Research, Charts & Company Announcements
Research Tree provides access to ongoing research coverage, media content and regulatory news on KEYERA CORP. We currently have 22 research reports from 1 professional analysts.
Frequency of research reports
Research reports on
2Q16 Adj. EPS of $0.34 (FCCe: $0.45; Consensus: $0.40); 6% Dividend Increase
11 Aug 16
Keyera slightly missed estimates in 2Q16, reporting an adjusted EBITDA of $157 mm, flat y/y, and 11% below our estimate of $176 mm but in line with consensus of $161 mm. The announced 6% dividend increase was also in line with consensus. Management has attributed the performance in the quarter to weak margins, especially involving iso-octane, which reduced the impact of incremental cash flows coming from new assets in service. We have increased our 12-MTP to $42.50/share and maintain our Market Perform ranking.
2Q16 ADJ. EPS OF $0.34 (FCCE: $0.45; CONSENSUS: $0.40); 6% DIVIDEND INCREASE
09 Aug 16
Impact: Neutral. Keyera slightly missed estimates in 1Q16, reporting an adjusted EBITDA of $157 mm, flat y/y, and 11% below our estimate of $176 mm but in line with consensus of $161 mm. An announced dividend increase was also in line with consensus. Management has attributed the performance in the quarter to weak margins, especially involving iso-octane, which reduced the impact of incremental cash flows coming from new assets in service.
Acquiring An Additional 35% of Alder Flats Gas Plant for $112.5 mm
13 Jul 16
On July 7, 2016, after market close, Keyera announced an agreement with Bellatrix Exploration Ltd. to acquire an additional 35% ownership in the Alder Flats plant and associated infrastructure for $113 mm, essentially doubling its current ownership.The total consideration also includes a 10-year take-or-pay commitment, an area dedication agreement and an upfront payment of 35% of the estimated cost of future construction for Phase 2 of the plant. Keyera expects to close the transaction in August 2016.As a result of our inclusion of the higher non-op interest in the facility, we have increased our target price to $38.00/share but maintain our Market Perform ranking.
ACQUIRING ADDITIONAL 35% OF ALDER FLATS GAS PLANT FOR $112.5 MM
07 Jul 16
On July 7, 2016, after market close, Keyera announced an agreement with Bellatrix Exploration Ltd. to acquire an additional 35% ownership in the Alder Flats Plant and associated infrastructure, essentially doubling its current ownership. The total consideration also includes a 10-year take-or-pay commitment, an area dedication agreement and an upfront payment of 35% of the estimated cost of future construction for Phase 2 of the plant. Keyera expects to close the transaction in August 2016.
CLOSES $60 MM NOTE ISSUE
16 Jun 16
Keyera announced the closing of its $60 mm issuance of long-term notes under a private shelf agreement with the Prudential Capital Group. The issuance consisted of a $30 mm of 3.5% coupon rate notes maturing on June 16, 2023, and $30 mm of 4.15% coupon rate notes maturing June 16, 2026. The intent of the funds is to repay short-term indebtedness and general corporate purposes.
20 Feb 17
Hayward Tyler Group* (HAYT): Trading update and financial position (CORP) | Petra Diamonds (PDL): Interim results (BUY) | Gemfields* (GEM): Interim results (CORP) | Premaitha Health* (NIPT): Middle East momentum (CORP) | Sound Energy (SOU): Acquisition update and TE-8 well spud (HOLD) | Proactis* (PHD): Interim trading on track (CORP) | 7digital* (7DIG): Automotive contract win (CORP)
The Slide Rule
12 Jan 17
What is The Slide Rule? The Slide Rule has been designed to dramatically simplify the identification of the best companies in the UK small/mid-cap sector by making a quantitative assessment of the relative potential of each company. At its core, The Slide Rule aims to identify those companies that create genuine shareholder value through strong returns on capital and solid growth, but also present a value opportunity with the potential tailwind of earnings momentum. Companies are assessed within a Quality, Value, Growth and Momentum (QVGM) framework.
