Plains All American's Q1: Earnings Down, But NGL Strength Lifts EBITDA

Plains All American Pipeline, L.P. PAA shares are trading lower on Friday. The company reported first-quarter revenue of $12.011 billion, missing the consensus of $14.26 billion.

Adjusted EPS was 39 cents, missing the consensus of 43 cents.

The adjusted EBITDA attributable to PAA rose 5% Y/Y to $754 million. The Crude Oil Segment Adjusted EBITDA grew 1% Y/Y to $559 million on higher tariff volumes, escalations, and contributions from acquisitions.

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NGL segment Adjusted EBITDA upped 19% YoY to $189 million, led by higher weighted average frac spreads and NGL sales volumes.

The company ended the year with a 3.3x leverage ratio. PAA’s operating cash flow for the quarter was $639 million compared to $419 million.

2025 Outlook: Plains All American continues to see adjusted EBITDA attributable to PAA of $2.80 billion to $2.95 billion, with adjusted free cash flow of $1.095 billion.

Plains All American expects the leverage target range of 3.25x to 3.75x. The company targets annual growth capital expenditure of around $300 million to $400 million.

Willie Chiang, Chairman and CEO of Plains, said, “Substantial cash flow generation from our integrated Crude Oil and NGL footprints coupled with a strong balance sheet positions us well through a time of market volatility and uncertainty.”

“Our focus on efficient growth remains consistent with the addition of two new bolt-on acquisitions and our Fort Saskatchewan fractionation complex debottleneck project now in service.”

Investors can gain exposure to the stock via InfraCap MLP ETF AMZA and Alerian MLP ETF AMLP.

Price Action: PAA shares are down 1.59% to $16.67 at the last check on Friday.

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