First-Quarter 2026 Results
First-quarter Net income attributable to PAA of $152 million and Net cash provided by operating activities of $418 million
Delivered first-quarter Adjusted EBITDA attributable to PAA of $730 million
Pro forma leverage ratio of 4.1x at quarter-end; expect to return toward the midpoint of the target range of 3.25 to 3.75x following closing of the NGL divestiture and migrating toward lower-end of the range by year-end
Paid a quarterly cash distribution of $0.4175 per unit ($1.67 per unit annualized), representing a current distribution yield of ~7.5%
2026 Updated Outlook
Increasing midpoint of full-year 2026 Adjusted EBITDA guidance attributable to PAA by $130 million to $2.880 billion +/- $75 million (reflecting a strong oil macro environment and NGL contribution into May 2026)
Growth capital remains $350 million with maintenance capital increasing to $185 million, reflecting ownership of NGL assets into May 2026
Full-year 2026 Adjusted Free Cash Flow guidance increased to approximately $1.850 billion (excluding changes in Assets & Liabilities and anticipated cash proceeds from the NGL divestiture)
"Global events this year illustrate the importance of reliable, secure and responsibly produced energy and have accelerated the timing of our view for a more constructive crude oil market. Our integrated business model and asset base connecting U.S. crude production to the global markets are critical to meeting global energy demand. As a result, we are increasing the midpoint of our 2026 Adjusted EBITDA guidance by $130 million to reflect a constructive oil macro environment and extended ownership of our Canadian NGL business into May. The closing of the NGL divestiture will mark a transition to a premier pure play crude oil midstream provider. We remain focused on executing key initiatives in 2026, including closing the pending NGL sale and realizing $100 million of contribution between Cactus III synergies and capturing efficiencies across our system. The combination of these internal initiatives coupled with a healthy oil macro backdrop positions Plains with momentum into 2027 and beyond. Finally, we remain committed to financial discipline and maintaining a strong balance sheet, while continuing to return capital to unit holders," said Willie Chiang, Chairman, CEO and President.
Financial Reporting Considerations for Pending Sale of Canadian NGL Business
On June 17, 2025, we entered into a definitive agreement to sell substantially all of our NGL business in Canada (the "Canadian NGL Business") to Keyera Corp. This transaction is expected to close in May 2026. As part of the sale, we will divest the Canadian NGL Business, which includes substantially all of our NGL assets; the NGL assets that we will retain are located in the United States.
We have determined that the operations of the Canadian NGL Business meet the criteria for classification as held for sale and for discontinued operations reporting and have applied these changes retrospectively to all periods presented. Results throughout this release specify if they are presented from continuing operations (which exclude the results of the Canadian NGL Business) and/or discontinued operations.
Plains All American Pipeline Summary Financial Information (unaudited) (in millions, except per unit data)
Three Months EndedMarch 31, 2026
%
GAAP Results(1)
2026
2025
Change
Net income attributable to PAA(2)
$
152
$
443
(66
)%
Diluted net income per common unit
$
0.14
$
0.49
(71
)%
Diluted weighted average common units outstanding
706
704
—
%
Net cash provided by operating activities
$
418
$
639
(35
)%
Distribution per common unit declared for the period
$
0.4175
$
0.3800
10
%
Three Months EndedMarch 31, 2026
%
Non-GAAP Results(1) (3)
2026
2025
Change
Adjusted net income attributable to PAA(2)
$
325
$
375
(13
)%
Diluted adjusted net income per common unit
$
0.39
$
0.39
—
%
Adjusted EBITDA
$
852
$
881
(3
)%
Adjusted EBITDA attributable to PAA(2)
$
730
$
754
(3
)%
Implied DCF per common unit and common unit equivalent
$
0.61
$
0.66
(8
)%
Adjusted Free Cash Flow(4)
$
82
$
(308
)
**
Adjusted Free Cash Flow after Distributions(4)
$
(266
)
$
(639
)
**
Adjusted Free Cash Flow (Excluding Changes in Assets & Liabilities)(4) (5)
$
185
$
(169
)
**
Adjusted Free Cash Flow after Distributions (Excluding Changes in Assets & Liabilities)(4) (5)
$
(163
)
$
(500
)
