TRGP · 8-K · 20260806PR336525
Segment Profitability
Targa Resources Corp. · 2026-08-06 · Importance 64 · Surprise 56 · No source text
Gathering and Processing adjusted operating margin increased 21% year over year to $973.5 million in the second quarter and 18% to $1,910.6 million for the first six months. Logistics and Transportation adjusted operating margin increased 44% to $1,062.6 million in the quarter and 31% to $1,936.1 million year to date. Gathering and Processing margin benefited from record Permian inlet volumes and higher fee-based margin, partially offset by lower natural gas prices, including a negative $2.48 per MMBtu average realized natural gas price in the quarter. Logistics and Transportation margin benefited from greater marketing optimization opportunities, higher pipeline transportation and fractionation volumes, Train 11 additions, and higher LPG export volumes and fees.
Key facts
- Logistics and Transportation operating margin for Q2 2026 was $948.3 million, up $315.9 million or 50% from $632.4 million in Q2 2025. source
- Record adjusted EBITDA for the second quarter was $1.6 billion, an increase of 38% year-over-year and a 14% increase compared to the first quarter. source
- Logistics and Transportation adjusted operating margin for Q2 2026 was $1,062.6 million, up $324.8 million or 44% from $737.8 million in Q2 2025. source
- Gathering and Processing adjusted operating margin for Q2 2026 was $973.5 million, up $166.5 million or 21% from $807.0 million in Q2 2025. source
- Gathering and Processing operating margin for Q2 2026 was $732.6 million, up $145.0 million or 25% from $587.6 million in Q2 2025. source
- Second quarter 2026 adjusted EBITDA was $1,603 million. source
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| operating_income | positive | realized | +7.3% | Logistics and Transportation adjusted operating margin for Q2 2026 was $1,062.6 million, up $324.8 million or 44% from $737.8 million in… |
| operating_income | positive | realized | +7.1% | Logistics and Transportation operating margin for Q2 2026 was $948.3 million, up $315.9 million or 50% from $632.4 million in Q2 2025. |
| operating_income | positive | realized | +3.8% | Gathering and Processing adjusted operating margin for Q2 2026 was $973.5 million, up $166.5 million or 21% from $807.0 million in Q2 2025. |
| operating_income | positive | realized | +3.3% | Gathering and Processing operating margin for Q2 2026 was $732.6 million, up $145.0 million or 25% from $587.6 million in Q2 2025. |
| operating_income | positive | realized | — | Second quarter 2026 adjusted EBITDA was $1,603 million. |