [12] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the company's positioning to navigate macroeconomic uncertainties, highlighting a strong free cash flow profile and industry-leading earnings growth outlook [11][19] - The management noted that while commodity prices have declined, 83% of expected gross profit for 2025 is sourced from fixed fee agreements, providing stability [16][17] Other Important Information - Kinetic has made substantial progress on strategic projects, including the commissioning of the King's Landing complex, expected to unlock over 100 million cubic feet per day of currently curtailed volumes [16][19] - The company is also exploring behind-the-meter power generation opportunities, which could optimize costs and enhance operational efficiency [10][110] Q&A Session Summary Question: Long-term growth drivers - Management indicated that the company expects to maintain a 10% compound annual growth rate (CAGR) through 2029, driven by contractual resets and growth in New Mexico [21][24] Question: Capital allocation and buybacks - Management confirmed a flexible approach to capital allocation, emphasizing the value seen in the current share price and the potential for M&A opportunities [27][30] Question: Macro environment and CapEx adjustments - Management acknowledged uncertainty in the macro environment but indicated that they are seeing yellow lights rather than red, allowing for cautious progress on large infrastructure projects [54][55] Question: Commodity exposure and hedging - Management stated that approximately 83% of gross profit is fee-based, with only 15% directly tied to commodity prices, indicating a strong hedging strategy [61][62] Question: Performance of Barilla Draw assets - Management reported that the Barilla Draw acquisition has exceeded expectations, with significant activity anticipated in the coming years [105][106]

Core Viewpoint - Energy Transfer (ET) is a midstream master limited partnership (MLP) offering a high yield of 7.8% supported by a growing distribution, but potential investors should consider its past distribution cut and management decisions before investing while the stock trades below $20 [1][4][9] Company Overview - Energy Transfer operates in the midstream sector, facilitating the transportation of oil and natural gas from production sites to consumption points, primarily earning fees for asset usage, which provides reliable cash flows even during downturns in the energy industry [1][3] - The company also serves as the general partner for two other publicly traded MLPs: Sunoco, which delivers gasoline, and USA Compression Partners, which offers compression services for pipelines, alongside overseeing liquefied natural gas projects [3] Distribution and Financial Performance - The quarterly distribution has been consistently increased since Q4 2021, indicating a positive trend in cash flow and distribution growth [1] - Despite the attractive yield, the company previously cut its distribution by 50% during the COVID-19 pandemic to reduce balance sheet leverage, raising concerns about income consistency for potential investors [5][6] Management and Trust Issues - The company faced scrutiny over its decision to back out of a significant acquisition of Williams in 2016, which raised questions about management's trustworthiness and decision-making, particularly as the former CEO, who was involved in the deal, is now the chairman of the board [7][8] Competitive Landscape - While Energy Transfer's high yield and reliable cash flows may appeal to some income investors, alternatives such as Enterprise Products Partners and Enbridge are suggested, which offer attractive yields of 7% and 5.8% respectively, along with a history of consistent annual distribution increases and no controversial acquisition history [9]

Financial Performance - Western Midstream reported revenue of $917.12 million for the quarter ended March 2025, a year-over-year increase of 3.3% [1] - The EPS for the same period was $0.79, down from $1.47 a year ago, indicating a decline [1] - The reported revenue fell short of the Zacks Consensus Estimate of $945.11 million, resulting in a surprise of -2.96% [1] - The company experienced an EPS surprise of -4.82%, with the consensus EPS estimate being $0.83 [1] Key Metrics - Shares of Western Midstream returned +1.9% over the past month, compared to the Zacks S&P 500 composite's +10.6% change [3] - The stock currently holds a Zacks Rank 3 (Hold), suggesting it may perform in line with the broader market in the near term [3] Throughput Analysis - Natural gas assets throughput attributable to noncontrolling interest was 181 million cubic feet per day, slightly below the average estimate of 183.9 million cubic feet [4] - Total natural gas throughput was 5,291 million cubic feet per day, compared to the average estimate of 5,394.61 million cubic feet [4] - Total throughput attributable to WES for natural gas assets was 5,110 million cubic feet, below the average estimate of 5,210.71 million cubic feet [4] - Delaware Basin natural gas throughput was 1,975 million cubic feet, compared to the average estimate of 1,988 million cubic feet [4] - Produced-water assets throughput in the Delaware Basin was 1,190 million barrels of oil, slightly above the average estimate of 1,189.3 million barrels [4] - Crude oil and NGLs throughput in the Delaware Basin was 256 million barrels, below the average estimate of 265.83 million barrels [4] - Other revenues reported were $0.20 million, significantly lower than the estimated $15.40 million, representing a -54.5% change compared to the year-ago quarter [4]

