2019 Q2 Form 10-Q Financial Statement

#000127618719000021 Filed on May 09, 2019

View on sec.gov

Income Statement

Concept 2019 Q2 2019 Q1 2018 Q1
Revenue $13.88B $13.12B $11.88B
YoY Change -1.71% 10.43% 22.99%
Cost Of Revenue $10.30B $41.60B $9.245B
YoY Change -9.19% 350.01% 23.1%
Gross Profit $3.576B -$28.48B $2.637B
YoY Change 28.86% -1180.09% 22.59%
Gross Profit Margin 25.77% -217.07% 22.19%
Selling, General & Admin $179.0M $147.0M $148.0M
YoY Change -2.19% -0.68% -10.3%
% of Gross Profit 5.01% 5.61%
Research & Development
YoY Change
% of Gross Profit
Depreciation & Amortization $785.0M $774.0M $665.0M
YoY Change 13.11% 16.39% 5.89%
% of Gross Profit 21.95% 25.22%
Operating Expenses $179.0M $147.0M $148.0M
YoY Change -2.19% -0.68% -10.3%
Operating Profit $1.819B $1.927B $1.100B
YoY Change 61.55% 75.18% 45.31%
Interest Expense $578.0M $590.0M $466.0M
YoY Change 13.33% 26.61% -1.48%
% of Operating Profit 31.78% 30.62% 42.36%
Other Income/Expense, Net $46.00M -$4.000M $57.00M
YoY Change -4700.0% -107.02% 235.29%
Pretax Income $1.243B $3.689B $716.0M
YoY Change 70.98% 415.22% 94.57%
Income Tax $34.00M $126.0M -$10.00M
% Of Pretax Income 2.74% 3.42% -1.4%
Net Earnings $879.0M $808.0M $363.0M
YoY Change 147.61% 122.59% 51.88%
Net Earnings / Revenue 6.33% 6.16% 3.06%
Basic Earnings Per Share
Diluted Earnings Per Share $330.3K $307.5K $314.3K
COMMON SHARES
Basic Shares Outstanding 2.620B shares 2.619B shares 1.079B shares
Diluted Shares Outstanding

Balance Sheet

Concept 2019 Q2 2019 Q1 2018 Q1
SHORT-TERM ASSETS
Cash & Short-Term Investments $445.0M $529.0M $547.0M
YoY Change -14.26% -3.29% 47.84%
Cash & Equivalents $445.0M $529.0M $547.0M
Short-Term Investments
Other Short-Term Assets $308.0M $299.0M $303.0M
YoY Change -50.0% -1.32% -40.94%
Inventory $1.832B $1.722B $1.861B
Prepaid Expenses
Receivables $4.349B $4.312B $3.590B
Other Receivables $99.00M $48.00M $166.0M
Total Short-Term Assets $7.198B $7.127B $6.593B
YoY Change -5.2% 8.1% 1.21%
LONG-TERM ASSETS
Property, Plant & Equipment $68.19B $66.96B $61.09B
YoY Change 5.1% 9.62% 7.23%
Goodwill $4.883B $4.885B $4.768B
YoY Change -5.61% 2.45% -29.36%
Intangibles $5.827B $5.912B $6.016B
YoY Change -4.29% -1.73% -12.01%
Long-Term Investments $2.838B $2.653B $2.701B
YoY Change 5.62% -1.78% -12.96%
Other Assets $1.026B $1.007B $925.0M
YoY Change 3.01% 8.86% 11.99%
Total Long-Term Assets $83.61B $82.65B $76.32B
YoY Change 4.75% 8.29% 2.46%
TOTAL ASSETS
Total Short-Term Assets $7.198B $7.127B $6.593B
Total Long-Term Assets $83.61B $82.65B $76.32B
Total Assets $90.81B $89.77B $82.91B
YoY Change 3.88% 8.28% 2.36%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $3.645B $3.965B $3.704B
YoY Change -7.84% 7.05% 10.14%
Accrued Expenses $2.744B $2.434B $2.944B
YoY Change -3.11% -17.32% 27.78%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00 $0.00
YoY Change
Long-Term Debt Due $7.000M $2.656B $409.0M
YoY Change -95.63% 549.39% 4.34%
Total Short-Term Liabilities $6.429B $6.695B $7.261B
YoY Change -15.81% -7.8% 16.77%
LONG-TERM LIABILITIES
Long-Term Debt $46.50B $43.38B $41.78B
YoY Change 4.56% 3.83% -1.89%
Other Long-Term Liabilities $1.139B $1.172B $1.218B
YoY Change -7.17% -3.78% -1.54%
Total Long-Term Liabilities $47.64B $44.55B $43.00B
YoY Change 4.24% 3.61% -1.88%
TOTAL LIABILITIES
Total Short-Term Liabilities $6.429B $6.695B $7.261B
Total Long-Term Liabilities $47.64B $44.55B $43.00B
Total Liabilities $54.07B $51.25B $50.26B
YoY Change 1.37% 1.97% 0.44%
SHAREHOLDERS EQUITY
Retained Earnings
YoY Change
Common Stock
YoY Change
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $20.83B $20.65B -$1.180B
YoY Change
Total Liabilities & Shareholders Equity $90.81B $89.77B $82.91B
YoY Change 3.88% 8.28% 2.36%

