Financial Data and Key Metrics Changes - For Q4 2025, adjusted EBITDA increased by 10% compared to Q4 2024, and adjusted EPS grew by 22% [5] - Net income attributable to Kinder Morgan for Q4 2025 was $996 million, with EPS of $0.45, representing increases of 49% and 50% respectively compared to Q4 2024 [14] - The company achieved record levels for EBITDA and net income in 2025, exceeding budget expectations [16] Business Line Data and Key Metrics Changes - Natural gas transport volumes rose by 9% in Q4 2025 compared to Q4 2024, with a 5% increase for the full year [9] - Natural gas gathering volumes increased by 19% in Q4 2025 compared to Q4 2024, with a full-year increase of 4% [9] - Refined products volumes decreased by 2% in Q4 2025 compared to Q4 2024, while crude and condensate volumes fell by 8% in the same period [10] Market Data and Key Metrics Changes - The company expects feed gas demand to average 19.8 BCF per day in 2026, a 19% increase from 16.6 BCF per day in 2025, with projections of over 34 BCF per day by 2030 [3] - The utilization of liquid lease capacity remains high at 93%, with tank utilization at key hubs reaching 99% [12] Company Strategy and Development Direction - Kinder Morgan's strategy focuses on expanding its natural gas assets, with a project backlog increasing to approximately $10 billion [5] - The company is exploring over $10 billion in additional project opportunities beyond the current backlog [6] - The management emphasizes a disciplined approach to capital allocation while maintaining a strong balance sheet, with a net debt to adjusted EBITDA ratio improving to 3.8 times [16] Management's Comments on Operating Environment and Future Outlook - Management expressed a bullish outlook on natural gas demand, driven by the need for additional LNG feed gas for export facilities [3] - The company anticipates continued strong performance in 2026, supported by the strength of its natural gas assets [4] - Management noted that the financial profile has strengthened, with recent credit rating upgrades from S&P and Fitch [16] Other Important Information - The company completed a significant asset sale, generating a gain that contributed to the strong financial results [15] - The management team is undergoing a transition, with Tom Martin retiring and Dax stepping into the president's role [7] Q&A Session Summary Question: Can you discuss the data center opportunities and the 70% exposure mentioned? - The backlog includes about 60% associated with power projects, with significant growth expected in states like Georgia [22] Question: What are the next steps for the Western Gateway project? - The project is being evaluated based on risk and return, with a focus on long-term shipper contracts [26] Question: How do you view leverage levels and capital allocation? - The company plans to spend about $3 billion per year in CapEx, which can be funded entirely from cash flow [28] Question: What is the impact of the Double H conversion project? - The project is expected to come online in late Q1 or early Q2, with positive discussions ongoing for future phases [31] Question: How significant is Continental Resources as a customer? - Continental represents about 3% of Kinder Morgan's overall EBITDA, and the impact from their drilling halt is manageable [36] Question: Are there more non-core assets for sale? - The recent asset sale was opportunistic, and the company is open to selling assets at the right price [39] Question: What are the opportunities in the Midwest for NGPL? - There are significant discussions and binding commitments for projects, with a focus on securing returns before progressing [50]

Financial Performance - Kinder Morgan reported fourth-quarter revenue of $4.51 billion, exceeding the consensus estimate of $4.31 billion [2] - The company achieved adjusted quarterly earnings of 39 cents per share, surpassing analyst estimates of 37 cents per share [2] - Net income attributable to the company for the fourth quarter was $996 million, compared to $667 million in the same quarter last year [3] - Adjusted EBITDA for the quarter was approximately $2.27 billion, reflecting a 10% year-over-year increase [3] Project Backlog and Future Outlook - Kinder Morgan highlighted a project backlog of $10 billion, primarily driven by strong natural gas demand, with natural gas projects accounting for about 90% of this backlog [3] - The company lowered its full-year 2026 adjusted earnings guidance from $1.37 to $1.36 per share, while still projecting a 5% growth compared to 2025 [5] - Budgeted net income attributable to the company for 2026 is expected to be $3.1 billion, flat compared to 2025, with adjusted net income anticipated to rise by 5% year-over-year [5] Dividend and Shareholder Returns - The board approved a cash dividend of $0.2925 per share for the fourth quarter, marking a 2% increase year-over-year [4] - The dividend is scheduled to be paid on February 17 to shareholders of record as of February 2 [4] - Kinder Morgan expects to declare total dividends of $1.19 per share for the year 2026 [4] Market Reaction - Following the earnings report, Kinder Morgan shares rose by 0.84% to $28.82 in extended trading [7]

