Mplx Lp · NYSE:MPLX
Mplx Lp — Q4 2019 Earnings Presentation
20 slides from Mplx Lp's earnings presentation, Jan 29, 2020
Slide 1: Fourth-Quarter 2019 Earnings Conference Call
Fourth-Quarter 2019 Earnings Conference Call January 29, 2020
Slide 2: Forward-Looking Statements
Forward‐Looking Statements This presentation contains forward-looking statements within the meaning of federal securities laws regarding MPLX LP (MPLX). These forward-looking statements relate to, among other things, MPLX’s expectations, estimates and projections concerning the business and operatio
Slide 3: Fourth-Quarter and Full-Year Highlights
Fourth-Quarter and Full-Year Highlights ⚫ Reported fourth-quarter adjusted EBITDA attributable to MPLX of $1.3 billion ⚫ Reported full-year adjusted EBITDA attributable to MPLX of $4.3 billion, or $5.1 billion including results of Andeavor Logistics ⚫ Generated $4.1 billion in net cash provided by o
Slide 4: Targeting Positive Free Cash Flow
Targeting Positive Free Cash Flow Disciplined Approach and Long-term Focus 2019 The Path to Increased Cash Flow 2021(a) EBITDA ~$5.1 B(b) EBITDA – Continued Growth DCF ~$4.1 B(b) DCF – Continued Growth Distributions Growth Capital Growth Capital Distributions ~$3.0 B(c) ~$2.6 B(d) ~$1.0 B Positive F
Slide 5: Growth & Investment Optimization
Growth & Investment Optimization L&S ⚫ Disciplined growth plan with increasing L&S focus ⚫ Marine Fleet Expansion Growth Projects Projected In-Service Dates 2019 G&P ⚫ Targeting mid-teens returns on projects ⚫ Sherwood 12 & 13 Processing (Marcellus) ⚫ Sherwood C2 Fractionation (Marcellus) ⚫ Torñado
Slide 6: Logistics & Storage Segment
Logistics & Storage Segment ~66% of FY2019 adj. EBITDA ⚫ Pipeline throughputs averaged 5.1 MMBPD – Approximately flat year-over-year ⚫ Terminalling throughputs averaged 3.3 MMBPD – Increase of ~4% year-over-year MEXICO ⚫ Progressing Permian long-haul crude MPLX Owned and Part-Owned Light MPC/MPLX Pi
Slide 7: Gathering & Processing Segment
Gathering & Processing Segment 4Q19 Processed Volumes(a) ~34% of FY 2019 EBITDA Capacity at Utilization of Average End of Available Area Volume ⚫ 4Q19 Overall volumes and % increase: Quarter (MMcf/d) Capacity (MMcf/d) (%)(b) vs. 4Q18 Marcellus 6,120 5,339 89% Gathering: 6.2 Bcf/d 5% Utica 1,325 734
Slide 8: 4Q 2019 Financial Highlights
4Q 2019 Financial Highlights Adjusted EBITDA(a) Distributable Cash Flow(a) 6,000 2018 2019 5,000 2018 2019 5,104 4,100 5,000 4,000 4,000 3,810 3,035 3,000 $MM $MM 3,000 2,000 2,000 1,246 1,319 955 1,045 1,000 1,000 0 0 4Q Full Year 4Q Full Year Three Months Twelve Months Segment Adjusted EBITDA(a) (
Slide 9: 4Q 2019 vs. 4Q 2018 Adjusted EBITDA
4Q 2019 vs. 4Q 2018 Adjusted EBITDA 1,400 44 29 1,319 1,246 1,200 G&P G&P 466 1,000 437 800 $MM 600 L&S L&S 2Q 2018 809 853 400 vs. 2Q 200 2017 0 Variance Analysis 4Q 2018 Adjusted EBITDA Attributable to MPLX (a) Logistics & Storage Gathering & Processing 4Q 2019 Adjusted EBITDA Attributable to MPLX
Slide 10: Financial and Balance Sheet Highlights
