Kinder Morgan sees FY23 EPS $1.12, consensus $1.11

Sees FY23 adjusted EBITDA $7.7B. "We expect 2023 to be another very good year for Kinder Morgan, with strong market fundamentals, continued robust growth in demand for existing and expanded natural gas transportation, storage, and gathering and processing; and continued demand for refined products midstream services and investments in our Energy Transition Ventures business," said Steve Kean, KMI Chief Executive Officer. "Those results will be offset by the higher interest rate environment we expect in 2023. We anticipate generating net income attributable to KMI per share of $1.12, flat to our year-end 2022 forecast of $1.12 per share, with Adjusted EBITDA up 3% from 2022 at $7.7 billion, compared to the 2022 forecast of $7.5 billion. We anticipate total segment EBDA of $8.2 billion, up 5% compared to the 2022 forecast. We also expect to end 2023 with a Net Debt-to-Adjusted EBITDA ratio of 4.0 times, well below our long-term target of 4.5 times." "We expect distributable cash flow (DCF) per share of $2.13, down from our 2022 forecast of $2.17 DCF per share. We project interest expense to be significantly higher than our 2022 forecast, representing a DCF impact of approximately $0.15 per share. Absent that impact, expected DCF per share would be up 5% year over year," said Kimberly Dang, KMI President. "Over the long-term, our corporate strategy of maintaining a portion (~25%) of our debt at a floating rate has been sound, saving the company approximately $1.2 billion over the last 10 years, far exceeding the expected 2023 impact."