May 23, 2017 - 8:21 AM EDT
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Post Earnings Coverage as Cheniere's Revenue Rocketed an Astonishing 1654%; Turns Profitable

Upcoming AWS Coverage on Spectra Energy Partners Post-Earnings Results

LONDON, UK / ACCESSWIRE / May 23, 2017 / Active Wall St. announces its post-earnings coverage on Cheniere Energy, Inc. (NYSE: LNG). The Company announced its first quarter fiscal 2017 financial results on May 04, 2017. The natural gas Company blew past earnings and revenue forecasts. Register with us now for your free membership at: http://www.activewallst.com/register/.

One of Cheniere Energy's competitors within the Oil & Gas Pipelines space, Spectra Energy Partners, L.P. (NYSE: SEP), reported on May 10, 2017, its Q1 2017 financial results. AWS will be initiating a research report on Spectra Energy Partners in the coming days.

Today, AWS is promoting its earnings coverage on LNG; touching on SEP. Get our free coverage by signing up to: http://www.activewallst.com/register/.

Earnings Reviewed

For the quarter ended March 31, 2017, Cheniere's total revenues increased $1.14 billion to $1.21 billion compared to revenue of $69 million in Q1 2016, primarily as a result of the commencement of operations at the SPL Project in May 2016 upon the substantial completion of Train 1, followed by the substantial completion of Trains 2 and 3 in September 2016 and March 2017, respectively.

Cheniere's consolidated adjusted EBITDA for Q1 2017 was $483 million compared to a loss of $45 million for Q1 2016. The increase in consolidated adjusted EBITDA was primarily due to increased income from operations.

During Q1 2017, Cheniere's total operating costs and expenses increased $675 million to $835 million compared to $160 million in Q1 2016, primarily as a result of the commencement of operations at the SPL Project. The Company's depreciation and amortization expense increased to $74 million in the reported quarter as it began depreciation of its assets related to Trains 1 through 3 of the SPL Project upon reaching substantial completion.

Cheniere reported net income of $54 million, or $0.23 per share, for Q1 2017 compared to a net loss of $321 million, or $1.41 per share, for Q1 2016. The increase in net income was primarily due to increased income from operations and decreased derivative loss, partially offset by increased interest expense and loss on early extinguishment of debt. The Company's earnings numbers surpassed Wall Street's estimates for a loss of $0.37 per share.

Capital Resources

As of March 31, 2017, Cheniere had cash and cash equivalents of $923 million available to the Company. In addition, Cheniere had current and non-current restricted cash of $2.0 billion designated for the following purposes: $1.5 billion for the SPL Project; $143 million for the CCL Project; $225 million for restricted purposes under the terms of Cheniere Partners' credit facilities; and $119 million for other restricted purposes.

Liquefaction Projects

SPL Project: through Cheniere Partners, the Company is developing up to six Trains at the Sabine Pass LNG terminal adjacent to the existing regasification facilities. Each Train is expected to have a nominal production capacity of approximately 4.5 million tons per annum ("mtpa") of LNG. Trains 1, 2, and 3 are operational; Train 4 is undergoing commissioning; Train 5 is under construction; and Train 6 is being commercialized and has all necessary regulatory approvals in place.

Cheniere is developing up to three Trains near Corpus Christi, Texas. Each Train is expected to have a nominal production capacity, which is prior to adjusting for planned maintenance, production reliability, and potential overdesign, of approximately 4.5 mtpa of LNG. Trains 1 and 2 are under construction, and Train 3 is being commercialized and has all necessary regulatory approvals in place. Additionally, the Company is developing two additional trains adjacent to the project and has initiated the regulatory approval process with respect to those Trains.

Stock Performance

At the close of trading session on Monday, May 22, 2017, Cheniere Energy's share price finished the trading session at $49.32, slightly down 0.86%. A total volume of 2.08 million shares exchanged hands, which was higher than the 3 months average volume of 1.80 million shares. The stock has soared 4.14% and 30.24% in the last three months and past six months, respectively. Furthermore, since the start of the year, shares of the Company have surged 19.04%. At Monday's closing price, the stock's net capitalization stands at $11.49 billion.

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Source: ACCESSWIRE (May 23, 2017 - 8:21 AM EDT)

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