Plains All American Q4 2024 Earnings Report

Key Takeaways

Plains All American Pipeline (PAA) reported a significant decline in net income for Q4 2024 due to non-cash charges and insurance-related write-offs. Despite this, the company delivered strong Adjusted EBITDA and cash flow, exceeding guidance. Revenue declined slightly year-over-year.

Total Revenue

$12.4B

Previous year: $12.7B

-2.3%

EPS

$0.42

Previous year: $0.42

+0.0%

NGL Propane & Butane Sales

127K

Crude Oil Lease Gathering Purchases

1.66M

Commercial Crude Oil Storage Capacity

72M

Gross Profit

$339M

Previous year: $527M

-35.7%

Cash and Equivalents

$348M

Free Cash Flow

$365M

Total Assets

$26.6B

Previous year: $27.4B

-2.9%

Plains All American Revenue

Plains All American EPS

Plains All American Revenue by Segment

Forward Guidance

PAA expects stable financial performance in 2025, driven by strong cash flow generation, disciplined capital investments, and a focus on bolt-on acquisitions.

Positive Outlook

Projected Adjusted EBITDA for 2025 between $2.80B - $2.95B
20% increase in annualized distribution to $1.52 per unit
Successful issuance of $1B in unsecured notes at 5.95% interest
Leverage ratio expected to remain at the lower end of the target range
Anticipates generating $1.15B in Adjusted Free Cash Flow

Challenges Ahead

Expected capital expenditures of ~$400M in growth investments
Maintenance capital projected at ~$240M
Potential impact of macroeconomic volatility on oil and gas markets
Continued competition in midstream sector affecting tariff rates
Regulatory and environmental costs could rise, impacting margins

Revenue & Expenses

Visualization of income flow from segment revenue to net income