Energy Transfer (NYSE: ET) lifts 2026 EBITDA outlook after strong Q2
Rhea-AI Filing Summary
Energy Transfer LP reported sharply higher results for the quarter ended June 30, 2026. Net income attributable to partners rose to $2.09 billion from $1.16 billion a year earlier, with net income per common unit (basic) of $0.59 versus $0.32. Revenue was $34.33 billion, and consolidated Adjusted EBITDA increased 31% to $5.07 billion. Distributable Cash Flow attributable to partners, as adjusted, grew 32% to $2.59 billion, which exceeded cash distributions.
The partnership raised its 2026 Adjusted EBITDA guidance to a range of $18.8–$19.1 billion from $18.2–$18.6 billion and now expects $5.6–$5.9 billion of growth capital in 2026. For the quarter, growth capital spending was $1.10 billion and maintenance capital was $307 million. Volumes increased across key NGL, crude oil and midstream businesses, setting multiple records. Energy Transfer declared a quarterly cash distribution of $0.3400 per common unit ($1.36 annualized), its nineteenth consecutive increase, and ended June 30, 2026 with $3.76 billion of available capacity under its $5.0 billion revolving credit facility.
Positive
- Q2 2026 performance improved significantly, with net income attributable to partners $2.09 billion, Adjusted EBITDA $5.07 billion (31% higher) and Distributable Cash Flow $2.59 billion (32% higher) than a year earlier.
- The partnership raised its 2026 Adjusted EBITDA guidance to $18.8–$19.1 billion from $18.2–$18.6 billion, indicating stronger expected full-year results.
- Cash returns increased, with a $0.3400 per common unit quarterly distribution ($1.36 annualized), more than 3% above the prior-year quarter and the nineteenth consecutive increase.
Negative
- None.
Filing Explained
The completed July note issuance adds two long-term debt obligations with initial annual rates of 6.550% and 6.700%, due in 2057.
Energy Transfer reports that its
The notes are due in
Form 8-K is used to report specified material events, and this report identifies the results disclosure under Item 2.02. The Item 2.02 information and Exhibit 99.1 are expressly furnished, not filed, for Exchange Act purposes.
The filing also reports 3,443.3 million common units outstanding at
8-K Event Classification
2 items: 2.02, 9.01
2 items
Item 2.02
Results of Operations and Financial Condition
Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, and exhibit attachments filed with this report.
Key Figures
Revenue Q2 2026: $34,334 million
Net income attributable to partners Q2 2026: $2,088 million
Net income per common unit (basic) Q2 2026: $0.59
+5 more
8 metrics
Revenue Q2 2026
$34,334 million
Revenues for the three months ended June 30, 2026
Net income attributable to partners Q2 2026
$2,088 million
Three months ended June 30, 2026
Net income per common unit (basic) Q2 2026
$0.59
Three months ended June 30, 2026
Adjusted EBITDA Q2 2026
$5,066 million
Consolidated Adjusted EBITDA for the three months ended June 30, 2026
Distributable Cash Flow to partners, as adjusted Q2 2026
$2,587 million
Three months ended June 30, 2026
2026 Adjusted EBITDA guidance range
$18.8–$19.1 billion
Full-year 2026 outlook
Quarterly cash distribution per common unit
$0.3400
Declared for the quarter ended June 30, 2026
Available revolving credit capacity
$3.76 billion
Funds available under five-year revolving credit facility at June 30, 2026
Key Terms
Adjusted EBITDA, Distributable Cash Flow, segment margin, maintenance capital expenditures, +2 more
6 terms
Adjusted EBITDA financial
"Adjusted EBITDA for the three months ended June 30, 2026 was $5.07 billion"
Adjusted EBITDA is a way companies measure how much money they make from their core operations, like running a business, by removing certain costs or income that aren’t part of regular business activities. It helps investors see how well a company is doing without distractions from unusual expenses or gains, making it easier to compare companies or track performance over time.
Distributable Cash Flow financial
"Distributable Cash Flow attributable to partners, as adjusted, for the three months ended"
Distributable cash flow is the amount of money a business generates from its operations that management considers available to pay dividends, buy back shares, or make other distributions to owners after setting aside what’s needed to keep the business running and meet routine obligations. Investors care because it shows how much real cash can be returned to them—like a household’s leftover paycheck after paying rent and groceries—and helps judge whether payouts are sustainable and backed by operations rather than accounting entries.
segment margin financial
"The following analysis of segment operating results includes a measure of segment margin"
Segment margin measures how much profit a particular business unit or division keeps from its own sales after the costs directly tied to that unit are taken out, usually expressed as a percentage of that unit’s revenue. Think of each division as a separate shop: segment margin shows which shops are making and keeping more money from their sales. Investors use it to compare divisions’ efficiency, spot stronger or weaker areas, and decide where growth or cuts might improve overall company returns.
maintenance capital expenditures financial
"Growth capital expenditures in the second quarter of 2026 were $1.10 billion; maintenance capital expenditures were $307 million"
Maintenance capital expenditures are the money a company spends to keep its existing buildings, machines, vehicles, or systems running at their current capacity—think replacing worn parts, major repairs, or necessary upgrades to avoid breakdowns. Investors watch this because it’s a recurring, non-growth cost that must be paid before a company can invest in expansion or return cash to shareholders; like routine car maintenance, it preserves value but reduces funds available for new opportunities.
junior subordinated notes financial
"the Partnership issued $650 million ... Series 2026A junior subordinated notes due 2057"
Junior subordinated notes are a type of bond: a loan investors make to a company that ranks low in the repayment order if the company runs into trouble. Because they are paid after other creditors, they usually offer higher interest to compensate for greater risk; think of them as being near the back of the line at a crowded payout window. Investors care because these notes affect potential returns and downside exposure, and they influence a company’s overall borrowing risk and credit profile.
noncontrolling interests financial
"Distributable Cash Flow attributable to noncontrolling interests in other non-wholly owned"
The portion of a subsidiary’s equity and profits that belongs to outside owners rather than the parent company; when a parent reports consolidated results it includes the whole subsidiary but shows the noncontrolling slice separately. Think of a company’s subsidiary as a pie where the parent owns most slices but some are held by other investors — noncontrolling interests tell you how much of the pie and its future earnings don’t belong to the parent, which affects how much profit and net assets are truly attributable to the parent’s shareholders.
Earnings Snapshot
Net income attributable to partners: $2.09 billion · Guidance included
quarter ended June 30, 2026
Net income attributable to partners
$2.09 billion
up from $1.16 billion in Q2 2025
Net income per common unit (basic)
$0.59
up from $0.32 in Q2 2025
Adjusted EBITDA
$5.07 billion
increase of 31% from $3.87 billion in Q2 2025
Distributable Cash Flow to partners, as adjusted
$2.59 billion
increase of 32% from $1.96 billion in Q2 2025
Revenue
$34.33 billion
up from $19.24 billion in Q2 2025
Guidance
2026 Adjusted EBITDA guidance raised to $18.8–$19.1 billion from $18.2–$18.6 billion; growth capital expected at $5.6–$5.9 billion.
