04/16/2025
$KMI Q3 2023 Earnings Call Transcript Summary
The paragraph discusses the significant growth in demand for LNG exports and how it will impact the Midstream Energy segment and specifically Kinder-Morgan. The company is well-positioned to take advantage of this opportunity due to its extensive pipeline network in Texas and Louisiana. The company also had a solid financial quarter, with a 5% increase in contributions from its segments and a strong performance from its natural gas, products, and terminals. The company also repurchased $73 million in shares and has repurchased a total of $472 million year-to-date at an attractive price.
The speaker, Kim Dang, discusses the company's stance on potential acquisitions, stating that they are always interested but have a disciplined process for evaluating them. She also mentions three criteria for considering an acquisition and explains that the company prefers to maintain a debt metric of 4.5 times debt to EBITDA. Additionally, Dang mentions an increase in the price of D3 RINs, possibly due to companies not fulfilling their 2022 obligations.
The speaker, Keith Stanley from Wolfe Research, asks about the potential to expand Gulf Coast Express and the company's performance in 2023. Kim Dang, the speaker from the company, mentions ongoing discussions with customers but has no announcements yet. David Michels, also from the company, explains that they are slightly below their 2023 EBITDA target due to some commodity price improvements being offset by other weaknesses in the business. Another caller, Gabe Moreen from Mizuho, then speaks.
The speaker concludes the conference call by wishing everyone a good day and evening and thanking them for participating. The operator then ends the call.
This summary was generated with AI and may contain some inaccuracies.