Targa Resources reported $5.6 billion in revenue for Q3 2026.

Cover page 2 changes

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For the quarterly period ended June September 30, 2026

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As of July 31, October 30, 2026, there were 214,431,021 214,554,011 shares of the registrant's common stock, $0.001 par value, outstanding.

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Exhibits 2 changes

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• the timing and success of business development efforts, including the Company's realization of the expected benefits of long-term commercial agreements;

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Although we believe that the assumptions underlying our forward-looking statements are reasonable, any of the assumptions could be inaccurate, and, therefore, we cannot assure you that the forward-looking statements included in this quarterly report on Form 10-Q for the quarter ended June September 30, 2026 ("Quarterly Report") will prove to be accurate. Some of these and other risks and uncertainties that could cause actual results to differ materially from such forward-looking statements are more fully described in our Annual Report. Except as may be required by applicable law, we undertake no obligation to publicly update or advise of any change in any forward-looking statement, whether as a result of new information, future events or otherwise.

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Financial statements 33 changes

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Trade receivables, net of allowances of $ 0.7 million and $ 0.7 million as of June September 30, 2026 and December 31, 2025

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June 30, 2026 243,246,851 214,422,392

Common Stock ($ 0.001 par value, 450,000,000 shares authorized as of June September 30, 2026 and December 31, 2025)

September 30, 2026 243,583,588 214,480,427

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Treasury stock, at cost ( 28,824,459 29,103,161 shares and 28,108,057 shares as of June September 30, 2026 and December 31, 2025)

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Six Months Ended June 30,

Three Months Ended June September 30,

Nine Months Ended September 30,

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Three Months Ended June September 30,

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Six Months Ended June 30,

Nine Months Ended September 30,

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Six Months Ended June 30,

Nine Months Ended September 30,

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Distributions of earnings received from unconsolidated affiliates ( 31.7 55.9

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Balance, March 31, 2026

Balance, June 30, 2026

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Shares issued under compensation program

Shares tendered for tax withholding obligations

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Transfers to noncontrolling interests

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Balance, June 30, 2026

Balance, September 30, 2026

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Balance, March 31, 2025

Balance, June 30, 2025

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Balance, June 30, 2025

Balance, September 30, 2025

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Dividends - $ 2.25 per share

Dividends - $ 3.50 per share

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Transfers to noncontrolling interests

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Balance, June 30, 2026

Balance, September 30, 2026

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Dividends - $ 1.75 2.75 per share

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Balance, June 30, 2025

Balance, September 30, 2025

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Note 2: Basis of Presentation 1 change

The accompanying unaudited consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q and do not include all information and disclosures required by GAAP. Therefore, this information should be read in conjunction with our consolidated financial statements and notes contained in our Annual Report. The information furnished herein reflects all adjustments that are, in the opinion of management, of a normal recurring nature and considered necessary for a fair statement of the results of the interim periods reported. All significant intercompany balances and transactions have been eliminated in consolidation. Certain amounts in prior periods have been reclassified to conform to the current year presentation. Operating results for the three and six nine months ended June September 30, 2026 are not necessarily indicative of the results that may be expected for the year ending December 31, 2026.

Note 3: Significant Accounting Policies 1 change

The accounting policies that we follow are set forth in "Note 3 – Significant Accounting Policies" of the Notes to Consolidated Financial Statements in our Annual Report. Other than the updates noted below, there were no significant updates or revisions to our accounting policies during the six nine months ended June September 30, 2026.

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Note 4: Acquisitions and Joint Ventures 5 changes

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The results of operations attributable to the assets and liabilities acquired in the Stakeholder Acquisition have been included in our consolidated financial statements as part of our Permian Delaware operations in our Gathering and Processing segment since the date of the acquisition. Revenues and Net Income attributable to the assets acquired were $ 65.7 69.3 million and $ 12.7 15.6 million, respectively, for the three months ended June September 30, 2026 , and $ 125.4 194.7 million and $ 22.5 38.2 million, respectively, for the six nine months ended June September 30, 2026 . We expensed $ 8.9 million of acquisition-related costs.

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The following unaudited pro forma summary presents the consolidated results of operations for the three and six nine months ended June September 30, 2026 and 2025 as if the Stakeholder Acquisition had occurred on January 1, 2025. The unaudited pro forma financial information is presented for informational purposes only and is not necessarily indicative of our results of operations that would have occurred had the transaction been consummated at the beginning of the period presented, nor is it necessarily indicative of future results.

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Six Months Ended June 30,

Three Months Ended June September 30,

Nine Months Ended September 30,

Note 5: Property, Plant and Equipment and Intangible Assets 8 changes

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(1) The balance as of June September 30, 2026 includes amounts related to the amendment of a compressor lease agreement that was effective on April 1, 2026. See "Note 8 – Leases" " for further details.

During the three and six nine months ended June September 30, 2026, depreciation expense was $ 351.1 357.1 million and $ 673.9 1,031.0 million, respectively. During the three and six nine months ended June September 30, 2025 , depreciation expense was $ 292.2 302.0 million and $ 578.3 880.3 million, respectively.