AI-generated analysis. How Rhea-AI works. Not financial advice.
FAQ
How did Energy Transfer (ET) perform financially in Q2 2026?
Energy Transfer reported net income attributable to partners of $2.09 billion for Q2 2026, up from $1.16 billion a year earlier. Net income per common unit (basic) was $0.59 versus $0.32, on revenue of $34.33 billion for the quarter.
What were Energy Transfer (ET)'s Q2 2026 Adjusted EBITDA and Distributable Cash Flow?
For Q2 2026, Energy Transfer generated Adjusted EBITDA of $5.07 billion, a 31% increase year over year. Distributable Cash Flow attributable to partners, as adjusted, was $2.59 billion, 32% higher than the $1.96 billion reported in Q2 2025.
What 2026 Adjusted EBITDA guidance did Energy Transfer (ET) provide?
Energy Transfer now expects 2026 Adjusted EBITDA of $18.8–$19.1 billion, compared with its previous range of $18.2–$18.6 billion. The partnership also plans to invest $5.6–$5.9 billion in growth capital during 2026.
What cash distribution did Energy Transfer (ET) declare for Q2 2026?
In July 2026, Energy Transfer announced a quarterly cash distribution of $0.3400 per common unit for Q2 2026, or $1.36 annualized. This represents an increase of more than 3% versus Q2 2025 and marks the nineteenth consecutive quarterly distribution increase.
How much did Energy Transfer (ET) spend on capital in Q2 2026 and what is the 2026 plan?
In Q2 2026, Energy Transfer incurred $1.10 billion of growth capital expenditures and $307 million of maintenance capital. For full-year 2026, the partnership expects $5.6–$5.9 billion of growth capital spending.
What is Energy Transfer (ET)'s liquidity position as of June 30, 2026?
As of June 30, 2026, Energy Transfer’s five-year revolving credit facility totaled $5.0 billion, with $3.76 billion of available borrowing capacity. The facility matures on April 11, 2029, providing significant committed liquidity.
How did Energy Transfer (ET)'s operating volumes trend in Q2 2026?
Energy Transfer reported higher volumes across key businesses in Q2 2026. NGL transportation, NGL exports, crude oil transportation and midstream gathered volumes all increased versus Q2 2025, with several metrics reaching new partnership records.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
| Date of Report (Date of earliest event reported) | ||||||||
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| (State or other jurisdiction of incorporation) | (Commission File Number) | (IRS Employer Identification No.) | ||||||
(Address of principal executive offices) (zip code)
| (Registrant’s telephone number, including area code) | |||||
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading symbol(s) | Name of each exchange on which registered | ||||||||||||
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨
Item 2.02. Results of Operations and Financial Condition.
On August 4, 2026, Energy Transfer LP (the “Partnership”) issued a press release announcing its financial and operating results for the second fiscal quarter ended June 30, 2026. A copy of this press release is furnished as Exhibit 99.1 to this report and is incorporated herein by reference.
In accordance with General Instruction B.2 of Form 8-K, the information set forth in this Item 2.02 and in the attached exhibit shall be deemed to be “furnished” and not be deemed to be “filed” for purposes of the Securities Exchange Act of 1934, as amended (the “Exchange Act”).
Item 9.01. Financial Statements and Exhibits.
(d) Exhibits. In accordance with General Instruction B.2 of Form 8-K, the information set forth in the attached Exhibit 99.1 is deemed to be “furnished” and shall not be deemed to be “filed” for purposes of Section 18 of the Exchange Act.
| Exhibit Number | Description of the Exhibit | |||||||
| 99.1 | Energy Transfer LP Press Release dated August 4, 2026 | |||||||
| 104 | Cover Page Interactive Data File (formatted as inline XBRL and contained in Exhibit 101) | |||||||
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| ENERGY TRANSFER LP | |||||||||||
| By: | LE GP, LLC, its general partner | ||||||||||
| Date: | August 4, 2026 | By: | /s/ Dylan A. Bramhall | ||||||||
| Dylan A. Bramhall | |||||||||||
| Executive Vice President and Group Chief Financial Officer | |||||||||||
ENERGY TRANSFER REPORTS SECOND QUARTER 2026 RESULTS
AND UPDATES 2026 FINANCIAL GUIDANCE
Dallas – August 4, 2026 - Energy Transfer LP (NYSE:ET) (“Energy Transfer” or the “Partnership”) today reported financial results for the quarter ended June 30, 2026.
Energy Transfer reported net income attributable to partners for the three months ended June 30, 2026 of $2.09 billion compared to $1.16 billion for the three months ended June 30, 2025. For the three months ended June 30, 2026, net income per common unit (basic) was $0.59.
Adjusted EBITDA for the three months ended June 30, 2026 was $5.07 billion compared to $3.87 billion for the three months ended June 30, 2025, an increase of 31%.
Distributable Cash Flow attributable to partners, as adjusted, for the three months ended June 30, 2026 was $2.59 billion compared to $1.96 billion for the three months ended June 30, 2025, an increase of 32%.
The Partnership now expects its Adjusted EBITDA guidance for the full year of 2026 to range between $18.8 billion and $19.1 billion, compared to the previous range of between $18.2 billion and $18.6 billion. The Partnership expects to invest $5.6 billion to $5.9 billion in growth capital for 2026.
Growth capital expenditures in the second quarter of 2026 were $1.10 billion; maintenance capital expenditures were $307 million.
Operational Highlights
•Energy Transfer’s volumes continued to grow during the second quarter of 2026 compared to the second quarter of 2025.
◦NGL transportation volumes were up 13%, setting a new Partnership record.
◦NGL exports were up 25%, setting a new Partnership record.
◦NGL fractionation volumes were up 3%.
◦Crude oil transportation volumes were up 4%, setting a new Partnership record.
◦Midstream gathered volumes were up 4%, setting a new Partnership record.
Strategic Highlights
•Energy Transfer is well positioned to benefit from multiple visible growth drivers across the business.
◦Increasing demand for natural gas infrastructure expansion to support the growing needs for power generation and LNG exports:
▪The Hugh Brinson Pipeline is now in commercial service and is expected to be capable of flowing the full Phase I capacity of 1.5 Bcf/d by September 1, 2026.
▪During the second quarter of 2026, Energy Transfer completed another 14-mile lateral off the Hugh Brinson Pipeline in Abilene, Texas, and it is now ready for service.
▪During the second quarter of 2026, Energy Transfer continued the development of its Desert Southwest expansion project and FERC recently completed scoping meetings in communities along the route.
▪In May 2026, Energy Transfer announced the Springerville Lateral on Transwestern Pipeline to support the conversion of two coal-fired plants to natural gas.
▪Energy Transfer recently had two customers add a combined 100 MMcf/d to their existing contracts for natural gas services to their power plant or data center sites in Texas.
▪Energy Transfer expects to announce additional natural gas pipeline projects later this year to fuel growing power demand.
