Core Insights - South Bow Corp. reported its fourth-quarter and year-end 2025 financial and operational results, demonstrating resilience despite geopolitical and market uncertainties [1][6]. Safety and Operational Performance - Achieved occupational safety excellence with a zero recordable case rate in 2025 [6]. - Recorded an annual average throughput of approximately 584,000 barrels per day (bbl/d) on the Keystone Pipeline and approximately 718,000 bbl/d on the U.S. Gulf Coast segment [6]. - The Blackrod Connection Project was placed into commercial service on March 1, 2026, contributing approximately $10 million in normalized EBITDA in 2026 [6][10]. Financial Performance - Generated revenue of $503 million for Q4 2025 and $1,986 million for the full year [6]. - Recognized net income of $156 million ($0.75/share) for Q4 2025 and $433 million ($2.07/share) for the full year [6]. - Recorded normalized EBITDA of $252 million for Q4 2025 and $1,022 million for the full year, slightly above guidance [6][19]. - Distributable cash flow was $149 million for Q4 2025 and $709 million for the full year, in line with revised guidance [6][19]. Returns to Shareholders - Returned $416 million or $2.00/share to shareholders in 2025 through dividends [5][10]. Corporate Updates - Exited 2025 with total long-term debt of $5.8 billion and net debt of $4.8 billion, with a net debt-to-normalized EBITDA ratio of 4.7 times [6][19]. - The company is progressing with remedial actions related to the MP-171 incident, completing 11 in-line inspections and 51 integrity digs [6][17]. Market Outlook - WCSB crude oil supply is expected to grow modestly throughout 2026, remaining below available pipeline egress capacity, which may impact pricing differentials [22]. - The company anticipates normalized EBITDA for 2026 to be approximately $1.03 billion, with about 90% secured through committed arrangements [24].
South Bow Reports Fourth-quarter and Year-end 2025 Results and Declares Dividend