MPLX Beats Q3 Earnings Estimates, Hikes Quarterly Distribution

MPLX LP MPLX reported third-quarter 2025 earnings of $1.52 per unit, which beat the Zacks Consensus Estimate of $1.07. The bottom line also increased from the year-ago quarter’s $1.01.

Total quarterly revenues of $3.6 billion surpassed the Zacks Consensus Estimate of $3.3 billion. The top line also increased from the prior-year level of $3 billion.

The strong quarterly results can be primarily attributed to increased gathering throughput and natural gas processed volumes. The quarterly performance also benefited from higher transportation rates and incremental contributions from recently acquired assets.

MPLX LP Price, Consensus and EPS Surprise

 

MPLX LP price-consensus-eps-surprise-chart | MPLX LP Quote

Distribution Hike

MPLX announced a 12.5% increase in its quarterly distribution, marking the second consecutive year of such an increase. This brings the annualized distribution to $4.31 per unit. The third-quarter 2025 distribution was $1.0765 per common unit.

Segmental Highlights

MPLX LP has redefined its reporting segments as Crude Oil and Products Logistics (previously known as Logistics and Storage), and Natural Gas and NGL Services (formerly known as Gathering and Processing).

MPLX’s adjusted EBITDA from the Crude Oil and Products Logistics segment increased 4% to $1.14 billion from $1.1 billion a year ago. The improvement was driven primarily by higher rates, though partially offset by higher operating expenses. Total pipeline throughputs in the quarter were 5.92 million barrels per day (mbpd), marginally down from the prior-year quarter’s 5.95 mbpd.

Adjusted EBITDA from the Natural Gas and NGL Services segment amounted to $629 million, up from the $620 million reported in the year-ago quarter. The segment saw growth, driven by inputs from recently purchased assets and greater production volumes. This was partly offset by a rise in operating costs.

Gathering throughput volumes averaged 6.91 billion cubic feet per day (Bcf/d), a 3% increase from the year-ago level. Natural gas processed volumes totaled 10.1 Bcf/d, marking a 3% improvement from the year-ago level.

Costs & Expenses

Total costs and expenses were $1.82 billion, up from the year-ago figure of $1.70 billion. The increase was primarily led by higher operating expenses (including purchased product costs).

Cash Flow

The distributable cash flow in the quarter totaled $1.47 billion, providing 1.3X distribution coverage. The figure slightly increased from $1.44 billion in the year-ago quarter.

The adjusted free cash flow declined to a negative $2.31 billion from the inflow of $876 million in the corresponding period of 2024.

Balance Sheet

As of Sept. 30, 2025, the partnership’s cash and cash equivalents were $1.77 billion, and its total debt amounted to $25.65 billion.

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MPLX expects to sustain mid-single-digit adjusted EBITDA growth while continuing to invest in its Permian and Marcellus basin operations. Management reaffirmed its focus on portfolio optimization through acquisitions such as the Delaware Basin sour gas treating business and divestitures like the Rockies gathering and processing assets to strengthen long-term growth.

MPLX’s Zacks Rank & Key Picks

Currently, MPLX carries a Zacks Rank #3 (Hold).

Some better-ranked stocks from the energy sector are Oceaneering International, Inc. OII, Weatherford International WFRD, each sporting a Zacks Rank #1 (Strong Buy) and Vista Energy S.A.B. de C.V. VIST, carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Oceaneering reported an adjusted profit of 55 cents per share for the third quarter of 2025, beating the Zacks Consensus Estimate of 42 cents. Moreover, the bottom line surpassed the year-ago quarter’s reported figure of 36 cents.

As of Sept. 30, 2025, OII had cash and cash equivalents worth $506 million and $497.5 million, respectively, along with a long-term debt of about $486 million. The debt-to-total capital was 34.7%. OII has a Zacks VGM Score of A.

Vista Energyregistered third-quarter 2025 adjusted earnings per share of $1.48, which beat the Zacks Consensus Estimate of $1.24. The bottom line also improved from the prior-year quarter’s 55 cents.

As of Sep. 30, 2025, Vista Energy had $319.7 million in cash, bank balances and other short-term investments. The company's gross financial debt stood at $2.92 billion as of the same date. VIST has a Zacks Style Score of A for Value.

Weatherford International provides oil field services and equipment. The company offers drilling solutions, gas well unloading, restoration and other related activities.

The company’s earnings beat the Zacks Consensus Estimate in three of the trailing four quarters and missed the same once, delivering an average surprise of 29.46%. WFRD has a Zacks Style Score of B for Value.

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This article originally published on Zacks Investment Research (zacks.com).

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