Plains All American Pipeline LP has recently released its 10-Q report, providing a detailed insight into the company's financial performance and operations. The company, through its subsidiaries, is primarily engaged in pipeline transportation, terminaling, storage, and gathering of crude oil and natural gas liquids (NGL) in the United States and Canada. It operates through two segments, Crude Oil and NGL, offering services such as gathering, transporting, terminaling, and storage of crude oil, as well as natural gas processing and NGL fractionation.
In the 10-Q report, Plains All American Pipeline LP announced the pending sale of its Canadian NGL Business to Keyera, with the transaction expected to close in the first quarter of 2026. This strategic move aligns with the company's objective to focus on its core midstream crude oil operations and reduce exposure to commodity price fluctuations and seasonality. As a result, the company will retain substantially all NGL assets in the United States and all crude oil assets in Canada.
Financially, the company reported net income attributable to PAA of $653 million for the six months ended June 30, 2025, compared to $515 million for the same period in 2024, indicating a notable increase in profitability. The company's product sales revenues for the six months ended June 30, 2025, amounted to $21.2 billion, reflecting a 10% decrease compared to the same period in 2024, primarily attributed to lower commodity prices. However, services revenues saw a 8% increase to $876 million for the same period, driven by higher pipeline volumes and tariff escalations, as well as the impact of recently completed acquisitions.
Moreover, the company's non-GAAP financial measures, such as Adjusted EBITDA and Implied DCF, provide additional insights into its performance and ability to fund distributions to its unitholders through cash generated by its operations. The management believes that these measures offer useful information to investors regarding the company's operating performance and results of operations, presenting a comprehensive financial analytical framework upon which management bases financial, operational, compensation, and planning decisions.
Following these announcements, the company's shares moved -0.06%, and are now trading at a price of $17.86. For the full picture, make sure to review PLAINS ALL AMERICAN PIPELINE LP's 10-Q report.