**
________________________________** Indicates that variance as a percentage is not meaningful.(1) Includes results from continuing operations and discontinued operations for all periods presented. See the tables attached hereto for additional information.(2) Excludes amounts attributable to noncontrolling interests in the Plains Oryx Permian Basin LLC (the "Permian JV"), Cactus II Pipeline LLC and Red River Pipeline LLC joint ventures.(3) See the section of this release entitled "Non-GAAP Financial Measures and Selected Items Impacting Comparability" and the tables attached hereto for information regarding our Non-GAAP financial measures, including their reconciliation to the most directly comparable measures as reported in accordance with GAAP, and certain selected items that PAA believes impact comparability of financial results between reporting periods.(4) For the three months ended March 31, 2025, includes the impact of a net cash outflow of $624 million for bolt-on acquisitions.(5) For the three months ended March 31, 2026, amount excludes approximately $216 million of current income tax expense associated with certain planning and restructuring activities within our organizational structure in connection with the pending Canadian NGL Business divestiture that had income tax consequences that required recognition during the first quarter of 2026.
Disaggregation of Adjusted EBITDA by Product (1) (2) (unaudited) (in millions)
Adjusted EBITDAfrom Crude Oil
Adjusted EBITDAfrom NGL
Three Months Ended March 31, 2026
$
582
$
145
Three Months Ended March 31, 2025
$
559
$
189
Percentage change versus 2025 period
4
%
(23
)%
________________________________(1) Includes results from continuing operations and discontinued operations for all periods presented.(2) See the section of this release entitled "Non-GAAP Financial Measures and Selected Items Impacting Comparability" and the tables attached hereto for information regarding our Non-GAAP financial measures, including their reconciliation to the most directly comparable measures as reported in accordance with GAAP, and certain selected items that PAA believes impact comparability of financial results between reporting periods.
First-quarter 2026 Adjusted EBITDA from Crude Oil increased 4% versus comparable 2025 results. Favorable results in the 2026 period from (i) contributions from recently completed bolt-on acquisitions, including our Cactus III pipeline acquisition, and (ii) higher volumes on our pipelines were partially offset by the impact of (iii) certain Permian long-haul pipeline contract rate resets.
First-quarter 2026 Adjusted EBITDA from NGL decreased 23% versus comparable 2025 results primarily due to lower weighted average frac spreads and reduced sales volumes from warmer weather.
Plains GP Holdings
PAGP owns an indirect non-economic controlling interest in PAA's general partner and an indirect limited partner interest in PAA. As the control entity of PAA, PAGP consolidates PAA's results into its financial statements, which is reflected in the condensed consolidating balance sheet and income statement tables attached hereto.
Conference Call and Webcast Instructions
PAA and PAGP will hold a joint conference call at 9:00 a.m. CT on Friday, May 8, 2026 to discuss first-quarter performance and related items.
To access the internet webcast, please go to https://edge.media-server.com/mmc/p/3u4m5omt/lan/en/.
Alternatively, the webcast can be accessed on our website at https://ir.plains.com/news-events/events-presentations. Following the live webcast, an audio replay will be available on our website and will be accessible for a period of 365 days. Slides will be posted prior to the call at the above referenced website.
Non-GAAP Financial Measures and Selected Items Impacting Comparability
To supplement our financial information presented in accordance with GAAP, management uses additional measures known as "non-GAAP financial measures" in its evaluation of past performance and prospects for the future and to assess the amount of cash that is available for distributions, debt repayments, common equity repurchases and other general partnership purposes. The primary additional measures used by management are Adjusted EBITDA, Adjusted EBITDA attributable to PAA, Implied Distributable Cash Flow ("DCF"), Adjusted Free Cash Flow and Adjusted Free Cash Flow after Distributions.