Core Insights - Kinder Morgan, Inc. (KMI) utilizes Adjusted Net Income as a supplemental measure to provide insights into its operational performance and earnings generation capabilities [1] - Adjusted Net Income Attributable to Common Stock is calculated to allow for the determination of Adjusted EPS, which is essential for evaluating per-share performance [2] - Adjusted Segment EBDA is a key performance metric that helps management and investors understand segment contributions and performance trends [3] - Adjusted EBITDA is a critical measure for assessing leverage and comparing valuations across the industry [4] - Net Debt is calculated to evaluate leverage and is used in conjunction with Adjusted EBITDA for performance targets [7] - Free Cash Flow (FCF) is an important metric for understanding cash flow generation and leverage [9] Financial Metrics - Adjusted Net Income Attributable to Kinder Morgan, Inc. is derived from net income adjusted for certain items, providing a clearer view of ongoing operations [1] - Adjusted EPS is calculated from Adjusted Net Income Attributable to Common Stock divided by weighted average shares outstanding, reflecting per-share performance [2] - Adjusted Segment EBDA is calculated by adjusting segment earnings for certain items, providing insights into segment performance and management [3] - Adjusted EBITDA includes adjustments for DD&A, income tax expense, and interest, and is used to evaluate leverage [4] - Net Debt is determined by subtracting cash and equivalents from total debt, providing a measure of financial leverage [7] - FCF is calculated by reducing cash flow from operations for capital expenditures, offering insights into cash generation after dividends [9] Joint Ventures - Amounts associated with Joint Ventures are included in Adjusted EBITDA calculations, reflecting the performance of both consolidated and unconsolidated JVs [5][6] - Adjusted EBITDA for JVs includes similar adjustments as those for wholly-owned subsidiaries, but excludes non-controlling interests [6] Project Evaluation - Project EBITDA is calculated for individual capital projects, providing a basis for evaluating return on investment before uncontrollable expenses [8]

