Enterprise Products Partners L.p. · NYSE:EPD
Enterprise Products Partners L.p — Q1 2020 Earnings Presentation
20 slides from Enterprise Products Partners L.p's earnings presentation, Apr 29, 2020
Slide 1: First Quarter 2020 Earnings Support Slides
FIRST QUARTER 2020 EARNINGS SUPPORT SLIDES April 29, 2020
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation contains forward-looking statements based on the beliefs of the company, as well as assumptions made by, and information currently available to our management team (including information published by third parties). When used in this presentation, words s
Slide 3: Qualifying Statements
Qualifying Statements • This supplemental package of earnings support slides provides highlights of major variances for the quarter. • This data should be read in conjunction with the information contained in the earnings release for the first quarter of 2020, which provides a more comprehensive des
Slide 4: Indicative Attribution of Gross Operating Margin
Indicative Attribution of Gross Operating Margin Slides 6 and 9–11 attribute gross operating margin (GOM) among fee-based, commodity-based and differential-based business activities. Most activities fit easily into one category; however, the classification of certain activities involves an element o
Slide 5: Enterprise 2020 Financial Outlook
Enterprise 2020 Financial Outlook Capital Expenditure Updates • 2020 Growth Capital Forecast: ≈$2.5–$3 billion Deferred and/or reduced by $1B compared to previous 2020 forecast Currently forecasting 2021 and 2022 growth capital of ≈$2.5B and $1.5B, respectively o Based on sanctioned projects to
Slide 6: Durability of the Business
Durability of the Business Reduce risk through a focus on quality Quality Earnings(1) Quality Customers 2019 GOM $9.0 $8.3B 2019 Top 200 Customers 2019 Top 10 Customers $8.0 10% HY / Not Rated 5% $7.0 4% LC LC 13% 4% $6.0 HY / Not $ in Billions $5.0 Rated $4.0 22% 86% IG $3.0 1Q 2020 GOM 65% IG $2.0
Slide 7: Capital Updates
Capital Updates ≈$6.9B of Major Capital Projects Under Construction Highlighted Major Capital Projects Forecast In-Service 1Q 20 2Q 20 3Q 20 4Q 20 2021+ Mont Belvieu Area Fractionators 10 & 11 1Q 2020 & 3Q 2020 In-Service √ Natural Liquids Gas Texas Express & Front Range Expansions 2Q 2020 √ EHT LPG
Slide 8: Gross Operating Margin Bridge
Gross Operating Margin Bridge $ in MMs 1Q 2020 vs. 1Q 2019 $ in MMs 1Q 2020 vs. 4Q 2019 ($66) ($95) 1Q Non-Cash New & Existing Legacy Marketing 1Q 4Q 2019 Non-Cash New & Existing Legacy Gas Marketing 1Q 2020 2019 MTM Expanded Assets Gas (excl. MTM) 2020 GOM MTM Change Expanded Assets with Plants (ex
Slide 9: Indicative Attribution of Gross Operating Margin
Indicative Attribution of Gross Operating Margin $9.0 $8.3B $8.0 10% $7.3B 4% $7.0 8% Gross Operating Margin in $Billions 6% $6.0 $5.7B $5.2B 6% 5% $5.0 5% 4% $4.0 86% 86% fee-based fee-based $3.0 89% fee-based 91% $2.0B $2.0 fee-based fee-based 9% 3% $1.0 88% fee-based $0.0 2016 2017 2018 2019 1Q20
Slide 10: Indicative Attribution of Segment GOM: 1Q 2020
Indicative Attribution of Segment GOM: 1Q 2020 120% 100% 12% 16% 13% 3% 80% % Breakout of GOM 10% 60% 100% * 40% 88% fee-based 84% fee-based 74% fee-based fee-based 20% 0% (1) (2) (3) NGL Segment Crude Segment Natural Gas Segment Petchem & Refined Products Segment Fee-Based Commodity Price-Based Dif
