NGL Energy Partners (NGL) just posted its FY 2026 numbers with fourth quarter revenue of US$2.4 billion and a basic EPS loss of US$1.31 per share, setting a clear tone for how the year wrapped up. Over recent quarters, the company has seen revenue move from US$971.1 million in Q4 FY 2025 to US$2.4 billion in Q4 FY 2026. Quarterly EPS has swung between a loss of US$0.26 in Q1 FY 2026 and a small profit of US$0.10 in Q3 before sliding back into a wider loss in Q4, leaving margins under pressure and firmly in loss-making territory.

See our full analysis for NGL Energy Partners.

With the headline numbers on the table, the next step is to set these results against the widely followed narratives around NGL, highlighting where the earnings release backs up the story and where it raises fresh questions.

US$3.2 billion in trailing revenue but still loss making

• Over the trailing 12 months, NGL booked about US$3.2 billion in revenue and a loss of US$181.6 million in net income excluding extra items, so the business is generating sizeable sales while still firmly in the red.
• What jumps out against the more bullish view that focuses on improving loss trends is that quarterly profitability remains inconsistent, with net income swinging from a profit of US$12.0 million in Q3 FY 2026 to a loss of US$162.7 million in Q4. This shows that the path toward sustained positive earnings is not yet visible in these reported numbers.

Price to sales at 0.7x versus 2.0x industry

• NGL is trading on a P/S ratio of 0.7x versus an industry average of about 2.0x and a peer average of 2.6x, even though the company reported a trailing 12 month loss of US$181.6 million and negative shareholders’ equity.
• Supporters of a bullish case often point to this discount and the DCF fair value of about US$22.37 per unit against a current price of US$17.10. The same data shows NGL is still unprofitable over the trailing year and carrying negative equity, so any optimism about that valuation gap has to be weighed against the clear balance sheet and profitability risks that are visible in the recent financials.
  • On the reward side, the combination of a 0.7x P/S and a price that sits roughly 23.6% below the stated DCF fair value suggests the market is valuing these revenues more conservatively than peers.
  • On the risk side, the ongoing losses in the trailing period and negative shareholders’ equity signal that the company’s capital structure and earnings profile are still stressed. This is exactly the type of issue more cautious investors focus on when they question how far valuation alone can carry the bullish argument.

Forecast earnings growth versus forecast revenue decline

• Forecasts in the dataset point to earnings growing at about 112.56% per year with an expectation of a move into profitability within three years, while revenue is projected to decline around 30.6% per year over the same period.
• What is striking in this general market opinion is the contrast between those strong earnings growth forecasts and the declining revenue outlook, because the trailing 12 month figures still show NGL losing US$181.6 million on about US$3.2 billion of revenue. Investors therefore have to judge how comfortable they are relying on forecasts of a profitability turnaround when the most recent actual numbers still reflect sizeable losses and no positive margin trend in the reported data.
  • The forecasted path to profitability sits alongside a five year track record of losses shrinking at about 40.7% per year, which indicates improving earnings on paper yet is not yet matched by consistent quarterly profits in FY 2026.
  • At the same time, the expectation of declining revenue contrasts with the scale of current sales, so readers need to think about how a smaller top line combined with improved earnings could affect the long term role of NGL within the energy infrastructure space.

If you want to see how other investors are connecting these numbers to a bigger story around NGL, it is worth checking the broader narrative context Curious how numbers become stories that shape markets? Explore Community Narratives

Next Steps

Don't just look at this quarter; the real story is in the long-term trend. We've done an in-depth analysis on NGL Energy Partners's growth and its valuation to see if today's price is a bargain. Add the company to your watchlist or portfolio now so you don't miss the next big move.

With the mix of optimism around forecasts and clear risks in the recent numbers, the next move is yours. Look through the data, stress test your own expectations, and weigh both the upside and downside flagged in the 2 key rewards and 1 important warning sign

See What Else Is Out There

NGL is still reporting sizeable losses, inconsistent quarterly profitability and negative shareholders’ equity, so its current financial footing looks exposed and high risk.

If you want ideas where the balance sheet looks sturdier and the business profile appears less fragile, it is worth scanning the solid balance sheet and fundamentals stocks screener (46 results) now to compare alternatives.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.