Targa Resources Corp. reported fourth‑quarter and full‑year 2025 financial results that demonstrate strong profitability growth. Net income for the quarter rose 55% to $545 million from $351 million in Q4 2024, while full‑year net income climbed 46% to $1.923 billion from $1.312 billion a year earlier.
Revenue for Q4 2025 totaled $4.06 billion, slightly below the $4.07 billion consensus estimate, but adjusted EBITDA surged 19% to $1.341 billion from $1.122 billion in Q4 2024. The company’s earnings per share were $2.29, missing the $2.37 estimate by $0.08; the company did not disclose a specific reason for the miss.
The earnings beat in net income and adjusted EBITDA reflects disciplined cost management and a favorable mix of high‑margin business segments, offsetting the modest revenue shortfall. The company’s operating leverage and pricing power helped maintain profitability even as revenue slipped marginally below expectations.
Targa also announced a quarterly cash dividend of $1.00 per share, translating to an annualized dividend of $4.00, and a planned increase to $5.00 per share for 2026. Share repurchases totaled $37 million in Q4 2025 and $642 million for the year, leaving $1.374 billion remaining under the repurchase program.
Overall, the results underscore Targa’s ability to generate robust earnings growth while returning value to shareholders through dividends and buybacks, positioning the company for continued financial strength in the coming year.
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