Our definition and calculation of certain non-GAAP financial measures may not be comparable to similarly-titled measures of other companies. Adjusted EBITDA, Adjusted EBITDA attributable to PAA, Implied DCF and certain other non-GAAP financial performance measures are reconciled to Net Income, and Adjusted Free Cash Flow, Adjusted Free Cash Flow after Distributions and certain other non-GAAP financial liquidity measures are reconciled to Net Cash Provided by Operating Activities (the most directly comparable measures as reported in accordance with GAAP) for the historical periods presented in the tables attached to this release, and should be viewed in addition to, and not in lieu of, our Consolidated Financial Statements and accompanying notes. In addition, we encourage you to visit the Investor Relations section of our website at www.plains.com (navigate to the "Financials" tab, then click on "Quarterly Results"), which presents a reconciliation of our commonly used non-GAAP and supplemental financial measures. We do not reconcile non-GAAP financial measures on a forward-looking basis as it is impractical to do so without unreasonable effort.
Non-GAAP Financial Performance Measures
Adjusted EBITDA is defined as earnings from continuing operations and discontinued operations before (i) interest expense, (ii) income tax (expense)/benefit from continuing operations and discontinued operations, (iii) depreciation and amortization (including our proportionate share of depreciation and amortization, including write-downs related to cancelled projects and impairments, of unconsolidated entities) from continuing operations and discontinued operations, (iv) gains and losses on asset sales, asset impairments and other, net from continuing operations and discontinued operations, (v) gains on investments in unconsolidated entities, net and (vi) interest income on promissory notes by and among certain Plains entities, and (vii) adjusted for certain selected items impacting comparability. Adjusted EBITDA attributable to PAA excludes the portion of Adjusted EBITDA that is attributable to noncontrolling interests. Adjusted EBITDA disaggregated by product (e.g., Adjusted EBITDA from Crude Oil and Adjusted EBITDA from NGL) excludes amounts related to Other income/(expense).
Management believes that the presentation of Adjusted EBITDA, Adjusted EBITDA attributable to PAA and Implied DCF provides useful information to investors regarding our performance and results of operations because these measures, when used to supplement related GAAP financial measures, (i) provide additional information about our operating performance and ability to fund distributions to our unitholders through cash generated by our operations and (ii) provide investors with the same financial analytical framework upon which management bases financial, operational, compensation and planning/budgeting decisions. We also present these and additional non-GAAP financial measures, including adjusted net income attributable to PAA and basic and diluted adjusted net income per common unit, as they are measures that investors, rating agencies and debt holders have indicated are useful in assessing us and our results of operations. These non-GAAP financial performance measures may exclude, for example, (i) charges for obligations that are expected to be settled with the issuance of equity instruments, (ii) gains and losses on derivative instruments that are related to underlying activities in another period (or the reversal of such adjustments from a prior period), gains and losses on derivatives that are either related to investing activities (such as the purchase of linefill) or purchases of long-term inventory, and inventory valuation adjustments, as applicable, (iii) long-term inventory costing adjustments, (iv) items that are not indicative of our operating results and/or (v) other items that we believe should be excluded in understanding our operating performance. These measures may be further adjusted to include amounts related to deficiencies associated with minimum volume commitments whereby we have billed the counterparties for their deficiency obligation and such amounts are recognized as deferred revenue in "Other current liabilities" in our Consolidated Financial Statements. We also adjust for amounts billed by our equity method investees related to deficiencies under minimum volume commitments. Such amounts are presented net of applicable amounts subsequently recognized into revenue. Furthermore, the calculation of these measures contemplates tax effects as a separate reconciling item, where applicable. We have defined all such items as "selected items impacting comparability." Due to the nature of the selected items, certain selected items impacting comparability may impact certain non-GAAP financial measures, referred to as adjusted results, but not impact other non-GAAP financial measures. We do not necessarily consider all of our selected items impacting comparability to be non-recurring, infrequent or unusual, but we believe that an understanding of these selected items impacting comparability is material to the evaluation of our operating results and prospects.
