Segments

6 Months Ended

Jun. 30, 2023

Segment Reporting [Abstract]

Segments

Note 11. Segments

Our operations are located in the United States and are organized into three reportable segments: (1) gathering, (2) processing and storage and (3) terminaling and export. Our reportable segments comprise the structure used by our Chief Operating Decision Maker (“CODM”) to make key operating decisions and assess performance. These segments are strategic business units with differing products and services. Our CODM evaluates the segments’ operating performance based on multiple measures including Adjusted EBITDA, defined as net income (loss) before net interest expense, income tax expense (benefit), depreciation and amortization and our proportional share of depreciation of equity affiliates, as further adjusted to eliminate the impact of certain items that we do not consider indicative of our ongoing operating performance, such as transaction costs, other income and other non-cash, non‑recurring items, if applicable.

The following tables reflect certain financial data for each reportable segment:

	Gathering		Processing and Storage		Terminaling and Export		Interest and Other			Consolidated
(in millions)
For the Three Months Ended June 30, 2023
Revenues and other income	$	174.5	$	122.8	$	26.7	$	-		$	324.0
Net income (loss)		100.0		85.1		16.7		(53.9	)		147.9
Net income (loss) attributable to    Hess Midstream LP		21.3		18.3		3.4		(17.9	)		25.1
Depreciation expense		28.2		14.5		4.3		-			47.0
Proportional share of equity affiliates' depreciation		-		1.3		-		-			1.3
Income from equity investments		-		1.7		-		-			1.7
Interest expense, net		-		-		-		43.8			43.8
Income tax expense		-		-		-		8.1			8.1
Adjusted EBITDA		128.2		100.9		21.0		(2.0	)		248.1
Capital expenditures*		46.4		2.7		3.0		-			52.1
	Gathering		Processing and Storage		Terminaling and Export		Interest and Other			Consolidated
(in millions)
For the Three Months Ended June 30, 2022
Revenues and other income	$	166.2	$	116.5	$	30.7	$	-		$	313.4
Net income (loss)		95.2		81.3		21.3		(46.0	)		151.8
Net income (loss) attributable to    Hess Midstream LP		17.6		15.0		3.8		(14.4	)		22.0
Depreciation expense		26.6		14.4		4.0		-			45.0
Proportional share of equity affiliates' depreciation		-		1.3		-		-			1.3
Income from equity investments		-		1.0		-		-			1.0
Interest expense, net		-		-		-		37.4			37.4
Income tax expense		-		-		-		7.1			7.1
Adjusted EBITDA		121.8		97.0		25.3		(1.5	)		242.6
Capital expenditures*		67.7		1.3		2.7		-			71.7

	Gathering		Processing and Storage		Terminaling and Export		Interest and Other			Consolidated
(in millions)
For the Six Months Ended June 30, 2023
Revenues and other income	$	339.2	$	237.2	$	52.6	$	-		$	629.0
Net income (loss)		195.1		165.2		34.3		(104.5	)		290.1
Net income (loss) attributable to    Hess Midstream LP		38.7		32.8		6.7		(32.4	)		45.8
Depreciation expense		57.0		29.0		8.4		-			94.4
Proportional share of equity affiliates' depreciation		-		2.6		-		-			2.6
Income from equity investments		-		3.3		-		-			3.3
Interest expense, net		-		-		-		85.4			85.4
Income tax expense		-		-		-		14.6			14.6
Adjusted EBITDA		252.1		196.8		42.7		(4.5	)		487.1
Capital expenditures*		95.8		3.6		10.0		-			109.4
	Gathering		Processing and Storage		Terminaling and Export		Interest and Other			Consolidated
(in millions)
For the Six Months Ended June 30, 2022
Revenues and other income	$	329.8	$	230.3	$	65.7	$	-		$	625.8
Net income (loss)		193.4		159.4		43.2		(84.6	)		311.4
Net income (loss) attributable to    Hess Midstream LP		30.6		25.4		6.7		(23.8	)		38.9
Depreciation expense		52.5		28.8		8.1		-			89.4
Proportional share of equity affiliates' depreciation		-		2.6		-		-			2.6
Income from equity investments		-		1.4		-		-			1.4
Interest expense, net		-		-		-		68.7			68.7
Income tax expense		-		-		-		12.1			12.1
Adjusted EBITDA		245.9		190.8		51.3		(3.8	)		484.2
Capital expenditures*		103.4		2.2		3.2		-			108.8

*Includes acquisition, expansion and maintenance capital expenditures, as applicable.

Total assets for the reportable segments are as follows:

	June 30, 2023		December 31, 2022
(in millions)
Gathering	$	2,053.0	$	2,022.0
Processing and Storage(1)		1,068.1		1,099.2
Terminaling and Export		272.0		275.8
Interest and Other		266.6		191.2
Total assets	$	3,659.7	$	3,588.2

(1) Includes investment in equity investees of $92.8 million as of June 30, 2023 and $93.9 million as of December 31, 2022.