WES Research | Milton Maxwell

WES

Western Midstream Partners, LP

38.80

-0.72-1.82%

Dec 16, 4:00:03 PM EST

Upcoming Earnings

Report date

-/-

Earnings Call Transcripts

This Quarter (Q4 '25)

No earnings call transcript available yet

Last Quarter (Q3 '25)

FY Q3 '25

Cost savings sustainable; distribution flexible

11/4/25Nov 4, 2025

Q&A drilled into cost reductions as sustainable with more ahead—achieved alongside record operability—reaffirming O&M flat for 2025 pre-Aris. Management nodded to mid-single-digit distribution growth yet left room for step-ups from Pathfinder (now boosted by pore space for higher returns) or M&A, balanced against yields prompting buybacks. They detailed 3-stream ambitions in New Mexico via organic builds and inorganic deals, undaunted by sour gas hurdles. Synergies eyed to top $40M plus operational upsides. No walk-backs; investors track Delaware strength versus PRB/DJ softness.

Key Stats

Market Cap

15.83B

P/E (TTM)

11.48

Basic EPS (TTM)

3.38

Dividend Yield

0.09%

Recent Filings

8-K

WES Operating closes $1.2B notes

12/4/25Dec 4, 2025

Western Midstream Operating completed a $1.2B notes offering on December 4, 2025: $600M 4.800% due 2031 and $600M 5.500% due 2035. Proceeds repay 2026 senior notes, commercial paper (tied to Aris Water acquisition), and fund capex. Debt refinanced. Covenants restrict liens and mergers.

10-Q

11/4/25Nov 4, 2025

8-K

11/4/25Nov 4, 2025

8-K

WES completes Aris acquisition

10/15/25Oct 15, 2025

Western Midstream Partners completed its acquisition of Aris Water Solutions on October 15, 2025, issuing 26.6 million common units and paying $415.0 million in cash to Aris securityholders. This merger bolsters WES's role as a top three-stream midstream and flow-assurance provider in the Delaware Basin, enhancing produced-water gathering, recycling, and disposal services. Integration risks could disrupt operations. Deal closed swiftly.

10-Q

Q2 FY2025 results

8/6/25Aug 6, 2025

Western Midstream Partners posted solid Q2 results, with total revenues climbing 4% year-over-year to $942.3M on stronger fee-based service volumes, while operating income dipped 5% to $444.5M amid higher depreciation from recent expansions. Year-to-date, revenues rose 4% to $1.9B, but net income fell 32% to $667.3M after 2024's divestiture gains faded; diluted EPS landed at $1.66, aligning with 382.4M weighted shares. Throughput grew 3% sequentially to 5,433 MMcf/d for natural gas and 4% to 1,242 MBbls/d for produced water, fueled by West Texas and Powder River Basin output. Cash from operations hit $1.1B YTD, yielding $788M free cash flow after $321M capex, down from last year's $406M but supporting $710M distributions. Debt sits at $6.9B post-2025 notes retirement, with $2B revolver availability and $130M cash bolstering liquidity. The pending Aris acquisition, set for Q4 2025 at $1.5B equity plus $415M cash, targets 1,800 MBbls/d water handling in West Texas. Yet counterparty risks loom large with Occidental driving 80% of volumes.

About

Western Midstream Partners, LP, together with its subsidiaries, operates as a midstream energy company primarily in the United States. The company is involved in gathering, compressing, treating, processing, and transporting of natural gas; gathering, stabilizing, and transporting of condensate, natural gas liquids (NGLs), and crude oil; and gathering and disposing of produced water. It also buys and sells natural gas, NGLs, and condensate. The company operates assets located in Texas, New Mexico, and the Rocky Mountains. It also provides water handling and recycling solutions to oil and natural gas operators in the United States. Western Midstream Holdings, LLC operates as the general partner of the company. The company was formerly known as Western Gas Equity Partners, LP and changed its name to Western Midstream Partners, LP in February 2019. Western Midstream Partners, LP was incorporated in 2007 and is based in The Woodlands, Texas.

CEO

Mr. Oscar K. Brown

IPO

12/10/2012

Website

https://www.westernmidstream.com

Employees

1,511

Sector

Energy

Industry

Oil & Gas Midstream