Plains All American Pipeline, L.P. reported its financial results for the third quarter and the nine months ended September 30, 2024, showcasing a mixed performance in revenue and profitability compared to the previous fiscal period.

For Q3 2024, total revenues reached $12,743 million, a 6% increase from $12,071 million in Q3 2023. Product sales revenues contributed significantly, amounting to $12,282 million, up from $11,581 million in the prior year. Operating income also improved, rising to $347 million from $234 million year-over-year. Net income for the quarter was $312 million, reflecting a 12% increase from $279 million in Q3 2023. Net income attributable to Plains All American (PAA) was $220 million, compared to $203 million in the same quarter last year.

However, for the nine months ended September 30, 2024, net income decreased to $993 million from $1,103 million in the same period of 2023, a decline of 10%. Net income attributable to PAA for the nine months was $736 million, down from $918 million in the previous year. The decrease in net income for the nine-month period was attributed to increased costs related to settlements from the Line 901 incident and higher income tax expenses, despite favorable operational results in the Crude Oil segment.

The Crude Oil segment reported revenues of $12,467 million for Q3 2024, up from $11,957 million in Q3 2023, and $36,761 million for the nine months, compared to $34,966 million in the prior year. Segment Adjusted EBITDA for the Crude Oil segment increased due to higher tariff volumes and contributions from acquisitions. Conversely, the NGL segment saw a revenue increase in Q3 2024 to $388 million, but a decrease for the nine months to $1,189 million.

On the balance sheet, cash and cash equivalents rose to $640 million as of September 30, 2024, from $450 million at the end of 2023. Total current assets increased to $5,169 million, while total assets slightly decreased to $27,155 million. Total partners’ capital decreased to $13,532 million from $13,732 million at the end of 2023.

Strategically, the company completed a $650 million offering of senior notes in June 2024 and amended its credit facility agreements in August 2024, extending maturity dates for certain facilities. The company also reported a significant increase in net cash used in investing activities, totaling $(1,240) million for the nine months ended September 30, 2024, compared to $(444) million in the same period of 2023.

Overall, Plains All American Pipeline's financial results reflect a strong performance in revenue generation, particularly in the Crude Oil segment, while facing challenges in net income due to increased costs and settlements related to past incidents.