NGL Energy Partners LP Q4 2026 Earnings Recap

The 5% positive market reaction reflects investor approval of NGL Energy Partners’ Water Solutions segment delivering record EBITDA and volume growth alongside ongoing progress in capital structure simplification and strategic divestitures.

Key Takeaways

• Water Solutions segment posted a record $153 million adjusted EBITDA in 4Q, driving fiscal 2026 total to approximately $603 million, an 11% volume increase year-over-year.
• Disposal volumes averaged 2.9 million barrels per day for the full year, up 11%, with 90%+ under long-term contracts or acreage dedications.
• Liquids Logistics adjusted EBITDA was steady at approximately $17 million in 4Q, benefiting from noncore asset sales that reduced volatility and capital needs.
• Continued refinancing efforts reduced high-cost capital, including redeeming 285,000 Class D preferred units, lowering leverage and interest expense.
• The LEX II system expansion, backed by long-term volume commitments, supports further growth in Delaware Basin water infrastructure capacity.