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AltaGas Ltd T.ALA

Alternate Symbol(s):  ATGFF | T.ALA.PR.A | ATGPF | T.ALA.PR.B | T.ALA.PR.G | ATGAF

AltaGas Ltd. is a Canada-based energy infrastructure company that connects natural gas and natural gas liquids (NGLs) to domestic and global markets. The Company’s segments include Utilities and Midstream. Its Utilities segment owns and operates franchised, rate-regulated natural gas distribution and storage utilities, which includes four utilities that operate across five United States jurisdictions. It Utilities segment also includes storage facilities and contracts for interstate natural gas transportation and storage services, as well as the affiliated retail energy marketing business. Its Midstream segment includes global exports, which includes its two LPG export terminals; natural gas gathering and extraction, and fractionation and liquids handling. Its Midstream segment also consists of natural gas and NGL marketing business, domestic logistics, trucking and rail terminals, and liquid storage capability. Its subsidiaries include Wrangler 1 LLC, WGL Holdings, Inc. and others.


TSX:ALA - Post by User

Comment by bossuon Apr 04, 2021 10:27am
157 Views
Post# 32934915

RE:ALA Growth since 2018

RE:ALA Growth since 2018



To give you some more explanation on the Projected revenue ( top line) for Petrogas 
You have noted that the contribution on the top line revenue for ALA has been 33 % in 2018 2019 2020 
Applying the same 33 % for 2021 would need $ 6 400 M on the top line revenue to keep the contribution to 33 % .
So to establish Petrogas top line revenue for 2021  is of course 
$ 6 400 M less 2020 at $ 5 587 M = $ 813 M 
However we deduct the increase in revenu from 2019 to 2020 which is 
$ 5495 -$ 5587 = $  92 
Finally you deduct this amount from $ 813 M that give a pretty good appreciation on the Petrogas top line revenue in 2021 or $ 813 - $ 92 = $ 721 M

This shows that EBITDA contribution from Petrogas at $ 225 M give a contribution in percentage : 32  % ( pretty close to 33 %)

As a general note, we see that growing the top line is what ALA is doing and keeping EBITDA contribution at 33 % is pretty good.
Of course the bottom line net will improved accordingly .
This the way I see the picture.
















bossu wrote: Closing WGL acquisition July 3 2018

Numbers since 2018
..................................2018 ...........2019......2020......2021
Top line revenue   $ 4 257 M  $ 5 495 M  $ 5 587  6 400 M (note)
EBITDA...............$ 1 009 M  $ 1 271M$ $ 1 310    1 500 M (Guidance)
..................................23 %........23.%..........23..% .........23
.........
With the Petrogas acquisition that is bugeted to add   $ 225 M to the EBITDA numbers but the top line revenu from Petrogas acquisition is not published !
This look to me that the top line revenu at the end of 2021 will be a 14 % growth in revenue from 2020 This is all accredutuve to Randy and his team!
So grow in the top line and at the end bottom line as per Randy :
«
  • The company has a 2021 normalized EPS (earnings per share) guidance of $1.45 to $1.55 per share, which represents approximately 20 per cent year-over-year growth using midpoint guidance numbers. AltaGas is acutely focused on growing earnings per share and creating earnings durability in the years ahead.


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