All financial figures are in Canadian dollars, unless noted otherwise.
Calgary, Alberta--(Newsfile Corp. - May 1, 2026) - Trans Mountain Corporation ("Trans Mountain" or TMC" or "the Company") today announced its financial and operating results for the fourth quarter and full-year of 2025.
"2025 marked a defining year for Trans Mountain, one in which we demonstrated consistent, disciplined performance across the Company, finishing the year ahead of our plan on both operational and financial fronts," said Mark Maki, Chief Executive Officer, Trans Mountain. "In the quarter, we delivered 807,000 barrels per day for an annual average of 761,000 barrels per day, increasing asset utilization to 91% in the quarter and an annual average utilization of 86% and returning more than $1.7 billion to Canada through interest payments, dividends and fees. These are direct, measurable benefits for Canada."
"Our system operated safely, reliably and exactly as intended - moving Canadian energy to global markets, enhancing Canada's competitiveness and reinforcing the long-term value of this nationally significant infrastructure," Maki added.
Fourth quarter results reflect the continued strong operating performance of TMC following the commencement of commercial operations on the expanded system as of May 1, 2024. Adjusted EBITDA, revenues and operating costs have all increased due to higher transportation volumes.
"As global demand for Canadian heavy oil continues to rise, particularly across Asia, Trans Mountain will remain well-positioned to support Canada's goal of further expanding trade diversification," said Maki.
"Looking ahead, our optimization initiatives are expected to add up to 300,000 barrels per day of additional capacity - 90,000 bpd by Q2 2027 and a further 210,000 bpd by late 2028 - unlocking greater value for producers and for Canada. As we move into this next phase, our priorities remain unchanged: safe, reliable performance; disciplined execution; and delivering returns to Canadians that surpass the commitments made at the outset of Canada's ownership of Trans Mountain."
Financial Highlights:
Adjusted EBITDA: Fourth quarter Adjusted EBITDA increased to $593 million, compared to $515 million in the same period of the prior year due to increased throughput and correspondingly higher revenues. Full-year Adjusted EBITDA increased to $2,310 million compared to $1,346 million for 2024.
Net Income: Fourth quarter net income was $131 million compared to a net loss of $37 million in the same period of the prior year due to higher transportation volumes resulting in increased Adjusted EBITDA and lower interest expense from a strengthened balance sheet. Full-year net income increased by $551 million to $556 million versus $5 million in 2024.
Capital Return: During the fourth quarter an aggregate of $663 million was paid to Canada TMP Finance Ltd. ("TMP Finance"), the entity which holds the Government of Canada's investment in TMC, consisting of $152 million in interest payments and $511 million in cash dividends. For the full year, $1.7 billion has been paid in the form of dividends, interest payments and guarantee fees. These distributions are expected to grow in 2026 and beyond.
Operational Highlights:
Throughput: During the fourth quarter, the expanded system had a record average daily throughput of 807,000 barrels per day (bpd), including 504,000 bpd delivered to Westridge Marine Terminal, 100,000 bpd to BC delivery points and 203,000 bpd delivered to Washington State on the Puget Sound Pipeline. The average daily throughput for the prior year quarter was 721,000 bpd. Full-year throughput was 761,000 bpd compared to 555,000 bpd in 2024. Utilization for the quarter was 91% bringing full-year utilization to 86%.
Vessel Traffic: For the fourth quarter, 82 vessels were loaded at Westridge Marine Terminal an increase of eight vessels over the prior quarter of 2025. In 2025, 67% of the vessels loaded at the Westridge Marine Terminal were destined for Asia. Since the commercial commencement of the expanded system on May 1, 2024, TMC has loaded 462 vessels at the Westridge Marine Terminal.
Since the commercial commencement of the expanded system, all deliveries have been subject to the expanded system tariff and tolls. Contractually committed revenues associated with the 15- and 20-year transportation service contracts covering approximately 80% of the expanded system's capacity have resulted in a significant increase to transportation volumes, revenues and Adjusted EBITDA.