1
◦Growing demand for Natural Gas Liquids (NGLs) exports:
▪In June 2026, Energy Transfer announced a fully subscribed export expansion at Nederland facility. The project will increase ethane export capacity at the terminal by 240,000 barrels per day (bpd) along with 55,000 bpd of additional LPG capacity. As part of the expansion, Energy Transfer will also expand its Mont Belvieu to Nederland NGL export pipeline capacity to service the increased refrigeration capacity and will construct two additional NGL ship docks.
▪In the second quarter of 2026, Energy Transfer completed upgrades to its Lone Star Express pipeline, which provides more than 90,000 Bbls/d of incremental Permian NGL takeaway capacity on the pipeline system.
▪In the second quarter of 2026, Energy Transfer signed long-term transportation and/or fractionation agreements for approximately 300,000 Bbls/d on its y-grade assets that extend into the 2030s.
▪In June 2026, Energy Transfer placed the 275 MMcf/d Mustang Draw I processing plant into service in the Midland Basin.
▪In June and July 2026, Energy Transfer placed its third and fourth of eight planned 10-megawatt natural-gas fired electric generation facilities into service in West Texas to support the Partnership’s operations.
Financial Highlights
•In July 2026, Energy Transfer announced a quarterly cash distribution of $0.3400 per common unit ($1.36 annualized) for the quarter ended June 30, 2026, which is an increase of more than 3% compared to the second quarter of 2025. This is the Partnership’s nineteenth consecutive increase to its quarterly cash distribution.
•In July 2026, the Partnership issued $650 million aggregate principal amount of its Series 2026A junior subordinated notes due 2057 (the “Series 2026A notes”) and $1.10 billion aggregate principal amount of its Series 2026B junior subordinated notes due 2057 (the “Series 2026B notes”). Initially, the Series 2026A notes will bear interest at an annual rate of 6.550% and the Series 2026B notes will bear interest at an annual rate of 6.700%.
•As of June 30, 2026, the Partnership’s revolving credit facility had an aggregate $3.76 billion of available borrowing capacity.
Energy Transfer benefits from a portfolio of assets with exceptional product and geographic diversity. The Partnership’s multiple segments generate high-quality, balanced earnings with no single business segment contributing more than one-third of the Partnership’s consolidated Adjusted EBITDA for the three months ended June 30, 2026.
Conference call information:
The Partnership has scheduled a conference call for 8:00 a.m. Central Time/9:00 a.m. Eastern Time on Tuesday, August 4, 2026 to discuss its second quarter 2026 results and provide an update on the Partnership. The conference call will be broadcast live via an internet webcast, which can be accessed through www.energytransfer.com and will also be available for replay on the Partnership’s website for a limited time.
Energy Transfer LP (NYSE: ET) owns and operates one of the largest and most diversified portfolios of energy assets in the United States, with approximately 140,000 miles of pipeline and associated energy infrastructure. Energy Transfer’s strategic network spans 44 states with assets in all of the major U.S. production basins. Energy Transfer is a publicly traded limited partnership with core operations that include complementary natural gas midstream, intrastate and interstate transportation and storage assets; crude oil, natural gas liquids (“NGL”) and refined product transportation and terminalling assets; and NGL fractionation. Energy Transfer also owns the general partner interests, the incentive distribution rights and approximately 28 million common units (representing 15% of the aggregate outstanding common units and Class D units) of Sunoco LP (NYSE: SUN), the managing member interests in SunocoCorp LLC (NYSE: SUNC), and the general partner interests and approximately 46 million common units (representing 32% of the outstanding common units) of USA Compression Partners, LP (NYSE: USAC). For more information, visit the Energy Transfer LP website at www.energytransfer.com.
Sunoco LP (NYSE: SUN) is a leading energy infrastructure and fuel distribution master limited partnership operating across 33 countries and territories in North America, the Greater Caribbean, and Europe. SUN's midstream operations include an extensive network of approximately 14,000 miles of pipeline and over 170 terminals. This critical infrastructure complements SUN's fuel distribution operations, which distribute over 15 billion gallons annually to approximately 11,000 Sunoco and partner-branded retail locations, as well as independent dealers and commercial customers. SUN's general partner is owned by Energy Transfer LP. For more information, visit the Sunoco LP website at www.sunocolp.com.
SunocoCorp LLC (NYSE: SUNC) is a publicly traded limited liability company that owns a direct limited partner interest in Sunoco LP. For more information, visit the Sunoco LP website at www.sunocolp.com.
2
USA Compression Partners, LP (NYSE: USAC) is one of the nation’s largest independent providers of natural gas compression services in terms of total compression fleet horsepower. USAC partners with a broad customer base composed of producers, processors, gatherers, and transporters of natural gas and crude oil. USAC focuses on providing midstream natural gas compression services to infrastructure applications primarily in high-volume gathering systems, processing facilities, and transportation applications. For more information, visit the USAC website at www.usacompression.com.
Forward-Looking Statements
This news release may include certain statements concerning expectations for the future that are forward-looking statements as defined by federal law. Such forward-looking statements are subject to a variety of known and unknown risks, uncertainties, and other factors that are difficult to predict and many of which are beyond management’s control. An extensive list of factors that can affect future results, including Adjusted EBITDA, and impact current projections, including capital expenditures, are discussed in the Partnership’s Annual Report on Form 10-K and other documents filed from time to time with the Securities and Exchange Commission. The Partnership undertakes no obligation to update or revise any forward-looking statement to reflect new information or events.
The information contained in this press release is available on our website at www.energytransfer.com.