Although we present selected items impacting comparability that management considers in evaluating our performance, you should also be aware that the items presented do not represent all items that affect comparability between the periods presented. Variations in our operating results are also caused by changes in volumes, prices, exchange rates, mechanical interruptions, acquisitions, divestitures, investment capital projects and numerous other factors. These types of variations may not be separately identified in this release, but will be discussed, as applicable, in management's discussion and analysis of operating results in our Quarterly Report on Form 10-Q.
Non-GAAP Financial Liquidity Measures
Management uses the non-GAAP financial liquidity measures Adjusted Free Cash Flow and Adjusted Free Cash Flow after Distributions to assess the amount of cash that is available for distributions, debt repayments, common equity repurchases and other general partnership purposes. Adjusted Free Cash Flow is defined as Net Cash Provided by Operating Activities, less Net Cash Provided by/(Used in) Investing Activities, which primarily includes acquisition, investment and maintenance capital expenditures, investments in unconsolidated entities and related party notes and the impact from the purchase and sale of linefill, net of proceeds from the sales of assets and further impacted by distributions to and contributions from noncontrolling interests and proceeds from the issuance of related party notes. Adjusted Free Cash Flow is further reduced by cash distributions paid to our preferred and common unitholders to arrive at Adjusted Free Cash Flow after Distributions.
We also present these measures and additional non-GAAP financial liquidity measures as they are measures that investors have indicated are useful. We present Adjusted Free Cash Flow (Excluding Changes in Assets & Liabilities) for use in assessing our underlying business liquidity and cash flow generating capacity excluding fluctuations caused by timing of when amounts earned or incurred were collected, received or paid from period to period. Adjusted Free Cash Flow (Excluding Changes in Assets & Liabilities) is defined as Adjusted Free Cash Flow excluding the impact of "Changes in assets and liabilities, net of acquisitions" on our Condensed Consolidated Statements of Cash Flows. In addition, we exclude impacts related to the pending Canadian NGL Business divestiture. Adjusted Free Cash Flow (Excluding Changes in Assets & Liabilities) is further reduced by cash distributions paid to our preferred and common unitholders to arrive at Adjusted Free Cash Flow after Distributions (Excluding Changes in Assets & Liabilities).
Non-GAAP Financial Measures and Discontinued Operations
Management believes that the presentation of certain Non-GAAP financial performance measures, such as Adjusted EBITDA, Adjusted EBITDA attributable to PAA, Implied DCF, Adjusted Net Income attributable to PAA, Adjusted Net Income per Common Unit, Adjusted EBITDA from Crude Oil and Adjusted EBITDA from NGL, and certain Non-GAAP financial liquidity measures, such as Adjusted Free Cash Flow and Adjusted Free Cash Flow (Excluding Changes in Assets & Liabilities), on a consolidated basis (e.g., the aggregate of continuing operations and discontinued operations) provides more relevant and useful information regarding our performance and results of operations than presenting such metrics only on a continuing operations or discontinued operations basis. In addition, as the potential sale of the Canadian NGL Business is not anticipated to close until May 2026, management continues to view the Canadian NGL Business as a component of our overall company performance and ability to fund distributions to our unitholders in the near term.
