(Reuters) -Kinder Morgan narrowly missed Wall Street’s expectations for quarterly profit on Wednesday after the U.S. pipeline and terminal operator was hurt by lower crude and condensate transported through its pipelines.
Benchmark crude prices settled down 3% by the end of the year, prompting companies to produce less, thereby affecting the volumes for pipeline operators.
During the quarter, Kinder Morgan’s crude and condensate volumes fell about 5% to 463 barrels of oil per day, compared with last year.
The company also said it is proceeding with the Trident Intrastate Pipeline Project, a 216-mile pipeline build that will provide about 1.5 billion cubic feet per day (bcfd) of capacity from Katy, Texas, to the liquefied natural gas and industrial corridor near Port Arthur.
The announcement comes just days after the U.S. President Donald Trump signed an executive order allowing the Energy Department to restart reviews of applications for approvals of LNG export projects as expeditiously as possible.
The pipeline operator’s revenue for the three months ended Dec. 31 came in at $3.99 billion, compared to $4.04 billion last year.
For the fiscal year 2024, the company reported adjusted profit of $1.15 per share, compared to expectations of $1.20 per share, according to data compiled by LSEG.
The Houston, Texas-based firm posted an adjusted profit of 32 cents per share for the three months ended Dec. 31, compared with analysts’ estimates of 33 cents per share.
(Reporting by Vallari Srivastava in Bengaluru; Editing by Alan Barona)
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