| Investor Relations: | Media Relations: | |||||||
| Bill Baerg, Brent Ratliff, Lyndsay Hannah, 214-981-0795 | Vicki Granado, 214-840-5820 | |||||||
3
ENERGY TRANSFER LP AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(In millions)
(unaudited)
| June 30, 2026 | December 31, 2025 | ||||||||||
| ASSETS | |||||||||||
| Current assets | $ | 23,113 | $ | 18,233 | |||||||
| Property, plant and equipment, net | 104,096 | 102,142 | |||||||||
| Investments in unconsolidated affiliates | 3,637 | 3,589 | |||||||||
| Lease right-of-use assets, net | 1,939 | 1,841 | |||||||||
| Other non-current assets, net | 2,615 | 2,591 | |||||||||
| Intangible assets, net | 7,160 | 7,438 | |||||||||
| Goodwill | 5,608 | 5,452 | |||||||||
| Total assets | $ | 148,168 | $ | 141,286 | |||||||
| LIABILITIES AND EQUITY | |||||||||||
| Current liabilities | $ | 19,858 | $ | 14,955 | |||||||
| Long-term debt, less current maturities | 68,393 | 68,308 | |||||||||
| Non-current operating lease liabilities | 1,621 | 1,515 | |||||||||
| Deferred income taxes | 5,572 | 5,307 | |||||||||
| Other non-current liabilities | 1,946 | 1,941 | |||||||||
| Commitments and contingencies | |||||||||||
| Redeemable noncontrolling interests | 256 | 250 | |||||||||
| Equity: | |||||||||||
| Limited Partners: | |||||||||||
| Preferred Unitholders | 3,356 | 3,356 | |||||||||
| Common Unitholders | 31,927 | 30,930 | |||||||||
| General Partner | (1) | (2) | |||||||||
| Accumulated other comprehensive income | 49 | 82 | |||||||||
| Total partners’ capital | 35,331 | 34,366 | |||||||||
| Noncontrolling interests | 15,191 | 14,644 | |||||||||
| Total equity | 50,522 | 49,010 | |||||||||
| Total liabilities and equity | $ | 148,168 | $ | 141,286 | |||||||
4
ENERGY TRANSFER LP AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In millions, except per unit data)
(unaudited)
| Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||
| REVENUES | $ | 34,334 | $ | 19,242 | $ | 62,105 | $ | 40,262 | |||||||||||||||
| COSTS AND EXPENSES: | |||||||||||||||||||||||
| Cost of products sold | 26,936 | 13,946 | 48,085 | 29,517 | |||||||||||||||||||
| Operating expenses | 1,828 | 1,343 | 3,523 | 2,642 | |||||||||||||||||||
| Depreciation, depletion and amortization | 1,575 | 1,384 | 3,158 | 2,751 | |||||||||||||||||||
| Selling, general and administrative | 421 | 257 | 782 | 545 | |||||||||||||||||||
| Impairment loss | — | 3 | — | 7 | |||||||||||||||||||
| Total costs and expenses | 30,760 | 16,933 | 55,548 | 35,462 | |||||||||||||||||||
| OPERATING INCOME | 3,574 | 2,309 | 6,557 | 4,800 | |||||||||||||||||||
| OTHER INCOME (EXPENSE): | |||||||||||||||||||||||
| Interest expense, net of interest capitalized | (934) | (865) | (1,881) | (1,674) | |||||||||||||||||||
| Equity in earnings of unconsolidated affiliates | 108 | 105 | 218 | 197 | |||||||||||||||||||
| Losses on extinguishments of debt | — | (17) | (7) | (19) | |||||||||||||||||||
| Other, net | (24) | 5 | (52) | (6) | |||||||||||||||||||
| INCOME BEFORE INCOME TAX EXPENSE | 2,724 | 1,537 | 4,835 | 3,298 | |||||||||||||||||||
| Income tax expense | 194 | 79 | 329 | 120 | |||||||||||||||||||
| NET INCOME | 2,530 | 1,458 | 4,506 | 3,178 | |||||||||||||||||||
| Less: Net income attributable to noncontrolling interests | 432 | 275 | 1,147 | 659 | |||||||||||||||||||
| Less: Net income attributable to redeemable noncontrolling interests | 10 | 20 | 17 | 33 | |||||||||||||||||||
| NET INCOME ATTRIBUTABLE TO PARTNERS | 2,088 | 1,163 | 3,342 | 2,486 | |||||||||||||||||||
| General Partner’s interest in net income | 2 | 1 | 3 | 2 | |||||||||||||||||||
| Preferred Unitholders’ interest in net income | 59 | 63 | 118 | 130 | |||||||||||||||||||
| Loss on redemption of preferred units | — | 8 | — | 8 | |||||||||||||||||||
| Common Unitholders’ interest in net income | $ | 2,027 | $ | 1,091 | $ | 3,221 | $ | 2,346 | |||||||||||||||
| NET INCOME PER COMMON UNIT: | |||||||||||||||||||||||
| Basic | $ | 0.59 | $ | 0.32 | $ | 0.94 | $ | 0.68 | |||||||||||||||
| Diluted | $ | 0.59 | $ | 0.32 | $ | 0.93 | $ | 0.68 | |||||||||||||||
| WEIGHTED AVERAGE NUMBER OF UNITS OUTSTANDING: | |||||||||||||||||||||||
| Basic | 3,442.2 | 3,432.2 | 3,441.4 | 3,431.8 | |||||||||||||||||||
| Diluted | 3,463.1 | 3,453.5 | 3,462.5 | 3,454.1 | |||||||||||||||||||
5
ENERGY TRANSFER LP AND SUBSIDIARIES
SUPPLEMENTAL INFORMATION
(Dollars and units in millions)
(unaudited)
| Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||
Reconciliation of net income to Adjusted EBITDA and Distributable Cash Flow(a): | |||||||||||||||||||||||
| Net income | $ | 2,530 | $ | 1,458 | $ | 4,506 | $ | 3,178 | |||||||||||||||
| Depreciation, depletion and amortization | 1,575 | 1,384 | 3,158 | 2,751 | |||||||||||||||||||
| Interest expense, net of interest capitalized | 934 | 865 | 1,881 | 1,674 | |||||||||||||||||||
| Income tax expense | 194 | 79 | 329 | 120 | |||||||||||||||||||
| Impairment losses | — | 3 | — | 7 | |||||||||||||||||||
| Non-cash compensation expense | 46 | 33 | 88 | 70 | |||||||||||||||||||
| Unrealized (gains) losses on commodity risk management activities | (396) | (100) | 140 | (31) | |||||||||||||||||||
| Inventory valuation adjustments (Sunoco LP) | 18 | 40 | (426) | (21) | |||||||||||||||||||
| Losses on extinguishments of debt | — | 17 | 7 | 19 | |||||||||||||||||||
| Adjusted EBITDA related to unconsolidated affiliates | 196 | 182 | 392 | 349 | |||||||||||||||||||
| Equity in earnings of unconsolidated affiliates | (108) | (105) | (218) | (197) | |||||||||||||||||||
| Other, net | 77 | 10 | 146 | 45 | |||||||||||||||||||
| Adjusted EBITDA (consolidated) | 5,066 | 3,866 | 10,003 | 7,964 | |||||||||||||||||||
Adjusted EBITDA related to unconsolidated affiliates(b) | (196) | (182) | (392) | (349) | |||||||||||||||||||
Distributable cash flow from unconsolidated affiliates(b) | 134 | 129 | 269 | 240 | |||||||||||||||||||
| Interest expense, net of interest capitalized | (934) | (865) | (1,881) | (1,674) | |||||||||||||||||||
Preferred unitholders’ distributions (c) | (89) | (65) | (177) | (137) | |||||||||||||||||||
| Current income tax expense | (119) | (55) | (162) | (112) | |||||||||||||||||||
| Maintenance capital expenditures | (401) | (305) | (678) | (507) | |||||||||||||||||||
| Other, net | 12 | 13 | 38 | 35 | |||||||||||||||||||
| Distributable Cash Flow (consolidated) | 3,473 | 2,536 | 7,020 | 5,460 | |||||||||||||||||||
Distributable Cash Flow attributable to Sunoco LP and SunocoCorp (d) | (594) | (290) | (1,120) | (600) | |||||||||||||||||||
| Distributions from Sunoco LP | 102 | 67 | 201 | 131 | |||||||||||||||||||
| Distributable Cash Flow attributable to USAC (100%) | (125) | (90) | (256) | (179) | |||||||||||||||||||
| Distributions from USAC | 24 | 24 | 48 | 48 | |||||||||||||||||||
| Distributable Cash Flow attributable to noncontrolling interests in other non-wholly owned consolidated subsidiaries | (293) | (289) | (602) | (597) | |||||||||||||||||||
| Distributable Cash Flow attributable to the partners of Energy Transfer | 2,587 | 1,958 | 5,291 | 4,263 | |||||||||||||||||||
| Transaction-related adjustments | — | 1 | — | 3 | |||||||||||||||||||
| Distributable Cash Flow attributable to the partners of Energy Transfer, as adjusted | $ | 2,587 | $ | 1,959 | $ | 5,291 | $ | 4,266 | |||||||||||||||
| Distributions to partners: | |||||||||||||||||||||||
| Limited Partners | $ | 1,171 | $ | 1,133 | $ | 2,332 | $ | 2,257 | |||||||||||||||
| General Partner | 1 | 1 | 2 | 2 | |||||||||||||||||||
| Total distributions to be paid to partners | $ | 1,172 | $ | 1,134 | $ | 2,334 | $ | 2,259 | |||||||||||||||
| Common Units outstanding – end of period | 3,443.3 | 3,432.6 | 3,443.3 | 3,432.6 | |||||||||||||||||||
(a)Adjusted EBITDA and Distributable Cash Flow are non-GAAP financial measures used by industry analysts, investors, lenders and rating agencies to assess the financial performance and the operating results of Energy Transfer’s fundamental
6
business activities and should not be considered in isolation or as a substitute for net income, income from operations, cash flows from operating activities or other GAAP measures.
