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Dec 31, 2024

Western Midstream Q4 2024 Earnings Report

Western Midstream reported strong earnings in Q4 2024, with increased throughput and free cash flow.

Key Takeaways

Western Midstream Partners, LP reported Q4 2024 net income of $325.9 million and Adjusted EBITDA of $590.7 million. Natural gas, crude oil, and produced water throughput saw sequential growth. The company generated $309.3 million in free cash flow and maintained a strong balance sheet while executing its capital return strategy.

Net income of $325.9 million and Adjusted EBITDA of $590.7 million in Q4 2024.

Generated $309.3 million in free cash flow, supporting capital return strategy.

Natural gas throughput increased by 4% sequentially to 5.2 Bcf/d.

Announced Q4 base distribution of $0.875 per unit, consistent with prior quarters.

Total Revenue
$929M
Previous year: $858M
+8.2%
EPS
$0.85
Previous year: $0.74
+14.9%
Adj. Gross Margin per Mcf (NatGas)
$1.29
Previous year: $1.3
-0.8%
Adj. Gross Margin per Bbl (Crude/NGLs)
$3
Previous year: $2.94
+2.0%
Adj. Gross Margin per Bbl (Produced Water)
$0.96
Previous year: $0.96
+0.0%
Gross Profit
$726M
Previous year: $452M
+60.7%
Cash and Equivalents
$1.09B
Free Cash Flow
$309M
Previous year: $243M
+27.3%
Total Assets
$13.1B
Previous year: $12.5B
+5.4%

Western Midstream

Western Midstream

Western Midstream Revenue by Segment

Western Midstream Revenue by Geographic Location

Forward Guidance

Western Midstream expects continued volume growth across its core business segments, with infrastructure expansion projects supporting future revenue streams. The company remains focused on capital efficiency and stable distributions.

Positive Outlook

  • Projected mid-to-low single-digit annual distribution growth rate.
  • Expected strong throughput growth in Delaware and DJ Basins.
  • Continued leverage reduction to maintain financial flexibility.
  • New long-term produced-water agreement with Occidental.
  • Expansion of natural gas processing infrastructure with Mentone III and North Loving projects.

Challenges Ahead

  • Potential macroeconomic headwinds impacting energy demand.
  • Higher interest expenses due to rising rate environment.
  • Commodity price volatility affecting revenue stability.
  • Ongoing capital expenditure requirements for expansion projects.
  • Regulatory uncertainties in key operating regions.

Revenue & Expenses

Visualization of income flow from segment revenue to net income