Financial and Balance Sheet Highlights As of ($MM except ratio data) 12/31/19 Cash and cash equivalents 15 Total assets 40,430 Total debt(a) 20,307 Redeemable preferred units 968 Total equity 16,613 Fourth quarter 2019 adjusted distribution coverage(b) 1.42x Leverage(c) 4.1x Remaining capacity avail
Slide 11: Appendix
MPL Appendix 11
Slide 12: Gathering & Processing Segment
Gathering & Processing Segment Sub-Region Processed Volumes Marcellus/Utica Processed Volumes(a) Southwest Processed Volumes(a) Capacity at End Average Utilization of Capacity at End Average Utilization of Area of Quarter Volume Available Area of Quarter Volume Available (MMcf/d) (MMcf/d) Capacity (
Slide 13: Organic Growth Capital Projects
Organic Growth Capital Projects Logistics & Storage Segment Est. Completion Projects Description Date Marine Fleet Expansion Displaces MPC’s third-party barges and supports increased demand In Service(b) Mt. Airy Terminal Expansion Constructing 2nd 120 MBPD dock and incremental storage 2020 W2W Pipe
Slide 14: Organic Growth Capital Projects
Organic Growth Capital Projects Gathering & Processing Segment Est. Completion Est. Completion Processing and Fractionation Shale Resource Capacity Dates Gathering Date Through 2020 Sherwood 12 Processing Plant(b) Marcellus 200 MMcf/d In-Service(c) Marcellus/Utica Rich- and Ongoing Dry-Gas Gathering
Slide 15: Reconciliation of Adjusted EBITDA and Distributable Cash from Net Income
Reconciliation of Adjusted EBITDA and Distributable Cash from Net Income ($MM) 4Q 2019 4Q 2018 YTD 2019 YTD 2018 Net income (573) 611 1,462 2,006 Provision for income taxes (2) - - 8 Amortization of deferred financing costs 13 10 42 55 Loss on extinguishment of debt - 46 - 46 Net interest and other
Slide 16: Reconciliation of Adjusted EBITDA and Distributable Cash from Operating Activities
Reconciliation of Adjusted EBITDA and Distributable Cash from Net Cash Provided by Operating Activities ($MM) 4Q 2019 4Q 2018 YTD 2019 YTD 2018 Net cash provided by operating activities 1,092 1,044 4,082 3,071 Changes in working capital items (26) (47) 108 31 All other, net 14 (10) (9) (5) Non-cash
Slide 17: Reconciliation of Segment Adjusted EBITDA to Net Income
Reconciliation of Segment Adjusted EBITDA to Net Income ($MM) 4Q 2019 4Q 2018 YTD 2019 YTD 2018 L&S segment adjusted EBITDA attributable to MPLX LP 853 809 3,351 2,319 (including predecessor results) G&P segment adjusted EBITDA attributable to MPLX LP 466 437 1,753 1,491 (including predecessor resul
Slide 18: Reconciliation of Capital Expenditures
Reconciliation of Capital Expenditures ($MM) 4Q 2019 4Q 2018 YTD 2019 YTD 2018 Capital Expenditures Maintenance 88 77 262 175 Maintenance reimbursements (19) (8) (53) (8) Growth 522 696 2,001 2,078 Growth reimbursements (4) (16) (21) (16) Total capital expenditures 587 749 2,189 2,229 Less: Increase
Slide 19: Reconciliation of LTM Net Income to LTM Pro Forma adjusted EBITDA
Reconciliation of LTM Net Income (Loss) to LTM Pro Forma adjusted EBITDA ($MM) 4Q 2019 4Q 2018 LTM Net income 1,462 1,834 LTM Net income to adjusted EBITDA adjustments 2,872 1,641 LTM Adjusted EBITDA attributable to MPLX LP 4,334 3,475 LTM Pro forma adjustments for acquisitions 770 92 LTM Pro forma
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