Plains All American Pipeline — Third Quarter 2026 Earnings Summary

Financial Performance

• Net income attributable to PAA was $363 million for the three months ended September 30, 2026, compared to $441 million in the same period in 2025, a decrease of 18%.
• Net income attributable to PAA for the nine months ended September 30, 2026, was $2,345 million, an increase of 115% from $1,093 million in 2025.
• Adjusted EBITDA attributable to PAA was $711 million for the quarter, up 6% from $669 million in 2025.
• Adjusted EBITDA attributable to PAA for the nine months ended September 30, 2026, was $2,179 million, up 4% from $2,095 million in 2025.
• Net cash provided by operating activities was $669 million for the quarter, down 18% from $817 million in 2025.
• Net cash provided by operating activities was $2,042 million for the nine months ended September 30, 2026, down 5% from $2,150 million in 2025.
• Adjusted Free Cash Flow was $458 million for the quarter, up 51% from $303 million in 2025.
• Adjusted Free Cash Flow was $4,728 million for the nine months ended September 30, 2026, compared to $344 million in 2025.
• Implied DCF per common unit was $0.67 for the quarter, up 10% from $0.61 in 2025.
• Pro forma leverage ratio at quarter-end was approximately 3.6x.
• Long-term debt was $9,911 million as of September 30, 2026, down from $10,696 million as of December 31, 2025.
• Total debt was $9,920 million as of September 30, 2026, down from $11,262 million as of December 31, 2025.
• Revenue was $15,173 million for the quarter, up from $11,578 million in 2025.
• Revenue was $45,334 million for the nine months ended September 30, 2026, up from $33,698 million in 2025.
• Crude oil pipeline tariff volumes in the Permian Basin averaged 8,071 thousand barrels per day for the quarter, up from 7,490 thousand barrels per day in 2025.
• Total crude oil pipeline tariff volumes averaged 10,507 thousand barrels per day for the quarter, up from 9,883 thousand barrels per day in 2025.

Guidance and Future Outlook

• The company is on track to deliver full-year 2026 Adjusted EBITDA guidance attributable to PAA of $2.880 billion, plus or minus $50 million.
• Crude Oil growth is estimated at approximately $370 million in 2026 versus 2025, or approximately 16%, which includes the full-year contribution from the Cactus III acquisition.
• The company expects to deliver $50 million of efficiencies across the organization in 2026.
• Recent balance sheet optimization is expected to generate approximately $60 million ($0.09/unit) of distributable cash flow accretion to common unitholders annually.
• Management sees multiple tailwinds for the business as it builds momentum into 2027.

Business Segments and Product Lines

• The company reorganized its historical operating and reportable segments, Crude Oil and NGL, into one consolidated segment during the third quarter of 2026.
• The company is expanding the Permian JV gathering system, adding approximately 270,000 dedicated acres in the Midland Basin.
• A 10-year agreement with a large integrated producer supports the Permian expansion, with estimated gross volumes of approximately 225,000 barrels per day commencing in the fourth quarter of 2027.
• The company closed the acquisition of the Silver Creek gathering system and related assets in the Powder River Basin on October 1, 2026, for aggregate cash consideration of approximately $585 million.
• The company completed the sale of its Canadian NGL Business to Keyera Corp. on May 12, 2026.
• The company captured $50 million of synergies on the Cactus III acquisition.
• The company closed the NGL sale in May 2026.

Market and Competitive Landscape

• The oil macro environment is described as volatile yet constructive.
• Volume growth across pipeline systems was largely driven by increased production in the Permian Basin region.
• Results were partially offset by Permian long-haul contract rates resetting to market in 2025.
• Higher operating costs were driven by environmental remediation expenses and property tax expense.

Risks and Challenges

• The company noted higher operating costs driven by environmental remediation expenses and property tax expense.
• The company noted the impact of certain Permian long-haul contract rates resetting to market in 2025.
• Results were partially offset by the loss of contributions from the Canadian NGL Business, which was sold in May 2026.

Management Commentary and Tone

• Willie Chiang, Chairman, CEO, and President, stated the company delivered solid operational performance year-to-date with continued execution on key initiatives.
• Management emphasized driving efficient growth through expansion of the Permian gathering footprint, the immediate scale provided by the Silver Creek acquisition, and the expected distributable cash flow accretion from the junior subordinated notes offering and preferred securities redemption.
• Management reiterated a focus on a disciplined growth strategy, maintaining financial flexibility, and increasing the return of capital to unitholders.

Other Key Points

• The company paid a quarterly cash distribution of $0.4175 per unit ($1.67 per unit annualized), representing a current distribution yield of approximately 7%.
• The company issued $1.5 billion of Junior Subordinated notes.
• The company redeemed $2.3 billion of Series A and Series B Preferred Units.
• On September 14, 2026, the company repurchased all 58.4 million Series A preferred units for approximately $1.687 billion.
• On October 9, 2026, the company repurchased all 0.8 million Series B preferred units for approximately $800 million.
• The company recognized a net cash inflow of approximately $3.527 billion from the sale of the Canadian NGL Business in the nine months ended September 30, 2026.
• General and administrative expenses for the nine months ended September 30, 2026, included approximately $33 million related to exit costs associated with the Canadian NGL Business.
• The company is on track to deliver $50 million of efficiencies across the organization in 2026.