Venture Global’s earnings per share (EPS) and revenue fell short of estimates, reflecting financial management challenges.
The company announced a $2 billion increase in the projected cost for its Plaquemines LNG plant due to inflation and other factors.
Venture Global’s financial metrics indicate a negative price-to-earnings (P/E) ratio, high debt-to-equity ratio, and reasonable liquidity.
Venture Global (NYSE:VG) is a company involved in the production and export of liquefied natural gas (LNG). It operates several LNG facilities, including the Plaquemines LNG plant in Louisiana. The company competes with other major players in the LNG industry, such as Cheniere Energy and Tellurian. On March 6, 2025, VG reported its earnings before the market opened.
VG’s earnings per share (EPS) for the period was $0.33, slightly below the estimated EPS of $0.34. The company’s actual revenue was $1.524 billion, which also fell short of the estimated $1.609 billion. This shortfall in revenue and earnings reflects the challenges VG faces in managing its financial performance amidst economic uncertainties.
The company recently announced a $2 billion increase in the projected cost for its Plaquemines LNG plant. This adjustment is due to inflation and other factors, as highlighted by Business Wire. The revised forecast underscores the difficulties VG encounters in controlling costs in a fluctuating economic environment.
VG’s financial metrics reveal its current challenges. The company has a price-to-sales ratio is 9.11, meaning investors pay $9.11 for every dollar of sales. The enterprise value to sales ratio is 18.04, reflecting VG’s valuation relative to its sales.
The enterprise value to operating cash flow ratio is high at 77.81, suggesting a premium valuation compared to cash flow. The debt-to-equity ratio is significantly high at 14.04, indicating heavy reliance on debt. However, the current ratio of 1.71 shows VG has a reasonable level of liquidity to cover short-term liabilities.