Kinder Morgan Energy Partners L.P 2Q Results: Postgame Scorecard

Kinder Morgan Energy Partners L.P (NYSE:KMP) posted a decrease in net income in the most recent quarter, falling short of analysts' estimates.

Earnings and Revenue The company announced a loss of 53 cents a share against the 47 cents a share estimate. The company's reported EPS came in below the low estimate of 11 analysts of a profit of 39 cents.

The company's net income for the quarter was $153 million. According to the reported number, this is down 33.6% from last year's levels.

Company Fundamental Trends This marks the second quarter in a row that the company's net income has fallen after profits tumbled 39% in the first quarter.

History Against Expectations The company has now fallen short of analyst estimates for at least the past four quarters. It fell short by 18 cents in the first quarter, by 6 cents in the fourth quarter of the last fiscal year, and by 2 cents in the third quarter of the last fiscal year.

Official Comment: Chairman and CEO Richard D. Kinder said, "KMP had a strong second quarter, as our stable and diversified assets continued to grow and produce incremental cash flow. Our distributable cash flow increased by 13 percent versus the second quarter of 2011, and our CO2, Natural Gas Pipelines and Terminals business segments produced robust results. Looking ahead, we believe there are multiple growth opportunities across all of our businesses related to the natural gas shale plays, growing CO2 needs in West Texas for enhanced oil recovery, increasing demand for export coal, and additional infrastructure requirements to transport products from the Canadian oilsands and to move and store natural gas liquids. We are also excited about the growth opportunities that KMP is expected to realize from Kinder Morgan, Inc.'s acquisition of El Paso Corporation, which closed in the second quarter. With our large footprint of assets in North America, KMP is well positioned for future growth."

Estimates provided by Zacks Investment Research and company fundamentals from Xignite Financials.