Financial Performance - Fourth quarter net income attributable to Kinder Morgan, Inc. was $996 million, a 49% increase from $667 million in the fourth quarter of 2024[6] - Adjusted EBITDA for the fourth quarter was $2,271 million, up 10% compared to the fourth quarter of 2024[6] - Earnings per share (EPS) reached $0.45, a 50% increase from the fourth quarter of 2024, while Adjusted EPS was $0.39, up 22%[6] - Revenues for Q4 2025 reached $4.508 billion, a 16% increase from $3.987 billion in Q4 2024[41] - Net income attributable to Kinder Morgan, Inc. was $996 million for Q4 2025, up 49% from $667 million in Q4 2024[45] - Adjusted Net Income attributable to Kinder Morgan, Inc. increased by 22% to $866 million in Q4 2025 from $708 million in Q4 2024[45] - Adjusted EBITDA for the year ended December 31, 2025 was $8.391 billion, a 6% increase from $7.938 billion in 2024[45] - Net income attributable to Kinder Morgan, Inc. for the year ended December 31, 2025, was $3,056 million, a 17% increase from $2,613 million in 2024[56] - Adjusted EBITDA for the year ended December 31, 2025, reached $8,391 million, up from $7,938 million in 2024, representing a 5.7% growth[56] Cash Flow and Dividends - The company generated cash flow from operations of $1.7 billion and free cash flow (FCF) of $0.9 billion, representing increases of 12% and 18% respectively from the prior year[7] - KMI's 2026 budgeted adjusted net income is projected to be 5% higher than 2025, with Adjusted EPS expected to be $1.36, also up 5%[12] - The company plans to declare dividends of $1.19 per share for 2026, a 2% increase from 2025[12] - Declared dividends per share increased by 2% to $0.2925 in Q4 2025 from $0.2875 in Q4 2024[41] - Free cash flow (FCF) for the year ended December 31, 2025, was $2,891 million, compared to $3,006 million in 2024, indicating a decrease of 3.8%[59] Project and Operational Highlights - The project backlog at the end of the fourth quarter of 2025 was $10 billion, with natural gas projects accounting for approximately 90% of this backlog[10] - KMI completed a sale of its 25% non-operated interest in BPX Gathering LLC for $396 million, resulting in a pre-tax gain on sale of $123 million[23] - KMI has begun construction on the $1.8 billion Trident Intrastate Pipeline, expected to be in service in phases starting in 2027[23] - Natural gas transport volumes increased to 48,353 BBtu/d in Q4 2025, up 4.1% from 44,507 BBtu/d in Q4 2024[53] - Total refined product volumes decreased slightly to 1,612 MBbl/d in Q4 2025, compared to 1,644 MBbl/d in Q4 2024, reflecting a 1.9% decline[53] Financial Metrics and Ratios - Adjusted Net Income Attributable to Kinder Morgan, Inc. is calculated by adjusting net income for Certain Items, providing insight into core operational performance[31] - Adjusted EBITDA is utilized to evaluate leverage and is calculated by adjusting net income for Certain Items, DD&A, income tax expense, and interest[32] - The ratio of Net Debt-to-Adjusted EBITDA is a key performance target for the annual incentive compensation program[34] - Free Cash Flow (FCF) is calculated by reducing cash flow from operations for capital expenditures, providing additional insight into cash flow generation[36] - The company’s net debt as of December 31, 2025, was $31,716 million, slightly down from $31,725 million in 2024[56] Market Outlook and Risks - Total demand for natural gas is projected to grow by 17% through 2030, with long-term contracts to move 8 Bcf/d of natural gas feedstocks to LNG facilities, expected to increase to 12 Bcf/d by the end of 2028[8] - Forward-looking statements include expectations for long-term demand for KMI's assets and services, anticipated dividends, and capital projects[37] - Important factors affecting future performance include commodity prices, changes in supply and demand, and regulatory approvals for expansion projects[38] - The company emphasizes that forward-looking statements are subject to risks and uncertainties, and actual results may differ materially[38] Cost and Expense Analysis - Operating income for the year ended December 31, 2025 was $4.724 billion, compared to $4.384 billion in 2024[41] - Interest expense for the year ended December 31, 2025 was $1.801 billion, slightly down from $1.844 billion in 2024[41] - Total operating costs for the year ended December 31, 2025 were $12.213 billion, an increase from $10.716 billion in 2024[41] Commodity Pricing - Realized weighted average oil price for Q4 2025 was $66.34 per Bbl, down from $67.24 per Bbl in Q4 2024[53] - Liquids utilization percentage for Q4 2025 was 92.9%, a decrease from 95.2% in Q4 2024[53]

Earnings Report - Kinder Morgan, Inc. is set to release its fourth-quarter earnings results on January 21, with analysts expecting earnings of 37 cents per share, an increase from 32 cents per share in the same period last year [1] - The consensus estimate for quarterly revenue is $4.33 billion, up from $3.99 billion a year earlier [1] - The company has projected an adjusted EPS of $1.37 for FY26 [1] Stock Performance - Kinder Morgan shares closed at $27.96 on the previous Tuesday [2] Analyst Ratings - Jefferies analyst maintained a Hold rating and reduced the price target from $30 to $29 [3] - Mizuho analyst kept an Outperform rating while lowering the price target from $32 to $31 [3] - RBC Capital analyst maintained a Sector Perform rating and raised the price target from $28 to $30 [3] - Stifel analyst held a Hold rating and increased the price target from $29 to $30 [3] - Morgan Stanley analyst maintained an Equal-Weight rating and raised the price target from $34 to $35 [3]

Earnings Report - Kinder Morgan, Inc. is set to release its fourth-quarter earnings results on January 21, with analysts expecting earnings of 37 cents per share, an increase from 32 cents per share in the same period last year [1] - The consensus estimate for quarterly revenue is $4.33 billion, up from $3.99 billion a year earlier [1] - The company has projected an adjusted EPS of $1.37 for FY26 [1] Stock Performance - Kinder Morgan shares closed at $27.96 on the previous Tuesday [2] Analyst Ratings - Jefferies analyst maintained a Hold rating and reduced the price target from $30 to $29 [3] - Mizuho analyst kept an Outperform rating while lowering the price target from $32 to $31 [3] - RBC Capital analyst maintained a Sector Perform rating and raised the price target from $28 to $30 [3] - Stifel analyst held a Hold rating and increased the price target from $29 to $30 [3] - Morgan Stanley analyst maintained an Equal-Weight rating and raised the price target from $34 to $35 [3]

