Kinder Morgan’s Q3 Results Miss on Earnings but Beat Revenue

Kinder Morgan, Inc. (NYSE:KMI) delivered mixed third-quarter results, with earnings per share falling short of analyst estimates but revenue coming in above expectations.

In Q3, Kinder Morgan reported adjusted EPS of $0.25, just below the expected $0.27. Revenue, however, reached $3.7 billion, surpassing the forecasted $4.03 billion. Net income attributable to KMI rose to $625 million, up from $532 million year-over-year, while adjusted EBITDA increased by 2% to $1.88 billion.

Kinder Morgan generated $1.2 billion in cash flow from operations and $600 million in free cash flow after capital expenditures. During the quarter, Kinder Morgan finalized a $455 million expansion of the Gulf Coast Express Pipeline and advanced several other projects. The company also engaged in ongoing discussions about new opportunities in natural gas demand to support electric generation, artificial intelligence operations, and data centers.

For fiscal 2024, Kinder Morgan adjusted its outlook slightly, now expecting Adjusted EBITDA to finish approximately 2% below its budget and Adjusted EPS to be around 4% under target. Nonetheless, the company anticipates year-over-year growth of 5% in Adjusted EBITDA and a 9% rise in Adjusted EPS compared to 2023.