Summit Midstream CorpSMC
Summit Midstream Corp Segments Disclosure
18. SEGMENT INFORMATION
The Company’s operating segments, which are equivalent to our reportable segments, have been identified based on their geographic location and reflect how the Company’s Chief Operating Decision Maker (“CODM”) assesses performance and allocates resources. The Company’s CODM, which is its Chief Executive Officer, primarily utilizes Segment Adjusted EBITDA as the key indicator in assessing the segment’s performance and allocating resources. Segment adjusted EBITDA is primarily used in the budgeting and forecasting process and the CODM regularly considers budget-to-actual variances when evaluating the performance of each segment and making decisions on the allocation of operating and capital resources to each individual segment.
As of December 31, 2025, the Company’s reportable segments are:
•Rockies – Includes the Company’s midstream assets located in the Williston Basin and the DJ Basin.
•Permian – Includes the Company’s equity method investment in Double E.
•Mid-Con – Includes the Company’s midstream assets located in the Barnett Shale and, following the Tall Oak Acquisition, the Arkoma Basin.
•Piceance – Includes the Company’s midstream assets located in the Piceance Basin.
•Northeast – Includes the Company’s previously owned midstream assets located in the Utica and Marcellus shale plays and the previously owned equity method investment in Ohio Gathering that was focused on the Utica Shale. During the year ended December 31, 2024, the Company divested of its Northeast operations. See Note 3 - Acquisitions and Divestitures for additional information.
The following table provides information about the Company’s reportable segments:
Rockies | Permian | Mid-Con | Piceance | Northeast | ||||||||||||||||||||||
| Year Ended December 31, 2025 | ||||||||||||||||||||||||||
Revenues: (1) | ||||||||||||||||||||||||||
Gathering services and related fees | $ | 62,760 | $ | — | $ | 131,538 | $ | 61,379 | $ | — | ||||||||||||||||
Natural gas, NGL’s and condensate sales | 244,478 | — | 18,554 | 2,027 | — | |||||||||||||||||||||
Other revenues | 22,113 | 3,641 | 9,140 | 6,461 | — | |||||||||||||||||||||
Total revenues | $ | 329,351 | $ | 3,641 | $ | 159,232 | $ | 69,867 | $ | — | ||||||||||||||||
Less: | ||||||||||||||||||||||||||
| Cost of natural gas and NGLs (excludes deductions for gathering, processing, and other fees) | $ | 206,504 | $ | — | $ | 8 | $ | 675 | $ | — | ||||||||||||||||
| Cost of natural gas and NGLs (amounts withheld from customers for the Company’s gathering, processing, and other fees) | (58,048) | — | — | — | — | |||||||||||||||||||||
Employee costs | 20,388 | — | 10,222 | 6,403 | — | |||||||||||||||||||||
| Materials, parts, and, other operating expenses | 20,805 | — | 13,576 | 7,195 | — | |||||||||||||||||||||
Indirect and passthrough (3) | 22,154 | — | 40,252 | 9,779 | — | |||||||||||||||||||||
Other segment items (2) | 10,613 | (30,339) | 2,797 | 1,041 | — | |||||||||||||||||||||
Segment Adjusted EBITDA | $ | 106,935 | $ | 33,980 | $ | 92,377 | $ | 44,774 | $ | — | ||||||||||||||||
Rockies | Permian | Mid-Con | Piceance | Northeast | |||||||||||||||||||||||||
| Year Ended December 31, 2024 | |||||||||||||||||||||||||||||
Revenues: (1) | |||||||||||||||||||||||||||||
| Gathering services and related fees | $ | 63,219 | $ | — | $ | 45,659 | $ | 73,115 | $ | 18,851 | |||||||||||||||||||
| Natural gas, NGL’s and condensate sales | 190,535 | — | 1,717 | 2,775 | — | ||||||||||||||||||||||||
| Other revenues | 14,757 | 3,641 | 9,515 | 5,109 | — | ||||||||||||||||||||||||
Total revenues | $ | 268,511 | $ | 3,641 | $ | 56,891 | $ | 80,999 | $ | 18,851 | |||||||||||||||||||
| Less: | |||||||||||||||||||||||||||||
| Cost of natural gas and NGLs (excludes deductions for gathering, processing, and other fees) | $ | 164,342 | $ | — | $ | — | $ | 1,138 | $ | — | |||||||||||||||||||
| Cost of natural gas and NGLs (amounts withheld from customers for the Company’s gathering, processing, and other fees) | (50,628) | — | 129 | — | — | ||||||||||||||||||||||||
| Employee costs | 16,379 | — | 3,822 | 6,480 | 661 | ||||||||||||||||||||||||
| Materials, parts and, other operating expenses | 17,936 | — | 4,960 | 7,769 | 868 | ||||||||||||||||||||||||
Indirect and passthrough (3) | 16,811 | — | 15,837 | 9,924 | 754 | ||||||||||||||||||||||||