There are material limitations to using measures such as Adjusted EBITDA and Distributable Cash Flow, including the difficulty associated with using either as the sole measure to compare the results of one company to another, and the inability to analyze certain significant items that directly affect a company’s net income or loss or cash flows. In addition, our calculations of Adjusted EBITDA and Distributable Cash Flow may not be consistent with similarly titled measures of other companies and should be viewed in conjunction with measures that are computed in accordance with GAAP, such as operating income, net income and cash flows from operating activities.
Definition of Adjusted EBITDA
We define Adjusted EBITDA as total partnership earnings before interest, taxes, depreciation, depletion, amortization and other non-cash items, such as non-cash compensation expense, gains and losses on disposals of assets, the allowance for equity funds used during construction, unrealized gains and losses on commodity risk management activities, inventory valuation adjustments, non-cash impairment charges, losses on extinguishments of debt, certain foreign currency transaction gains and losses and other non-operating income or expense items. Inventory valuation adjustments that are excluded from the calculation of Adjusted EBITDA represent only the changes in lower of cost or market reserves on inventory that is carried at last-in, first-out (“LIFO”). These amounts are unrealized valuation adjustments applied to Sunoco LP’s fuel volumes remaining in inventory at the end of the period.
Adjusted EBITDA reflects amounts for unconsolidated affiliates based on the same recognition and measurement methods used to record equity in earnings of unconsolidated affiliates. Adjusted EBITDA related to unconsolidated affiliates excludes the same items with respect to the unconsolidated affiliate as those excluded from the calculation of Adjusted EBITDA, such as interest, taxes, depreciation, depletion, amortization and other non-cash items. Although these amounts are excluded from Adjusted EBITDA related to unconsolidated affiliates, such exclusion should not be understood to imply that we have control over the operations and resulting revenues and expenses of such affiliates. We do not control our unconsolidated affiliates; therefore, we do not control the earnings or cash flows of such affiliates. The use of Adjusted EBITDA or Adjusted EBITDA related to unconsolidated affiliates as an analytical tool should be limited accordingly.
Adjusted EBITDA is used by management to determine our operating performance and, along with other financial and volumetric data, as internal measures for setting annual operating budgets, assessing financial performance of our numerous business locations, as a measure for evaluating targeted businesses for acquisition and as a measurement component of incentive compensation.
Definition of Distributable Cash Flow
We define Distributable Cash Flow as net income, adjusted for certain non-cash items, less distributions to preferred unitholders and maintenance capital expenditures. Non-cash items include depreciation, depletion and amortization, non-cash compensation expense, amortization included in interest expense, gains and losses on disposals of assets, the allowance for equity funds used during construction, unrealized gains and losses on commodity risk management activities, inventory valuation adjustments, non-cash impairment charges, losses on extinguishments of debt and deferred income taxes. For unconsolidated affiliates, Distributable Cash Flow reflects the Partnership’s proportionate share of the investees’ distributable cash flow.
Distributable Cash Flow is used by management to evaluate our overall performance. Our partnership agreement requires us to distribute all available cash, and Distributable Cash Flow is calculated to evaluate our ability to fund distributions through cash generated by our operations.
On a consolidated basis, Distributable Cash Flow includes 100% of the Distributable Cash Flow of Energy Transfer’s consolidated subsidiaries. However, to the extent that noncontrolling interests exist among our subsidiaries, the Distributable Cash Flow generated by our subsidiaries may not be available to be distributed to our partners. In order to reflect the cash flows available for distributions to our partners, we have reported Distributable Cash Flow attributable to partners, which is calculated by adjusting Distributable Cash Flow (consolidated), as follows:
•For subsidiaries with publicly traded equity interests, Distributable Cash Flow (consolidated) includes 100% of Distributable Cash Flow attributable to such subsidiary, and Distributable Cash Flow attributable to our partners includes distributions to be received by the parent company with respect to the periods presented.
•For consolidated joint ventures or similar entities, where the noncontrolling interest is not publicly traded, Distributable Cash Flow (consolidated) includes 100% of Distributable Cash Flow attributable to such subsidiaries, but Distributable Cash Flow attributable to partners reflects only the amount of Distributable Cash Flow of such subsidiaries that is attributable to our ownership interest.
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For Distributable Cash Flow attributable to partners, as adjusted, certain transaction-related adjustments and non-recurring expenses that are included in net income are excluded.
(b)These amounts exclude Sunoco LP’s Adjusted EBITDA and distributable cash flow related to its investment in the ET-S Permian and J.C. Nolan joint ventures, which amounts are eliminated in the Energy Transfer consolidation.
(c)For the three and six months ended June 30, 2026, preferred unitholders’ distributions include $29 million and $59 million, respectively, of accrued distributions on Sunoco LP’s Series A preferred units, which were issued in September 2025.
(d)Beginning with the three months ended December 31, 2025, this amount includes the distributable cash flow of Sunoco LP and SunocoCorp, eliminating the distributable cash flow of Sunoco LP that is attributable to SunocoCorp.
ENERGY TRANSFER LP AND SUBSIDIARIES
SUMMARY ANALYSIS OF QUARTERLY RESULTS BY SEGMENT
(Tabular dollar amounts in millions)
(unaudited)
| Three Months Ended June 30, | |||||||||||
| 2026 | 2025 | ||||||||||
| Segment Adjusted EBITDA: | |||||||||||
| Intrastate transportation and storage | $ | 377 | $ | 284 | |||||||
| Interstate transportation and storage | 481 | 470 | |||||||||
| Midstream | 884 | 768 | |||||||||
| NGL and refined products transportation and services | 1,308 | 1,033 | |||||||||
| Crude oil transportation and services | 834 | 732 | |||||||||
| Investment in Sunoco LP | 982 | 454 | |||||||||
| Investment in USAC | 194 | 149 | |||||||||
| All other | 6 | (24) | |||||||||
| Adjusted EBITDA (consolidated) | $ | 5,066 | $ | 3,866 | |||||||
The following analysis of segment operating results includes a measure of segment margin. Segment margin is a non-GAAP financial measure and is presented herein to assist in the analysis of segment operating results and particularly to facilitate an understanding of the impacts that changes in sales revenues have on the segment performance measure of Segment Adjusted EBITDA. Segment margin is similar to the GAAP measure of gross margin, except that segment margin excludes charges for depreciation, depletion and amortization. Among the GAAP measures reported by the Partnership, the most directly comparable measure to segment margin is Segment Adjusted EBITDA; a reconciliation of segment margin to Segment Adjusted EBITDA is included in the following tables for each segment where segment margin is presented.
