Targa Resources Corp. SEC 10-Q Report

Targa Resources Corp., a leading provider of midstream natural gas and natural gas liquids (NGL) services, has released its latest Form 10-Q report, showcasing robust financial and operational performance. The report highlights significant revenue growth, improved profitability, and strategic expansions in infrastructure to meet increasing production demands.

Financial Highlights

Total Revenues: $4,260.1 million, reflecting an increase from $3,562.0 million in the same period last year, driven by higher sales of commodities and fees from midstream services.

Income (loss) from operations: $1,033.6 million, up from $627.2 million in the prior year, indicating improved operational efficiency and cost management.

Net income (loss) attributable to Targa Resources Corp.: $629.1 million, compared to $298.5 million in the previous year, highlighting strong financial performance.

Net income (loss) per common share - basic: $2.88, up from $1.34, reflecting the company's enhanced profitability.

Net income (loss) per common share - diluted: $2.87, compared to $1.33 in the prior year, indicating improved earnings per share.

Business Highlights

Revenue Segments

The Gathering and Processing segment includes assets for gathering, processing, and selling natural gas and crude oil, with significant operations in the Permian Basin, Eagle Ford Shale, Barnett Shale, Anadarko Basin, Williston Basin, and the Louisiana Gulf Coast. The Logistics and Transportation segment focuses on converting mixed NGLs into NGL products and includes transportation, storage, fractionation, and marketing services, with key facilities in Mont Belvieu, Texas, and Lake Charles, Louisiana.

New Production Launches

Several new cryogenic natural gas processing plants are under construction in the Permian Basin, including the Bull Moose, Pembrook II, Bull Moose II, East Pembrook, Falcon II, and East Driver plants, with expected operational dates ranging from the first quarter of 2025 to the third quarter of 2026. Additionally, new fractionation trains, Train 11 and Train 12, are planned for Mont Belvieu, Texas, with operations expected in 2026 and 2027, respectively.

Future Outlook

The company is expanding its infrastructure to meet increasing production demands, with significant investments in new processing plants, fractionation trains, and pipeline expansions. The LPG export capabilities at the Galena Park Marine Terminal are also being expanded, with completion expected by the third quarter of 2027. The Bull Run Extension will enhance connectivity in the Permian Delaware system, expected to be operational by the first quarter of 2027.

Joint Ventures

The Blackcomb Joint Venture, involving the construction of the Blackcomb pipeline, is expected to transport up to 2.5 Bcf/d of natural gas from the Permian Basin to South Texas, with service anticipated in the second half of 2026. The Traverse pipeline, part of the same joint venture, will connect Agua Dulce and the Katy area, with operations expected in 2027.

Operational Performance

The company has completed the acquisition of Blackstone’s 45% interest in Targa Badlands LLC, now owning 100% of the interests and earnings, effective January 1, 2025. This acquisition is expected to enhance operational control and financial performance in the region.

SEC Filing: Targa Resources Corp. [ TRGP ] - 10-Q - Aug. 07, 2025