Other segment items (2) | 9,844 | (27,586) | 1,498 | 2,984 | (14,066) | ||||||||||||||||||||||||
| Segment Adjusted EBITDA | $ | 93,827 | $ | 31,227 | $ | 30,645 | $ | 52,704 | $ | 30,634 | |||||||||||||||||||
Rockies | Permian | Mid-Con | Piceance | Northeast | |||||||||||||||||||||||||
| Year Ended December 31, 2023 | |||||||||||||||||||||||||||||
Revenues: (1) | |||||||||||||||||||||||||||||
| Gathering services and related fees | $ | 65,869 | $ | — | $ | 37,508 | $ | 81,041 | $ | 63,805 | |||||||||||||||||||
| Natural gas, NGL’s and condensate sales | 173,688 | — | 778 | 4,788 | — | ||||||||||||||||||||||||
| Other revenues | 15,474 | 3,570 | 6,831 | 5,588 | — | ||||||||||||||||||||||||
Total revenues | $ | 255,031 | $ | 3,570 | $ | 45,117 | $ | 91,417 | $ | 63,805 | |||||||||||||||||||
| Less: | |||||||||||||||||||||||||||||
| Cost of natural gas and NGLs (excludes deductions for gathering, processing, and other fees) | $ | 149,655 | $ | — | $ | — | $ | 2,357 | $ | — | |||||||||||||||||||
| Cost of natural gas and NGLs (amounts withheld from customers for the Company’s gathering, processing, and other fees) | (39,550) | — | — | — | — | ||||||||||||||||||||||||
| Employee costs | 15,516 | — | 3,214 | 5,935 | 2,622 | ||||||||||||||||||||||||
| Materials, parts and, other operating expenses | 18,158 | — | 2,977 | 7,206 | 3,453 | ||||||||||||||||||||||||
Indirect and passthrough (3) | 17,244 | — | 12,234 | 10,439 | 2,869 | ||||||||||||||||||||||||
Other segment items (2) | 6,618 | (20,637) | 521 | 5,731 | (39,388) | ||||||||||||||||||||||||
| Segment Adjusted EBITDA | $ | 87,390 | $ | 24,207 | $ | 26,171 | $ | 59,749 | $ | 94,249 | |||||||||||||||||||
(1) The Company’s revenues are attributable solely to external customers located within the U.S.
(2) For the year ended December 31, 2025 and 2024 and 2023, other segment items consist primarily of the following:
•Rockies - includes general and administrative expenses, operations and maintenance expenses and adjustments related to capital reimbursement activity;
•Permian - includes general and administrative expenses and the Company’s Proportional Adjusted EBITDA from its equity method investment in Double E;
•Mid-Con - includes general and administrative expenses, operations and maintenance expenses, adjustments related to capital reimbursement activity, the amortization expense associated with the Company’s favorable and unfavorable gas gathering contracts. In 2023 other segment items additionally includes other income;
•Piceance - includes general and administrative expenses, operations and maintenance expenses and adjustments related to capital reimbursement activity;
•Northeast - includes general and administrative expenses, operations and maintenance expense, the Company’s Proportional Adjusted EBITDA from its equity method investment in Ohio Gathering.
(3) Indirect and passthrough consist primarily of electricity expense incurred by the Company of which a portion is passed through to its customers.
Assets by reportable segment follow.
| December 31, | |||||||||||
| 2025 | 2024 | ||||||||||
| (in thousands) | |||||||||||
Assets: (1) | |||||||||||
| Rockies | $ | 983,074 | $ | 917,293 | |||||||
| Permian | 283,090 | 285,280 | |||||||||
Mid-Con | 753,517 | 746,549 | |||||||||
| Piceance | 341,957 | 389,668 | |||||||||
| Northeast | — | — | |||||||||
Total reportable segment assets | 2,361,638 | 2,338,790 | |||||||||
| Corporate and Other | 25,971 | 20,694 | |||||||||
Total assets | $ | 2,387,609 | $ | 2,359,484 | |||||||
(1) The Company’s long-lived assets are located within the U.S.
Counterparties accounting for a significant portion of total revenues were as follows:
| Year ended December 31, | |||||||||||||||||
| 2025 | 2024 | 2023 | |||||||||||||||
Percentage of total revenues: | |||||||||||||||||
| Counterparty A - Piceance | * | * | 10 | % | |||||||||||||
| Counterparty B - Rockies, Mid-Con | 29 | % | 17 | % | 13 | % | |||||||||||
Counterparty C - Rockies | * | 13 | % | * | |||||||||||||
________________________________________________________
* Less than 10% in the aggregate
Depreciation and amortization, including the amortization expense associated with the Company’s favorable and unfavorable gas gathering contracts as reported in other revenues, by reportable segment follow.
