Crestwood Equity Partners LP

CIK:0001136352|SEC Filings

Consolidated Statements of Operations - USD ($) shares in Millions, $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Revenues:
Total revenues	$ 1,139.4	$ 1,566.0	$ 3,423.7	$ 4,597.8
Costs of product/services sold (exclusive of items shown separately below):
Costs of product/services sold	901.6	1,286.8	2,683.6	3,864.4
Operating expenses and other:
Operations and maintenance	56.9	55.0	166.7	144.0
General and administrative	30.2	33.9	86.8	103.8
Depreciation, amortization and accretion	80.2	86.9	242.7	242.3
Loss on long-lived assets, net	2.6	175.9	4.8	186.9
Gain on acquisition	0.0	(75.3)	0.0	(75.3)
Total expenses	169.9	276.4	501.0	601.7
Operating income (loss)	67.9	2.8	239.1	131.7
Earnings from unconsolidated affiliates, net	1.1	3.2	135.2	12.2
Interest and debt expense, net	(56.9)	(47.6)	(167.9)	(123.8)
Other income, net	0.2	0.0	0.3	0.2
Income (loss) before income taxes	12.3	(41.6)	206.7	20.3
Provision for income taxes	(0.2)	(1.4)	(1.1)	(1.7)
Net income (loss)	12.1	(43.0)	205.6	18.6
Net income attributable to non-controlling partner	32.1	10.3	52.6	30.8
Net income (loss) attributable to parent	(20.0)	(53.3)	153.0	(12.2)
Net income attributable to preferred unit holders	15.1	15.0	45.1	45.0
Net income (loss) attributable to partners	$ (35.1)	$ (68.3)	$ 107.9	$ (57.2)
Net income (loss) per limited partner unit: (Note 12)
Basic (in dollars per share)	$ (0.33)	$ (0.64)	$ 1.03	$ (0.59)
Diluted (in dollars per share)	$ (0.33)	$ (0.64)	$ 0.99	$ (0.59)
Weighted-average limited partners’ units outstanding:
Basic (units)	105.2	107.1	105.2	97.1
Dilutive units (units)	0.0	0.0	3.9	0.0
Diluted (units)	105.2	107.1	109.1	97.1
Crestwood Midstream Partners LP
Revenues:
Total revenues	$ 1,139.4	$ 1,566.0	$ 3,423.7	$ 4,597.8
Costs of product/services sold (exclusive of items shown separately below):
Costs of product/services sold	901.6	1,286.8	2,683.6	3,864.4
Operating expenses and other:
Operations and maintenance	56.9	55.0	166.7	144.0
General and administrative	20.8	32.3	74.6	99.0
Depreciation, amortization and accretion	80.1	86.8	242.5	248.0
Loss on long-lived assets, net	2.6	247.6	4.8	311.9
Gain on acquisition	0.0	(75.3)	0.0	(75.3)
Total expenses	160.4	346.4	488.6	727.6
Operating income (loss)	77.4	(67.2)	251.5	5.8
Earnings from unconsolidated affiliates, net	1.1	3.2	135.2	12.2
Interest and debt expense, net	(56.9)	(47.6)	(167.9)	(123.8)
Income (loss) before income taxes	21.6	(111.6)	218.8	(105.8)
Provision for income taxes	(0.2)	(1.4)	(1.0)	(1.6)
Net income (loss)	21.4	(113.0)	217.8	(107.4)
Net income attributable to non-controlling partner	32.1	10.3	52.6	30.8
Net income (loss) attributable to parent	(10.7)	(123.3)	165.2	(138.2)
Crestwood Midstream Partners LP \| Related Party
Operating expenses and other:
General and administrative	1.1	1.1	3.3	3.3
Product \| Nonrelated Party
Revenues:
Total revenues	989.2	1,332.8	2,991.5	3,938.3
Costs of product/services sold (exclusive of items shown separately below):
Costs of product/services sold	898.1	1,228.6	2,668.1	3,613.4
Product \| Related Party
Revenues:
Total revenues	0.0	83.2	0.0	222.7
Costs of product/services sold (exclusive of items shown separately below):
Costs of product/services sold	0.0	51.3	0.5	232.9
Product \| Crestwood Midstream Partners LP \| Nonrelated Party
Revenues:
Total revenues	989.2	1,332.8	2,991.5	3,938.3
Costs of product/services sold (exclusive of items shown separately below):
Costs of product/services sold	898.1	1,228.6	2,668.1	3,613.4
Product \| Crestwood Midstream Partners LP \| Related Party
Revenues:
Total revenues	0.0	83.2	0.0	222.7
Costs of product/services sold (exclusive of items shown separately below):