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The estimated annual amortization expense for intangible assets is approximately $ 410.3 million, $ 377.2 million, $ 327.2 million, $ 286.8 million and $ 241.2 million for each of the years 2026 through 2030, respectively.

During the three and six nine months ended June September 30, 2026 , amortization expense was $ 102.0 102.5 million and $ 205.2 307.7 million, respectively. During the three and six nine months ended June September 30, 2025 , amortization expense was $ 81.5 million and $ 163.0 244.5 million, respectively.

The following table shows estimated amortization expense for the next five years as of September 30, 2026:

Estimated Amortization Expense

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Six Months Ended June 30, 2026

Nine Months Ended September 30, 2026

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Note 6: Investments in Unconsolidated Affiliates 4 changes

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(1) Includes capitalized interest of $ 1.9 million related to our contributions to Blackcomb.

Equity Earnings (Loss)

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Equity Earnings (Loss)

(1) Includes capitalized interest of $ 4.9 million related to our contributions to Blackcomb.

Note 7: De bt Obligations 12 changes

Partnership accounts receivable securitization facility, due August 2026 July 2027 (1)

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5.200 % fixed rate, due July 2027 (6)

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4.350 % fixed rate, due April 2031 (6) (7)

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6.050 % fixed rate, due May 2056 (6) (7)

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Letters of credit outstanding under the TRGP senior revolving credit facility (1) As of June September 30, 2026, the Partnership had $ 451.0 million of outstanding, collateralized by the qualifying receivables pursuant to the amended Receivables Purchase Agreement dated July 1, 2026, under its $ 600.0 million accounts receivable securitization facility (the "Securitization Facility"), resulting in $ 149.0 million of remaining availability In July 2026, the Partnership amended under the Securitization Facility to, among other things, extend committed line of the facility. termination date In addition to July 30, 2027 and increase the total borrowing committed capacity from up to of $ 600.0 million, to the Securitization Facility has an uncommitted line of capacity with potential capacity of up to $ 800.0 200.0 million.

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(3) On January 15, 2026, we used borrowings under our unsecured commercial paper note program (the "Commercial Paper Program") and available cash to fund the redemption of all of the Partnership's 6.875 % Senior Unsecured Notes due 2029.

(4) The balance as of June September 30, 2026 includes amounts related to the amendment of a compressor lease agreement that was effective on April 1, 2026. See "Note 8 – Leases " for further details.

(5) We maintain an unsecured commercial paper note program The borrowings under the Commercial Paper Program the borrowings of which are supported through maintaining a minimum available borrowing capacity under the $ 3.5 billion TRGP senior revolving credit facility (the "TRGP Revolver"), equal to the aggregate amount outstanding under the Commercial Paper Program at any one time not to exceed $ 3.5 billion. The TRGP Revolver had no borrowings outstanding and the Commercial Paper Program had approximately $ 0.6 0.9 billion of borrowings outstanding, resulting in approximately $ 2.9 2.6 billion of availability under the TRGP Revolver as of June September 30, 2026 , after accounting for outstanding letters of credit.

(6) As of September 30, 2026, we classified our 5.200 % Senior Unsecured Notes due July 2027 as long-term based on our ability and intent to refinance the notes on a long-term basis.

(6) (7) In March 2026, we completed an underwritten public offering of (i) $ 750.0 million aggregate principal amount of our 4.350 % Senior Unsecured Notes due 2031 and (ii) $ 750.0 million aggregate principal amount of our 6.050 % Senior Unsecured Notes due 2056, resulting in net proceeds of approximately $ 1,483.2 million. We used a portion of the net proceeds to reduce borrowings under the Commercial Paper Program.

The following table shows the range of interest rates and weighted average interest rate incurred on our variable-rate debt obligations during the six nine months ended June September 30, 2026:

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As of June September 30, 2026, we were in compliance with the covenants contained in our various debt agreements.

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Note 8: Leases 3 changes

During the six months ended June 30, In April 2026, , we amended an existing compressor lease agreement. The amendment, among other things, extended the term through March 2036. Upon commencement of the amendment, the finance lease resulted in an addition to the right-of-use asset and corresponding finance lease liability of approximately $ 464.6 million.

The weighted-average remaining lease term for our finance leases is 8 years and the weighted-average discount rate for our finance leases is 5.1 % as of June September 30, 2026.

The following table presents the maturities of our finance lease liabilities under non-cancellable leases as of June September 30, 2026:

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Note 9: Common Sto ck and Related Matters 2 changes

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For the three and six nine months ended June September 30, 2026, we repurchased 308,102 180,768 shares and 535,903 716,671 shares of our common stock at a weighted average per share price of $ 259.93 287.64 and $ 252.07 261.04 for a total net cost of $ 80.1 52.0 million and $ 135.1 187.1 million, respectively. For the three and six nine months ended June September 30, 2025 , we repurchased 1,955,099 932,023 shares and 2,606,262 3,538,285 shares of our common stock at a weighted average per share price of $ 165.86 166.95 and $ 172.35 170.93 for a total net cost of $ 324.3 155.6 million and $ 449.2 604.8 million, respectively. As of June September 30, 2026, there was $ 1,238.5 1,186.5 million remaining under the Share Repurchase Programs.

