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Magellan Midstream Partners L.P. (MMP) filed Quarterly Report for the period ended 2011-09-30.
Magellan Midstream Partners L.p. has a market cap of $7.22 billion; its shares were traded at around $64.08 with a P/E ratio of 17.6 and P/S ratio of 4.64. The dividend yield of Magellan Midstream Partners L.p. stocks is 4.99%. Magellan Midstream Partners L.p. had an annual average earning growth of 2.8% over the past 10 years.
This is the annual revenues and earnings per share of MMP over the last 10 years. For detailed 10-year financial data and charts, go to 10-Year Financials of MMP.
Highlight of Business Operations:
Product sales revenues primarily resulted from our petroleum products blending activities, product marketing and linefill management associated with our Houston-to-El Paso pipeline section, terminal product gains and transmix fractionation. We utilize New York Mercantile Exchange (“NYMEX”) contracts to hedge against changes in the price of petroleum products we expect to sell in the future. The period change in the mark-to-market value of these contracts that are not designated as hedges for accounting purposes, the effective portion of the change in value of matured NYMEX contracts that qualified for hedge accounting treatment and any ineffectiveness of NYMEX contracts that qualify for hedge accounting treatment are also included in product sales revenues. We use butane swap agreements to hedge against changes in the price of butane we expect to purchase in future periods. The period change in the mark-to-market value of these swap agreements, which were not designated as hedges, are included as adjustments to product purchases. Product margin increased $31.4 million between periods due primarily to favorable unrealized gains from NYMEX contracts resulting from declining commodity prices in third quarter 2011, partially offset by lower profits from our Houston-to-El Paso pipeline linefill management and petroleum products blending activities. During third quarter 2011, we recorded $3.0 million of lower-of-cost-or-market ("LCM") adjustments, which increased product costs, compared to third quarter 2010 in which approximately $4.9 million of LCM adjustments recognized in second quarter 2010 were reversed (which reduced product costs).Product sales revenues primarily result from our petroleum products blending activities, product marketing and linefill management associated with our Houston-to-El Paso pipeline section, terminal product gains and transmix fractionation. We utilize NYMEX contracts to hedge against changes in the price of petroleum products we expect to sell in the future related to these activities. The period change in the mark-to-market value of these contracts that do not qualify for hedge accounting treatment, the effective portion of the change in value of matured NYMEX contracts that qualified for hedge accounting treatment and any ineffectiveness of NYMEX contracts that qualify for hedge accounting treatment are also included in product sales revenues. We use butane swap agreements to hedge against changes in the price of butane we expect to purchase in future periods. The period change in the mark-to-market value of these swap agreements, which were not designated as hedges, are included as adjustments to product purchases. Product margin increased $29.1 million between periods due primarily to favorable unrealized gains from NYMEX contracts resulting from declining commodity prices in third quarter 2011 and higher profits from our fractionation activities, partially offset by lower profits from our petroleum products blending activities. The LCM adjustments for the nine months ended September 30, 2011 were $3.0 million. The LCM adjustments for the three months ended September 30, 2010 were $0.3 million (net of approximately $4.9 million of LCM reversals).
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