Financial Performance - Adjusted EBITDA for Q1 2025 was $250 million[6], compared to $233559 thousand for Q1 2024[39] - Free Cash Flow for Q1 2025 was $120 million[6], compared to $107511 thousand for Q1 2024[43] - Capital Expenditures for Q1 2025 were $78 million[6] - The company is affirming FY 2025 Adjusted EBITDA guidance of $109 billion to $115 billion[9] - The company is affirming FY 2025 Capital Guidance of $450 million to $540 million[9] Operational Highlights - Average gas processed volumes for Q1 2025 were 180 Bcfpd, a 17% year-over-year increase[14] - Midstream Logistics Adjusted EBITDA for Q1 2025 was $159 million, an 11% year-over-year increase[14] - Pipeline Transportation Adjusted EBITDA for Q1 2025 was $94 million, a 2% year-over-year decrease[14] - Construction of the 220 Mmcfpd Kings Landing Complex is progressing, with commissioning expected to begin in six weeks[9] Strategic Initiatives - The company authorized a $500 million share repurchase program[9] - The company issued $250 million of 6625% sustainability-linked senior notes[9]

Core Insights - Summit Midstream Corporation reported financial and operational results for Q1 2025, achieving adjusted EBITDA of $57.5 million and net income of $4.6 million, aligning with management expectations [3][6][41] - The company connected 41 new wells during the quarter and maintained an active customer base with six drilling rigs and over 100 DUCs behind its systems [3][6] - The outlook for natural gas remains favorable, while crude oil prices have softened, impacting the Rockies segment's performance [3][4] Financial Performance - Adjusted EBITDA for Q1 2025 was $57.5 million, down from $70.1 million in Q1 2024, with cash flow available for distributions at $33.5 million [6][41] - Total revenues increased to $132.7 million in Q1 2025 from $118.9 million in Q1 2024, driven by gathering services and related fees [41] - Capital expenditures totaled $20.6 million in Q1 2025, primarily for pad connections and optimization projects [15][41] Segment Performance - Natural gas price-driven segments generated $34.2 million in adjusted EBITDA, a 39% increase from Q4 2024, with the Mid-Con segment adjusted EBITDA rising to $22.5 million [7][12] - Oil price-driven segments produced $33.1 million in adjusted EBITDA, a 6.8% increase from Q4 2024, with the Rockies segment adjusted EBITDA at $24.9 million [12][14] - The Piceance segment's adjusted EBITDA remained flat at $11.8 million, impacted by lower volume throughput [8][12] Operational Highlights - Average daily natural gas throughput increased by 19.8% to 883 MMcf/d, while liquids volumes rose by 8.8% to 74 Mbbl/d compared to Q4 2024 [4][42] - The Double E pipeline transported an average of 664 MMcf/d, contributing $8.3 million in adjusted EBITDA for the quarter [4][12] - The company has a strong balance sheet with $26.2 million in unrestricted cash and $354 million of borrowing availability under its ABL Revolver as of March 31, 2025 [19][20] Strategic Initiatives - The company completed the acquisition of Moonrise Midstream in the DJ Basin and executed a $10 million optimization project in the Rockies, expected to enhance adjusted EBITDA margins [6][12] - Summit Midstream reinstated cash dividends on its Series A Preferred Stock, with the next payment scheduled for June 14, 2025 [23][41] - The company continues to monitor the impact of tariffs and crude oil price fluctuations on its operations and customer drilling plans [3][6]

Core Insights - Western Midstream Partners, LP reported a net income attributable to limited partners of $301.8 million for Q1 2025, translating to $0.79 per common unit diluted, with Adjusted EBITDA of $593.6 million [1][6] - The company announced a quarterly distribution of $0.910 per unit, reflecting a 4% increase from the previous quarter [3][6] - Despite a sequential decrease in throughput across natural gas, crude oil, and produced water, the company remains optimistic about growth driven by operations in the Delaware Basin and ongoing projects [4][5] Financial Performance - Q1 2025 Cash flows from operating activities totaled $530.8 million, with Free Cash Flow amounting to $399.4 million [1][6] - Capital expenditures for the quarter were reported at $163.6 million, with full-year guidance for capital expenditures expected to range between $625 million and $775 million [1][5] - The company retired $664 million of senior notes in January 2025, enhancing its financial position [7] Operational Highlights - Natural gas throughput averaged 5.1 Bcf/d, a 2% decrease from the previous quarter, while crude oil and NGLs throughput averaged 503 MBbls/d, reflecting a 6% decrease [4][26] - The North Loving natural gas processing plant commenced operations ahead of schedule, increasing processing capacity by 250 MMcf/d [5][7] - Record natural gas throughput in the Delaware Basin reached 2.0 Bcf/d, indicating a modest sequential increase [7] Strategic Outlook - The company maintains its 2025 guidance, expecting throughput growth across all products, primarily driven by the Delaware Basin and the Altamont pipeline tie-in [5] - WES emphasizes its commitment to operational excellence and financial flexibility, with a net leverage ratio below 3.0 times and $2.4 billion in liquidity [5] - The investment thesis remains strong, supported by a compelling tax-deferred distribution yield and a disciplined approach to capital allocation [5]