Cashflow Statement

Concept 2019 Q2 2019 Q1 2018 Q1
OPERATING ACTIVITIES
Net Income $879.0M $808.0M $363.0M
YoY Change 147.61% 122.59% 51.88%
Depreciation, Depletion And Amortization $785.0M $774.0M $665.0M
YoY Change 13.11% 16.39% 5.89%
Cash From Operating Activities $2.079B $1.815B $2.139B
YoY Change 101.84% -15.15% 177.43%
INVESTING ACTIVITIES
Capital Expenditures -$1.668B -$1.150B -$1.737B
YoY Change -7.44% -33.79% 23.37%
Acquisitions $5.000M $5.000M
YoY Change 0.0% -98.48%
Other Investing Activities -$176.0M $40.00M -$3.000M
YoY Change -149.03% -1433.33% -200.0%
Cash From Investing Activities -$1.844B -$1.098B -$1.701B
YoY Change 27.79% -35.45% -797.13%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net $0.00 $24.00M
YoY Change -100.0%
Debt Paid & Issued, Net $10.73B $8.541B
YoY Change 25.66% -12.93%
Cash From Financing Activities -319.0M -$607.0M -$2.967B
YoY Change -182.86% -79.54% 145.41%
NET CHANGE
Cash From Operating Activities 2.079B $1.815B $2.139B
Cash From Investing Activities -1.844B -$1.098B -$1.701B
Cash From Financing Activities -319.0M -$607.0M -$2.967B
Net Change In Cash -84.00M $110.0M -$2.529B
YoY Change 200.0% -104.35% 1203.61%
FREE CASH FLOW
Cash From Operating Activities $2.079B $1.815B $2.139B
Capital Expenditures -$1.668B -$1.150B -$1.737B
Free Cash Flow $3.747B $2.965B $3.876B
YoY Change 32.31% -23.5% 77.88%

