Note 22 — Segment Information

 

We operate in two primary segments: (i) Gathering and Processing, and (ii) Logistics and Transportation (also referred to as the Downstream Business). Our reportable segments include operating segments that have been aggregated based on the nature of the products and services provided.

 

Our Gathering and Processing segment includes assets used in the gathering and/or purchase and sale of natural gas produced from oil and gas wells, removing impurities and processing this raw natural gas into merchantable natural gas by extracting NGLs; and assets used for the gathering and terminaling and/or purchase and sale of crude oil. The Gathering and Processing segment’s assets are located in the Permian Basin of West Texas and Southeast New Mexico (including the Midland, Central and Delaware Basins); the Eagle Ford Shale in South Texas; the Barnett Shale in North Texas; the Anadarko, Ardmore, and Arkoma Basins in Oklahoma (including the SCOOP and STACK) and South Central Kansas; the Williston Basin in North Dakota (including the Bakken and Three Forks plays); and the onshore and near offshore regions of the Louisiana Gulf Coast.

 

Our Logistics and Transportation segment includes the activities and assets necessary to convert mixed NGLs into NGL products and also includes other assets and value-added services such as transporting, storing, fractionating, terminaling, and marketing of NGLs and NGL products, including services to LPG exporters and certain natural gas supply and marketing activities in support of our other businesses. The Logistics and Transportation segment also includes our NGL pipeline system, which connects our gathering and processing positions in the Permian Basin, Southern Oklahoma and North Texas with our Downstream facilities in Mont Belvieu, Texas. Our Downstream facilities are located predominantly in Mont Belvieu and Galena Park, Texas, and in Lake Charles, Louisiana.

 

Other contains the unrealized mark-to-market gains/losses related to derivative contracts that were not designated as cash flow hedges. Elimination of inter-segment transactions are reflected in the corporate and eliminations column.

 

The Company’s chief operating decision maker (“CODM”) is the Chief Executive Officer. The Company’s CODM assesses the segments’ performance by using each segment’s operating margin. The CODM uses segment operating margin for the annual budget and forecasting process and to make informed decisions about the allocation of resources.

 

The following tables show reportable segment information for the periods presented:

 

 

 

Year Ended December 31, 2025

 

 

 

Gathering and Processing

 

 

Logistics and Transportation

 

 

Total Reportable Segments

 

 

Other

 

 

Corporate
and
Eliminations

 

 

Total

 

Revenues

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Sales of commodities

 

$

873.0

 

 

$

13,535.8

 

 

$

14,408.8

 

 

$

(5.3

)

 

$

 

 

$

14,403.5

 

Fees from midstream services

 

 

1,819.6

 

 

 

805.2

 

 

 

2,624.8

 

 

 

 

 

 

 

 

 

2,624.8

 

 

 

2,692.6

 

 

 

14,341.0

 

 

 

17,033.6

 

 

 

(5.3

)

 

 

 

 

 

17,028.3

 

Intersegment revenues

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Sales of commodities

 

 

4,722.8

 

 

 

191.6

 

 

 

4,914.4

 

 

 

 

 

 

(4,914.4

)

 

 

 

Fees from midstream services

 

 

1.0

 

 

 

31.4

 

 

 

32.4

 

 

 

 

 

 

(32.4

)

 

 

 

 

 

4,723.8

 

 

 

223.0

 

 

 

4,946.8

 

 

 

 

 

 

(4,946.8

)

 

 

 

Revenues

 

$

7,416.4

 

 

$

14,564.0

 

 

$

21,980.4

 

 

$

(5.3

)

 

$

(4,946.8

)

 

$

17,028.3

 

Operating expenses

 

$

907.0

 

 

$

393.7

 

 

$

1,300.7

 

 

$

 

 

 

 

 

 

 

Other segment items (1)

 

 

4,070.2

 

 

 

11,382.0

 

 

 

15,452.2

 

 

 

 

 

 

 

 

 

 

Operating margin

 

 

2,439.2

 

 

 

2,788.3

 

 

 

5,227.5

 

 

 

(5.3

)

 

 

 

 

 

 

Other financial information:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total assets (2)

 

$

14,805.4

 

 

$

10,105.1

 

 

$

24,910.5

 

 

$

1.8

 

 

$

306.1

 

 

$

25,218.4

 

Goodwill

 

 

112.3

 

 

 

 

 

 

112.3

 

 

 

 

 

 

 

 

 

112.3

 

Capital expenditures

 

 

2,046.1

 

 

 

1,372.2

 