Core Insights - MPLX LP reported first-quarter 2025 earnings of $1.10 per unit, exceeding the Zacks Consensus Estimate of $1.06, and improved from $0.98 in the same quarter last year [1] - Total quarterly revenues reached $3.12 billion, falling short of the Zacks Consensus Estimate of $3.21 billion, but increased from $2.85 billion year-over-year [1] Segment Performance - The Crude Oil and Products Logistics segment's adjusted EBITDA rose to $1.1 billion from $1.06 billion a year ago, driven by increased rates and higher pipeline throughputs, which averaged 5.93 million barrels per day (mbpd), a 12% increase from 5.29 mbpd in the prior year [3] - Adjusted EBITDA from the Natural Gas and NGL Services segment increased to $660 million from $576 million, supported by higher volumes from the Utica and Permian Basins and a non-recurring benefit of $37 million from a customer agreement [4] Operational Metrics - Gathering throughput volumes averaged 6.5 billion cubic feet per day (Bcf/d), reflecting a 5% increase year-over-year, while natural gas processed volumes totaled 9.8 Bcf/d, indicating a 4% improvement [5] - Total costs and expenses rose to $1.76 billion from $1.6 billion, primarily due to higher operating expenses and increased depreciation and amortization [6] Cash Flow and Financial Position - Distributable cash flow for the quarter was $1.49 billion, providing 1.5X distribution coverage, up from $1.37 billion in the previous year [7] - Adjusted free cash flow increased to $641 million from $294 million year-over-year [7] - As of March 31, 2025, the partnership held $2.5 billion in cash and cash equivalents, with total debt at $22.4 billion [8]

Financial Data and Key Metrics Changes - The company reported approximately $117 million in quarterly adjusted EBITDA, an increase from $102 million in the same period of 2024, indicating a strong performance [4][13] - Distributable cash flow as adjusted was $75 million, with a DCF coverage ratio of approximately 1.27 times, expected to rise throughout the year [13] - The capital program for the first quarter was approximately $72 million, with $52 million attributed to the construction of the Libbey II gas processing plant [15][16] Business Line Data and Key Metrics Changes - For the Gathering and Processing segment, adjusted EBITDA was $81 million compared to $50 million in Q1 2024, primarily due to acquisitions [14] - Wholesale marketing and terminalling adjusted EBITDA decreased to $18 million from $25 million, attributed to seasonal weather impacts [14] - Storage and transportation adjusted EBITDA was $14 million, down from $18 million, due to renegotiation impacts [14] - Investments in the pipeline joint venture segment contributed $10 million, up from $8 million in Q1 2024 [14] Market Data and Key Metrics Changes - The company is increasing its economic separation from DK, with third-party contributions to cash flow rising from 70% to around 80% on a pro forma basis [4][20] - The Delaware Basin is expected to continue growing, with the company maintaining a competitive position despite near-term crude price volatility [5][6] Company Strategy and Development Direction - The company is focused on enhancing its competitive position in the Midland and Delaware Basins through acquisitions and operational improvements [5][9] - The commissioning of the Libbey II gas plant is expected to add 100 million to 120 million cubic feet per day of incremental capacity [9][10] - The company aims to improve margins across operations while managing liquidity and leverage effectively [12][16] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the growth potential of the Delaware Basin and the overall partnership, emphasizing prudent management of leverage and coverage [6][12] - The company anticipates continued value creation and growth in distributions moving forward [6][16] Other Important Information - The Board of Directors approved a 49th consecutive increase in the quarterly distribution to $1.11 per unit [6] - The company has authorization to buy back common units of up to $150 million from DK through 2026, with $10 million repurchased in Q1 [12] Q&A Session Summary Question: Details on intercompany agreements and optimization opportunities - Management clarified that the intercompany transaction involved cleaning up contracts and moving some midstream activities from DK to DKL, with no net material impact on EBITDA [20] Question: Customer feedback and contract mix in the current macro environment - Management reported stable volumes in the Midland Basin and increasing water volumes, indicating a strong customer base and competitive advantage [22][25] Question: CapEx and gas plant ramp-up - Management noted that CapEx was heavy in the first half, with limited material investment expected in the second half, and emphasized the importance of the Libbey II gas plant for meeting existing demand and supporting acreage growth [26][27]