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CY2019Q1 us-gaap Distribution Made To Limited Partner Distribution Date
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PartnersCapitalAccountDistributions
800000000 USD
CY2018Q4 us-gaap Partners Capital Attributable To Noncontrolling Interest
PartnersCapitalAttributableToNoncontrollingInterest
10291000000 USD
CY2019Q1 us-gaap Partners Capital Attributable To Noncontrolling Interest
PartnersCapitalAttributableToNoncontrollingInterest
10408000000 USD
CY2018Q4 us-gaap Partners Capital Including Portion Attributable To Noncontrolling Interest
PartnersCapitalIncludingPortionAttributableToNoncontrollingInterest
30850000000 USD
CY2019Q1 us-gaap Partners Capital Including Portion Attributable To Noncontrolling Interest
PartnersCapitalIncludingPortionAttributableToNoncontrollingInterest
31062000000 USD
CY2018Q1 us-gaap Partners Capital Other
PartnersCapitalOther
-1000000 USD
CY2019Q1 us-gaap Partners Capital Other
PartnersCapitalOther
29000000 USD
CY2018Q1 us-gaap Payments For Advance To Affiliate
PaymentsForAdvanceToAffiliate
8000000 USD
CY2019Q1 us-gaap Payments For Advance To Affiliate
PaymentsForAdvanceToAffiliate
28000000 USD
CY2018Q1 us-gaap Payments For Proceeds From Other Investing Activities
PaymentsForProceedsFromOtherInvestingActivities
-3000000 USD
CY2019Q1 us-gaap Payments For Proceeds From Other Investing Activities
PaymentsForProceedsFromOtherInvestingActivities
40000000 USD
CY2018Q1 us-gaap Payments For Repurchase Of Common Stock
PaymentsForRepurchaseOfCommonStock
24000000 USD
CY2019Q1 us-gaap Payments For Repurchase Of Common Stock
PaymentsForRepurchaseOfCommonStock
0 USD
CY2018Q1 us-gaap Payments Of Debt Issuance Costs
PaymentsOfDebtIssuanceCosts
117000000 USD
CY2019Q1 us-gaap Payments Of Debt Issuance Costs
PaymentsOfDebtIssuanceCosts
84000000 USD
CY2018Q1 us-gaap Payments Of Dividends Minority Interest
PaymentsOfDividendsMinorityInterest
893000000 USD
CY2019Q1 us-gaap Payments Of Dividends Minority Interest
PaymentsOfDividendsMinorityInterest
425000000 USD
CY2018Q1 us-gaap Payments To Acquire Businesses Net Of Cash Acquired
PaymentsToAcquireBusinessesNetOfCashAcquired
5000000 USD
CY2019Q1 us-gaap Payments To Acquire Businesses Net Of Cash Acquired
PaymentsToAcquireBusinessesNetOfCashAcquired
5000000 USD
CY2018Q1 us-gaap Payments To Acquire Productive Assets
PaymentsToAcquireProductiveAssets
1737000000 USD
CY2019Q1 us-gaap Payments To Acquire Productive Assets
PaymentsToAcquireProductiveAssets
1150000000 USD
CY2018Q1 us-gaap Proceeds From Contribution In Aid Of Construction
ProceedsFromContributionInAidOfConstruction
20000000 USD
CY2019Q1 us-gaap Proceeds From Contribution In Aid Of Construction
ProceedsFromContributionInAidOfConstruction
15000000 USD
CY2018Q1 us-gaap Proceeds From Contributions From Affiliates
ProceedsFromContributionsFromAffiliates
229000000 USD
CY2019Q1 us-gaap Proceeds From Contributions From Affiliates
ProceedsFromContributionsFromAffiliates
140000000 USD
CY2018Q1 us-gaap Proceeds From Equity Method Investment Dividends Or Distributions Return Of Capital
ProceedsFromEquityMethodInvestmentDividendsOrDistributionsReturnOfCapital
26000000 USD
CY2019Q1 us-gaap Proceeds From Equity Method Investment Dividends Or Distributions Return Of Capital
ProceedsFromEquityMethodInvestmentDividendsOrDistributionsReturnOfCapital
13000000 USD
CY2018Q1 us-gaap Proceeds From Issuance Of Long Term Debt
ProceedsFromIssuanceOfLongTermDebt
6627000000 USD
CY2019Q1 us-gaap Proceeds From Issuance Of Long Term Debt
ProceedsFromIssuanceOfLongTermDebt
11295000000 USD
CY2019Q1 us-gaap Proceeds From Issuance Of Senior Long Term Debt
ProceedsFromIssuanceOfSeniorLongTermDebt
3960000000 USD
CY2018Q1 us-gaap Proceeds From Payments For Other Financing Activities
ProceedsFromPaymentsForOtherFinancingActivities
-2000000 USD
CY2019Q1 us-gaap Proceeds From Payments For Other Financing Activities
ProceedsFromPaymentsForOtherFinancingActivities
0 USD
CY2018Q1 us-gaap Proceeds From Sale Of Productive Assets
ProceedsFromSaleOfProductiveAssets
0 USD
CY2019Q1 us-gaap Proceeds From Sale Of Productive Assets
ProceedsFromSaleOfProductiveAssets
4000000 USD
CY2018Q1 us-gaap Profit Loss
ProfitLoss
489000000 USD
CY2019Q1 us-gaap Profit Loss
ProfitLoss
1180000000 USD
CY2018Q4 us-gaap Property Plant And Equipment Gross
PropertyPlantAndEquipmentGross
79776000000 USD
CY2019Q1 us-gaap Property Plant And Equipment Gross