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The following table details the dividends declared and/or paid by us to common shareholders for the six nine months ended June September 30, 2026:

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Note 10: Earnings per Common Share 6 changes

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Six Months Ended June 30,

Three Months Ended June September 30,

Nine Months Ended September 30,

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Six Months Ended June 30,

Three Months Ended June September 30,

Nine Months Ended September 30,

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Note 11: Derivative Instru ments and Hedging Activities 16 changes

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At June September 30, 2026, the notional volumes of our commodity derivative contracts were:

Our derivative contracts are subject to netting arrangements that permit our contracting subsidiaries to net cash settle offsetting asset and liability positions with the same counterparty within the same Targa entity. The master netting provisions reduced our maximum loss due to counterparty credit risk by $ 24.8 3.9 million as of June September 30, 2026. The range of losses attributable to our individual counterparties would be between $ 0.1 million and $ 9.9 2.4 million, depending on the counterparty in default. We record derivative assets and liabilities on our Consolidated Balance Sheets on a gross basis, without considering the effect of master netting arrangements.

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Fair Value as of June September 30, 2026

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Some of our hedges are futures contracts executed through brokers that clear the hedges through an exchange. We maintain a margin deposit with the brokers in an amount sufficient to cover the fair value of our open futures positions. The margin deposit is considered collateral, which is included within Other current assets on our Consolidated Balance Sheets and is not offset against the fair value of our derivative instruments. Our derivative instruments other than our futures contracts are executed under International Swaps and Derivatives Association agreements ("ISDAs"), which govern the key terms with our counterparties. Our ISDAs contain credit-risk related contingent features and are not secured. As of June September 30, 2026, we have outstanding net derivative positions that contain credit-risk related contingent features that are in a net liability position of $ 107.9 200.2 million. We have not been required to post any collateral related to these positions due to our credit rating. If our credit rating was to be downgraded one notch below investment grade by both Moody's and S&P, as defined in our ISDAs, we estimate that as of June September 30, 2026 , we would no t be required to post collateral to any counterparty and that no counterparty could request immediate, full settlement per the terms of our ISDAs.

The fair value of our derivative instruments, depending on the type of instrument, was determined by the use of present value methods with assumptions about commodity prices based on those observed in underlying markets. The estimated fair value of our derivative instruments was a net liability of $ 125.6 272.5 million as of June September 30, 2026. The estimated fair value is net of an adjustment for credit risk based on the default probabilities as indicated by market quotes for our counterparties' credit default swap rates. The credit risk adjustment was immaterial for all periods presented. Our futures contracts that are cleared through an exchange are margined daily and do not require any credit adjustment.

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Six Months Ended June 30,

Three Months Ended June September 30,

Nine Months Ended September 30,

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Six Months Ended June 30,

Three Months Ended June September 30,

Nine Months Ended September 30,

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As of June September 30, 2026, we expect to reclassify commodity hedge related net deferred gains losses of $ 43.3 ( 98.1 ) million included in Accumulated OCI into earnings before income taxes over the next twelve months. However, actual amounts reclassified into earnings could be greater or less than the net amount reported in Accumulated OCI. As of June September 30, 2026, the maximum length of time over which we have hedged our exposure to the variability in future cash flows is through 2029.

Our consolidated earnings are also affected by the use of the mark-to-market method of accounting for derivative instruments that do not qualify for hedge accounting or that have not been designated as hedges. The changes in fair value of these instruments are recorded on our Consolidated Balance Sheets and through earnings in our Consolidated Statements of Operations rather than being deferred until the anticipated transaction settles. The use of mark-to-market accounting for financial assets and liabilities ("financial instruments") can cause non-cash earnings volatility due to changes in the underlying commodity price indices. For th e the three and six months ended June September 30, 2026, we had net unrealized mark-to-market losses gains primarily driven by unfavorable favorable movement in natural gas forward basis prices on open positions. For the nine months ended September 30, 2026, we had net unrealized mark-to-market gains primarily related to the settlement of derivative liability positions, partially offset by losses resulting from unfavorable movements in natural gas forward basis prices on open positions.

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Six Months Ended June 30,

Three Months Ended June September 30,

Nine Months Ended September 30,

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Note 12: Fair V alue Measurements 1 change

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The fair values of our derivative instruments are sensitive to changes in forward pricing on natural gas, NGLs and crude oil. The derivatives at June September 30, 2026 represent a net liability position of $ 125.6 272.5 million which reflects the present value, adjusted for counterparty credit risk, of the amount we expect to receive or pay in the future on our derivative instruments. If forward pricing on natural gas, NGLs and crude oil were to increase by 10%, the result would be a fair value reflecting a net liability of $ 306.2 477.9 million. If forward pricing on natural gas, NGLs and crude oil were to decrease by 10%, the result would be a fair value reflecting a net asset liability of $ 55.0 67.1 million.

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Legal proceedings 29 changes

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On January 3, 2025, we filed a Request for Hearing with the NMED with respect to the ACO. We have cooperated with the NMED in identifying and correcting legacy environmental issues since our acquisition of Lucid, and we expect to continue to engage with the NMED to resolve this matter and certain additional matters identified during our negotiations with the NMED. Although this matter is ongoing and we cannot predict its ultimate outcome, we believe we have valid defenses to many of the NMED allegations and intend to vigorously defend this matter.

