Energy Transfer (ET) Q2 2024 earnings summary

Executive summary

• Net income for Q2 2024 was $1.99 billion, up 62% year-over-year, driven by higher segment margins and a $598 million gain from Sunoco LP's West Texas asset sale.

• Adjusted EBITDA for Q2 2024 was $3.76 billion, up 20% from Q2 2023, including over $80 million in transaction expenses and reflecting contributions from recent acquisitions and new assets.

• Record operational volumes achieved in crude oil, NGL transportation, exports, and terminal operations, with multiple new assets placed in service.

• Major acquisitions included WTG Midstream and NuStar, and a new Permian joint venture was formed with Sunoco LP.

• Quarterly distribution per common unit increased to $0.32, up 3.2% year-over-year.

Financial highlights

• Q2 2024 revenues were $20.73 billion, up from $18.32 billion in Q2 2023; six-month revenues reached $42.36 billion.

• Operating income for Q2 2024 was $2.30 billion, up from $1.84 billion year-over-year.

• Distributable cash flow (DCF) for Q2 2024 was $2.04 billion, up from $1.55 billion year-over-year.

• Growth capital expenditures for Q2 2024 were $549 million; maintenance capital expenditures were $223 million.

• Moody’s upgraded senior unsecured debt rating to Baa2 in June 2024.

Outlook and guidance

• 2024 Adjusted EBITDA guidance raised to $15.3–$15.5 billion, up from $15.0–$15.3 billion, reflecting acquisitions and base business outperformance.

• 2024 growth capital expenditures expected to be $3.1 billion, reflecting acquisitions and accelerated projects.

• Guidance revised to include WTG acquisition and base business outperformance, despite over $100 million in transaction costs.