About this website

The website explains how distributable cash flow (DCF) is defined and why it is important to analyze it and derive a sustainable measure of DCF. Results reported by master limited partnerships (MLPs) are analyzed. comparisons of reported DCF to sustainable DCF are generated, and various coverage ratios and reports analyzing performance are generated. Simplified sources and uses of funds statements are presented to focus readers' attention on key cash flow items. The website also features general articles about MLPs and about other topics of interest to yield-focused investors.

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Disclaimer

The documents and opinions in this website are for informational and educational purposes only and should not be construed as a recommendation to buy or sell the securities mentioned or to solicit transactions or clients. The information in this website is believed, but not guaranteed, to be accurate. All content on this website is presented as of the date published, is not updated and may be superseded by subsequent market events or for other reasons Under no circumstances should a person act upon the information contained within without first conducting his/her own independent research and consulting with his/her investment advisor and tax professional as to whether such action is suitable based on the investor’s investment objectives, personal and financial situation, and specific legal or tax situation.

KMP - A Closer Look at Kinder Morgan Energy Partners’ Distributable Cash Flow as of 3Q 2014

 

Author: Ron Hiram

Published: October 31, 2014

Summary:

Notwithstanding the pending consolidation of Kinder Morgan entities, an evaluation of KMP’s recent results and DCF sustainability is still highly relevant. DCF coverage based on sustainable DCF has improved and exceeds reported coverage; the improvement was both quantitative and qualitative. Recent market turmoil and sharp […]

Preliminary review of Kinder Morgan Energy Partners’ results for 3Q 2014

Author: Ron Hiram

Published: October 19, 2014

Summary:

Adjusted EBDA per unit and segment earnings per unit exhibit slow growth year-to-year for the past 5 calendar quarters. Distributions per unit are growing somewhat faster than DCF per unit. Recent market turmoil and sharp decline in commodity prices, particularly oil, is not expected to have […]

KMP - A Closer Look at Kinder Morgan Energy Partners’ Distributable Cash Flow as of 2Q 14

Author: Ron Hiram

Published: July 31, 2014

This article supplements, and should be read in conjunction with, my preliminary review of 2Q14 results recently reported by Kinder Morgan Energy Partners LP (KMP). I now evaluate the sustainability of KMP’s Distributable Cash Flow (“DCF”) and assesses whether KMP is financing its distributions via issuance of new […]

Preliminary review of Kinder Morgan Energy Partners’ results for 2Q 2014

Author: Ron Hiram

Published: July 28, 2013

This article focuses on some of the key facts and trends revealed by the results of operations reported by Kinder Morgan Energy Partners LP (KMP) for 2Q 2014.

Adjusted earnings before depreciation and amortization (“Adjusted EBDA” or “Segment earnings before DD&A and certain items”) is one of […]

KMP - A Closer Look at Kinder Morgan Energy Partners’ Distributable Cash Flow as of 1Q 2014

Author: Ron Hiram

Published: May 5, 2014

Kinder Morgan Energy Partners LP (KMP) recently reported its results of operations for 1Q 2014. This article focuses on some of the key facts and trends revealed by this and prior KMP reports.

Adjusted earnings before depreciation and amortization (“Adjusted EBDA” or “Segment earnings before DD&A and […]