On October 26, 2023 , we received a final judgment in a lawsuit alleging a breach of contract related to the major winter storm in February 2021. The damages awarded against us are approximately $ 6.9 million, not including pre-judgment interest. Both parties appealed the judgment. On December 9, 2025, the Fifth Circuit Court of Appeals (i) reversed the trial court's summary judgment in favor of Targa and remanded the case to trial court for further proceedings and (ii) upheld the $ 6.9 million jury verdict in favor of MIECO. On July 24, 2026, Targa's motion for reconsideration was granted and the Fifth Circuit Court of Appeals again upheld the jury verdict but partially granted Targa's motion for reconsideration and certified two questions to the Texas Supreme Court.

On June 30, 2026, we received a Revised Proposed Agreed Order ("RPAO") from the TCEQ to resolve alleged violations of state air emissions regulations at our Mont Belvieu, Texas NGL fractionation and storage complex. The alleged violations relate primarily to the period from August 25, 2020, through December 31, 2022. Under the terms of the RPAO, we would pay On July 7, 2026, Targa paid an administrative penalty of approximately $ 0.5 million and agree agreed to perform a Supplemental Environmental Project for an equal amount. On November 4, 2026, the TCEQ approved the Agreed Order.

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The following table presents the estimated minimum revenue related to unsatisfied performance obligations at the end of the reporting period, and is comprised of fixed consideration primarily attributable to contracts with minimum volume commitments, for which a guaranteed amount of revenue can be calculated. These contracts are comprised primarily of gathering and processing, fractionation, transportation, export, terminaling and storage agreements, with remaining contract terms ranging from 1 to 16 20 years.

Fixed consideration to be recognized as of June September 30, 2026

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Deferred revenue as of June September 30, 2026 and December 31, 2025 was $ 138.7 140.1 million and $ 135.7 million, respectively. As of June September 30, 2026, $ 23.1 24.3 million of deferred revenue is included in Accrued liabilities and $ 115.6 115.8 million is included in Other long-term liabilities on our Consolidated Balance Sheets. Deferred revenue includes contributions in aid of construction received from customers related to owned property, plant, and equipment for which revenue is recognized over the expected contract term. Deferred revenue also includes consideration received in 2015 and 2017 amendments to a gas gathering and processing agreement. The deferred revenue related to these amendments is being recognized through the end of the agreement's term in 2035.

For the three and six nine months ended June September 30, 2026 , we recognized revenue of $ 5.7 6.0 million and $ 11.0 17.0 million, respectively, from prior period deferral. For the three and six nine months ended June September 30, 2025 , we recognized revenue of $ 5.2 5.1 million and $ 10.3 15.4 million, respectively.

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We record income taxes using an estimated annual effective tax rate and recognize specific events discretely as they occur. Our effective tax rate for the three and six months ended June September 30, 2026 is higher than was below the U.S. corporate statutory rate of 21 % primarily due to excess tax-deductible stock compensation, partially offset by state income taxes. Our effective tax rate for the nine months ended September 30, 2026 was above the U.S. corporate statutory rate primarily due to state income taxes, partially offset by excess tax-deductible stock compensation. Our effective tax rate for the three and six nine months ended June September 30, 2025 was higher than the U.S. corporate statutory rate of 21 % primarily due to state income taxes, partially offset by excess tax-deductible stock compensation.

We regularly evaluate the realizable tax benefits of deferred tax assets and record a valuation allowance, if required, based on an estimate of the amount of deferred tax assets that we believe does not meet the more-likely-than-not criteria of being realized. As of June September 30, 2026 and December 31, 2025 , our valuation allowance was $ 5.9 million.

We are subject to tax in the U.S. and various state jurisdictions, and we are subject to periodic audits and reviews by taxing authorities. As of June September 30, 2026, examinations by the Internal Revenue Service (the "IRS") are currently in process for the 2022 and 2024 taxable year years of certain wholly-owned wholly owned and consolidated subsidiaries that are treated as partnerships for U.S. federal income tax purposes. We are responding to information requests from the IRS with respect to these audits. We do not expect there to be any audit adjustments that would materially change our taxable income.

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Six Months Ended June 30,

Nine Months Ended September 30,

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Changes in accrued distributions to noncontrolling interests ( 0.3 ( 13.5 13.7

Transfers to noncontrolling interests (2)

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(1) Interest capitalized on major projects, including investments in unconsolidated affiliates, was $ 61.0 96.8 million and $ 32.4 55.6 million for the six nine months ended June September 30, 2026 and 2025 .

(2) Represents the transfer of an undivided interest in certain gas gathering and processing facilities to a joint owner upon Targa's recovery of a specified payout amount for our initial full funding of the facilities.

(2) (3) The amount for the six nine months ended June September 30, 2026 includes activity related to the amendment of a compressor lease agreement. See "Note 8 – Leases" for further details.

