Transportadora de Gas del Sur (TGSU2) Q1 2026 earnings summary

Executive summary

• Net income for Q1 2026 reached ARS 160 billion, up from ARS 142.3 billion in Q1 2025, with EBITDA across all segments totaling ARS 306.5 billion.

• Revenues for 1Q2026 reached Ps. 484,201 million, up 13% year-over-year, driven by strong performance in Liquids and Midstream segments.

• Major natural gas transportation expansion underway, with $400 million in prepayments secured and commissioning set for May 27, 2026.

• Non-regulated business contributed 54% of EBITDA, highlighting its growing importance.

• Shareholders approved increases to the Legal Reserve and Reserve for Future Investments totaling Ps. 460,598 million.

Financial highlights

• EBITDA for natural gas transportation rose to ARS 139.9 billion from ARS 129 billion year-over-year, despite inflationary pressures.

• Liquids segment EBITDA increased to ARS 96.7 billion, driven by higher sales volumes and partial insurance reimbursement.

• Midstream and other services EBITDA grew 46% to ARS 69.8 billion, supported by higher volumes and lower operating expenses.

• Cash position decreased by ARS 173 billion to ARS 1,806 billion, mainly due to lower real returns from financial investments.

• Operating profit before depreciation and impairment was Ps. 306,487 million, up from Ps. 254,926 million in 1Q2025.

Outlook and guidance

• Remaining 9 million m³/day of transportation capacity to be allocated next month, with monthly payments.

• NGL project final investment decision expected by end of month, with total CapEx around $3 billion.

• Regulatory changes in March and April 2026 redefined the contractual framework for natural gas transportation, with a neutral impact on monthly revenues.

• Expansion of the Perito Moreno Gas Pipeline awarded 5 MMm³/d of new capacity, with strong demand from shippers.

• Anticipated slower midstream growth in Vaca Muerta post-expansion, with debottlenecking projects planned.