Trans Mountain Corporation ended Q1 2025 with headline revenue of $729 million—up 483% from $125 million in Q1 2024—as its 890,000-barrel-per-day expanded system logged its first full comparable quarter.
Operating costs roughly doubled, yet the much steeper revenue trajectory drove operating income to $349 million from just $9 million a year ago.
Still, the income statement shows that aggressive non-cash charges absorbed most of the upside. Depreciation and amortization jumped 711% to $219 million, reflecting the first-year write-down of the $30-billion expansion. Administrative expenses jumped nearly five-fold to $17 million, and pipeline operating costs climbed 83% to $75 million.
Net income edged down 6% to $148 million as the cessation of AFUDC credits and higher depreciation more than offset lower post-refinancing interest expense.
By contrast, adjusted EBITDA rose to $568 million from $36 million on the back of long-term take-or-pay contracts covering 80% of system capacity.
Operating cash swung from a $21 million outflow last year to a $337 million inflow, while capital spending collapsed 74% to $252 million as expansion wound down. Free cash was redeployed to a $163 million dividend and $148 million of interest to sole shareholder Canada TMP Finance. Management signals those distributions “are expected to grow significantly in 2026 and beyond” as depreciation runs off and throughput optimization bears fruit.
On the balance sheet, cash slipped to $407 million from $491 million at year-end. Total debt held steady at $12 billion after Ottawa injected funds in December 2024 to extinguish $17.9 billion of third-party borrowings, lowering ongoing interest costs.
Operationally, the pipeline averaged 757,000 barrels per day—more than double Q1 2024’s 332,000 bpd—peaking at 90% of nameplate capacity in March. Westridge Marine Terminal loaded 74 vessels in the quarter, including a record 29 in March, with cargos split roughly 50/50 between US West Coast and Asia.
Looking ahead, management says the system could add up to 300,000 bpd via drag-reducing agents and other tweaks, and it expects to remit roughly $1.25 billion to the federal treasury in 2025 on the strength of record volumes and cheaper funding.
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