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The board of directors of Hess Midstream LP’s general partner declared a quarterly cash distribution of $0.65 per Class A share for the quarter ended March 31.
The first-quarter 2024 distribution has been increased by approximately 2.7% per Class A share compared to fourth-quarter 2023. The increase consists of an approximate 1.5% increase in Hess Midstream’s distribution level per Class A share in addition to the quarterly 1.2% increase per Class A share.
The increased distribution is consistent with Hess Midstream’s target of at least 5% growth in annual distributions per Class A share through 2026.
“With today’s announcement, we have once again utilized our excess adjusted free cash flow beyond our growing distributions to provide a further return of capital to our shareholders,” said Jonathan Stein, Hess Midstream CFO. “We have increased our distribution per Class A share by approximately 45% since the first quarter of 2021. We expect to continue to have more than $1.25 billion of financial flexibility through 2026 that can be used to support our return of capital framework, including potential additional and ongoing unit repurchases that could support further distribution per share level increases.”
The quarterly distribution will be payable on May 14 to Class A shareholders of record as of the close of business on May 2.
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