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To: Johnny Canuck who wrote (67602)	11/4/2025 6:30:09 PM
From: Johnny Canuck	Read Replies (1) \| Respond to of 67886

NGL Energy Partners LP (NYSE: NGL) Q2 Fiscal 2026 Earnings Overview NGL Energy Partners LP released its Q2 fiscal 2026 earnings on November 4, 2025, covering the quarter ended September 30, 2025. Below, I'll compare the reported results to available analyst consensus projections based on pre-earnings estimates from sources like TipRanks, Yahoo Finance, and Nasdaq. Note that analyst coverage for NGL is limited (typically 1-3 firms), and consensus figures can vary slightly. The company's press release did not explicitly address beats/misses against expectations. Key Reported Results (Q2 FY2026) Earnings Per Share (EPS): $0.02 (basic and diluted, from continuing operations; net income EPS including discontinued operations also $0.02). Net Income: $29.8 million (from continuing operations); $29.3 million attributable to NGL. Revenue: $674.7 million (total); product revenues $484.3 million, service/other revenues $190.4 million. Other Metrics: Adjusted EBITDA $167.3 million (record high); operating income $94.3 million; distributable cash flow $64.5 million. These figures show year-over-year improvement from Q2 FY2025 (EPS loss of $0.21, revenue $756.5 million, Adjusted EBITDA $149.4 million), driven by strong performance in the Water Solutions segment (record 2.80 million barrels per day processed). Comparison to Analyst Projections Analyst consensus estimates for Q2 FY2026 were modest, reflecting NGL's volatile energy midstream business and prior quarters' misses. Here's how actuals stacked up: Metric Reported Consensus Estimate Beat/Miss EPS $0.02 $0.00 Beat by $0.02 Revenue $675M ~$700M-$750M (implied from segment trends and prior guidance) Slight Miss (~$25M-$75M below) Adjusted EBITDA $167M $150M-$160M (based on updated FY guidance midpoint) Beat (~$7M-$17M above) EPS: The $0.02 result exceeded the consensus forecast of $0.00, marking a positive surprise. This aligns with NGL's recent trend of EPS beats in Q1 FY2026 ($0.04 vs. -$0.11 expected). Revenue: Total revenue fell short of implied expectations, continuing a pattern of quarterly declines (down 11% YoY). Analysts had anticipated stabilization around $700M+ based on Water Solutions growth offsetting weaker liquids logistics, but product margins pressured the top line. Overall Inline Assessment: Mixed—earnings were inline to slightly ahead on profitability (EPS and EBITDA beats), but revenue was slightly below projections. The company raised its full-year FY2026 Adjusted EBITDA guidance to $650M-$660M (from $615M-$625M), signaling confidence in the back half despite the revenue dip. This suggests results were broadly in line with tempered expectations, with upside from operational efficiencies. Context and Outlook Why the Disconnect? Revenue softness stemmed from lower crude oil prices and volumes in the Liquids segment, partially offset by record water disposal volumes. However, free cash flow exceeded internal forecasts, supporting NGL's dividend (recently $0.10/unit quarterly). Analyst Sentiment: Post-earnings, the stock's consensus rating remains "Hold" with a $4.00 price target (vs. recent close ~$6.18). Coverage is sparse, so projections may update quickly. FY2026 Full-Year Consensus: EPS ~$0.16; revenue ~$5.57B (down from FY2025's $5.92B). For real-time stock reaction or conference call details (held today at 4:30 PM ET), check NGL's investor relations site. If you need deeper dives into segments or historical comparisons, let me know!