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Three Months Ended June September 30, 2026

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Three Months Ended June September 30, 2025

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Six Months Ended June 30, 2026

Nine Months Ended September 30, 2026

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Six Months Ended June 30, 2025

Nine Months Ended September 30, 2025

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Six Months Ended June 30,

Three Months Ended June September 30,

Nine Months Ended September 30,

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Six Months Ended June 30,

Three Months Ended June September 30,

Nine Months Ended September 30,

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MD&A 97 changes

The following discussion and analysis of our financial condition and results of operations should be read in conjunction with Management's Discussion and Analysis of Financial Condition and Results of Operations in our annual report on Form 10-K for the year ended December 31, 2025 ("Annual Report"), as well as the unaudited consolidated financial statements and notes hereto included in this quarterly report on Form 10-Q for the quarter ended June September 30, 2026 ("Quarterly Report").

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• East Pembrook plant, a 275 MMcf/d plant in Permian Midland (the "East Pembrook plant"), commenced operations late in the first quarter of 2026.

• East Driver plant, a 275 MMcf/d plant in Permian Midland (the "East Driver plant"), commenced operations late in the second quarter of 2026.

• Copperhead plant, a 275 MMcf/d plant in Permian Delaware (the "Copperhead plant"), expected to begin operations in the first fourth quarter of 2027. 2026.

• Yeti plant, a 275 MMcf/d plant in Permian Delaware (the "Yeti plant"), expected to begin operations in the third second quarter of 2027.

• Yeti II plant, a 275 MMcf/d plant in Permian Delaware (the "Yeti II plant"), expected to begin operations in the fourth third quarter of 2027.

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• Wrangler plant, a 275 MMcf/d plant in Permian Delaware (the "Wrangler plant"), expected to begin operations in the second quarter of 2028.

• Ranger plant, a 275 MMcf/d plant in Permian Delaware (the "Ranger plant"), expected to begin operations in the second quarter of 2028.

• Ranger II plant, a 275 MMcf/d plant in Permian Delaware (the "Ranger II plant"), expected to begin operations in the second quarter of 2028.

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• Train 12 in Mont Belvieu, Texas ("Train 12"), expected to begin commenced operations in the first fourth quarter of 2027. 2026.

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• In November 2026, we announced plans to construct a new 150 MBbl/d fractionation train in Mont Belvieu, Texas ("Train 14"). Train 14 is expected to begin operations in the first quarter of 2029.

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• In August 2025, we announced a 43-mile extension of our Bull Run intrastate natural gas pipeline (the "Bull Run Extension") to expand and enhance connectivity of our Permian Delaware system to the Waha hub in West Texas. The Bull Run Extension is expected to begin commenced operations in the first fourth quarter of 2027. 2026.

• In September 2025, we announced a new 35-mile intrastate natural gas pipeline that will enhance connectivity across several of our plants in the Permian Midland and a 55-mile conversion of an existing Targa pipeline into natural gas service (together, "Buffalo Run") that will connect our Permian Midland and Permian Delaware intra-basin natural gas systems. Buffalo Run is expected to be completed in stages and fully complete in early the first quarter of 2028.

• In November 2025, we announced the Forza Pipeline ("Forza"), a new 36-mile interstate natural gas pipeline in Permian Delaware that will connect our new and existing gas plants and enhance connectivity to the Waha hub. Forza filed a certificate application on December 3, 2025, with the FERC and, pending receipt of necessary regulatory approvals, is expected to begin operations in the middle second quarter of 2028.

• In August 2026, we announced a new 70-mile intrastate natural gas pipeline ("Bull Run II") that will enhance connectivity of our Permian Delaware system to the Waha hub in West Texas. Bull Run II is expected to begin operations in the second quarter of 2028.

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ExxonMobil Commercial Agreements

In August 2026, we entered into long-term fee-based agreements with subsidiaries of ExxonMobil for integrated natural gas gathering and processing and downstream services in the Permian Basin. These agreements meaningfully add to and extend our strategic relationship with ExxonMobil with significant acreage dedications in the Delaware and Midland basins under 20-year agreements.

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For the three and six nine months ended June September 30, 2026, we repurchased 308,102 180,768 shares and 535,903 716,671 shares of our common stock at a weighted average per share price of $259.93 $287.64 and $252.07 $261.04 for a total net cost of $80.1 $52.0 million and $135.1 $187.1 million, respectively. As of June September 30, 2026, there was $1,238.5 $1,186.5 million remaining under the Share Repurchase Programs.

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As of June September 30, 2026, examinations by the Internal Revenue Service (the "IRS") are currently in process for the 2022 and 2024 taxable year years of certain wholly-owned wholly owned and consolidated subsidiaries that are treated as partnerships for U.S. federal income tax purposes. We are responding to information requests from the IRS with respect to these audits. We do not expect there to be any audit adjustments that would materially change our taxable income.

Federal statutes of limitations for returns filed in 2022 (for calendar taxable year 2021) have expired. The statute of limitations expired on substantially all 2021 state income tax returns that were filed prior to October 15, 2022. For Texas, the statute of limitations has expired for 2021 returns (for calendar report year 2020). 2022 returns. However, tax authorities could review and adjust carryover attributes (e.g., net operating losses) generated in a closed tax year if utilized in an open tax year.