| Year ended December 31, | |||||||||||||||||
| 2025 | 2024 | 2023 | |||||||||||||||
| (In thousands) | |||||||||||||||||
| Depreciation and amortization: | |||||||||||||||||
| Rockies | $ | 41,586 | $ | 36,319 | $ | 36,148 | |||||||||||
Mid-Con(1) | 34,327 | 17,705 | 16,171 | ||||||||||||||
| Piceance | 37,569 | 42,012 | 52,014 | ||||||||||||||
| Northeast | — | 4,248 | 17,856 | ||||||||||||||
Total reportable segment depreciation and amortization | 113,482 | 100,284 | 122,189 | ||||||||||||||
| Corporate and Other | 1,615 | 1,301 | 1,513 | ||||||||||||||
Total depreciation and amortization | $ | 115,097 | $ | 101,585 | $ | 123,702 | |||||||||||
(1) Includes the amortization expense associated with the Company’s favorable and unfavorable gas gathering contracts as reported in Other revenues.
Cash paid for capital expenditures by reportable segment follow.
| Year ended December 31, | |||||||||||
| 2025 | 2024 | ||||||||||
| (In thousands) | |||||||||||
| Cash paid for capital expenditures: | |||||||||||
| Rockies | $ | 39,713 | $ | 44,092 | |||||||
Mid-Con | 44,202 | 1,312 | |||||||||
| Piceance | 1,774 | 2,361 | |||||||||
| Northeast | — | 2,980 | |||||||||
Total reportable segment capital expenditures | 85,689 | 50,745 | |||||||||
| Corporate and Other | 3,353 | 2,866 | |||||||||
Total cash paid for capital expenditures | $ | 89,042 | $ | 53,611 | |||||||
For the purpose of evaluating segment performance, the Company excludes the effect of Corporate and Other revenues and expenses, such as certain general and administrative expenses (including compensation-related expenses and professional services fees), certain natural gas and crude oil marketing services, transaction costs, interest expense and income tax expense or benefit from Segment Adjusted EBITDA.
A reconciliation of total of reportable segments’ measure of profit to income or loss before income taxes and income from equity method investees follows.
| Year ended December 31, | |||||||||||||||||
| 2025 | 2024 | 2023 | |||||||||||||||
| (In thousands) | |||||||||||||||||
Reconciliation of Segment Adjusted EBITDA to income (loss) before income taxes: | |||||||||||||||||
| Total Segment Adjusted EBITDA | $ | 278,066 | $ | 239,037 | $ | 291,766 | |||||||||||
Less: | |||||||||||||||||
Corporate and other expense (1) | 45,769 | 26,697 | 26,898 | ||||||||||||||
Income from equity method investee | (20,784) | (24,197) | (33,829) | ||||||||||||||
Interest expense | 94,737 | 115,446 | 140,784 | ||||||||||||||
Depreciation and amortization (2) | 115,097 | 101,585 | 123,702 | ||||||||||||||
Proportional Adjusted EBITDA for equity method investees (3) | 30,536 | 42,038 | 61,070 | ||||||||||||||
Adjustments related to capital reimbursement activity (4) | (9,023) | (9,909) | (9,874) | ||||||||||||||
Equity compensation | 7,798 | 8,561 | 6,566 | ||||||||||||||
(Gain) loss on asset sales, net | 486 | 1 | (260) | ||||||||||||||
(Gain) loss on sale of business | 582 | (82,187) | 47 | ||||||||||||||
| Gain on sale of equity method investment | — | (126,261) | — | ||||||||||||||
Long-lived asset impairment | 2,725 | 68,260 | 540 | ||||||||||||||
| Transaction costs and other | 12,550 | 35,425 | 3,813 | ||||||||||||||
Loss on early extinguishment of debt | — | 50,075 | 10,934 | ||||||||||||||
Income (loss) before income taxes | $ | (2,407) | $ | 33,503 | $ | (38,625) | |||||||||||
______________________________________
(1)Corporate includes results that are not specifically attributable to a reportable segment or that have not been allocated to the Company’s reportable segments, For the years ended December 31, 2025, 2024 and 2023, Other expense consists primarily of gain on interest rate swaps.
(2)Includes the amortization expense associated with the Company’s favorable gas gathering contracts as reported in other revenues.
(3)The Company recorded financial results of its investment in Ohio Gathering on a one-month lag and is based on the financial information available to the Company during the reporting period. With the divestiture of Ohio Gathering in March 2024, Proportional Adjusted EBITDA, for the year ended December 31, 2024, includes financial results from December 1, 2023 through March 22, 2024.
(4)Contributions in aid of construction are recognized over the remaining term of the respective contract. The Company includes adjustments related to capital reimbursement activity in its calculation of Segment Adjusted EBITDA to account for revenue recognized from contributions in aid of construction.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 16, 2026 | Showing above |
| 2024 | Mar 11, 2025 | |
About Segments Disclosures
Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.
Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.