Sep 30, 2023

New Fortress Energy Q3 2023 Earnings Report

New Fortress Energy's financial performance reflected a transition towards contracted downstream assets and strategic advancements in key projects.

Key Takeaways

New Fortress Energy reported adjusted EBITDA of $208 million and net income of $62 million for the third quarter of 2023. The company is transitioning towards core infrastructure with nearly 100% of third quarter earnings from contracted downstream assets. NFE is expecting an increase in earnings and decrease in capex beginning in the fourth quarter of 2023 as they place approximately $3.0 billion of invested capital projects online and plans to deleverage by selling approximately $1 billion of non-core assets.

Adjusted EBITDA was $208 million.

Net income reached $62 million.

Adjusted EPS was $0.30 on a fully diluted basis.

The company transitioned earnings from predominantly open cargos to nearly 100% contracted downstream assets.

Total Revenue
$514M
Previous year: $732M
-29.7%
EPS
$0.3
Previous year: $0.41
-26.8%
Adjusted EBITDA
$208M
Previous year: $291M
-28.5%
Gross Profit
$250M
Previous year: $296M
-15.4%
Cash and Equivalents
$237M
Previous year: $364M
-34.8%
Free Cash Flow
-$636M
Previous year: -$425M
+49.5%
Total Assets
$9.8B
Previous year: $7.44B
+31.7%

New Fortress Energy

New Fortress Energy

Forward Guidance

New Fortress Energy anticipates increased earnings and decreased capital expenditures as it brings approximately $3.0 billion of invested capital projects online. The company also aims to deleverage through approximately $1 billion in non-core asset sales and reiterated its Illustrative Adjusted EBITDA Goals for 2023 and 2024.

Positive Outlook

  • Increase in earnings is expected beginning in the fourth quarter of 2023.
  • Decrease in capital expenditures is expected beginning in the fourth quarter of 2023.
  • Approximately $3.0 billion of invested capital projects are expected to be placed online.
  • Approximately $1 billion of non-core asset sales are planned to support deleveraging.
  • Illustrative Adjusted EBITDA Goals for 2023 and 2024 are reiterated at $1.6 billion and $2.4 billion, respectively.