Enterprise Products 3Q profit rises on volume

posted: 27 DAYS 17 HOURS AGO

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HOUSTON -Pipeline operator Enterprise Products Partners LP said Wednesday volume growth and strong natural gas processing margins helped boost earnings 4.8 percent in the third quarter.

"We continue to see strong demand for (natural gas liquids) by the petrochemical and refining industries as an alternative to more costly crude oil derivatives," said Michael Creel, CEO of Enterprise. "With few exceptions, we continue to experience volume growth on our major natural gas pipelines."

Quarterly earnings climbed to $212.9 million, or 36 cents per share, compared with $203.1 million, or 38 cents per share during the same period last year.

Results include a hefty legal charge, costs related to the company's acquisition of Teppco Partners LP, other one-time charges and an insurance gain. Excluding one-time items, adjusted earnings amounted to 43 cents per share.

Analysts polled by Thomson Reuters estimated a profit of 42 cents per share, on average. Analysts typically exclude one-time items.

Revenue declined 27 percent to $4.6 billion, down from $6.3 billion in the prior-year period. Analysts forecast on average revenue of $4.73 billion.

Shares of the company rose 4 cents to $29.35 in premarket trading.

2009-10-28 08:12:56