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Intrastate Transportation and Storage
| Three Months Ended June 30, | |||||||||||
| 2026 | 2025 | ||||||||||
| Natural gas transported (BBtu/d) | 13,814 | 14,229 | |||||||||
| Withdrawals from storage natural gas inventory (BBtu) | 4,020 | — | |||||||||
| Revenues | $ | 596 | $ | 931 | |||||||
| Cost of products sold | 132 | 561 | |||||||||
| Segment margin | 464 | 370 | |||||||||
| Unrealized gains on commodity risk management activities | (6) | (21) | |||||||||
| Operating expenses, excluding non-cash compensation expense | (75) | (61) | |||||||||
| Selling, general and administrative expenses, excluding non-cash compensation expense | (15) | (10) | |||||||||
| Adjusted EBITDA related to unconsolidated affiliates | 8 | 5 | |||||||||
| Other | 1 | 1 | |||||||||
| Segment Adjusted EBITDA | $ | 377 | $ | 284 | |||||||
Transported volumes of gas on our Texas intrastate pipelines decreased primarily due to lower third-party utilization of firm capacity. Transported volumes reported above exclude volumes attributable to purchases and sales of gas for our pipelines’ own accounts and the optimization of any unused capacity.
Segment Adjusted EBITDA. For the three months ended June 30, 2026 compared to the same period last year, Segment Adjusted EBITDA related to our intrastate transportation and storage segment increased due to the net impact of the following:
•an increase of $113 million in realized natural gas sales and other primarily due to wider basis differentials, as well as a $21 million increase from early volumes during the commissioning of the Hugh Brinson Pipeline; and
•an increase of $5 million in transportation fees due to higher reservation revenues on long-term third-party contracts; partially offset by
•a decrease of $10 million in storage margin due to unfavorable storage optimization;
•an increase of $14 million in operating expenses primarily due to a $4 million increase in maintenance and project related expenses, a $4 million increase from one-time expenses, a $4 million increase from the commissioning of the Hugh Brinson pipeline, and increases totaling $2 million from various other operating expenses; and
•an increase of $5 million in selling, general and administrative expenses primarily due to higher legal fees.
Interstate Transportation and Storage
| Three Months Ended June 30, | |||||||||||
| 2026 | 2025 | ||||||||||
| Natural gas transported (BBtu/d) | 17,988 | 18,153 | |||||||||
| Natural gas sold (BBtu/d) | 19 | 30 | |||||||||
| Revenues | $ | 609 | $ | 590 | |||||||
| Cost of products sold | 4 | 3 | |||||||||
| Segment margin | 605 | 587 | |||||||||
| Operating expenses, excluding non-cash compensation, amortization, accretion and other non-cash expenses | (230) | (221) | |||||||||
| Selling, general and administrative expenses, excluding non-cash compensation, amortization and accretion expenses | (34) | (26) | |||||||||
| Adjusted EBITDA related to unconsolidated affiliates | 130 | 130 | |||||||||
| Other | 10 | — | |||||||||
| Segment Adjusted EBITDA | $ | 481 | $ | 470 | |||||||
Transported volumes decreased primarily due to lower utilization on our Trunkline, Gulf Run and Mississippi River systems due to lower demand.
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Segment Adjusted EBITDA. For the three months ended June 30, 2026 compared to the same period last year, Segment Adjusted EBITDA related to our interstate transportation and storage segment increased due to the net impact of the following:
•an increase of $18 million in segment margin primarily due to a $12 million increase in parking, storage and liquids revenue and a $10 million increase in transportation revenue from several of our interstate pipeline systems due to higher contracted volumes and higher utilization, partially offset by a $4 million decrease in operational gas sales; and
•an increase of $10 million in other income primarily due to the realization of proceeds from a shipper bankruptcy settlement; partially offset by
•an increase of $9 million in operating expenses primarily due to a $4 million increase in maintenance projects, a $3 million increase in employee costs and a $1 million increase in new or renegotiated leases; and
•an increase of $8 million in selling, general and administrative expenses primarily due to higher allocated costs, excise taxes and insurance expense.
Midstream
| Three Months Ended June 30, | |||||||||||
| 2026 | 2025 | ||||||||||
| Gathered volumes (BBtu/d) | 22,142 | 21,329 | |||||||||
| NGLs produced (MBbls/d) | 1,243 | 1,181 | |||||||||
| Equity NGLs (MBbls/d) | 72 | 64 | |||||||||
| Revenues | $ | 2,821 | $ | 3,135 | |||||||
| Cost of products sold | 1,392 | 1,911 | |||||||||
| Segment margin | 1,429 | 1,224 | |||||||||
| Operating expenses, excluding non-cash compensation expense | (513) | (416) | |||||||||
| Selling, general and administrative expenses, excluding non-cash compensation expense | (52) | (47) | |||||||||
| Adjusted EBITDA related to unconsolidated affiliates | 5 | 6 | |||||||||
| Other | 15 | 1 | |||||||||
| Segment Adjusted EBITDA | $ | 884 | $ | 768 | |||||||
Gathered volumes increased from dry gas gathering in the Northeast and Ark-La-Tex regions as well as increased processing volumes from new and upgraded plants in the Permian region. NGL production increased primarily due to increased Permian plant utilization from new and existing plants.
Segment Adjusted EBITDA. For the three months ended June 30, 2026 compared to the same period last year, Segment Adjusted EBITDA related to our midstream segment increased due to the net impact of the following:
•an increase of $205 million in segment margin primarily due to higher NGL prices of $88 million, a positive impact of $11 million from natural gas prices, and an $83 million increase due to higher gathered and processed volumes from increased processing capacity and operational efficiencies; and
•an increase of $14 million in other income due to the realization of proceeds from a shipper bankruptcy settlement; partially offset by
•an increase of $97 million in operating expenses primarily due to a $46 million increase related to environmental reserves, a $39 million increase related to the adjustment of certain estimates in the prior period and a $15 million increase in employee costs; and
•an increase of $5 million in selling, general, and administrative expenses primarily due to higher corporate allocations.