Core Insights - Kinder Morgan Inc. (KMI) is scheduled to report its fourth-quarter 2025 results on January 21, with earnings per share (EPS) estimated at 36 cents and revenues at $4.4 billion, indicating a year-over-year increase in both metrics [1][8]. Financial Performance - In the previous quarter, KMI reported adjusted earnings of 29 cents per share, aligning with the Zacks Consensus Estimate, primarily driven by natural gas pipeline operations [2]. - The Zacks Consensus Estimate for fourth-quarter revenues of $4.4 billion suggests a 10.9% increase from the previous year's figure [3]. Revenue and Earnings Projections - The estimated revenue from natural gas pipelines for the fourth quarter is projected at $2,928 million, up from $2,437 million in the same quarter last year [5]. - The expected earnings from natural gas pipelines are estimated at $1,564 million, an increase from $1,392 million in the prior-year quarter [5]. Operational Context - Kinder Morgan operates an extensive natural gas pipeline network of approximately 66,000 miles, transporting nearly 40% of the natural gas produced in the United States, which supports steady cash flows due to fee-based contracts [4]. Earnings Expectations - KMI has an Earnings ESP of 0.00%, indicating a lower likelihood of an earnings beat for the upcoming quarter [6][8]. - The company currently holds a Zacks Rank of 3, suggesting a neutral outlook [6].

Group 1: Company Overview - Kinder Morgan, Inc. (NYSE:KMI) is one of the largest energy infrastructure companies in North America, owning and operating pipelines and terminals that transport natural gas, gasoline, crude oil, and other products [5] Group 2: Analyst Ratings and Price Targets - Scotiabank increased its price target on Kinder Morgan, Inc. from $27 to $29 while maintaining its Sector Perform rating [1] - UBS reiterated its Buy rating on Kinder Morgan, Inc. with a price target of $38, citing better-than-expected contributions from natural gas pipelines [3] - UBS raised its Q4 2025 EBITDA estimate for Kinder Morgan, Inc. from $2.192 billion to $2.226 billion, which is approximately $15 million higher than the market consensus of $2.211 billion [4] Group 3: Industry Outlook - Scotiabank updated its price targets for energy infrastructure companies, noting that strong power demand and LNG exports are creating new opportunities for the sector, leading to an upward bias in the long-term outlook [2]

Core Insights - Kinder Morgan (KMI) is expected to report quarterly earnings of $0.36 per share, reflecting a 12.5% increase year-over-year [1] - Revenue forecasts stand at $4.42 billion, indicating a 10.9% year-over-year growth [1] - The consensus EPS estimate has remained unchanged over the past 30 days, suggesting analysts have reassessed their projections [1] Earnings Estimates and Market Reactions - Changes in earnings estimates are crucial for predicting investor reactions to stock performance [2] - Empirical research shows a strong correlation between earnings estimate revisions and short-term stock price performance [2] Analyst Forecasts for Key Metrics - Analysts project 'Terminals - Bulk transload tonnage' to reach 12 million tons, down from 13 million tons in the same quarter last year [4] - The 'Segment EBDA- CO2' is estimated at $150.69 million, compared to $158.00 million a year ago [5] - 'Segment EBDA- Terminals' is forecasted to be $278.21 million, slightly down from $281.00 million in the previous year [5] - 'Segment EBDA- Products Pipelines' is expected to be $302.05 million, consistent with the previous year's figure of $302.00 million [6] - 'Segment EBDA- Natural gas Pipelines' is projected to reach $1.56 billion, up from $1.39 billion in the same quarter last year [6] Stock Performance - Kinder Morgan shares have returned +4.1% over the past month, outperforming the Zacks S&P 500 composite's +2% change [6] - The company holds a Zacks Rank 3 (Hold), indicating it is expected to mirror overall market performance in the near future [6]

Group 1 - Kinder Morgan (KMI) provides exposure to significant megatrends, particularly in natural gas and LNG sectors [1] - The company operates as a midstream operator, linking it to the growth of natural gas and LNG markets [1] - The focus on sustained profitability is emphasized, highlighting strong margins, stable and expanding free cash flow, and high returns on invested capital as key drivers of returns [1] Group 2 - The investment strategy is centered on undervalued growth stocks and high-quality dividend growers in U.S. and European equities [1] - The management of portfolios is conducted publicly on eToro, allowing for real-time investment decisions to be copied by others [1] - The interdisciplinary background of the analyst enhances both quantitative analysis and the interpretation of market narratives [1]