MPLX LP Files Q3 2024 10-Q

Ticker: MPLXP · Form: 10-Q · Filed: Nov 5, 2024 · CIK: 1552000

Sentiment: neutral

Topics: 10-Q, earnings, midstream, energy

TL;DR

MPLX Q3 2024 10-Q is in. Financials and ops details out.

AI Summary

MPLX LP filed its 10-Q for the period ending September 30, 2024. The filing details financial performance and operational updates for the third quarter of 2024. Key financial figures and business segment information are presented, reflecting the company's ongoing activities in the energy and transportation sector.

Why It Matters

This filing provides investors and analysts with the latest financial results and operational details for MPLX LP, crucial for understanding the company's performance and future outlook in the midstream energy sector.

Risk Assessment

Risk Level: medium — As a publicly traded partnership in the energy sector, MPLX LP is subject to market volatility, regulatory changes, and commodity price fluctuations.

Key Numbers

Key Players & Entities

FAQ

What is the primary business of MPLX LP?

MPLX LP operates in the Pipe Lines (No Natural Gas) sector, SIC code 4610, focusing on energy and transportation.

When was this 10-Q filing submitted to the SEC?

This 10-Q filing was submitted on November 5, 2024.

What is the fiscal year end for MPLX LP?

MPLX LP's fiscal year ends on December 31.

What is the SEC file number for MPLX LP?

The SEC file number for MPLX LP is 001-35714.

What period does this 10-Q report cover?

This 10-Q report covers the period ending September 30, 2024.

Filing Stats: 4,809 words · 19 min read · ~16 pages · Grade level 16 · Accepted 2024-11-05 13:33:51

Filing Documents

– FINANCIAL INFORMATION

PART I – FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements: Consolidated Statements of Income (Unaudited) 3 Consolidated Statements of Comprehensive Income (Unaudited) 4 Consolidated Balance Sheets (Unaudited) 5 Consolidated Statements of Cash Flows (Unaudited) 6 Consolidated Statements of Equity and Series A Preferred Units (Unaudited) 7

Notes to Consolidated Financial Statements (Unaudited)

Notes to Consolidated Financial Statements (Unaudited) 8 1. Description of the Business and Basis of Presentation 8 2. Accounting Standards and Disclosure Rules 8 3. Acquisitions and Other Transactions 9 4. Investments and Noncontrolling Interests 10 5. Related Party Agreements and Transactions 10 6. Equity 12 7. Net Income Per Limited Partner Unit 13 8. Segment Information 14 9. Property, Plant and Equipment 16 10. Fair Value Measurements 16 11. Derivatives 17 12. Debt 18 13. Net Interest and Other Financial Costs 19 14. Revenue 19 15. Supplemental Cash Flow Information 22 16. Commitments and Contingencies 22

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 24

Quantitative and Qualitative Disclosures about Market Risk

Item 3. Quantitative and Qualitative Disclosures about Market Risk 46

Controls and Procedures

Item 4. Controls and Procedures 47

– OTHER INFORMATION

PART II – OTHER INFORMATION

Legal Proceedings

Item 1. Legal Proceedings 48

Risk Factors

Item 1A. Risk Factors 48

Unregistered Sales of Equity Securities and Use of Proceeds

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 48

Other Information

Item 5. Other Information 48

Exhibits

Item 6. Exhibits 49

Signatures

Signatures 50 Unless otherwise stated or the context otherwise indicates, all references in this Form 10-Q to "MPLX LP," "MPLX," "the Partnership," "we," "our," "us," or like terms refer to MPLX LP and its consolidated subsidiaries. References to our sponsor and customer, "MPC," refer collectively to Marathon Petroleum Corporation and its subsidiaries, other than the Partnership. 1 Table of Contents Glossary of Terms The abbreviations, acronyms and industry terminology used in this report are defined as follows: ASC Accounting Standards Codification ASU Accounting Standards Update barrel One stock tank barrel, or 42 United States gallons of liquid volume, used in reference to crude oil or other liquid hydrocarbons DCF (a non-GAAP financial measure) Distributable Cash Flow EBITDA (a non-GAAP financial measure) Earnings Before Interest, Taxes, Depreciation and Amortization FASB Financial Accounting Standards Board GAAP Accounting principles generally accepted in the United States of America G&P Gathering and Processing segment L&S Logistics and Storage segment mbpd Thousand barrels per day MMBtu One million British thermal units, an energy measurement MMcf/d One million cubic feet per day NGL Natural gas liquids, such as ethane, propane, butanes and natural gasoline SEC United States Securities and Exchange Commission SOFR Secured Overnight Financing Rate VIE Variable interest entity 2 Table of Contents