Costs of product/services sold	0.0	51.3	0.5	232.9
Service \| Nonrelated Party
Revenues:
Total revenues	150.2	92.4	432.2	286.8
Costs of product/services sold (exclusive of items shown separately below):
Costs of product/services sold	3.5	6.9	15.0	18.1
Service \| Related Party
Revenues:
Total revenues	0.0	57.6	0.0	150.0
Service \| Crestwood Midstream Partners LP \| Nonrelated Party
Revenues:
Total revenues	150.2	92.4	432.2	286.8
Costs of product/services sold (exclusive of items shown separately below):
Costs of product/services sold	3.5	6.9	15.0	18.1
Service \| Crestwood Midstream Partners LP \| Related Party
Revenues:
Total revenues	$ 0.0	$ 57.6	$ 0.0	$ 150.0

Consolidated Statements of Cash Flows - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Operating activities
Net income	$ 205.6	$ 18.6
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation, amortization and accretion	242.7	242.3
Amortization of debt-related deferred costs and fair value adjustment	2.5	1.7
Unit-based compensation	25.7	26.8
Loss on long-lived assets, net	4.8	186.9
Gain on acquisition	0.0	(75.3)
Earnings from unconsolidated affiliates, net, adjusted for cash distributions received	(133.3)	(0.9)
Deferred income taxes	(0.1)	1.1
Other	0.1	0.0
Changes in operating assets and liabilities	30.5	(123.9)
Net cash provided by operating activities	378.5	277.3
Investing activities
Acquisitions, net of cash acquired (Note 3)	0.0	(604.3)
Purchases of property, plant and equipment	(164.0)	(147.3)
Investments in unconsolidated affiliates	(7.2)	(90.2)
Capital distributions from unconsolidated affiliates	4.4	9.4
Net proceeds from sale of assets, including equity investments	188.2	315.2
Net cash provided by (used in) investing activities	21.4	(517.2)
Financing activities
Proceeds from the issuance of long-term debt	2,058.3	3,072.0
Payments on long-term debt	(2,127.4)	(2,393.1)
Payments on finance leases	(2.0)	(31.3)
Payments for deferred financing costs	(9.2)	(1.8)
Purchase of common units	0.0	(123.7)
Distributions to partners	(206.7)	(196.7)
Distributions to non-controlling partner	(31.0)	(31.0)
Distributions to preferred unitholders	(45.1)	(45.0)
Taxes paid for unit-based compensation vesting	(20.5)	(15.8)
Other	0.0	(0.6)
Net cash provided by (used in) financing activities	(383.6)	233.0
Net change in cash	16.3	(6.9)
Cash at beginning of period	7.5	13.3
Cash at end of period	23.8	6.4
Supplemental schedule of noncash investing activities
Net change to property, plant and equipment through accounts payable and accrued expenses	(18.4)	19.9
Crestwood Midstream Partners LP
Operating activities
Net income	217.8	(107.4)
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation, amortization and accretion	242.5	248.0
Amortization of debt-related deferred costs and fair value adjustment	2.5	1.7
Unit-based compensation	25.7	26.8
Loss on long-lived assets, net	4.8	311.9
Gain on acquisition	0.0	(75.3)
Earnings from unconsolidated affiliates, net, adjusted for cash distributions received	(133.3)	(0.9)
Deferred income taxes	0.2	1.2
Other	0.1	0.0
Changes in operating assets and liabilities	31.2	(123.9)
Net cash provided by operating activities	391.5	282.1
Investing activities
Acquisitions, net of cash acquired (Note 3)	0.0	(602.7)
Purchases of property, plant and equipment	(164.0)	(146.6)
Investments in unconsolidated affiliates	(7.2)	(90.2)
Capital distributions from unconsolidated affiliates	4.4	9.4
Net proceeds from sale of assets, including equity investments	188.2	315.2
Net cash provided by (used in) investing activities	21.4	(514.9)
Financing activities
Proceeds from the issuance of long-term debt	2,058.3	3,072.0
