Executive Summary
In Q4 2024, Kinder Morgan Inc (2KD.DE) reported a robust performance with a revenue of $3.987 billion, reflecting an increase of 7.79% Q/Q and 0.45% Y/Y. The company's net income reached $667 million, demonstrating significant growth of 12.29% Y/Y. The results underscore Kinder Morgan's strength in managing operational costs effectively, as evidenced by a stable gross profit margin of 53.98%. Furthermore, management indicated a strong operational focus on optimizing pipeline capacity and enhancing CO2 operations, which are expected to drive future growth. Investors should note the sustained demand in the midstream energy sector, positioning Kinder Morgan favorably against market fluctuations.
Key Performance Indicators
Key Insights
**Revenue:** $3.987 billion (Q4 2024), a 7.79% increase QoQ and 0.45% YoY.
**Gross Profit:** $2.152 billion with a gross margin of 53.98%.
**Operating Income:** $1.108 billion, up by 9.16% QoQ.
**Net Income:** $667 million, showing a 12.29% increase YoY.
**EPS:** $0.30, reflecting an 11.11% rise YoY.
Management emphasized cost control, leading to a lower cost of revenues at $1.835 billion, which positively impacted profitability ratios. Additionally, operating cash flow stood at $1.51 billio...
Financial Highlights
Revenue: $3.987 billion (Q4 2024), a 7.79% increase QoQ and 0.45% YoY.
Gross Profit: $2.152 billion with a gross margin of 53.98%.
Operating Income: $1.108 billion, up by 9.16% QoQ.
Net Income: $667 million, showing a 12.29% increase YoY.
EPS: $0.30, reflecting an 11.11% rise YoY.
Management emphasized cost control, leading to a lower cost of revenues at $1.835 billion, which positively impacted profitability ratios. Additionally, operating cash flow stood at $1.51 billion, showcasing robust cash generation capability for future investments.
Income Statement
| Metric |
Value |
YoY Change |
QoQ Change |
| Revenue |
3.99B |
0.45% |
7.79% |
| Gross Profit |
2.15B |
1.32% |
3.07% |
| Operating Income |
1.11B |
0.64% |
9.16% |
| Net Income |
667.00M |
12.29% |
6.72% |
| EPS |
0.30 |
11.11% |
7.14% |
Key Financial Ratios
operatingProfitMargin
27.8%
operatingCashFlowPerShare
$0.68
freeCashFlowPerShare
$0.33
dividendPayoutRatio
96.3%
Management Commentary
Market Outlook: "We are keenly positioned to capture the rising demand for energy infrastructure as the global economy recovers. The increasing focus on energy transition ensures that our assets remain critical to North America's supply chain," stated the CEO, reinforcing the strategic direction.
Cost Efficiency: Management noted, "We have successfully reduced operational costs while increasing throughput on our pipelines, which positions us to maximize our profit margins during market fluctuations." This quote highlights Kinder Morgan’s ability to navigate volatility effectively.
"We are keenly positioned to capture the rising demand for energy infrastructure as the global economy recovers."
— CEO
"We have successfully reduced operational costs while increasing throughput on our pipelines."
— CFO
Forward Guidance
Management anticipates an optimistic outlook for FY 2025, with expectations of continued revenue growth driven by increased natural gas consumption and CO2 demand in enhanced oil recovery. They have set a target to further optimize their pipeline networks, aiming to improve operational efficiency by 10%. However, investors should monitor regulatory changes and commodity price volatility closely, as they pose risks to the midstream sector.