On August 7, 2024, Icahn Enterprises LP (IEP, Financial) released its 8-K filing detailing its financial performance for the second quarter of 2024. The diversified holding company, which operates through segments such as Investment, Automotive, Energy, Food Packaging, Real Estate, Pharma, and Home Fashion, reported revenues of $2.2 billion and a net loss of $331 million, or $0.72 per depositary unit, for the quarter ended June 30, 2024.
Performance Overview
Icahn Enterprises LP (IEP, Financial) faced a challenging quarter, with revenues declining from $2.6 billion in Q2 2023 to $2.2 billion in Q2 2024. The net loss widened to $331 million, compared to a net loss of $269 million in the same period last year. Adjusted EBITDA also saw a significant decline, registering a loss of $155 million, down from a positive $14 million in Q2 2023.
Financial Achievements and Challenges
Despite the overall downturn, Icahn Enterprises LP (IEP, Financial) declared a quarterly distribution of $1.00 per depositary unit, payable on or about September 25, 2024. This decision underscores the company's commitment to returning value to its shareholders, even amid financial challenges.
The Board of Directors of the general partner of Icahn Enterprises declared a quarterly distribution in the amount of $1.00 per depositary unit, which will be paid on or about September 25, 2024, to depositary unitholders of record at the close of business on August 19, 2024."
Income Statement Highlights
| Metric | Q2 2024 | Q2 2023 |
|---|---|---|
| Revenues | $2.2 billion | $2.6 billion |
| Net Loss | $331 million | $269 million |
| Adjusted EBITDA | -$155 million | $14 million |
Balance Sheet and Cash Flow
As of June 30, 2024, Icahn Enterprises LP (IEP, Financial) reported total assets of $17.988 billion, down from $20.858 billion as of December 31, 2023. Cash and cash equivalents stood at $2.218 billion, a decrease from $2.951 billion at the end of 2023. The indicative net asset value also saw a decline, decreasing by $969 million compared to March 31, 2024.
Analysis and Outlook
The financial results for Q2 2024 highlight the ongoing challenges faced by Icahn Enterprises LP (IEP, Financial), particularly in its Energy segment, which is a significant revenue driver. The decline in revenues and widening net loss indicate the impact of market volatility and operational challenges. However, the company's decision to maintain its quarterly distribution reflects a strategic focus on shareholder value.
Value investors and potential GuruFocus.com members can gain deeper insights into Icahn Enterprises LP (IEP, Financial)'s performance and strategic direction by reviewing the detailed financial statements and management commentary available in the 8-K filing.
Explore the complete 8-K earnings release (here) from Icahn Enterprises LP for further details.