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Six Months Ended June 30,

Three Months Ended June September 30,

Nine Months Ended September 30,

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Six Months Ended June 30,

Three Months Ended June September 30,

Nine Months Ended September 30,

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Commodity sales were relatively flat due to lower natural gas prices ($784.8 million) and the unfavorable impact of hedges ($291.6 million), partially offset by higher NGL and condensate prices ($597.8 million) and higher NGL, natural gas and condensate volumes ($435.2 million).

Three Months Ended June September 30, 2026 Compared to Three Months Ended June September 30, 2025

The increase in commodity sales reflected higher NGL, natural gas and condensate prices ($801.5 million), higher NGL, natural gas and condensate volumes ($383.0 million) and the favorable impact of hedges ($68.5 million).

The increase in fees from midstream services was primarily due to higher gas gathering and processing fees, and higher transportation and fractionation fees. and higher export volumes.

The decrease increase in product purchases and fuel reflected lower natural gas prices, partially offset by higher NGL and natural gas prices, and higher NGL and natural gas volumes.

The increase in operating expenses was primarily due to higher labor and maintenance costs and taxes in part due to system expansions, and the acquisition of certain assets in the Permian Basin, partially offset by lower compressor rental costs.

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The increase in general and administrative expense was primarily due to higher compensation and benefits.

The increase in other operating (income) expense was primarily due to lower asset abandonment costs.

The increase in depreciation and amortization expense was primarily due to the acquisition of certain assets in the Permian Basin, higher amortization of right-of-use assets for finance leases, and the impact of system expansions on our asset base and higher amortization of right-of-use assets for finance leases.

The increase in interest expense, net, was primarily due to higher borrowings and finance leases, partially offset by an increase in capitalized interest.

Other, net, primarily includes the change in fair value of a contingent consideration liability related to the Dovetail Acquisition in the fourth quarter of 2025. See "Note 4 – Acquisitions and Joint Ventures" and "Note 12 – Fair Value Measurements" for further details on the Dovetail Acquisition.

The increase in income tax (expense) benefit was primarily due to the increase in pre-tax book income, partially offset by the increase in excess tax-deductible stock compensation.

Six Nine Months Ended June September 30, 2026 Compared to Six Nine Months Ended June September 30, 2025

The decrease increase in commodity sales reflected lower higher NGL, natural gas and NGL prices ($1,309.2 condensate volumes ($1,279.6 million) and the unfavorable impact of hedges ($244.1 higher NGL and condensate prices ($562.0 million), partially offset by higher NGL, lower natural gas and condensate volumes ($899.6 prices ($996.3 million) and higher condensate prices ($70.5 the unfavorable impact of hedges ($175.5 million).

The increase in fees from midstream services was primarily due to higher gas gathering and processing fees, and higher transportation and fractionation fees. and higher export volumes.

The decrease in Product purchases and fuel were relatively flat which reflected lower higher NGL and natural gas volumes and higher NGL prices, partially offset by higher NGL and lower natural gas volumes. prices.

The increase in operating expenses was primarily due to higher labor and maintenance costs, and taxes in part due to system expansions, and the acquisition of certain assets in the Permian Basin, partially offset by lower compressor rental costs.

1 unchanged paragraph

The increase in depreciation and amortization expense was primarily due to the acquisition of certain assets in the Permian Basin, higher amortization of right-of-use assets for finance leases, and the impact of system expansions on our asset base and higher amortization of right-of-use assets for finance leases.

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The decrease in other, net, was primarily due to the premium paid on the redemption of all of the Partnership's 6.875% Notes due 2029.

The increase in interest expense, net, was primarily due to higher borrowings and finance leases, partially offset by an increase in capitalized interest.

Other, net, primarily includes the change in fair value of a contingent consideration liability related to the Dovetail Acquisition in the fourth quarter of 2025. See "Note 4 – Acquisitions and Joint Ventures" and "Note 12 – Fair Value Measurements" for further details on the Dovetail Acquisition.

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Six Months Ended June 30,

Three Months Ended June September 30,

Nine Months Ended September 30,

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(7) Average realized prices, net of fees, include the effect of realized commodity hedge gain/loss attributable to our equity volumes. The price is calculated using total commodity sales plus the hedge gain/loss as the numerator and total sales volume as the denominator, net of fees. Negative realized natural gas prices during the second quarter of 2026 were a result of an extended period of negative Waha prices due to significant egress constraint in the Permian Basin.

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Three Months Ended June September 30, 2026

Three Months Ended June September 30, 2025

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Six Months Ended June 30, 2026

Six Months Ended June 30, 2025

Nine Months Ended September 30, 2026

Nine Months Ended September 30, 2025

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Three Months Ended June September 30, 2026 Compared to Three Months Ended June September 30, 2025

The increase in adjusted operating margin was primarily due to higher natural gas inlet volumes in the Permian which drove higher fee-based margin. partially offset by lower natural gas prices. The increase in natural gas inlet volumes in the Permian was attributable to the addition of the Pembrook II plant during the third quarter of 2025, the Bull Moose II plant during the fourth quarter of 2025, the Falcon II plant and East Pembrook plants during the first quarter of 2026, the East Pembrook Driver plant during the second quarter of 2026, continued strong producer activity and the acquisition of certain assets in the Permian Basin during the first quarter of 2026.

