Globenewswireยท2025-08-08 11:30Core Insights - Plains All American Pipeline, L.P. and Plains GP Holdings reported solid second-quarter 2025 results despite a volatile macro environment, with a focus on strategic initiatives and financial flexibility [3][7]. Financial Performance - Net income attributable to Plains All American Pipeline for Q2 2025 was $210 million, a decrease of 16% from $250 million in Q2 2024 [6][29]. - Adjusted EBITDA attributable to Plains All American Pipeline was $672 million for Q2 2025, showing a slight decrease from $674 million in Q2 2024 [8][29]. - The company reported net cash provided by operating activities of $694 million for Q2 2025, up 6% from $653 million in Q2 2024 [8][29]. Strategic Initiatives - The company is advancing its strategic initiatives, including the divestiture of its Canadian NGL business, expected to close in Q1 2026 for approximately $5.15 billion CAD ($3.75 billion USD) [4][7]. - Proceeds from the NGL sale, estimated at around $3.0 billion net USD, will be prioritized for bolt-on M&A, preferred unit repurchases, and opportunistic common unit repurchases [7][8]. - Plains All American Pipeline acquired an additional 20% interest in the BridgeTex Pipeline joint venture, increasing its total interest to 40% [7][8]. Operational Metrics - The company exited Q2 2025 with a leverage ratio of 3.3x, towards the low end of its target range of 3.25x - 3.75x [7]. - Adjusted Free Cash Flow for Q2 2025 was $348 million, a decrease of 15% from $411 million in Q2 2024 [8][29]. - The company reported a distribution per common unit of $0.38 for Q2 2025, up 20% from $0.3175 in Q2 2024 [8][29]. Market Conditions - The second-quarter 2025 Adjusted EBITDA from crude oil was stable compared to the previous year, supported by higher tariff volumes and contributions from recent acquisitions, but offset by lower commodity prices [16]. - Adjusted EBITDA from NGL decreased by 7% year-over-year, primarily due to lower iso-to-normal butane spread benefits [17].