Kinder Morgan(US:KMI)2025-01-23 01:02Financial Performance & Guidance - Kinder Morgan projects an adjusted EPS of $1.27 for 2025, an 8% increase driven by growth projects in the Natural Gas segment and ETV group[9] - The company forecasts adjusted EBITDA of $8.3 billion for 2025, a 4% increase[9] - The company plans discretionary capital expenditures of $2.3 billion, including ~$1.6 billion for infrastructure projects at an EBITDA multiple of <6x and ~$0.7 billion for G&P & CO2 EOR projects at attractive returns[9] - Kinder Morgan aims for a year-end Net Debt / Adjusted EBITDA ratio of 3.8x, within the lower part of their 3.5x – 4.5x leverage target range[9] - The company plans to increase the dividend per share by 2% to $1.17, marking the 8th consecutive annual increase[9] Business Segments & Strategy - Natural gas accounts for approximately 64% of Kinder Morgan's cash flows[11, 16] - The company transports approximately 40% of U S natural gas production[10, 16] - Kinder Morgan has committed to ~$5.1 billion of high-returning growth projects with an EBITDA build multiple of <6x[17] - The company's business mix has shifted since 2014, with Natural Gas Transmission & Storage increasing by 14% and CO2 EOR decreasing by 11%[21] Market Outlook & Growth Opportunities - U S natural gas demand is projected to increase by 19% from 2023 to 2030[36] - LNG feedgas demand is expected to drive natural gas demand growth, particularly along the Texas & Louisiana Gulf Coast[47, 49] - Kinder Morgan has long-term contracts to move ~8 bcfd to LNG facilities today and ~10 bcfd by the end of 2025, and is pursuing ~11 bcfd of additional opportunities[49]