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NGL and Refined Products Transportation and Services
| Three Months Ended June 30, | |||||||||||
| 2026 | 2025 | ||||||||||
| NGL transportation volumes (MBbls/d) | 2,641 | 2,331 | |||||||||
| Refined products transportation volumes (MBbls/d) | 574 | 599 | |||||||||
| NGL and refined products terminal volumes (MBbls/d) | 1,864 | 1,553 | |||||||||
| NGL fractionation volumes (MBbls/d) | 1,188 | 1,150 | |||||||||
| Revenues | $ | 7,719 | $ | 5,941 | |||||||
| Cost of products sold | 5,927 | 4,635 | |||||||||
| Segment margin | 1,792 | 1,306 | |||||||||
| Unrealized gains on commodity risk management activities | (185) | (34) | |||||||||
| Operating expenses, excluding non-cash compensation expense | (284) | (230) | |||||||||
| Selling, general and administrative expenses, excluding non-cash compensation expense | (48) | (41) | |||||||||
| Adjusted EBITDA related to unconsolidated affiliates | 31 | 32 | |||||||||
| Other | 2 | — | |||||||||
| Segment Adjusted EBITDA | $ | 1,308 | $ | 1,033 | |||||||
NGL transportation, fractionation, and terminal throughput volumes increased due to higher volumes from the Permian region, as well as increased NGL exports.
Segment Adjusted EBITDA. For the three months ended June 30, 2026 compared to the same period last year, Segment Adjusted EBITDA related to our NGL and refined products transportation and services segment increased due to the net impacts of the following:
•an increase of $212 million in marketing margin (excluding unrealized gains and losses on commodity risk management activities) primarily due to $140 million from higher premiums from the sale of NGLs for export and for domestic supply and a $70 million increase in refined product margins as a result of higher spreads and prices;
•an increase of $71 million in terminal services margin primarily due to a $63 million increase in fees from loading increased volumes at higher rates for export at our Nederland and Marcus Hook terminals, and an $8 million increase from higher throughput and storage at our refined product terminals;
•an increase of $28 million in transportation margin due to a $40 million increase related to higher y-grade and NGL throughput, partially offset by a $4 million decrease due to lower refined product transportation volumes due to third-party refinery issues;
•an increase of $12 million in storage margin primarily due to an increase in fees generated from export volumes, as well as increases related to blending activity due to a more favorable pricing environment; and
•an increase of $12 million in fractionators and refinery services margin primarily due to higher throughput; partially offset by
•an increase of $54 million in operating expenses primarily due to a $28 million increase from certain one-time credits recognized in the prior period, a $14 million increase in utilities costs driven by higher volumes across our system, a $6 million increase in employee costs, and increases totaling $5 million from various other operating expenses; and
•an increase of $7 million in selling, general and administrative expenses primarily due to higher overhead costs and legal fees.
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Crude Oil Transportation and Services
| Three Months Ended June 30, | |||||||||||
| 2026 | 2025 | ||||||||||
| Crude oil transportation volumes (MBbls/d) | 7,336 | 7,049 | |||||||||
| Crude oil terminal volumes (MBbls/d) | 4,911 | 4,633 | |||||||||
| Revenues | $ | 11,051 | $ | 5,748 | |||||||
| Cost of products sold | 9,766 | 4,725 | |||||||||
| Segment margin | 1,285 | 1,023 | |||||||||
| Unrealized gains on commodity risk management activities | (181) | (25) | |||||||||
| Operating expenses, excluding non-cash compensation expense | (231) | (237) | |||||||||
| Selling, general and administrative expenses, excluding non-cash compensation expense | (45) | (38) | |||||||||
| Adjusted EBITDA related to unconsolidated affiliates | 6 | 8 | |||||||||
| Other | — | 1 | |||||||||
| Segment Adjusted EBITDA | $ | 834 | $ | 732 | |||||||
Crude oil transportation volumes were higher due to higher volumes on our Texas pipeline system, our Permian and Bakken gathering systems, partially offset by lower volume on our Mid-continent pipelines. Crude oil terminal volumes were higher due to higher customer throughput related to strategic petroleum reserve releases and crude export demand at our Gulf Coast terminals. Beginning in the current period, the Partnership has updated its approach for calculating crude oil terminal volumes to be consistent across all terminals; volumes reported for prior periods have been revised accordingly.
Segment Adjusted EBITDA. For the three months ended June 30, 2026 compared to the same period last year, Segment Adjusted EBITDA related to our crude oil transportation and services segment increased due to the net impact of the following:
•an increase of $106 million in segment margin (excluding unrealized gains and losses on commodity risk management activities) primarily due to a $62 million increase in optimization gains from more favorable market conditions and higher refined product margins, a $19 million increase in crude gathering revenues, a $17 million increase in transportation revenue, and a $6 million increase from higher crude oil terminal volumes; and
•a decrease of $6 million in operating expenses primarily due to lower maintenance project related expenses; partially offset by
•an increase of $7 million in selling, general and administrative expenses due primarily to higher expenses associated with a litigation related contingency.
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Investment in Sunoco LP
| Three Months Ended June 30, | |||||||||||
| 2026 | 2025 | ||||||||||
| Revenues | $ | 14,259 | $ | 5,390 | |||||||
| Cost of products sold | 12,795 | 4,821 | |||||||||
| Segment margin | 1,464 | 569 | |||||||||
| Unrealized gains on commodity risk management activities | (6) | (7) | |||||||||
| Operating expenses, excluding non-cash compensation expense | (434) | (162) | |||||||||
| Selling, general and administrative expenses, excluding non-cash compensation expense | (155) | (47) | |||||||||
| Adjusted EBITDA related to unconsolidated affiliates | 75 | 51 | |||||||||
| Inventory fair value adjustments | 18 | 40 | |||||||||
| Other, net | 20 | 10 | |||||||||
| Segment Adjusted EBITDA | $ | 982 | $ | 454 | |||||||
The investment in Sunoco LP segment reflects the consolidated results of Sunoco LP.
Segment Adjusted EBITDA. For the three months ended June 30, 2026 compared to the same period last year, Segment Adjusted EBITDA related to our investment in Sunoco LP segment increased due to the net impact of the following:
•an increase of $874 million in segment margin (excluding unrealized gains and losses on commodity risk management activities and inventory valuation adjustments) primarily due to recent acquisitions; and
•an increase of $24 million in Adjusted EBITDA related to unconsolidated affiliates primarily due to the Parkland acquisition and ET-S Permian joint venture; partially offset by
•an increase of $272 million in operating expenses primarily due to increased costs resulting from recently acquired businesses; and
•an increase of $108 million in selling, general and administrative expenses primarily due to increased costs resulting from recently acquired businesses, along with one-time transaction-related expenses associated with those acquisitions.
Investment in USAC
| Three Months Ended June 30, | |||||||||||
| 2026 | 2025 | ||||||||||
| Revenues | $ | 342 | $ | 250 | |||||||
| Cost of products sold | 33 | 40 | |||||||||
| Segment margin | 309 | 210 | |||||||||
| Operating expenses, excluding non-cash compensation expense | (91) | (47) | |||||||||
| Selling, general and administrative expenses, excluding non-cash compensation expense | (27) | (14) | |||||||||
| Other | 3 | — | |||||||||
| Segment Adjusted EBITDA | $ | 194 | $ | 149 | |||||||
The investment in USAC segment reflects the consolidated results of USAC.