—FINANCIAL INFORMATION

PART I—FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements MPLX LP Consolidated Statements of Income (Unaudited) Three Months Ended September 30, Nine Months Ended September 30, (In millions, except per unit data) 2024 2023 2024 2023 Revenues and other income: Service revenue $ 709 $ 641 $ 2,050 $ 1,881 Service revenue - related parties 1,066 1,038 3,102 2,962 Service revenue - product related 86 75 265 214 Rental income 63 61 187 181 Rental income - related parties 216 207 644 612 Product sales 433 478 1,191 1,274 Product sales - related parties 51 51 164 155 Sales-type lease revenue 34 34 102 101 Sales-type lease revenue - related parties 118 129 359 379 Income from equity method investments 149 159 631 438 Other income 7 7 58 28 Other income - related parties 40 32 117 90 Total revenues and other income 2,972 2,912 8,870 8,315 Costs and expenses: Cost of revenues (excludes items below) 404 367 1,159 1,023 Purchased product costs 403 474 1,148 1,234 Rental cost of sales 22 20 61 60 Rental cost of sales - related parties 5 8 14 24 Purchases - related parties 402 442 1,162 1,160 Depreciation and amortization 322 301 959 907 General and administrative expenses 107 102 323 280 Other taxes 32 44 99 102 Total costs and expenses 1,697 1,758 4,925 4,790 Income from operations 1,275 1,154 3,945 3,525 Net interest and other financial costs 226 225 692 701 Income before income taxes 1,049 929 3,253 2,824 Provision for income taxes 2 1 5 2 Net income 1,047 928 3,248 2,822 Less: Net income attributable to noncontrolling interests 10 10 30 28 Net income attributable to MPLX LP 1,037 918 3,218 2,794 Less: Series A preferred unitholders' interest in net income 6 25 21 71 Less: Series B preferred unitholders' interest in net income — — — 5 Limited partners' interest in net income attributable to MPLX LP $ 1,031 $ 893 $ 3,197 $ 2,718 Per Unit Data (See Note 7) Net income attributable to MPLX LP per limited partner unit: Common - basic $ 1.01 $ 0.89 $ 3.14 $ 2.70 Co

Notes to Consolidated Financial Statements (Unaudited)

Notes to Consolidated Financial Statements (Unaudited) 1. Description of the Business and Basis of Presentation Description of the Business MPLX LP is a diversified, large-cap master limited partnership formed by Marathon Petroleum Corporation that owns and operates midstream energy infrastructure and logistics assets, and provides fuels distribution services. We are engaged in the gathering, transportation, storage and distribution of crude oil, refined products, other hydrocarbon-based products and renewables; the gathering, processing and transportation of natural gas; and the transportation, fractionation, storage and marketing of NGLs. MPLX's principal executive office is located in Findlay, Ohio. MPLX was formed on March 27, 2012 as a Delaware limited partnership and completed its initial public offering on October 31, 2012. MPLX's business consists of two segments based on the nature of services it offers: Logistics and Storage ("L&S"), which relates primarily to crude oil, refined products, other hydrocarbon-based products and renewables; and Gathering and Processing ("G&P"), which relates primarily to natural gas and NGLs. See Note 8 for additional information regarding the operations and results of these segments. Basis of Presentation These interim consolidated financial statements are unaudited; however, in the opinion of MPLX's management, these statements reflect all adjustments necessary for a fair statement of the results for the periods reported. All such adjustments are of a normal, recurring nature unless otherwise disclosed. These interim consolidated financial statements, including the notes, have been prepared in accordance with the rules and regulations of the SEC applicable to interim period financial statements and do not include all of the information and disclosures required by GAAP for complete financial statements. Certain information derived from our audited annual financial statements, prepared in accordance with GAAP, has been

View Full Filing

View this 10-Q filing on SEC EDGAR

View on Read The Filing