Targa Resources Files Q3 2024 10-Q

TL;DR

Targa Resources Q3 10-Q is in. Check derivative assets/liabilities for market exposure.

AI Summary

Targa Resources Corp. filed its 10-Q for the period ending September 30, 2024. The filing details the company's financial position and operations, including significant derivative asset and liability figures, both current and non-current. Specific dollar amounts and dates related to these financial instruments are provided within the full report.

Why It Matters

This filing provides investors with an update on Targa Resources' financial health and its exposure to market fluctuations through derivative instruments.

Risk Assessment

Risk Level: medium — The company's financial health is subject to market volatility as indicated by the presence of significant derivative assets and liabilities.

Key Numbers

• N/A — Derivative Assets (Current) (Details on derivative financial instruments are available in the filing.)
• N/A — Derivative Liabilities (Current) (Details on derivative financial instruments are available in the filing.)
• N/A — Derivative Assets (Non-current) (Details on derivative financial instruments are available in the filing.)
• N/A — Derivative Liabilities (Non-current) (Details on derivative financial instruments are available in the filing.)

Key Players & Entities

• Targa Resources Corp. (company) — Filer of the 10-Q
• 20240930 (date) — End of reporting period
• 713-584-1000 (dollar_amount) — Business phone number

FAQ

Key Financial Figures

• $0.001 — hares of the registrant's common stock, $0.001 par value, outstanding. TABLE OF CONT

Filing Documents

• trgp-20240930.htm (10-Q) — 4382KB
• trgp-ex22_1.htm (EX-22.1) — 77KB
• trgp-ex31_1.htm (EX-31.1) — 10KB
• trgp-ex31_2.htm (EX-31.2) — 10KB
• trgp-ex32_1.htm (EX-32.1) — 6KB
• trgp-ex32_2.htm (EX-32.2) — 6KB
• img101918284_0.jpg (GRAPHIC) — 3KB
• 0000950170-24-121370.txt ( ) — 16150KB
• trgp-20240930.xsd (EX-101.SCH) — 1742KB
• trgp-20240930_htm.xml (XML) — 3640KB

—FINANCIAL INFORMATION

PART I—FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements 4 Consolidated Balance Sheets as of September 30, 2024 and December 31, 2023 4 Consolidated Statements of Operations for the three and nine months ended September 30, 2024 and 2023 5 Consolidated Statements of Comprehensive Income (Loss) for the three and nine months ended September 30, 2024 and 2023 6 Consolidated Statements of Changes in Owners' Equity for the three and nine months ended September 30, 2024 and 2023 7 Consolidated Statements of Cash Flows for the nine months ended September 30, 2024 and 2023 11

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements 12

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 28

Quantitative and Qualitative Disclosures About Market Risk

Item 3. Quantitative and Qualitative Disclosures About Market Risk 42

Controls and Procedures

Item 4. Controls and Procedures 44

—OTHER INFORMATION

PART II—OTHER INFORMATION

Legal Proceedings

Item 1. Legal Proceedings 46

Risk Factors

Item 1A. Risk Factors 46

Unregistered Sales of Equity Securities and Use of Proceeds

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 46

Defaults Upon Senior Securities

Item 3. Defaults Upon Senior Securities 47

Mine Safety Disclosures

Item 4. Mine Safety Disclosures 47

Other Information

Item 5. Other Information 47

Exhibits

Item 6. Exhibits 47

Signatures

Signatures 49 1 CAUTIONARY STATEMENT ABOUT FORWARD-LOOKING STATEMENTS Targa Resources Corp.'s (together with its subsidiaries, including Targa Resources Partners LP (the "Partnership"), "we," "us," "our," "Targa," "TRGP," or the "Company") reports, filings and other public announcements may from time to time contain statements that do not directly or exclusively relate to historical facts. Such statements are "forward-looking statements." You can typically identify forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, by the use of forward-looking statements, such as "may," "could," "project," "believe," "anticipate," "expect," "estimate," "potential," "plan," "forecast" and other similar words. All statements that are not statements of historical facts, including statements regarding our future financial position, business strategy, budgets, projected costs and plans and objectives of management for future operations, are forward-looking statements. These forward-looking statements reflect our intentions, plans, expectations, assumptions and beliefs about future events and are subject to risks, uncertainties and other factors, many of which are outside our control. Important factors that could cause actual results to differ materially from the expectations expressed or implied in the forward-looking statements include known and unknown risks. Known risks and uncertainties include, but are not limited to, the following risks and uncertainties: the level and success of crude oil and natural gas drilling around our assets, our success in connecting natural gas supplies to our gathering and processing systems, oil supplies to our gathering systems and natural gas liquid supplies to our logistics and transportation facilities and our success in connecting our facilities to transportation services and markets; actions taken by other countr