 

 

3,418.3

 

 

 

 

 

 

23.0

 

 

 

3,441.3

 

 

 

 

Year Ended December 31, 2024

 

 

 

Gathering and Processing

 

 

Logistics and Transportation

 

 

Total Reportable Segments

 

 

Other

 

 

Corporate
and
Eliminations

 

 

Total

 

Revenues

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Sales of commodities

 

$

1,032.8

 

 

$

13,023.6

 

 

$

14,056.4

 

 

$

(164.6

)

 

$

 

 

$

13,891.8

 

Fees from midstream services

 

 

1,656.7

 

 

 

833.0

 

 

 

2,489.7

 

 

 

 

 

 

 

 

 

2,489.7

 

 

 

2,689.5

 

 

 

13,856.6

 

 

 

16,546.1

 

 

 

(164.6

)

 

 

 

 

 

16,381.5

 

Intersegment revenues

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Sales of commodities

 

 

4,118.5

 

 

 

146.1

 

 

 

4,264.6

 

 

 

 

 

 

(4,264.6

)

 

 

 

Fees from midstream services

 

 

0.4

 

 

 

27.7

 

 

 

28.1

 

 

 

 

 

 

(28.1

)

 

 

 

 

 

4,118.9

 

 

 

173.8

 

 

 

4,292.7

 

 

 

 

 

 

(4,292.7

)

 

 

 

Revenues

 

$

6,808.4

 

 

$

14,030.4

 

 

$

20,838.8

 

 

$

(164.6

)

 

$

(4,292.7

)

 

$

16,381.5

 

Operating expenses

 

$

814.6

 

 

$

362.3

 

 

$

1,176.9

 

 

$

 

 

 

 

 

 

 

Other segment items (1)

 

 

3,681.4

 

 

 

11,313.0

 

 

 

14,994.4

 

 

 

 

 

 

 

 

 

 

Operating margin

 

 

2,312.4

 

 

 

2,355.1

 

 

 

4,667.5

 

 

 

(164.6

)

 

 

 

 

 

 

Other financial information:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total assets (2)

 

$

13,576.6

 

 

$

8,921.6

 

 

$

22,498.2

 

 

$

1.9

 

 

$

234.0

 

 

$

22,734.1

 

Goodwill

 

 

45.2

 

 

 

 

 

 

45.2

 

 

 

 

 

 

 

 

 

45.2

 

Capital expenditures

 

 

1,955.3

 

 

 

1,216.6

 

 

 

3,171.9

 

 

 

 

 

 

19.9

 

 

 

3,191.8

 

 

 

 

Year Ended December 31, 2023

 

 

 

Gathering and Processing

 

 

Logistics and Transportation

 

 

Total Reportable Segments

 

 

Other

 

 

Corporate
and
Eliminations

 

 

Total

 

Revenues

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Sales of commodities

 

$

1,076.1

 

 

$

12,610.5

 

 

$

13,686.6

 

 

$

275.5

 

 

$

 

 

$

13,962.1

 

Fees from midstream services

 

 

1,366.5

 

 

 

731.7

 

 

 

2,098.2

 

 

 

 

 

 

 

 

 

2,098.2

 

 

 

2,442.6

 

 

 

13,342.2

 

 

 

15,784.8

 

 

 

275.5

 

 

 

 

 

 

16,060.3

 

Intersegment revenues

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Sales of commodities

 

 

4,786.3

 

 

 

267.9

 

 

 

5,054.2

 

 

 

 

 

 

(5,054.2

)

 

 

 

Fees from midstream services

 

 

2.6

 

 

 

45.7

 

 

 

48.3

 

 

 

 

 

 

(48.3

)

 

 

 

 

 

4,788.9

 

 

 

313.6

 

 

 

5,102.5

 

 

 

 

 

 

(5,102.5

)

 

 

 

Revenues

 

$

7,231.5

 

 

$

13,655.8

 

 

$

20,887.3

 

 

$

275.5

 

 

$

(5,102.5

)

 

$

16,060.3

 

Operating expenses

 

$

746.6

 

 

$

332.0

 

 

$

1,078.6

 

 

$

 

 

 

 

 

 

 

Other segment items (1)

 

 

4,402.7

 

 

 

11,375.1

 

 

 

15,777.8

 

 

 

 

 

 

 

 

 

 

Operating margin

 

 

2,082.2

 

 

 

1,948.7

 

 

 

4,030.9

 

 

 

275.5

 

 

 

 

 

 

 

Other financial information:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total assets (2)

 

