Summit Midstream Partners, LP Barclays Midstream & Infrastructure Corporate Access Day March 3, 2020
SMLP Overview
SMLP Overview Summit Midstream Partners, LP (NYSE: SMLP) is a value-driven independent natural gas, crude oil and produced water gathering and processing company with diversified operations across seven resource plays in the continental…
2020 Financial Guidance & Commentary Commentary 2020 Financial Guidance Outlook contemplates substantial risking to the timing of 2020 Guidance Range customer-provided drill schedules and production in millions 2019A Low High…
4Q 2019 Highlights Record 4Q 2019 Financial Results 77.5 million of adjusted EBITDA represents a growth rate of 7.7% over 3Q 2019 47.1 million of DCF represents growth of 12.9% over 3Q 2019 and facilitated a distribution coverage ratio…
Diversified Operating Footprint SMLPs diversified operations, services and customers provide cash flow stability. SMLP has substantial opportunities for growth in each of its Core Focus Areas, but intends to allocate growth capital in…
Investment Considerations
SMLP Investment Considerations Commitment to Deleveraging & Attractive Relative Valuation(1) Enhancing Financial Flexibility SMLP is trading at an attractive value relative to its 4Q 2019 distribution coverage ratio of 4.03x, or…
Attractive Valuation Prioritizing the Balance Sheet Core Focus Areas Legacy Areas Attractive Relative Valuation SMLP represents an attractive relative value based on its EV / 2020E EBITDA compared to its peers SMLP vs. Peers…
Attractive Valuation Prioritizing the Balance Sheet Core Focus Areas Legacy Areas Committed to Further Strengthening the Balance Sheet Recent Actions SMLP Capitalization Partial payment of the DPPO, and extension of the remaining…
Attractive Valuation Prioritizing the Balance Sheet Core Focus Areas Legacy Areas Strategic Focus on Four Key Growth Basins Core Focus Areas Map 2016 Adj. EBITDA by Segment 46% Core Focus Areas Core Focus Areas Legacy…
Attractive Valuation Prioritizing the Balance Sheet Core Focus Areas Legacy Areas Utica Shale Diversified operating footprint spanning all three windows of the Utica Shale Area Strategy & Key Themes Utica Shale Map C Condensate…
Attractive Valuation Prioritizing the Balance Sheet Core Focus Areas Legacy Areas Williston Basin Geographically expansive platform providing multiple service offerings to top producers in the play Area Strategy & Key Themes…
Attractive Valuation Prioritizing the Balance Sheet Core Focus Areas Legacy Areas DJ Basin Competitively advantaged gathering and processing position in the northern DJ Basin Area Strategy & Key Themes DJ Basin Map Recently…
Attractive Valuation Prioritizing the Balance Sheet Core Focus Areas Legacy Areas Permian Basin High-growth platform serving largest acreage holder in prolific northern Delaware Basin Area Strategy & Key Themes Permian Basin Map…
Attractive Valuation Prioritizing the Balance Sheet Core Focus Areas Legacy Areas Double E Pipeline Industry solution connecting New Mexico natural gas production to market liquidity in Waha, Texas Project Overview Double E Project…
Attractive Valuation Prioritizing the Balance Sheet Core Focus Areas Legacy Areas Legacy Areas Low Decline Legacy Areas Have High MVC Underpinnings and Provide Reliable Free Cash Flows Legacy Areas Map Legacy Areas MVCs 1,029…
Attractive Valuation Prioritizing the Balance Sheet Core Focus Areas Legacy Areas Piceance Basin Area Strategy & Key Themes Piceance Basin Map Gathering system scale provides significant operating leverage Significant customer…
Attractive Valuation Prioritizing the Balance Sheet Core Focus Areas Legacy Areas Barnett Shale Area Strategy & Key Themes Barnett Shale Map System fully developed with minimal capex requirements A Continuous improvement in the…
Attractive Valuation Prioritizing the Balance Sheet Core Focus Areas Legacy Areas Marcellus Shale Area Strategy & Key Themes Marcellus Shale Map SMLPs Marcellus assets provide a critical high-pressure inlet to the Sherwood…
Key Takeaways 1 Attractive valuation relative to G&P peers 2 Financial flexibility with 4Q 2019 distribution coverage of 4.03x, significant liquidity and no near-term maturities 3 Strategic focus on high growth Core Focus Areas,…
Appendix
Downside Protection Through Long-Term Contracts with MVCs Utica Williston DJ Permian Piceance Barnett Marcellus Wtd. Avg. / Core Focus Areas Legacy Areas Shale Basin Basin Basin Basin Shale Shale Total (4) Acreage Dedications (net…
Reportable Segment Adjusted EBITDA Three Months ended December 31, Year ended December 31, (s in 000s) 2019 2018 2019 2018 (1) Reportable segment adjusted EBITDA : Utica Shale 8,595 5,826 29,292 30,285 (2) Ohio Gathering 9,542…
Reconciliation of Net Income or Loss to adj. EBITDA and DCF Three Months Ended December 31, Year Ended December 31, (s in 000s) 2019 2018 2019 2018 2017 2016 Net income / (loss) (327,083) 38,654 (369,833) 42,351 86,050 (38,187) Add:…
Reconciliation of Net Cash Provided by Operating Activities to adj. EBITDA and DCF Year Ended December 31, (s in 000s) 2019 2018 Distributable Cash Flow: Net Cash provided by operating activities 182,337 227,929 Add: Interest…
Adjustments Related to MVC Shortfall Payments(1) Three Months Ended December 31, 2019 MVC Gathering Adjustments to MVC Net Impact to (s in 000s) Billings Revenue Shortfall Payments Adjusted EBITDA Net change in deferred revenue…
Research Coverage / Contact Information & Org. Structure Equity Research Coverage Organizational Structure Barclays Capital Capital One Securities, Inc. 100% Credit Suisse Summit Midstream Partners, LLC 6.3% Common (Summit…
Loading...