PLAINS ALL AMERICAN PIPELINE, L.P. AND SUBSIDIARIES FINANCIAL SUMMARY (unaudited)
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (in millions, except per unit data)
Three Months EndedMarch 31,
2026
2025
REVENUES
$
12,470
$
11,477
COSTS AND EXPENSES
Purchases and related costs
11,493
10,517
Field operating costs
301
300
General and administrative expenses
81
85
Depreciation and amortization
243
232
Gains on asset sales and other, net
(53
)
(13
)
Total costs and expenses
12,065
11,121
OPERATING INCOME
405
356
OTHER INCOME/(EXPENSE)
Equity earnings in unconsolidated entities
89
103
Gain on investments in unconsolidated entities, net
—
31
Interest expense, net(1)
(167
)
(127
)
Other income, net(1)
8
26
INCOME FROM CONTINUING OPERATIONS BEFORE TAX
335
389
Current income tax expense from continuing operations
(216
)
(7
)
Deferred income tax benefit/(expense) from continuing operations
215
(2
)
INCOME FROM CONTINUING OPERATIONS, NET OF TAX
334
380
INCOME/(LOSS) FROM DISCONTINUED OPERATIONS, NET OF TAX
(103
)
136
NET INCOME
231
516
Net income attributable to noncontrolling interests
(79
)
(73
)
NET INCOME ATTRIBUTABLE TO PAA
$
152
$
443
NET INCOME/(LOSS) PER COMMON UNIT:
Net income/(loss) allocated to common unitholders, Basic and Diluted
Continuing operations
$
203
$
207
Discontinued operations
(103
)
136
Net income allocated to common unitholders, Basic and Diluted
$
100
$
343
Basic and diluted weighted average common units outstanding
706
704
Basic and diluted net income/(loss) per common unit:
Continuing operations
$
0.29
$
0.30
Discontinued operations
(0.15
)
0.19
Basic and diluted net income per common unit
$
0.14
$
0.49
________________________________(1) Certain Plains entities have issued promissory notes by and among such entities to facilitate financing. For the three months ended March 31, 2026 and 2025, "Interest expense, net" and "Other income, net" each include $23 million and $20 million, respectively, related to interest on such related party promissory notes. These amounts offset and do not impact Net Income or Non-GAAP metrics such as Adjusted EBITDA, Implied DCF and Adjusted Free Cash Flow.
PLAINS ALL AMERICAN PIPELINE, L.P. AND SUBSIDIARIES FINANCIAL SUMMARY (unaudited)
CONDENSED CONSOLIDATED BALANCE SHEET DATA (in millions)
March 31,2026
December 31,2025
ASSETS
Current assets (including Cash and cash equivalents of $171 and $328, respectively)(1)
$
6,164
$
4,733
Property and equipment, net
16,873
16,860
Investments in unconsolidated entities
2,838
2,846
Intangible assets, net
1,686
1,754
Linefill
876
900
Long-term operating lease right-of-use assets, net
197
198
Long-term inventory
315
214
Long-term assets of discontinued operations
2,537
2,557
Other long-term assets, net
150
107
Total assets
$
31,636
$
30,169
LIABILITIES AND PARTNERS' CAPITAL
Current liabilities(2)
$
6,544
$
4,931
Senior notes, net
9,120
9,118
Other long-term debt, net
1,836
1,578
Long-term operating lease liabilities
202
202
Long-term liabilities of discontinued operations
665
606
Other long-term liabilities and deferred credits
449
654
Total liabilities
18,816
17,089
Partners' capital excluding noncontrolling interests
9,601
9,836
Noncontrolling interests
3,219
3,244
Total partners' capital
12,820
13,080
Total liabilities and partners' capital
$
31,636
$
30,169
________________________________(1) Includes current assets of discontinued operations of $602 million and $479 million as of March 31, 2026 and December 31, 2025, respectively.(2) Includes current liabilities of discontinued operations of $561 million and $382 million as of March 31, 2026 and December 31, 2025, respectively.
DEBT CAPITALIZATION RATIOS (1)
(in millions, except percentages)
March 31,2026
December 31,2025
Short-term debt
$
421
$
564
Long-term debt
10,957
10,698
Total debt
$
11,378
$
11,262
Long-term debt
$
10,957
$
10,698
Partners' capital excluding noncontrolling interests
9,601
9,836
Total book capitalization excluding noncontrolling interests ("Total book capitalization")
$
20,558
$
20,534
Total book capitalization, including short-term debt
$
20,979
$
21,098
Long-term debt-to-total book capitalization
53
%
52
%
Total debt-to-total book capitalization, including short-term debt
54
%
53
%
________________________________(1) Includes results from continuing operations and discontinued operations for all periods presented.
