Company: PAGP
Filing Date: 2025-08-08
Form Type: 10-Q
Source: 0001581990-25-000021
Chunk: 154

Company: PLAINS GP HOLDINGS LP
Filing Date: 2025-08-08
Form: 10-Q
Item: Part I, Item 8
Chunk 154
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 evaluating our performance, you should also be aware that the items presented do not represent all items that affect comparability between the periods presented. Variations in our operating results are also caused by changes in volumes, prices, exchange rates, mechanical interruptions, acquisitions, divestitures, investment capital projects and numerous other factors as discussed, as applicable, in “—Analysis of Operating Segments.”

Discontinued Operations. Management believes that the presentation of certain Non-GAAP financial measures, such as Adjusted EBITDA and Adjusted EBITDA attributable to PAA ,on a consolidated basis (e.g., the aggregate of continuing operations and discontinued operations) provides more relevant and useful information regarding our performance and results of operations than presenting such metrics only on a continuing operations or discontinued operations basis. In addition, as the potential sale of the Canadian NGL Business is not anticipated to close until the first quarter of 2026, management continues to view the Canadian NGL Business as a component of our overall company performance and ability to fund distributions to our unitholders in the near term.

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The following table sets forth the reconciliation of the non-GAAP financial performance measures Adjusted EBITDA and Adjusted EBITDA attributable to PAA to Net Income (in millions):

Three Months EndedJune 30,VarianceSix Months EndedJune 30,Variance 20252024$%20252024$%Net income (1)$283 $316 $(33)(10)%$775 $653 $122 19 %Interest expense, net110 96 14 15 %217 190 27 14 %Income tax expense from continuing operations16 64 (48)(75)%46 88 (42)(48)%Income tax expense from discontinued operations (2)26 10 16 160 %69 14 55 **Depreciation and amortization from continuing operations235 226 9 4 %466 449 17 4 %Depreciation and amortization from discontinued operations (2)27 31 (4)(13)%57 62 (5)(8)%Losses on asset sales, net from continuing operations42 2 40 **29 3 26 **(Gains)/losses on asset sales, net from discontinued operations (2)13 (1)14 **13 (2)15 **Gain on investments in unconsolidated entities, net— — — N/A(