trending Market Intelligence /marketintelligence/en/news-insights/trending/ttavju8az5qeqeviqc3dyg2 content esgSubNav
In This List

Higher sales volume, commodity prices bolster EQT's Q4, FY'17 results

Blog

Q&A: Datacenters: Energy Hogs or Sustainability Helpers?

Blog

Insight Weekly: US stock performance; banks' M&A risk; COVID-19 vaccine makers' earnings

Video

S&P Capital IQ Pro | Powered by Expert Insights

451 Research Podcast

Next in Tech | Episode 41: IoT's Role in Energy and Utilities


Higher sales volume, commodity prices bolster EQT's Q4, FY'17 results

EQT Corp. reported fourth-quarter 2017 net income attributable to the company of $1.28 billion, or $5.83 per share, surging from a loss of $192.0 million, or $1.11 per share, in the year-ago quarter.

The spike in net income stems from the new federal tax laws, which EQT said created a tax benefit of about $1.2 billion for revaluing existing net deferred tax liabilities to lower its corporate tax rate.

Fourth-quarter adjusted net income attributable to EQT also increased to $167.5 million, or 76 cents per share, from $43.8 million, or 25 cents per share, in the corresponding quarter a year ago. The S&P Global Market Intelligence consensus normalized EPS estimate for the fourth quarter was 28 cents.

Sales volume for the quarter totaled 294.4 Bcfe, up from 198.4 in the prior-year period. Average realized gas price also rose to $3.04, from $2.92 in the year-ago period.

For the full year 2017, net income attributable to EQT totaled $1.51 billion, or $8.04 per share, rising from a loss of $453.0 million, or a loss of $2.71 per share, a year ago. Adjusted net income attributable to EQT also surged to $276.3 million, or $1.47 per share, from a loss of $54.3 million, or 33 cents per share, a year ago. The S&P Global Market Intelligence consensus normalized EPS estimate for 2017 was 90 cents.

Sales volume grew 17% year over year to 887.5 Bcfe, from 759.0 Bcfe in 2016. Average realized gas price for 2017 was $3.04, up from $2.47 a year ago.

EQT attributed the increase in fourth-quarter and full-year adjusted earnings to increased sales volume, with higher commodity prices also pulling up full-year results. EQT expects total production sales volume to be within a range of 350 Bcfe to 360 Bcfe in the first quarter, and 1,520 Bcfe to 1,560 Bcfe in 2018. Net income attributable to noncontrolling interest is forecast at $130 million to $140 million in the first quarter, and $560 million to $570 million in 2018.

EQT Midstream

EQT Midstream Partners LP reported fourth-quarter adjusted EBITDA of $185.1 million. The S&P Global Market Intelligence consensus EBITDA estimate for the fourth quarter was $188.9 million.

Net income totaled $146.6 million, or $1.28 per unit, compared to $135.7 million, or $1.31 per unit, in the year-ago quarter. The S&P Global Market Intelligence consensus normalized EPS estimate for the fourth quarter was $1.39.

For the full-year 2017, EQT Midstream's adjusted EBITDA amounted to $689.5 million. The S&P Global Market Intelligence consensus EBITDA estimate for 2017 was $683.4 million.

EQT Midstream reported 2017 net income of $571.9 million, or $5.19 per unit, compared to $538.0 million, or $5.21 per unit, a year ago. The S&P Global Market Intelligence consensus normalized EPS estimate for 2017 was $5.31.

EQT GP Holdings

EQT GP Holdings LP reported fourth-quarter net income attributable to the partnership of $70.3 million, or 26 cents per unit, increasing from $57.6 million, or 22 cents per unit, in the year-ago quarter. For the full year, net income attributable to EQT GP Holdings totaled $262.0 million, or 98 cents per unit, compared to $234.2 million, or 80 cents per unit, a year ago.

EQT GP Holdings owns the general partner interest, all the incentive distribution rights and part of the limited partner interests in EQT Midstream, while EQT Corp. owns the general partner interest and a 90% limited partner interest in EQT GP Holdings.