Kinder Morgan anticipates higher profits in 2026 due to strong natural gas demand
Kinder Morgan, a pipeline operator, said that it expected a growth in profit for '2026 compared to the 2025 forecast - due to strong natural gas demand.
In after-market trading, shares of the company rose 1% to $27.57.
The demand for natural gases has been boosted by the increase in LNG exports, and an increase in power consumption in data centers devoted to artificial intelligence (AI) and cryptocurrency.
Kinder Morgan has signed long-term contracts to transport 8 billion cubic feet of natural gas per day to LNG facilities. It expects to deliver 12 bcfd in 2028.
Houston-based company, Texas, forecasts an adjusted profit per share of $1.37 for 2026. This is 8% more than the forecast it made for 2025. According to LSEG data, analysts expect the company will post a profit per share of $1.38 in 2026.
Kinder Morgan is one of North America's largest energy infrastructure companies. It operates approximately?79,000 miles.
Kim Dang, CEO of the company, said: "We project an annualized dividend for 2026 of $1.19. This will be the ninth consecutive year that dividends have increased."
The company said that it will invest about $3.4 billion, which includes expansion projects and contributions towards joint ventures. This is a significant increase from the $2.3 billion forecast for 2025. (Reporting from Tanay Dhumal, Bengaluru. Editing by Maju Sam)
(source: Reuters)