Slide 11: Indicative Attribution of GOM for Select Businesses
Indicative Attribution of GOM for Select Businesses Natural Gas Processing GOM $600 $0.50 $500 Mostly Pioneer, $500 Meeker and $0.40 South Texas $400 GOM in SMillions $356 $0.30 Price Spread $300 $244 $0.20 $200 $169 57% 70% $0.10 $100 81% 68% $38 98% $0 $0.00 2016 2017 2018 2019 1Q 20 Fee POP & POL
Slide 12: NGL Segment 1Q 2020 vs. 1Q 2019
NGL Segment 1Q 2020 vs. 1Q 2019 $ in MMs Gross Operating Margin Bridge ($13) 1Q 2019 Non-Cash EHT Export Marketing Shin Oak MAPL, Hobbs Legacy Gas Other 1Q 2020 GOM MTM Change Terminal and (excl. MTM) Pipeline Seminole, Fractionation Plants GOM Related Chaparral and Pipeline Related Terminals Detail
Slide 13: Crude Oil Segment 1Q 2020 vs. 1Q 2019
Crude Oil Segment 1Q 2020 vs. 1Q 2019 $ in MMs Gross Operating Margin Bridge $5 1Q 2019 Non-Cash MTM EHT Export Seaway Pipeline Midland-to-ECHO Marketing Other 1Q 2020 GOM Change Terminal system (excl. MTM GOM (excl. MTM) & M2E1) Details: • Non-cash MTM activity resulted in a gain of $11MM in 1Q 202
Slide 14: Natural Gas Segment 1Q 2020 vs. 1Q 2019
Natural Gas Segment 1Q 2020 vs. 1Q 2019 $ in MMs Gross Operating Margin Bridge $2 1Q 2019 Non-Cash Permian Gathering Haynesville Texas Intrastate Other 1Q 2020 GOM MTM Change Gathering System GOM Details: • Non-cash MTM activity resulted in a gain of $29MM in 1Q 2020 compared to a loss of less than
Slide 15: Petrochemical & Ref. Products Segment 1Q 2020 vs. 1Q 2019
Petrochemical & Ref. Products Segment 1Q 2020 vs. 1Q 2019 $ in MMs Gross Operating Margin Bridge 1Q 2019 Non-Cash PDH Facility iBDH, Octane Isoms Beaumont 1Q 2020 GOM MTM Change Enhancement, Marine Terminals GOM and HPIB Details: • Non-cash MTM activity resulted in a gain of $2MM in 1Q 2020 compared
Slide 16: Segment Gross Operating Margin Variance 1Q20 vs. 4Q19
SEGMENT GROSS OPERATING MARGIN VARIANCE 1Q20 VS. 4Q19
Slide 17: NGL Segment 1Q 2020 vs. 4Q 2019
NGL Segment 1Q 2020 vs. 4Q 2019 $ in MMs Gross Operating Margin Bridge 4Q 2019 Non-Cash MTM Mont Belvieu MAPL, Seminole, Legacy Gas Marketing Other 1Q 2020 GOM Change Storage Chaparral, and Plants (excl. MTM) GOM Related Terminals Details: • Non-cash MTM activity resulted in a loss of $12MM in 1Q 20
Slide 18: Crude Oil Segment 1Q 2020 vs. 4Q 2019
Crude Oil Segment 1Q 2020 vs. 4Q 2019 $ in MMs Gross Operating Margin Bridge $26 $7 4Q 2019 Non-Cash MTM Eagle Ford Pipeline Marketing Midland-to-ECHO, Other 1Q 2020 GOM Change and Terminal JVs (excl. MTM) W.TX and S.TX Systems GOM Details: • Non-cash MTM activity resulted in a gain of $11MM in 1Q 2
Slide 19: Natural Gas Segment 1Q 2020 vs. 4Q 2019
Natural Gas Segment 1Q 2020 vs. 4Q 2019 $ in MMs Gross Operating Margin Bridge $10 4Q 2019 Non-Cash MTM Marketing Other 1Q 2020 GOM Change (excl. MTM) GOM Details: • Non-cash MTM activity resulted in a gain of $29MM in 1Q 2020 compared to a loss of $1MM in 4Q 2019 • Marketing activity increased prim
Slide 20: Petrochemical & Ref. Products Segment 1Q 2020 vs. 4Q 2019
Petrochemical & Ref. Products Segment 1Q 2020 vs. 4Q 2019 $ in MMs Gross Operating Margin Bridge ($9) 4Q 2019 Non-Cash MTM PDH iBDH, Octane TE Products Other 1Q 2020 GOM Change Enhancement and Pipeline and GOM HPIB Related Terminals Details: • Non-cash MTM activity resulted in a gain of $2MM in 1Q 2
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