Kinder Morgan (KMI) Q4 2025 earnings summary

Executive summary

• Delivered record results for Q4 and full year 2025, with net income up 17% and adjusted EBITDA up 6% year-over-year, exceeding prior year and budget expectations.

• Natural gas assets were the primary driver of outperformance, supported by strong LNG demand and project execution.

• Project backlog increased to $10 billion, with over $900 million in new projects added and $265 million placed in service.

• S&P and Fitch upgraded credit ratings, reflecting a strengthened balance sheet.

• Management transition announced, with Tom Martin retiring and Dax stepping in as president.

Financial highlights

• Q4 2025 revenues were $4.51 billion, up 13% from Q4 2024; full-year revenues reached $16.94 billion, up 12%.

• Q4 adjusted EBITDA was $2.27 billion, up 10% year-over-year; full-year adjusted EBITDA was $8.39 billion, up 6%.

• Net income for Q4 was $996 million and EPS $0.45, up 49% and 50% respectively from Q4 2024.

• Adjusted net income and adjusted EPS both grew 22% year-over-year, excluding certain items.

• Quarterly dividend declared at $0.2925 per share, annualized at $1.17, up 2% from 2024.

Outlook and guidance

• 2026 adjusted EBITDA is forecast at $8.6 billion, up 2.5%; dividend expected to increase 2% to $1.19 per share.

• U.S. natural gas demand projected to grow significantly, with LNG feed gas demand estimated at 19.8 BCF/day in 2026 and over 34 BCF/day by 2030.

• Wood Mackenzie projects incremental 20 BCF/day demand growth between 2030 and 2035.

• CapEx guidance updated to at least $3 billion per year, based on the $10 billion project backlog and opportunity set.

• Project backlog at year-end 2025 was $10 billion, with 90% natural gas projects and 60% supporting power generation.