Enbridge Energy Partners Beats Q3 Earnings by a Penny
Enbridge Energy Partners L.P.EEP reported third-quarter 2015 adjusted earnings of 23 cents per unit, which beat the Zacks Consensus Estimate by a penny. Earnings, however, were below the year-earlier profit of 25 cents.
Total revenue of $1,267.7 million in the quarter plunged 34.7% from $1,942.3 million in the year-ago quarter.
Enbridge declared quarterly cash distribution of 58.3 cents per unit ($2.2332 per unit annualized). The distribution will be paid on Nov 13 to unitholders on record at the close of business on Nov 6, 2015.
Operating income in the Liquids segment rose about 9.4% to $295.1 million in the quarter from the year-earlier level of $269.7 million. The segment witnessed an increase in transportation rates and higher deliveries on liquids pipeline systems. Moreover, growth projects commissioned in 2014 and 2015 contributed significantly to the increase in revenues. Total liquids system deliveries were up approximately 6.5% year over year.
Operating income of $9.9 million in the Natural Gas segment compared favorably with the prior-year quarter operating loss of $3.2 million. The increase in adjusted operating income is mainly attributable to higher natural gas liquids production volumes on the partnership's major systems along with higher storage margins and seasonal optimization opportunities in its NGL marketing business. Lower operating and administrative expenses related to cost-reduction measures undertaken also contributed to growth in adjusted operating income.
Enbridge Energy carries a Zacks Rank #3 (Hold). Some better-ranked stocks from the oil and gas sector are Natural Gas Services Group Inc. NGS , Sprague Resources LP SRLP and Seadrill Partners L.P SDLP . Each of these stocks sports a Zacks Rank #1 (Strong Buy).