Cheniere Energy Partners, L.P.

For Q1 2026, Cheniere reported consolidated adjusted EBITDA of over $2.3 billion and distributable cash flow of approximately $1.7 billion. The company also reported a net loss of approximately $3.5 billion, driven mainly by unrealized non-cash derivative losses, but adjusted net income was approximately $1 billion. LNG production recognized in income was 646 TBtu, and 187 cargos were exported, a quarterly record. Full-year 2026 guidance was raised to $7.25 billion-$7.75 billion for consolidated adjusted EBITDA and $4.75 billion-$5.25 billion for distributable cash flow, while CQP distribution guidance was maintained at $3.10-$3.40 per common unit. Management said production is now expected to be approximately 52-54 million tons for 2026, about 1 million tons higher than before, and still expects less than 1 million tons of unsold open volumes remaining in 2026.

Jack Fusco emphasized that the quarter showed improved operational reliability and stronger execution after prior feed gas composition challenges. He framed the current market as structurally more favorable for secure LNG supply, citing geopolitical disruptions in the Middle East and Cheniere’s role as a reliable provider. His tone was upbeat and forward-looking, highlighting execution, growth, and capital allocation as the company’s three priorities for 2026.

Zach Davis focused on the financial drivers behind the guidance raise: higher production, better margin assumptions, and optimization already locked in year to date. He said the midpoint of EBITDA guidance rose by $500 million and DCF by $400 million, while the company still forecasts less than 1 million tons of unsold open volumes for 2026 and less than $50 million EBITDA sensitivity for a $1 change in market margins. He also highlighted about $1.8 billion of consolidated cash, over $250 million of debt repayment in the quarter, $1.2 billion deployed across growth, buybacks, dividends and balance-sheet management, and the issuance of $1 billion of 2036 notes plus $750 million of 2056 notes.

Analysts pressed management on whether Middle East disruptions are increasing demand for U.S. LNG contracting, and management said customer conversations are stronger because of Cheniere’s reliability, but they still expect a competitive market and continued deals mainly with existing customers. Questions also focused on the pace and sequencing of future expansions, with management saying Sabine Pass Train 7 is being prepared for limited notices to proceed this year and Corpus Christi Phase 1 is tracking toward permit approval in the first half of next year. On pricing, management said it was ‘astounded’ that LNG prices have not risen more, but expects stronger prices into the second half of the year and potentially into 2027 as Europe refills storage and Asia competes for supply.