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Six Nine Months Ended June September 30, 2026 Compared to Six Nine Months Ended June September 30, 2025

The increase in adjusted operating margin was primarily due to higher natural gas inlet volumes in the Permian which drove higher fee-based margin, partially offset by lower natural gas and NGL prices. The increase in natural gas inlet volumes in the Permian was attributable to the addition of the Pembrook II plant during the third quarter of 2025, the Bull Moose II plant during the fourth quarter of 2025, the Falcon II plant and East Pembrook plants during the first quarter of 2026, the East Pembrook Driver plant during the second quarter of 2026, continued strong producer activity and the acquisition of certain assets in the Permian Basin during the first quarter of 2026.

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Six Months Ended June 30,

Three Months Ended June September 30,

Nine Months Ended September 30,

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Six Months Ended June 30,

Three Months Ended June September 30, 2026 Compared to Three Months Ended June September 30, 2025

The increase in adjusted operating margin was due to higher marketing margin, higher pipeline transportation and fractionation margin and higher LPG export margin. marketing margin. increased due to greater optimization opportunities. Pipeline transportation and fractionation volumes benefited from higher supply volumes primarily from our Permian Gathering and Processing systems and the addition of Train 11 early in the second quarter of 2026. LPG export Marketing margin increased due to higher volumes and fees. greater optimization opportunities.

The increase in operating expenses was primarily due to higher repairs and maintenance and compensation and benefits including amounts costs related to system expansions.

Six Nine Months Ended June September 30, 2026 Compared to Six Nine Months Ended June September 30, 2025

The increase in adjusted operating margin was due to higher marketing margin and higher pipeline transportation and fractionation margin. and higher LPG export margin. Marketing margin increased due to greater optimization opportunities. Pipeline transportation and fractionation volumes benefited from higher supply volumes primarily from our Permian Gathering and Processing systems and the addition of Train 11 early in the second quarter of 2026. LPG export margin increased due to higher volumes and fees.

The increase in operating expenses was primarily due to higher compensation and benefits, repairs and maintenance, and taxes including amounts costs related to system expansions.

Three Months Ended June September 30,

Nine Months Ended September 30,

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As of June September 30, 2026, inclusive of our consolidated joint venture accounts, we had $132.3 $142.6 million of Cash and cash equivalents on our Consolidated Balance Sheets. On a consolidated basis, our main sources of liquidity and capital resources are internally generated cash flows from operations, borrowings under the TRGP Revolver, the Commercial Paper Program, the Securitization Facility, and access to debt and equity capital markets. We have the ability to supplement these sources of liquidity with joint venture arrangements and proceeds from asset sales. Our exposure to adverse credit conditions includes our credit facilities, cash investments, hedging abilities, customer performance risks and counterparty performance risks.

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Our short-term liquidity on a consolidated basis as of June September 30, 2026, was:

Total availability under the committed line of the Securitization Facility (2)

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Outstanding borrowings under the TRGP Revolver and Commercial Paper Program (600.3 (860.0

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(2) The total borrowing capacity of the Securitization Facility increased to up to $800 million as part of the July 2026 amendment of the facility.

(2) The total capacity of the Securitization Facility is $800 million, which is comprised of a committed line of up to $600 million and an uncommitted line of up to $200 million.

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A portion of our capital resources are allocated to letters of credit to satisfy certain counterparty credit requirements. As of June September 30, 2026, we had $17.9 million in letters of credit outstanding under the TRGP Revolver. The letters of credit also reflect certain counterparties' views of our financial condition and ability to satisfy our performance obligations, as well as commodity prices and other factors.

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and 17 more changes in the filing

Market risk 7 changes

5 unchanged paragraphs

The primary purpose of our commodity risk management activities is to hedge some of the exposure to commodity price risk and reduce fluctuations in our operating cash flow due to fluctuations in commodity prices. In an effort to reduce the variability of our cash flows, as of June September 30, 2026, we have hedged the commodity price associated with a portion of our expected (i) natural gas, NGL, and condensate equity volumes in our Gathering and Processing operations that result from our percent-of-proceeds processing arrangements, (ii) future commodity purchases and sales in our Logistics and Transportation segment and (iii) natural gas transportation basis risk in our Logistics and Transportation segment. We hedge a higher percentage of our expected equity volumes in the current year compared to future years, for which we hedge incrementally lower percentages of expected equity volumes. We also enter into commodity financial instruments to help manage other short-term commodity-related business risks of our ongoing operations and in conjunction with marketing opportunities available to us in the operations of our logistics and transportation assets. With swaps, we typically receive an agreed fixed price for a specified notional quantity of commodities and we pay the hedge counterparty a floating price for that same quantity based upon published index prices. Since we receive from our customers substantially the same floating index price from the sale of the underlying physical commodity, these transactions are designed to effectively lock-in the agreed fixed price in advance for the volumes hedged. In order to avoid having a greater volume hedged than our actual equity volumes, we typically limit our use of swaps to hedge the prices of less than our expected equity volumes. We intend to continue to manage our exposure to commodity prices in the future by entering into derivative transactions using swaps, futures or other derivative instruments as market conditions permit.