Financial and Operating Highlights:
| Three months ended December 31 | Year ended December 31 | |||||||||||
| (millions of Canadian dollars, except throughput amounts) | 2025 | 2024 | 2025 | 2024 | ||||||||
| Revenues | 791 | 695 | 3,004 | 1,882 | ||||||||
| Adjusted EBITDA | 593 | 515 | 2,310 | 1,346 | ||||||||
| Net income (loss) | 131 | (37 | ) | 556 | 5 | |||||||
| Adjusted funds from operations | 407 | 138 | 1,619 | 39 | ||||||||
| Dividends declared | 581 | - | 1,100 | - | ||||||||
| Mainline deliveries (bpd) | 807,000 | 721,000 | 761,000 | 555,000 | ||||||||
| Utilization | 91% | 81% | 86% | 80% | ||||||||
Looking Forward
Toll Hearing: On November 30, 2023, the Canada Energy Regulator ("CER") approved preliminary interim tolls for the expanded system, which remain in effect today. In October 2025, Trans Mountain requested, and the CER approved, an abeyance to suspend the current regulatory process to allow for discussions with its firm shippers to resolve concerns raised by the shippers regarding the interim tolls. Commercial discussions on a potential settlement agreement are ongoing.
Optimization Opportunities: TMC is exploring both short and long-term optimization projects aimed at increasing pipeline capacity by up to 300,000 bpd. Potential solutions may include the use of drag-reducing agents to increase flow efficiency, as well as other operational enhancements to improve system capabilities which remain subject to final investment decisions.
Summary of Quarterly Results:
| (millions of Canadian dollars, except throughput amounts) | Q4 2025 | Q3 2025 | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 | Q1 2024 | ||||||||||||||||
| Revenues | 791 | 765 | 719 | 729 | 695 | 666 | 396 | 125 | ||||||||||||||||
| Adjusted EBITDA | 593 | 591 | 558 | 568 | 515 | 512 | 283 | 36 | ||||||||||||||||
| Net income (loss) | 131 | 127 | 150 | 148 | (37 | ) | (68 | ) | (48 | ) | 158 | |||||||||||||
| Adjusted funds from operations | 407 | 418 | 394 | 400 | 138 | 92 | (63 | ) | (128 | ) | ||||||||||||||
| Total payments to TMP Finance(1) | 663 | 314 | 314 | 416 | - | - | - | - | ||||||||||||||||
| Mainline deliveries (bpd) | 807,000 | 777,000 | 703,000 | 757,000 | 721,000 | 692,000 | 471,000 | 332,000 | ||||||||||||||||
| Utilization | 91% | 87% | 79% | 85% | 81% | 78% | 68%(2) | 111% |
(1) Includes dividends, interest payments and guarantee fees paid.
(2) Final line fill on the expanded line was completed in early May 2024, which impacted system utilization in the period.
Total payments to TMP Finance include contractual commitments for interest as well as discretionary payments.
See the full financial statements and management report documents for further information. The Company's financial results are also included in Canada Development Investment Corporation's ("CDEV") consolidated quarterly financial statements. See "CDEV"'s report under "Annual Reports" section of its website.
