- Strong Financial Performance: Pembina Pipeline’s 2nd quarter adjusted EBITDA was C$1.09 billion, a 33% increase year-over-year (y/y), surpassing the C$1.02 billion estimate.
- Pipelines Segment: Adjusted EBITDA for the pipelines segment reached C$655 million, up 31% y/y, beating the estimate of C$623.5 million.
- Facilities Segment: Facilities adjusted EBITDA was C$340 million, marking a 25% increase y/y, and exceeding the C$309.8 million estimate.
- Marketing & New Ventures: Adjusted EBITDA for marketing and new ventures came in at C$143 million, up 49% y/y, beating the estimate of C$113.4 million.
- Total Revenue: Revenue for the quarter was C$1.86 billion, a 10% decline y/y, falling short of the C$1.9 billion estimate.
- Pipelines Revenue: Pipelines revenue rose 46% y/y to C$890 million, surpassing the C$783.6 million estimate.
- Facilities Revenue: Facilities revenue increased 34% y/y to C$294 million, slightly below the C$351.7 million estimate.
- Marketing & New Ventures Revenue: Revenue from marketing and new ventures dropped 32% y/y to C$925 million, missing the C$1.31 billion estimate.
- Operating Cash Flow: Operating cash flow was C$954 million, a 46% increase y/y, higher than the C$856.1 million estimate.
- Earnings Per Share (EPS): EPS stood at C$0.75, compared to C$0.60 y/y, but slightly below the C$0.77 estimate.
- Capital Expenditure: Capital expenditure was C$265 million, up from C$123 million y/y, and higher than the C$260 million estimate.
- 2024 Guidance Update: Pembina raised its adjusted EBITDA guidance for 2024 to a range of C$4.20 billion to C$4.35 billion, up from the previous range of C$4.05 billion to C$4.30 billion.
- Capital Investment Program: The 2024 capital investment program has been revised to C$1.3 billion, including approximately C$0.3 billion in contributions to equity-accounted investees.
- Analyst Ratings: There are 10 buy ratings, 5 hold ratings, and no sell ratings for Pembina Pipeline.
A look at Pembina Pipeline Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 4 | |
| Growth | 5 | |
| Resilience | 2 | |
| Momentum | 5 | |
| OVERALL SMART SCORE | 3.8 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on the Smartkarma Smart Scores, Pembina Pipeline shows a promising long-term outlook. The company scores high in growth and momentum, indicating strong potential for expansion and positive market performance. With a solid dividend score, investors can also benefit from consistent income. However, Pembina Pipeline’s value and resilience scores are average, suggesting room for improvement in these areas.
Pembina Pipeline Corporation stands out in the energy transportation and midstream services sector. Providing a range of services for hydrocarbon liquids and natural gas products, along with operating gas gathering and processing facilities, the company plays a vital role in Canada’s energy sector. Overall, Pembina Pipeline’s strong focus on growth and dividends, coupled with its operational resilience, positions it well for future success.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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