Segment Adjusted EBITDA. For the three months ended June 30, 2026 compared to the same period last year, Segment Adjusted EBITDA related to our investment in USAC segment increased due to the net impact of the following:
•an increase of $99 million in segment margin primarily due to the J-W Power Acquisition and increases in USAC’s legacy business; partially offset by
•an increase of $57 million in operating expense and selling, general and administrative expense primarily related to the J-W Power Acquisition, as well as increased expenses in outside services and professional fees.
13
All Other
| Three Months Ended June 30, | |||||||||||
| 2026 | 2025 | ||||||||||
| Revenues | $ | 565 | $ | 936 | |||||||
| Cost of products sold | 502 | 909 | |||||||||
| Segment margin | 63 | 27 | |||||||||
| Unrealized gains on commodity risk management activities | (18) | (14) | |||||||||
| Operating expenses, excluding non-cash compensation expense | (6) | — | |||||||||
| Selling, general and administrative expenses, excluding non-cash compensation expense | (13) | (13) | |||||||||
| Adjusted EBITDA related to unconsolidated affiliates | 2 | 2 | |||||||||
| Other and eliminations | (22) | (26) | |||||||||
| Segment Adjusted EBITDA | $ | 6 | $ | (24) | |||||||
Segment Adjusted EBITDA. For the three months ended June 30, 2026 compared to the same period last year, Segment Adjusted EBITDA related to our all other segment increased due to the net impact of the following:
•an increase of $49 million in our natural gas marketing business driven by favorable spreads and gains on residue gas sales; partially offset by
•a decrease of $11 million due to an increase in the intersegment elimination of Sunoco LP’s 32.5% share of ET-S Permian, which is consolidated in our crude oil transportation and services segment and also reflected as an unconsolidated affiliate in our investment in Sunoco LP segment; and
•a decrease of $13 million in our dual drive compression business.
14
ENERGY TRANSFER LP AND SUBSIDIARIES
SUPPLEMENTAL INFORMATION ON LIQUIDITY
(In millions)
(unaudited)
The table below provides information on our revolving credit facility. We also have consolidated subsidiaries with revolving credit facilities which are not included in this table.
| Facility Size | Funds Available at June 30, 2026 | Maturity Date | |||||||||||||||
| Five-Year Revolving Credit Facility | $ | 5,000 | $ | 3,764 | April 11, 2029 | ||||||||||||
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ENERGY TRANSFER LP AND SUBSIDIARIES
SUPPLEMENTAL INFORMATION ON UNCONSOLIDATED AFFILIATES
(In millions)
(unaudited)
The table below provides information on an aggregated basis for our unconsolidated affiliates, which are accounted for as equity method investments in the Partnership’s financial statements for the periods presented.
| Three Months Ended June 30, | |||||||||||
| 2026 | 2025 | ||||||||||
| Equity in earnings of unconsolidated affiliates: | |||||||||||
| Citrus | $ | 38 | $ | 40 | |||||||
| MEP | 20 | 18 | |||||||||
| White Cliffs | 7 | 5 | |||||||||
| Explorer | 5 | 7 | |||||||||
| SESH | 14 | 14 | |||||||||
| Other | 24 | 21 | |||||||||
| Total equity in earnings of unconsolidated affiliates | $ | 108 | $ | 105 | |||||||
| Adjusted EBITDA related to unconsolidated affiliates: | |||||||||||
| Citrus | $ | 87 | $ | 88 | |||||||
| MEP | 28 | 26 | |||||||||
| White Cliffs | 12 | 10 | |||||||||
| Explorer | 9 | 12 | |||||||||
| SESH | 15 | 15 | |||||||||
| Other | 45 | 31 | |||||||||
| Total Adjusted EBITDA related to unconsolidated affiliates | $ | 196 | $ | 182 | |||||||
| Distributions received from unconsolidated affiliates: | |||||||||||
| Citrus | $ | 33 | $ | 36 | |||||||
| MEP | 30 | 29 | |||||||||
| White Cliffs | 11 | 9 | |||||||||
| Explorer | 5 | 10 | |||||||||
| SESH | 17 | 15 | |||||||||
| Other | 30 | 25 | |||||||||
| Total distributions received from unconsolidated affiliates | $ | 126 | $ | 124 | |||||||
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ENERGY TRANSFER LP AND SUBSIDIARIES
SUPPLEMENTAL INFORMATION ON NON-WHOLLY OWNED JOINT VENTURE SUBSIDIARIES
(In millions)
(unaudited)
The table below provides information on an aggregated basis for our non-wholly owned joint venture subsidiaries, which are reflected on a consolidated basis in our financial statements. The table below excludes Sunoco LP and USAC, which are non-wholly owned subsidiaries that are publicly traded, as well as Sunoco LP’s 32.5% interest in the ET-S Permian joint venture.
| Three Months Ended June 30, | |||||||||||
| 2026 | 2025 | ||||||||||
Adjusted EBITDA of non-wholly owned subsidiaries (100%) (a) | $ | 578 | $ | 566 | |||||||
Our proportionate share of Adjusted EBITDA of non-wholly owned subsidiaries (b) | 285 | 275 | |||||||||
Distributable Cash Flow of non-wholly owned subsidiaries (100%) (c) | $ | 558 | $ | 544 | |||||||
Our proportionate share of Distributable Cash Flow of non-wholly owned subsidiaries (d) | 265 | 255 | |||||||||
Below is our ownership percentage of certain non-wholly owned subsidiaries:
| Non-wholly owned subsidiary: | Energy Transfer Percentage Ownership (e) | ||||
| Bakken Pipeline | 36.4 | % | |||
| Bayou Bridge | 60.0 | % | |||
| Maurepas | 51.0 | % | |||
| Ohio River System | 75.0 | % | |||
| Permian Express Partners | 87.7 | % | |||
| Red Bluff Express | 70.0 | % | |||
| Rover | 32.6 | % | |||
| Others | various | ||||
(a)Adjusted EBITDA of non-wholly owned subsidiaries reflects the total Adjusted EBITDA of our non-wholly owned subsidiaries on an aggregated basis. This is the amount included in our consolidated non-GAAP measure of Adjusted EBITDA.
(b)Our proportionate share of Adjusted EBITDA of non-wholly owned subsidiaries reflects the amount of Adjusted EBITDA of such subsidiaries (on an aggregated basis) that is attributable to our ownership interest.
(c)Distributable Cash Flow of non-wholly owned subsidiaries reflects the total Distributable Cash Flow of our non-wholly owned subsidiaries on an aggregated basis.
(d)Our proportionate share of Distributable Cash Flow of non-wholly owned subsidiaries reflects the amount of Distributable Cash Flow of such subsidiaries (on an aggregated basis) that is attributable to our ownership interest. This is the amount included in our consolidated non-GAAP measure of Distributable Cash Flow attributable to the partners of Energy Transfer.
(e)Our ownership reflects the total economic interest held by us and our subsidiaries. In some cases, this percentage comprises ownership interests held in (or by) multiple entities.
17