Plains All American Pipeline Lp Stock Earnings Reports

Plains All American reported Q1 2026 adjusted EBITDA attributable to the partnership of $730 million. Management raised full-year 2026 adjusted EBITDA guidance, increasing the midpoint by $130 million to $2.88 billion driven by (1) stronger-than-expected NGL performance and extended ownership into May, (2) captured optimization opportunities including Cactus III synergies, FERC tariff escalators and higher spot tariff/West Coast volumes, and (3) streamlining/cost initiatives. Crude segment EBITDA was $582 million (impacted by winter weather, maintenance and MVC timing); NGL EBITDA was $145 million (benefitting from higher straddle production and improving frac spreads). Growth capex is maintained at $350 million and maintenance capex was increased to $185 million given NGL ownership through May. Management expects roughly $1.85 billion of adjusted free cash flow (excl. changes in working capital and NGL sale proceeds) for 2026. Pro forma leverage was 4.1x at quarter-end (post-Cactus III); pro forma for the NGL sale it would be ~3.5x, and management expects leverage to migrate toward the low end of the 3.25x–3.75x target range by year-end. Net proceeds from the NGL divestiture are now expected to be approximately $3.3 billion. The company reaffirmed its capital allocation framework: prioritize distribution growth, fund organic/M&A opportunities that meet return thresholds, reduce debt (targeting near-term paydown with NGL proceeds) and then consider preferred paydowns or opportunistic buybacks. Management also commented on elevated macro volatility from Middle East conflicts, shorter-term destocking and potential longer-term restocking of SPRs, which they view as supportive of North American infrastructure value. They noted ongoing commercial opportunities for long-haul and export capacity, but declined to discuss details of the pending Keyera transaction given regulatory challenge by the Competition Bureau.