10-Q · May 7, 2026
Energy Transfer LP reported its Q1 2026 results, with total revenues of $27.77 billion, slightly exceeding expectations, but EPS of $0.35 fell short of the estimated $0.38. The company highlighted a significant boost in…
Earnings analysis · 10-Q
ET earnings analysis
Filed November 5, 2026 · Our reading of the company's report
The latest report
Energy Transfer delivered strong top-line momentum, with Q3 2026 revenue of $37.103 billion, but diluted EPS of $0.33 fell 44% sequentially to $0.59 and missed the $0.41 consensus estimate. The supplied history does not…
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Energy Transfer delivered strong top-line momentum, with Q3 2026 revenue of $37.103 billion, but diluted EPS of $0.33 fell 44% sequentially to $0.59 and missed the $0.41 consensus estimate. The supplied history does not provide Q3 2026 gross margin, operating margin, free cash flow, or segment results, limiting assessment of underlying profitability and cash conversion. The 10-Q reports no material change in market-risk exposures, but highlights $1.96 billion of floating-rate debt, material commodity derivatives, expanded environmental proceedings, and a new TXSE governance-related risk.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $0.33
What stood out
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Revenue accelerated, but EPS declined sequentially
Third-quarter revenue was $37.103 billion, up approximately 8.1% from $34.33 billion in Q2 2026 and approximately 86% from $19.95 billion in Q3 2025. Diluted EPS was $0.33, down from $0.59 sequentially but up from $0.28 year over year.
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No material change in market-risk profile
The 10-Q states that market-risk exposures and management practices had no material changes since December 31, 2025. This provides stability in the risk profile despite commodity and interest-rate exposure.
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Floating-rate debt creates measured sensitivity
As of September 30, 2026, floating-rate debt was $1.96 billion; a hypothetical 100-basis-point rate increase would raise annual interest expense by up to $20 million. The filing also identifies a $216 million Sunoco LP interest-rate swap maturing in December 2030.
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Commodity derivatives remain material
Commodity derivative exposures remained significant: crude, NGL and refined-product mark-to-market derivatives had a $330 million liability fair value and a $175 million effect from a hypothetical 10% price change at September 30, 2026.
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Controls remained effective
Management concluded that disclosure controls were effective as of September 30, 2026, and reported no changes during the three months ended September 30, 2026 that materially affected, or were reasonably likely to materially affect, internal control over financial reporting.
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Environmental disclosure scope expanded
The filing raises the reporting threshold for environmental governmental proceedings to monetary sanctions in excess of $1 million, versus the previous $0.3 million threshold. It also reports climate-related lawsuits involving Sunoco LP in Hawaii, Maine and Vermont.
What to watch
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Reduced exchange governance protections
The new TXSE-related risk states that, because Energy Transfer is a publicly traded partnership, the exchange does not require a majority of independent directors or compensation and nominating/governance committees. The filing therefore indicates unitholders may not receive protections applicable to certain corporations.
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Interest-rate exposure
Floating-rate debt of $1.96 billion exposes the partnership to higher interest expense; the filing estimates that a 100-basis-point increase could increase annual interest expense by up to $20 million. Actual sensitivity may be lower because of interest-rate floors.
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Unquantified climate-litigation exposure
Sunoco LP and affiliates face climate-impact lawsuits in Hawaii, Maine and Vermont, and the filing states that the possible loss or range of loss in excess of accrued amounts cannot be estimated. The Hawaii stay motion was denied in May 2026, while the related U.S. Supreme Court case was argued on October 5, 2026.
Management's outlook
The provided 10-Q text does not include quantitative company guidance or an updated outlook. The prior 8-K reported raised full-year 2026 Adjusted EBITDA guidance of $19.7-$19.9 billion versus $18.8-$19.1 billion previously, plus 2026 growth capital guidance of $5.4-$5.6 billion and approximately $7 billion for 2027.
Earlier filings 4
10-K · February 19, 2026
Energy Transfer’s 10-K emphasizes scale in U.S. pipeline, storage and NGL/refined products networks and a strategic shift away from developing its Lake Charles LNG liquefaction project to prioritize a backlog of natural…
10-Q · November 6, 2025
Energy Transfer reported Q3 revenues of $19,954 million and diluted EPS of $0.28. Revenue declined versus the year-ago quarter (from $20,772 million) and diluted EPS declined from $0.32, while operating income was…
10-Q · August 7, 2025
Energy Transfer reported Q2 revenue of $19,242 million (three months ended June 30, 2025) with operating income essentially flat at $2,309 million versus $2,298 million in Q2 2024. Diluted income per common unit was…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.