Playing the long term, with short-term risks
16 Feb 17
After the publication of the annual results, we update our view and highlight the key points. Q4 16 key highlights As a reminder, the company reported results 30% below expectations at $400m for Q4 16. By division: 1) In upstream, underlying replacement costs profit came to $400m, vs. a loss a year earlier of $728m and a loss of $224m in Q3 16, reflecting the ongoing lower costs which have benefited from simplifications, efficiencies and lower exploration write-offs. In the US, the loss is still $147m. Production came in at 2.19mbpd, down 5.5% yoy due to disposals and up 1.8% on an underlying basis thanks to ramp-ups. One of the key events during the quarter was the renewal of BP’s onshore concession in the UAE with a 10% interest in the ADCO onshore oil concession. In terms of outlook, production should be higher in 2017 and will depend on the timing of project start-ups, acquisitions, divestments, and OPEC quota. Also the Abu Dhabi concession will be visible as from Q1 17. 2) In downstream, replacement costs profit came to $877m, down from $1.2bn a year ago and $1.4bn in Q3 16. The US division showed a loss of $371m vs a gain of $1.25bn. Non-US Fuel business earnings halved to $417m due to the weaker refining environment as well as the impact from the particularly large turnaround at the Whiting refinery. In lubricants, profit rose to $357m, reflecting the continued strong performance in its growth markets and premium brands as well as simplifications and greater efficiencies. The margin should remain unchanged for Q1 17. 3) Rosneft. Underlying replacement costs profit came to $135m, down from $235m a year ago, affected by the increased government take. Production was at 1.15mbpd, up from 1.03mbpd a year ago. This reflects the completion of the acquisition of Bashneft and Rosneft’s increased stake in the PetroMonagas venture. BP received a dividend of $322m after deduction of the withholding tax, in July 2016. On the Macondo oil spill, the charge taken for the Q4 16 pre-tax was $530m. This reflects BP’s latest estimates for claims including business economic loss. The pre-tax cash outflow on costs related to the oil spill for the full year 2016 was $7.1bn. Cash flow Excluding the Gulf of Mexico payment, the operating cash flow was $4.5bn. Underlying operating cash flow excluding the oil spill-related payment was $17.8bn for the full year. Proceeds during the year and the scrip dividend were not enough to cover capex and the cash dividend. Gearing at the end of the year increased to 27% ($35.5bn debt), in the high range of the group’s target of 20-30%. Organic capital was $16bn, below original guidance of $17bn to $19bn. Capex in 2017 should be close to $16-17bn. Divestment proceeds should be higher in 2017, close to $5bn and then reducing by $2-3bn per year after 2018. The total costs of the Deepwater payment should fall to $2bn in 2018 and then $1bn per year as from 2019. In 2017, this should be close to $5bn. All in all, including the latest acquisitions, cash flow break-even should be close to $60/bbl in 2017.
Small Cap Breakfast
16 Feb 17
Saffron Energy—Schedule One update. Raising £2.5m, expected Mkt Cap £7.7m. Admission due 24 Feb. Italian Oil & Gas Play Guinness Oil & Gas Exploration—Publication of prospectus. Seeking to raise £50m and invest in 15 exploration companies at launch, with plans to grow the portfolio to 30 positions during its lifetime. Issue closing 23 Feb. Arix Bioscience — Intention to float on the main market from the global healthcare and life science Company supporting medical innovation. Raised £52m in Feb 16 with investors including Woodford Investment Management
GMP FirstEnergy ― UK Energy morning research package
17 Feb 17
Enquest (ENQ LN): Speculative Buy, £0.65: Kraken FPSO in the field and hooked up in the North Sea | Ithaca Energy (IAE LN/CN)6: BUY, £1.40: Stella First Hydrocarbons in the North Sea | Bowleven (BLVN LN) (not covered): Denies claims made by Crown Ocean Capital