PLAINS ALL AMERICAN PIPELINE, L.P. AND SUBSIDIARIES FINANCIAL SUMMARY (unaudited)
COMPUTATION OF BASIC AND DILUTED NET INCOME PER COMMON UNIT (in millions, except per unit data)
Three Months EndedMarch 31,
2026
2025
Basic and Diluted Net Income/(Loss) per Common Unit
Continuing Operations:
Income from continuing operations, net of tax
$
334
$
380
Net income attributable to noncontrolling interests
(79
)
(73
)
Net income from continuing operations attributable to PAA
$
255
$
307
Distributions to Series A preferred unitholders
(36
)
$
(39
)
Distributions to Series B preferred unitholders
(16
)
(18
)
Amounts allocated to participating securities
(1
)
(1
)
Impact from repurchase of Series A preferred units
—
(43
)
Other
1
1
Net income from continuing operations allocated to common unitholders - Basic and Diluted(1)
$
203
$
207
Discontinued Operations:
Net income/(loss) from discontinued operations allocated to common unitholders - Basic and Diluted(2)
$
(103
)
$
136
Net income allocated to common unitholders - Basic and Diluted
$
100
$
343
Basic and diluted weighted average common units outstanding(3) (4)
706
704
Basic and diluted net income/(loss) per common unit
Continuing operations
$
0.29
$
0.30
Discontinued operations
$
(0.15
)
$
0.19
Basic and diluted net income per common unit
$
0.14
$
0.49
________________________________(1) We calculate net income from continuing operations allocated to common unitholders based on the distributions pertaining to the current period's net income. After adjusting for the appropriate period's distributions, the remaining undistributed earnings or excess distributions over earnings, if any, are allocated to common unitholders and participating securities in accordance with the contractual terms of our partnership agreement in effect for the period and as further prescribed under the two-class method.(2) Net income/(loss) from discontinued operations allocated to common unitholders is "Income/(loss) from discontinued operations, net of tax" as presented on our Condensed Consolidated Statements of Operations.(3) The possible conversion of our Series A preferred units was excluded from the calculation of diluted net income per common unit from continuing operations for each of the three months ended March 31, 2026 and 2025 as the effect was antidilutive.(4) Our equity-indexed compensation plan awards that contemplate the issuance of common units are considered potentially dilutive unless (i) they become vested only upon the satisfaction of a performance condition and (ii) that performance condition has yet to be satisfied. Equity-indexed compensation plan awards that are deemed to be dilutive are reduced by a hypothetical common unit repurchase based on the remaining unamortized fair value, as prescribed by the treasury stock method in guidance issued by the FASB.
PLAINS ALL AMERICAN PIPELINE, L.P. AND SUBSIDIARIES FINANCIAL SUMMARY (unaudited)
CONDENSED CONSOLIDATED CASH FLOW DATA (in millions)
Three Months EndedMarch 31,
2026
2025
CASH FLOWS FROM OPERATING ACTIVITIES
Net income
$
231
$
516
Reconciliation of net income to net cash provided by operating activities:
(Income)/loss from discontinued operations, net of tax
103
(136
)
Depreciation and amortization
243
232
Gains on asset sales and other, net
(53
)
(13
)
Deferred income tax (benefit)/expense
(215
)
2
Equity earnings in unconsolidated entities
(89
)
(103
)
Distributions on earnings from unconsolidated entities
97
125
Gain on investments in unconsolidated entities, net
—
(31
)
Other
29
19
Changes in assets and liabilities, net of acquisitions
54
(182
)
Cash provided by operating activities - continuing operations
400
429
Cash provided by operating activities - discontinued operations
18
210
Net cash provided by operating activities
418
639
CASH FLOWS FROM INVESTING ACTIVITIES
Cash used in investing activities - continuing operations
(217
)
(1,097
)
Cash used in investing activities - discontinued operations
(16
)
(52
)
Net cash used in investing activities(1) (2)
(233
)
(1,149
)
CASH FLOWS FROM FINANCING ACTIVITIES
Net cash provided by/(used in) financing activities(1)
(339
)
590
Effect of translation adjustment - continuing operations
(3
)
(1
)
Net increase/(decrease) in cash and cash equivalents and restricted cash
(157
)
79
Cash and cash equivalents and restricted cash, beginning of period