Financial Data and Key Metrics Changes - Delek Logistics Partners reported approximately $117 million in quarterly adjusted EBITDA, an increase from $102 million in the same period of 2024, indicating a year-over-year growth of approximately 14.7% [4][13] - Distributable cash flow as adjusted was $75 million, with a DCF coverage ratio of approximately 1.27 times, expected to rise throughout the year [13] - The company is on track to deliver full-year EBITDA guidance of $480 million to $520 million [4][16] Business Line Data and Key Metrics Changes - Gathering and Processing segment adjusted EBITDA for the quarter was $81 million, up from $50 million in Q1 2024, reflecting a significant increase due to acquisitions [14] - Wholesale marketing and terminalling adjusted EBITDA decreased to $18 million from $25 million in the prior year, primarily due to seasonal weather impacts [14] - Storage and transportation adjusted EBITDA was $14 million, down from $18 million in Q1 2024, attributed to renegotiation impacts [14] - Investments in pipeline joint venture segment contributed $10 million, compared to $8 million in the same quarter of the previous year [14] Market Data and Key Metrics Changes - The company is enhancing its competitive position in the Midland Basin through intercompany transactions and acquisitions, increasing third-party contribution to cash flow from 70% to around 80% on a pro forma basis [4][20] - The Delaware Basin is expected to continue growing, with the company optimistic about its competitive position despite near-term crude price volatility [6] Company Strategy and Development Direction - The company is focused on increasing its economic separation from DK and enhancing its position as a full-service crude, natural gas, and water provider in the Permian Basin [4][5] - The commissioning of the Libbey II gas plant is expected to add 100 million to 120 million cubic feet per day of incremental capacity, with plans for future expansions [8][9] - The company aims to improve operational efficiency and margins across its operations [10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the growth potential of the Delaware Basin and the overall partnership, emphasizing prudent management of leverage and coverage [6][12] - The company is optimistic about the prospects of direct logistics and plans to continue its value creation path moving forward [6] Other Important Information - The Board of Directors approved a 49th consecutive increase in the quarterly distribution to $1.11 per unit [6] - The capital program for Q1 was approximately $72 million, with significant investments in the Libbey II gas processing plant [15][16] Q&A Session Summary Question: Details on intercompany agreements and optimization opportunities - Management clarified that the intercompany transaction involved cleaning up contracts and moving some midstream activities from DK to DKL, with no net material impact on EBITDA [20] Question: Customer feedback and contract mix in the current macro environment - Management reported stable volumes in the Midland Basin and increasing water volumes, indicating a strong customer base and competitive advantage [22][25] Question: CapEx and future growth plans - Management indicated limited direct commodity exposure with strong counterparties and forecasted an increase in produced water volumes despite volatility [25][26]

Core Insights - Antero Midstream Corporation reported revenue of $291.13 million for Q1 2025, a 4.3% increase year-over-year, with an EPS of $0.25 compared to $0.21 a year ago, exceeding both revenue and EPS consensus estimates [1][3] Financial Performance - Revenue surprise was +3.45% over the Zacks Consensus Estimate of $281.42 million, while the EPS surprise was +8.70% over the consensus estimate of $0.23 [1] - Antero Midstream's stock has returned +9.8% over the past month, compared to the S&P 500 composite's +10.6% change, with a Zacks Rank of 3 (Hold) indicating potential performance in line with the broader market [3] Key Metrics - Average Daily Volumes for Low Pressure Gathering: 3348 million cubic feet, slightly below the estimate of 3349.52 million cubic feet [4] - Average Daily Volumes for High Pressure Gathering: 3106 million cubic feet, above the estimate of 3055.67 million cubic feet [4] - Average Daily Volumes for Compression: 3330 million cubic feet, exceeding the estimate of 3248.62 million cubic feet [4] - Average Daily Volumes for Fresh Water Delivery: 105 million barrels, close to the estimate of 105.44 million barrels [4] - Revenues from Water Handling (Antero Resources): $70.28 million, above the estimate of $66.84 million, representing a +2.7% year-over-year change [4] - Revenues from Gathering and Processing (Antero Resources): $238.02 million, exceeding the estimate of $232.65 million, with a +4.6% year-over-year change [4] - Revenues from Gathering and Processing: $228.75 million, above the estimate of $224.88 million, reflecting a +4.8% year-over-year change [4] - Revenues from Water Handling: $62.38 million, surpassing the estimate of $56.27 million, with a +2.7% year-over-year change [4] - Amortization of customer relationships reported at -$17.67 million, matching the estimate with a year-over-year change of 0% [4]