Forward-looking information
This news release contains certain statements that constitute forward-looking information within the meaning of applicable Canadian securities laws ("forward-looking information"). Forward-looking information is not historical fact, but instead represents the current expectations of TMC regarding future operating results and other future events relating to TMC, many of which, by their nature, are inherently uncertain and outside of the control of TMC. Forward-looking information can be identified by words or phrases such as "will", "may", "expect", "anticipate", "believe", "intend", "plan", "seek", "aim", "potential", "should", "would" and similar words or expressions. Forward-looking information in this news release includes, but is not limited to: expectations regarding future distributions; the regulatory process regarding interim tolls; potential optimization projects and the expected increase in pipeline capacity resulting from such projects; potential solutions to increase flow efficiency and operational enhancements; the expected value for producers and for Canada resulting from the optimization initiatives; global markets and demand for Canadian energy, including demand from Asia; TMC's strategic advantages and positioning of Trans Mountain in support of Canada's goals; and the long-term economic benefits resulting from TMC's infrastructure. Actual results could differ materially from those anticipated in the forward-looking information. The forward-looking information in this news release is based on certain assumptions that TMC has made regarding, among other things: market conditions; economic conditions; prevailing governmental policies; regulatory, tax, and environmental laws and regulations; inflation rates and commodity prices including future demand for energy; future demand for space on TMC's pipeline system; regulatory processes; commercial negotiations; interest, tax and foreign exchange rates; and expected cash flows and availability of funds. Although TMC believes the assumptions and other factors reflected in the forward-looking information are reasonable as of the date hereof, there can be no assurance that these assumptions and factors will prove to be correct and, as such, forward-looking information is not a guarantee of future performance. Forward-looking information is subject to a number of known and unknown risks and uncertainties that could cause actual events or results to differ materially, including, but not limited to: the regulatory environment and decisions, including the outcome of regulatory hearings; the available supply and price of energy commodities; TMC's ability to successfully implement its strategic priorities; the operating performance of TMC's pipelines and related assets; whether discussions with shippers will result in a negotiated settlement; performance and credit risk of TMC's counterparties; the geopolitical environment; actions taken by governmental or regulatory authorities; changes in laws; the occurrence of unexpected events such as fires and severe weather conditions; cyber-attacks and other accidents or similar events and adverse general economic and market conditions or other risk factors, many of which are beyond the control of TMC. The foregoing list of assumptions and risk factors should not be construed as exhaustive. The forward-looking information contained in this news release speaks only as of the date hereof. TMC does not undertake any obligation to publicly update or revise any forward-looking information contained herein, except as required by applicable laws. All forward-looking information contained in this news release is expressly qualified by this cautionary statement.
GAAP and Non-GAAP measures
We make use of certain financial measures that do not have a standardized meaning under U.S. GAAP because we believe they improve management's ability to evaluate our operating performance and compare results between periods. These are known as non-GAAP measures and may not be similar to measures provided by other entities. The non-GAAP measures discussed above should not be considered as an alternative to or more meaningful than revenues, net income, operating income or other U.S. GAAP measures. Adjusted EBITDA (earnings before interest, taxes, depreciation and amortization and equity AFUDC) is a non-GAAP measure we use to evaluate our operating performance and is calculated from its most directly comparable U.S. GAAP measure, operating income but excludes the impact of financing decisions, non-cash depreciation and amortization, and non-cash equity AFUDC.
AFUDC (Allowance for Funds Used During Construction) is an amount recognized under U.S. GAAP by rate-regulated entities to reflect a return on the equity and debt components of capital invested in construction work in progress.
About Trans Mountain
Trans Mountain Corporation (together with its wholly-owned subsidiaries, "Trans Mountain") operates Canada's only pipeline system transporting oil products to the West Coast of Canada. Trans Mountain is a wholly owned entity of Canada TMP Finance Ltd., a subsidiary of Canada Development Investment Corporation (CDEV), the entity which holds the Government of Canada's investment in TMC. Trans Mountain has nominal capacity to deliver 890,000 barrels of petroleum products each day through a pipeline system of more than 1,180 kilometres of pipeline in Alberta, British Columbia and 111 kilometres of pipeline in Washington State. Trans Mountain also operates a state-of-the-art loading facility, Westridge Marine Terminal, with three berths providing tidewater access to global markets. As a Federal Crown Corporation, Trans Mountain continues to build on more than 70 years of experience delivering operational and safety excellence through its pipeline system.
Contact information:
Media Relations
Toll-free 1 855 908 9734
media@transmountain.com
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/295552
Source: Trans Mountain Corporation
