Tidewater Midstream and Infrastructure (TWM) investor relations material

Executive summary

• Consolidated adjusted EBITDA reached a quarterly record of CAD 88.9 million, up CAD 39.2 million QoQ; strong margins and higher facility utilization drove results.

• Net income attributable to shareholders was CAD 15.0 million, compared with a CAD 16.3 million net loss in Q2 2025.

• Consolidated net debt fell CAD 44.4 million in Q2 and CAD 41.9 million since December 31, 2025, to CAD 537.6 million at June 30, 2026.

• FY26 consolidated adjusted EBITDA guidance increased to CAD 230–250 million, 20% above the prior guidance midpoint.

• Record HDRD throughput and strong refining margins supported results; SAF initiatives and expanded hedging advanced growth and risk management.

Financial highlights

• Renewables adjusted EBITDA was a record CAD 56 million, including CAD 7.7 million of expected Biofuel Production Incentive proceeds and CAD 7.7 million from the cattle-company equity investment.

• Midstream deconsolidated adjusted EBITDA was CAD 32.9 million, up CAD 7.3 million QoQ, driven by stronger refinery crack spreads and partly offset by realized hedge losses.

• Six-month consolidated adjusted EBITDA was CAD 138.6 million and distributable cash flow was CAD 82.0 million; prior-year figures were CAD 12.3 million and negative CAD 29.6 million, respectively.

• Q2 distributable cash flow per share was CAD 2.49, compared with negative CAD 0.41 in Q2 2025; deconsolidated distributable cash flow per share was CAD 1.22 versus negative CAD 0.43.

• Q2 capital expenditures were CAD 3.8 million, focused on SAF optimization and gas storage upgrades.

Outlook and guidance

• FY26 adjusted EBITDA guidance: CAD 230–250 million consolidated, CAD 130–140 million Renewables, and CAD 100–110 million Midstream deconsolidated.

• Guidance increases reflect higher facility utilization, sustained strength in forward crack spreads, and improved renewable diesel and emissions-credit pricing.

• FY26 capital guidance remained CAD 20–25 million for Midstream and CAD 2–3 million for Renewables; Renewables sales volume guidance was 150–170 million litres.

• SAF project FID is targeted for Q4 2026, subject to regulatory support; estimated capital cost is CAD 1.2 billion, with a three-year build and expected 2030 startup.