$

12,685.2

 

 

$

7,777.8

 

 

$

20,463.0

 

 

$

4.2

 

 

$

204.6

 

 

$

20,671.8

 

Goodwill

 

 

45.2

 

 

 

 

 

 

45.2

 

 

 

 

 

 

 

 

 

45.2

 

Capital expenditures

 

 

1,514.7

 

 

 

910.0

 

 

 

2,424.7

 

 

 

 

 

 

18.9

 

 

 

2,443.6

 

 

(1)
“Other segment items” represents Product purchases and fuel.
(2)
Assets in the Corporate and Eliminations column primarily include tax-related assets, cash, prepaids and debt issuance costs for our revolving credit facilities.

 

The following table shows our consolidated revenues disaggregated by product and service for the periods presented:

 

 

Year Ended December 31,

 

 

 

2025

 

 

2024

 

 

2023

 

Sales of commodities:

 

 

 

 

 

 

 

 

 

Revenue recognized from contracts with customers:

 

 

 

 

 

 

 

 

 

Natural gas

 

$

2,035.7

 

 

$

1,241.1

 

 

$

2,421.3

 

NGL

 

 

12,079.8

 

 

 

12,372.5

 

 

 

10,580.2

 

Condensate and crude oil

 

 

448.3

 

 

 

523.6

 

 

 

519.5

 

 

 

14,563.8

 

 

 

14,137.2

 

 

 

13,521.0

 

Non-customer revenue:

 

 

 

 

 

 

 

 

 

Derivative activities - Hedge

 

 

90.9

 

 

 

67.8

 

 

 

153.4

 

Derivative activities - Non-hedge (1)

 

 

(251.2

)

 

 

(313.2

)

 

 

287.7

 

 

 

(160.3

)

 

 

(245.4

)

 

 

441.1

 

Total sales of commodities

 

 

14,403.5

 

 

 

13,891.8

 

 

 

13,962.1

 

 

 

 

 

 

 

 

 

 

Fees from midstream services:

 

 

 

 

 

 

 

 

 

Revenue recognized from contracts with customers:

 

 

 

 

 

 

 

 

 

Gathering and processing

 

 

1,793.2

 

 

 

1,632.8

 

 

 

1,342.8

 

NGL transportation, fractionation and services

 

 

311.6

 

 

 

298.4

 

 

 

261.1

 

Storage, terminaling and export

 

 

496.8

 

 

 

497.9

 

 

 

440.7

 

Other

 

 

23.2

 

 

 

60.6

 

 

 

53.6

 

Total fees from midstream services

 

 

2,624.8

 

 

 

2,489.7

 

 

 

2,098.2

 

 

 

 

 

 

 

 

 

 

Total revenues

 

$

17,028.3

 

 

$

16,381.5

 

 

$

16,060.3

 

 

(1)
Represents derivative activities that are not designated as hedging instruments under ASC 815.

 

The following table shows a reconciliation of reportable segment Operating margin to Income (loss) before income taxes for the periods presented:

 

Year Ended December 31,

 

 

2025

 

 

2024

 

 

2023

 

Reconciliation of reportable segment operating
margin to income (loss) before income taxes:

 

 

 

 

 

 

 

 

Total reportable segments operating margin

$

5,227.5

 

 

$

4,667.5

 

 

$

4,030.9

 

Other operating margin

 

(5.3

)

 

 

(164.6

)

 

 

275.5

 

Depreciation and amortization expense

 

(1,515.3

)

 

 

(1,423.0

)

 

 

(1,329.6

)

General and administrative expense

 

(406.0

)

 

 

(384.9

)

 

 

(348.7

)

Other operating income (expense)

 

30.3

 

 

 

0.4

 

 

 

(1.5

)

Interest expense, net

 

(852.8

)

 

 

(767.2

)

 

 

(687.8

)

Equity earnings (loss)

 

11.8

 

 

 

9.4

 

 

 

9.0

 

Other, net

 

(3.8

)

 

 

0.4

 

 

 

(5.3

)

Income (loss) before income taxes

$

2,486.4

 

 

$

1,938.0

 

 

$

1,942.5

 

Historical Timeline

Fiscal YearFiled
2025Feb 19, 2026Showing above
2024Feb 20, 2025
2023Feb 15, 2024
2022Feb 22, 2023
2021Feb 24, 2022
2020Feb 18, 2021
2019Feb 20, 2020
2018Mar 1, 2019
2017Feb 16, 2018
2016Feb 21, 2017
2015Feb 29, 2016

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.