Cheniere releases results for Q4 and full year 2017
Published by Will Owen,
Cheniere Energy, Inc. reported net income of US$127 million, or US$0.54 per share (basic and diluted), for the three months ended 31 December 2017, compared to net income of US$110 million, or US$0.48 per share (basic and diluted), for the comparable 2016 period. The increase in net income was primarily due to increased income from operations as a result of additional trains in operation at the SPL Project and decreased loss on early extinguishment of debt, partially offset by decreased derivative gain associated with interest rate derivative activity, increased allocation of net income to non-controlling interest, and increased interest expense, net of amounts capitalised.
Cheniere reported net loss of US$393 million, or US$1.68 per share (basic and diluted), for the twelve months ended 31 December 2017, compared to net loss of US$610 million, or US$2.67 per share (basic and diluted), for the comparable 2016 period. The decrease in net loss was primarily due to increased income from operations as a result of additional trains in operation at the SPL Project, partially offset by increased allocation of net income to non-controlling interest and increased interest expense, net of amounts capitalised.
Consolidated Adjusted EBITDA for the three and twelve months ended 31 December 2017 was US$523 million and US$1.8 billion, respectively, compared to US$136 million and US$155 million for the comparable 2016 periods. The increases in Consolidated Adjusted EBITDA during the respective periods were primarily due to increased income from operations.
During the three and twelve months ended 31 December 2017, 70 and 205 LNG cargoes, respectively, were exported from the SPL Project, of which 2 and 14, respectively, were commissioning cargoes. 12 cargoes exported from the SPL Project and sold on a delivered basis were in transit as of 31 December 2017.
"2017 was a breakthrough year for Cheniere, with milestone achievements throughout the company, and with 2018 off to a robust start, we are raising our full year guidance," said Jack Fusco, Cheniere's President and CEO. "In 2017, we demonstrated our commitment to execution and operational excellence by bringing the third and fourth Trains at Sabine Pass online ahead of schedule and on budget, fulfilling our obligations to our foundation customers, and successfully marketing and delivering portfolio LNG volumes. Financially, we delivered on revised guidance and strengthened the balance sheets across our structure. Strategically, we have made significant recent progress toward FID for Train 3 at Corpus Christi by entering into three long-term SPAs, two with CNPC and one with Trafigura, and by issuing Bechtel a limited notice to proceed under the EPC Contract for Train 3."
"As we begin 2018, we are committed to capitalising on these successes by continuing to supply LNG safely and reliably to our customers, progressing construction on Train 5 at Sabine Pass and Trains 1 and 2 at Corpus Christi, and delivering on our growth plans by expanding our liquefaction platform beyond seven trains."
Read the article online at: https://www.lngindustry.com/liquid-natural-gas/22022018/cheniere-releases-results-for-q4-and-full-year-2017/
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