Dallas-based Energy Transfer LP announced this week a 17-cent quarterly cash distribution.
It translates into a 70-cent distribution per common unit on an annualized basis for the fourth quarter ended December 31.
The company stated the distribution will be paid Feb. 18, 2022 to unitholders of record as of the close of business on Feb. 8, 2022.
The distribution is an approximately 15% increase over the previous quarter and represents the first step in Energy Transfer’s plan to return additional value to unitholders while maintaining its target leverage ratio of 4.0x-4.5x debt-to-EBITDA. Future increases to the distribution level will be evaluated quarterly with the ultimate goal of returning distributions to the previous level of $0.305 per quarter, or $1.22 on an annual basis, while balancing the partnership’s leverage target, growth opportunities and unit buy-backs.
In addition, as previously announced, Energy Transfer plans to release earnings for the fourth quarter and full year 2021 on Wednesday, February 16, 2022, after the market closes. The company will also conduct a conference call on Wednesday, February 16, 2022 at 3:30 p.m. Central Time/4:30 p.m. Eastern Time to discuss quarterly results and provide a company update including an outlook for 2022.