Kinder Morgan Is Stomping on the Gas
Kinder Morgan's (NYSE: KMI) dry spell has come to an end. The natural gas pipeline company had struggled to grow in recent years because of headwinds from expiring contracts. However, those headwinds have given way to new growth tailwinds.
That shift was abundantly clear in the company's fourth-quarter earnings report. It reported strong earnings growth and unveiled another major new expansion project. With a burgeoning backlog, the natural gas pipeline stock has plenty of fuel to grow at a healthy rate over the next several years.
Kinder Morgan reported adjusted earnings of $0.32 per share for the fourth quarter, a 14% increase from the prior-year period. Meanwhile, its adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) increased 7% to over $2 billion. That pushed its adjusted earnings up by 7% per share for the full year, while its adjusted EBITDA increased 5% to more than $7.9 billion. That ended a multiyear growth drought where its EBITDA had flattened out at $7.5 billion after adjusting for asset sales and other items.
Source Fool.com