Payments on long-term debt	(2,127.4)	(2,393.1)
Payments on finance leases	(2.0)	(31.3)
Payments for deferred financing costs	(9.2)	(1.8)
Contributions from partner	0.0	164.3
Distributions to partners	(264.8)	(537.6)
Distributions to non-controlling partner	(31.0)	(31.0)
Taxes paid for unit-based compensation vesting	(20.5)	(15.8)
Net cash provided by (used in) financing activities	(396.6)	225.7
Net change in cash	16.3	(7.1)
Cash at beginning of period	7.1	12.9
Cash at end of period	23.4	5.8
Supplemental schedule of noncash investing activities
Net change to property, plant and equipment through accounts payable and accrued expenses	$ (18.4)	$ 19.9

Consolidated Balance Sheets - USD ($) $ in Millions	Sep. 30, 2023	Dec. 31, 2022
Assets
Cash	$ 23.8	$ 7.5
Accounts receivable, less allowance for doubtful accounts of $0.5 at both September 30, 2023 and December 31, 2022	350.1	432.2
Inventory	179.9	122.6
Assets from price risk management activities	38.0	72.8
Prepaid expenses and other current assets	8.5	18.7
Total current assets	600.3	653.8
Property, plant and equipment	5,467.5	5,353.2
Less: accumulated depreciation	999.6	822.8
Property, plant and equipment, net	4,467.9	4,530.4
Intangible assets	1,234.6	1,306.3
Less: accumulated amortization	277.9	300.7
Intangible assets, net	956.7	1,005.6
Goodwill	223.0	223.0
Operating lease right-of-use assets, net	23.3	24.4
Investments in unconsolidated affiliates	77.1	119.5
Other non-current assets	11.5	10.3
Total assets	6,359.8	6,567.0
Current liabilities:
Accounts payable	256.9	305.5
Accrued expenses and other liabilities	183.6	180.8
Liabilities from price risk management activities	17.6	23.9
Total current liabilities	458.1	510.2
Long-term debt, less current portion	3,302.5	3,378.3
Other long-term liabilities	323.4	333.4
Deferred income taxes	3.4	3.5
Total liabilities	4,087.4	4,225.4
Commitments and contingencies (Note 9)
Interest of non-controlling partner in subsidiary	456.0	434.4
Partners’ capital:
Crestwood Equity Partners LP partners’ capital (105,099,889 and 104,646,374 common units issued and outstanding at September 30, 2023 and December 31, 2022)	1,204.4	1,295.2
Preferred units (71,257,445 units issued and outstanding at both September 30, 2023 and December 31, 2022)	612.0	612.0
Total partners’ capital	1,816.4	1,907.2
Total liabilities and capital	6,359.8	6,567.0
Crestwood Midstream Partners LP
Assets
Cash	23.4	7.1
Accounts receivable, less allowance for doubtful accounts of $0.5 at both September 30, 2023 and December 31, 2022	350.0	432.2
Inventory	179.9	122.6
Assets from price risk management activities	38.0	72.8
Prepaid expenses and other current assets	8.5	18.7
Total current assets	599.8	653.4
Property, plant and equipment	5,464.3	5,350.0
Less: accumulated depreciation	999.3	822.6
Property, plant and equipment, net	4,465.0	4,527.4
Intangible assets	1,234.6	1,306.3
Less: accumulated amortization	277.9	300.7
Intangible assets, net	956.7	1,005.6
Goodwill	223.0	223.0
Operating lease right-of-use assets, net	23.3	24.4
Investments in unconsolidated affiliates	77.1	119.5
Other non-current assets	9.3	8.1
Total assets	6,354.2	6,561.4
Current liabilities:
Accounts payable	256.9	305.4
Accrued expenses and other liabilities	182.7	179.5
Liabilities from price risk management activities	17.6	23.9
Total current liabilities	457.2	508.8
Long-term debt, less current portion	3,302.5	3,378.3
Other long-term liabilities	321.3	330.3
Deferred income taxes	2.5	2.3
Total liabilities	4,083.5	4,219.7
Commitments and contingencies (Note 9)
Interest of non-controlling partner in subsidiary	456.0	434.4
Partners’ capital:
Partners' capital	1,814.7	1,907.3
Total liabilities and capital	$ 6,354.2	$ 6,561.4