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The following table shows the effect of hypothetical price movements on the estimated fair value of our derivative instruments as of June September 30, 2026:

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Our operating revenues increased (decreased) by $(57.8) $18.1 million and $233.9 $(50.5) million during the three months ended June September 30, 2026 and 2025, respectively, and $(301.5) $(283.4) million and $(57.4) $(107.9) million during the six nine months ended June September 30, 2026 and 2025, respectively, as a result of transactions accounted for as derivatives. The estimated fair value of our risk management position has moved from a net liability position of $66.9 million at December 31, 2025 to a net liability position of $125.6 $272.5 million at June September 30, 2026. The net liability position on our derivative contracts is primarily attributable to unfavorable movement in natural gas forward basis prices.

We are exposed to the risk of changes in interest rates, primarily as a result of variable rate variable-rate borrowings under the TRGP Revolver, the Commercial Paper Program and the Securitization Facility. As of June September 30, 2026, we do not have any interest rate hedges. However, we may enter into interest rate hedges in the future with the intent to mitigate the impact of changes in interest rates on cash flows. To the extent that interest rates increase, interest expense for the TRGP Revolver, the Commercial Paper Program and the Securitization Facility will also increase. As of June September 30, 2026, we had $1,051.3 $1,311.0 million in outstanding variable rate variable-rate borrowings. A hypothetical change of 100 basis points in the rate of our variable interest rate debt would impact our consolidated annual interest expense by $10.5 $13.1 million based on our June September 30, 2026 debt balances.

1 unchanged paragraph

We are subject to risk of losses resulting from nonpayment or nonperformance by our counterparties. The credit exposure related to commodity derivative instruments is represented by the fair value of the asset position (i.e. the fair value of expected future receipts) at the reporting date. Our futures contracts have limited credit risk since they are cleared through an exchange and are margined daily. Should the creditworthiness of one or more of the counterparties decline, our ability to mitigate nonperformance risk is limited to a counterparty agreeing to either a voluntary termination and subsequent cash settlement or a novation of the derivative contract to a third party. In the event of a counterparty default, we may sustain a loss and our cash receipts could be negatively impacted. We have master netting provisions in the ISDA agreements with our derivative counterparties. These netting provisions allow us to net settle asset and liability positions with the same counterparties within the same Targa entity, and reduce our maximum loss due to counterparty credit risk by $24.8 $3.9 million as of June September 30, 2026. The range of losses attributable to our individual counterparties as of June September 30, 2026 would be between $0.1 million and $9.9 $2.4 million, depending on the counterparty in default.

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We have an active credit management process, which is focused on controlling loss exposure due to bankruptcies or other liquidity issues of counterparties. Our allowance for credit losses was $0.7 million and $0.7 million as of June September 30, 2026 and December 31, 2025, respectively.

During both the three and nine months ended June September 30, 2026, revenues from two customers within our Logistics and Transportation segment each represented approximately 10% 11% of our consolidated revenues. During the six months ended June 30, 2026, revenues from one customer These customers have activities within both our Gathering and Processing segment and our Logistics and Transportation segment. represented approximately 10% of our consolidated revenues. No customer comprised 10% or greater of our consolidated revenues during the three and six nine months ended June September 30, 2025.

Controls and procedures 2 changes

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Management, with the participation of our Chief Executive Officer and Chief Financial Officer, has evaluated the design and effectiveness of our disclosure controls and procedures, as such term is defined in Rules 13a-15(e) and 15d-15(e) under the Exchange Act as of the end of the period covered in this Quarterly Report. Based on such evaluation, our Chief Executive Officer and Chief Financial Officer have concluded that, as of June September 30, 2026, the design and operation of our disclosure controls and procedures were effective to provide reasonable assurance that information required to be disclosed in our reports filed or submitted under the Exchange Act is (i) recorded, processed, summarized and reported within the time periods specified in the rules and forms of the SEC, and (ii) accumulated and communicated to management, including our Chief Executive Officer and Chief Financial Officer, as appropriate, to allow for timely decisions regarding required disclosure.

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There have been no changes in our internal control over financial reporting during the quarter ended June September 30, 2026, that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

Unregistered sales of stock 7 changes

6 unchanged paragraphs

April 1, 2026 - April 30, 2026

May 1, 2026 - May 31, 2026

June 1, 2026 - June 30, 2026

July 1, 2026 - July 31, 2026

August 1, 2026 - August 31, 2026

September 1, 2026 - September 30, 2026

(1) Includes 308,102 180,768 shares purchased under our 2024 Share Repurchase Program, as well as 346 97,934 shares that were withheld by us to satisfy tax withholding obligations of certain of our officers, directors and key employees that arose upon the lapse of restrictions on restricted stock.

1 unchanged paragraph

Other information 3 changes

Rule 10b-5 Trading Plans.

Rule 10b5-1 Trading Plans.

During the three months ended June September 30, 2026 , no director or officer of the Company adopted or terminated a "Rule 10b5-1 trading arrangement" or "non-Rule 10b5-1 trading arrangement," as each term is defined in Item 408(a) of Regulation S-K.