Plains All American Pipeline Reports 86% Increase in Net Income for Fiscal Year 2025

Plains All American Pipeline, L.P. reported a significant increase in its financial performance for the fiscal year ending December 31, 2025, with net income attributable to the partnership rising to $1.435 billion, an 86% increase from $772 million in 2024. This growth was driven by a combination of higher crude oil sales volumes and improved operational efficiencies, despite a 10% decline in product sales revenues to $42.5 billion, primarily due to lower commodity prices. The company also reported a basic and diluted net income per common unit of $1.66, up from $0.73 in the previous year.

The partnership's operational metrics showed a positive trend, with average daily volumes transported through its crude oil pipelines increasing to 9.68 million barrels per day, a rise of 8% compared to 2024. The Crude Oil segment's Adjusted EBITDA increased by 3% to $2.344 billion, attributed to higher tariff volumes and contributions from recent acquisitions, including the Cactus III pipeline. However, the NGL segment experienced a loss in Adjusted EBITDA of $34 million, reflecting ongoing challenges in the market and costs associated with overhead activities.

Strategically, Plains All American is in the process of divesting its Canadian NGL business, having entered into a definitive agreement with Keyera Corp. for approximately CAD 5.15 billion (USD 3.75 billion). This transaction, expected to close in early 2026, is part of the company's strategy to focus on its core midstream crude oil operations and reduce exposure to commodity price fluctuations. The divestiture is anticipated to enhance the partnership's financial flexibility and allow for a more concentrated investment in its U.S. operations.

As of December 31, 2025, Plains All American reported a working capital deficit of $198 million but maintained over $2 billion in liquidity, supported by its credit facilities. The company plans to invest approximately $440 million in capital projects for 2026, with a focus on enhancing its Permian Basin assets. The outlook remains cautiously optimistic, with expectations for continued demand growth in crude oil driven by global economic factors and the ongoing recovery from recent market disruptions. However, the partnership acknowledges potential risks, including fluctuating commodity prices and regulatory challenges, which could impact future performance.