Energy Transfer LP: Q4 Earnings Snapshot - A Resilient Performance Amid Market Fluctuations

Energy Transfer LP (NYSE: ET) reported strong financial results for the fourth quarter of 2024, demonstrating the company's resilience and adaptability in the face of market fluctuations and geopolitical risks. The Partnership's diversified portfolio of energy assets, spanning crude oil, NGLs, refined products, and natural gas, contributed to a balanced earnings structure with no single segment contributing more than one-third of the consolidated Adjusted EBITDA.



Key highlights from Energy Transfer's Q4 2024 earnings report include:

* Net income attributable to partners: $1.08 billion
* Net income per common unit (basic): $0.29
* Adjusted EBITDA: $3.88 billion, an 8% increase from the same period last year
* Distributable Cash Flow attributable to partners, as adjusted: $1.98 billion
* Growth capital expenditures: $1.22 billion, while maintenance capital expenditures were $309 million

Energy Transfer's operational performance in Q4 2024 was marked by significant growth across various segments:

* Crude oil transportation volumes: up 15%
* NGL transportation volumes: up 5%
* NGL exports: up more than 2%
* Midstream gathered volumes: increased 2%
* Interstate natural gas transportation volumes: up 2%

The Partnership's strategic network spanning 44 states and major production basins provided a competitive advantage in the evolving energy landscape. This extensive network, coupled with Energy Transfer's diversified asset portfolio, access to major production basins, interconnected infrastructure, fee-based revenue structure, and barriers to entry, positioned the company favorably in the face of market fluctuations and geopolitical risks.



Energy Transfer's strong operational performance in Q4 2024 can be attributed to several key drivers, including increased crude oil transportation volumes and NGL exports. The Permian joint venture with SUN, the acquisition of Crestwood and WTG assets, the completion of the initial phase of the Sabina 2 pipeline conversion, and the optimization of the Grey Wolf processing plant all contributed to these growth areas.

Looking ahead, Energy Transfer expects its 2025 Adjusted EBITDA to range between $16.1 billion and $16.5 billion. The Partnership expects its growth capital expenditures to be approximately $5.0 billion, with maintenance capital expenditures for 2025 expected to be approximately $1.1 billion.

In conclusion, Energy Transfer LP's Q4 2024 earnings snapshot highlights the company's resilience and adaptability in the face of market fluctuations and geopolitical risks. The Partnership's diversified portfolio of energy assets, strategic network, and strong operational performance position Energy Transfer favorably in the evolving energy landscape. As the company continues to expand its portfolio and explore new revenue streams, investors can expect Energy Transfer to maintain its competitive edge and deliver robust returns.