PropertyPlantAndEquipmentGross
80790000000 USD
CY2018Q4 us-gaap Property Plant And Equipment Net
PropertyPlantAndEquipmentNet
66963000000 USD
CY2019Q1 us-gaap Property Plant And Equipment Net
PropertyPlantAndEquipmentNet
67317000000 USD
CY2019Q1 us-gaap Property Plant And Equipment Net
PropertyPlantAndEquipmentNet
66962000000 USD
CY2018Q4 us-gaap Redeemable Noncontrolling Interest Equity Other Carrying Amount
RedeemableNoncontrollingInterestEquityOtherCarryingAmount
499000000 USD
CY2019Q1 us-gaap Redeemable Noncontrolling Interest Equity Other Carrying Amount
RedeemableNoncontrollingInterestEquityOtherCarryingAmount
499000000 USD
CY2019Q1 us-gaap Rental Income Nonoperating
RentalIncomeNonoperating
36000000 USD
CY2018Q1 us-gaap Repayments Of Long Term Debt
RepaymentsOfLongTermDebt
8541000000 USD
CY2019Q1 us-gaap Repayments Of Long Term Debt
RepaymentsOfLongTermDebt
10733000000 USD
CY2018Q1 us-gaap Revenue From Related Parties
RevenueFromRelatedParties
102000000 USD
CY2019Q1 us-gaap Revenue From Related Parties
RevenueFromRelatedParties
109000000 USD
CY2019Q1 us-gaap Revenue Remaining Performance Obligation
RevenueRemainingPerformanceObligation
4454000000 USD
CY2019Q1 us-gaap Revenue Remaining Performance Obligation
RevenueRemainingPerformanceObligation
5048000000 USD
CY2019Q1 us-gaap Revenue Remaining Performance Obligation
RevenueRemainingPerformanceObligation
4503000000 USD
CY2019Q1 us-gaap Revenue Remaining Performance Obligation
RevenueRemainingPerformanceObligation
27906000000 USD
CY2019Q1 us-gaap Revenue Remaining Performance Obligation
RevenueRemainingPerformanceObligation
41911000000 USD
CY2018Q1 us-gaap Revenues
Revenues
11882000000 USD
CY2019Q1 us-gaap Revenues
Revenues
13121000000 USD
CY2018Q1 us-gaap Right Of Use Asset Obtained In Exchange For Operating Lease Liability
RightOfUseAssetObtainedInExchangeForOperatingLeaseLiability
0 USD
CY2019Q1 us-gaap Right Of Use Asset Obtained In Exchange For Operating Lease Liability
RightOfUseAssetObtainedInExchangeForOperatingLeaseLiability
8000000 USD
CY2018Q1 us-gaap Selling General And Administrative Expense
SellingGeneralAndAdministrativeExpense
148000000 USD
CY2019Q1 us-gaap Selling General And Administrative Expense
SellingGeneralAndAdministrativeExpense
147000000 USD
CY2018Q1 us-gaap Share Based Compensation
ShareBasedCompensation
23000000 USD
CY2019Q1 us-gaap Share Based Compensation
ShareBasedCompensation
29000000 USD
CY2019Q1 us-gaap Stock Issued During Period Shares Dividend Reinvestment Plan
StockIssuedDuringPeriodSharesDividendReinvestmentPlan
200000 shares
CY2019Q1 us-gaap Stock Issued During Period Value Dividend Reinvestment Plan
StockIssuedDuringPeriodValueDividendReinvestmentPlan
2500000 USD
CY2019Q1 us-gaap Stock Repurchase Program Remaining Authorized Repurchase Amount1
StockRepurchaseProgramRemainingAuthorizedRepurchaseAmount1
936000000 USD
CY2017Q4 us-gaap Stockholders Equity Including Portion Attributable To Noncontrolling Interest
StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest
29980000000 USD
CY2018Q1 us-gaap Stockholders Equity Including Portion Attributable To Noncontrolling Interest
StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest
29481000000 USD
CY2018Q4 us-gaap Stockholders Equity Including Portion Attributable To Noncontrolling Interest
StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest
30850000000 USD
CY2019Q1 us-gaap Stockholders Equity Including Portion Attributable To Noncontrolling Interest
StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest
31062000000 USD
CY2018Q1 us-gaap Unrealized Gain Loss On Derivatives
UnrealizedGainLossOnDerivatives
-87000000 USD
CY2019Q1 us-gaap Unrealized Gain Loss On Derivatives
UnrealizedGainLossOnDerivatives
49000000 USD
CY2018Q1 us-gaap Weighted Average Limited Partnership Units Outstanding
WeightedAverageLimitedPartnershipUnitsOutstanding
1079100000 shares
CY2019Q1 us-gaap Weighted Average Limited Partnership Units Outstanding
WeightedAverageLimitedPartnershipUnitsOutstanding
2619500000 shares
CY2018Q1 us-gaap Weighted Average Limited Partnership Units Outstanding Diluted
WeightedAverageLimitedPartnershipUnitsOutstandingDiluted
1154700000 shares
CY2019Q1 us-gaap Weighted Average Limited Partnership Units Outstanding Diluted
WeightedAverageLimitedPartnershipUnitsOutstandingDiluted
2627900000 shares
CY2019Q1 us-gaap Concentration Risk Credit Risk
ConcentrationRiskCreditRisk
