Williams Partners L.P. (WPZ) reported net income for the first quarter of $321 million or $0.50 per unit, compared to $408 million or $0.85 per unit for the year-ago quarter.
Analysts polled by Thomson Reuters expected the company to earn $0.50 per share for the first quarter.
The company said the decline in net income was mainly due to a sharp decline in NGL margins from near historic highs in first-quarter 2012 and related ethane rejection. NGL margins declined 50% from a year earlier, as continued low ethane prices drove system wide ethane rejection and propane and butane prices also remained at depressed levels.
Williams Partners' fee-based revenue for the first quarter rose 5% to $651 million from $684 million a year ago.
Williams Partners also said it is lowering its 2013-14 guidance for earnings and distributable cash flow primarily to reflect expected lower NGL processing margins due to higher natural gas price and lower NGL price assumptions and related lower ethane transportation volumes.
Williams plans to host its annual Analyst Day on May 21.
For comments and feedback: editorial@rttnews.com