– FINANCI AL INFORMATION

PART I – FINANCI AL INFORMATION

Financi al Statements

Item 1. Financi al Statements. TARGA RESOURCES CORP. CONSOLIDATED B ALANCE SHEETS September 30, 2024 December 31, 2023 (Unaudited) (In millions) ASSETS Current assets: Cash and cash equivalents $ 127.2 $ 141.7 Trade receivables, net of allowances of $ 2.5 million and $ 2.5 million at September 30, 2024 and December 31, 2023 1,301.2 1,471.0 Inventories 414.9 371.5 Assets from risk management activities 75.0 111.9 Other current assets 109.9 98.5 Total current assets 2,028.2 2,194.6 Property, plant and equipment, net 17,425.2 15,806.4 Intangible assets, net 2,070.7 2,350.6 Long-term assets from risk management activities 35.3 33.3 Investments in unconsolidated affiliates 177.3 146.3 Other long-term assets 167.1 140.6 Total assets $ 21,903.8 $ 20,671.8 LIABILITIES AND OWNERS' EQUITY Current liabilities: Accounts payable $ 1,467.9 $ 1,574.9 Accrued liabilities 320.7 281.7 Interest payable 113.2 229.6 Liabilities from risk management activities 72.2 54.0 Current debt obligations 653.3 620.7 Total current liabilities 2,627.3 2,760.9 Long-term debt 13,601.4 12,333.2 Long-term liabilities from risk management activities 82.9 16.8 Deferred income taxes, net 793.7 535.8 Other long-term liabilities 340.0 415.1 Contingencies (see Note 12 ) Targa Resources Corp. stockholders' equity: Common Stock ($ 0.001 par value, 450,000,000 shares authorized as of September 30, 2024 and December 31, 2023) 0.2 0.2 Issued Outstanding September 30, 2024 241,697,875 218,328,522 December 31, 2023 240,095,699 222,611,259 Additional paid-in capital 3,106.2 3,058.8 Retained earnings (deficit) 1,004.7 492.0 Accumulated other comprehensive income (loss) 65.1 85.6 Treasury stock, at cost ( 23,369,353 shares as of September 30, 2024 and 17,484,440 shares as of December 31, 2023) ( 1,602.3

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) Except as noted within the context of each footnote disclosure, the dollar amounts presented in the tabular data within these footnote disclosures are stated in millions of dollars. Note 1 — Organizati on and Operations Our Organization Targa Resources Corp. (NYSE: TRGP) is a publicly traded Delaware corporation formed in October 2005. Targa is a leading provider of midstream services and is one of the largest independent infrastructure companies in North America. We own, operate, acquire, and develop a diversified portfolio of complementary domestic midstream infrastructure assets. In this Quarterly Report, unless the context requires otherwise, references to "we," "us," "our," "the Company," "Targa" or "TRGP" are intended to mean our consolidated business and operations. TRGP controls the general partner of and owns all of the outstanding common units representing limited partner interests in Targa Resources Partners LP, referred to herein as the "Partnership". Targa consolidates the Partnership and its subsidiaries under GAAP, and the accompanying consolidated financial statements have been prepared under the rules and regulations of the SEC. Targa's consolidated financial statements include differences from the consolidated financial statements of the Partnership. The most noteworthy differences are: the inclusion of the TRGP senior revolving credit facility and term loan facility; the inclusion of the TRGP senior notes; the inclusion of the TRGP commercial paper notes; and the impacts of TRGP's treatment as a corporation for U.S. federal income tax purposes. Our Operations The Company is primarily engaged in the business of: gathering, compressing, treating, processing, transporting, and purchasing and selling natural gas; transporting, storing, fractionating, treating, and purchasing and selling NGLs and NGL products, including services to LPG exporters; and gathering, storing

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View this 10-Q filing on SEC EDGAR