<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;padding-top:12px;padding-left:24px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-weight:bold;">Credit Risk</font></div><div style="line-height:120%;padding-top:12px;text-align:justify;padding-left:24px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Credit risk refers to the risk that a counterparty may default on its contractual obligations resulting in a loss to the Partnership. Credit policies have been approved and implemented to govern our portfolio of counterparties with the objective of mitigating credit losses. These policies establish guidelines, controls and limits to manage credit risk within approved tolerances by mandating an appropriate evaluation of the financial condition of existing and potential counterparties, monitoring agency credit ratings, and by implementing credit practices that limit exposure according to the risk profiles of the counterparties. Furthermore, we may at times require collateral under certain circumstances to mitigate credit risk as necessary. We also implements the use of industry standard commercial agreements which allow for the netting of positive and negative exposures associated with transactions executed under a single commercial agreement. Additionally, we utilize master netting agreements to offset credit exposure across multiple commercial agreements with a single counterparty or affiliated group of counterparties.</font></div><div style="line-height:120%;padding-top:12px;text-align:justify;padding-left:24px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Our counterparties consist of a diverse portfolio of customers across the energy industry, including petrochemical companies, commercial and industrials, oil and gas producers, motor fuel distributors, municipalities, utilities and midstream companies. Our overall exposure may be affected positively or negatively by macroeconomic factors or regulatory changes that could impact its counterparties to one extent or another. Currently, management does not anticipate a material adverse effect in our financial position or results of operations as a consequence of counterparty non-performance.</font></div><div style="line-height:120%;padding-top:12px;text-align:justify;padding-left:24px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">We have maintenance margin deposits with certain counterparties in the OTC market, primarily independent system operators, and with clearing brokers. Payments on margin deposits are required when the value of a derivative exceeds our pre-established credit limit with the counterparty. Margin deposits are returned to us on or about the settlement date for non-exchange traded derivatives, and we exchange margin calls on a daily basis for exchange traded transactions. Since the margin calls are made daily with the exchange brokers, the fair value of the financial derivative instruments are deemed current and netted in deposits paid to vendors within other current assets in the consolidated balance sheets.</font></div><div style="line-height:120%;padding-top:12px;text-align:justify;padding-left:24px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">For financial instruments, failure of a counterparty to perform on a contract could result in our inability to realize amounts that have been recorded on our consolidated balance sheets and recognized in net income or other comprehensive income.</font></div></div>
CY2019Q1 us-gaap Use Of Estimates
UseOfEstimates
<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;padding-top:12px;text-align:justify;padding-left:24px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-weight:bold;">Use of Estimates</font></div><div style="line-height:120%;padding-top:12px;text-align:justify;padding-left:24px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">The unaudited consolidated financial statements have been prepared in conformity with GAAP, which includes the use of estimates and assumptions made by management that affect the reported amounts of assets, liabilities, revenues, expenses and disclosure of contingent assets and liabilities that exist at the date of the consolidated financial statements. Although these estimates are based on management&#8217;s available knowledge of current and expected future events, actual results could be different from those estimates.</font></div></div>

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