South Bow Corp
For the period ended Nov 4, 2026. Filed Nov 4, 2026.
View on SEC.govAbout this filing
What a company based outside the US has published at home or sent to its shareholders. It is how many foreign companies share results and news between annual reports.
Nov 4, 2026 · Filed Nov 4, 2026
Use the contents to explore the available documents and sections.
Contents
EX-99.1 · Normalized EBITDA and segment normalized EBITDA
Normalized EBITDA and segment normalized EBITDA
Normalized EBITDA and segment normalized EBITDA are used as measures of earnings from ongoing operations. Management uses these measures to monitor and evaluate the financial performance of the Company's operations and to identify and evaluate trends. These measures are useful for investors as they allow for a more accurate comparison of financial performance of the Company across periods for ongoing operations. Normalized EBITDA and segment normalized EBITDA represent income (loss) before income taxes, adjusted for the normalizing items described above under the heading*"Normalizing items"*, in addition to excluding charges for depreciation and amortization, interest expense, interest income and other, and other income.
Normalized EBITDA guidance is a forward-looking non-GAAP financial measure. South Bow does not provide a reconciliation of such forward-looking measures to the most directly comparable financial measure calculated and presented in accordance with GAAP due to unknown variables and the uncertainty related to future results. These unknown variables may be inherently difficult to determine without unreasonable efforts. Guidance for normalized EBITDA is calculated in the same manner as described above for historical normalized EBITDA.
The following table reconciles income (loss) before income taxes to normalized EBITDA for the indicated periods:
| $ millions · Three Months Ended · Nine Months Ended | |||||
|---|---|---|---|---|---|
| June 30,2026 · Sept. 30,2026 · Sept. 30,2025 · Sept. 30,2026 · Sept. 30,2025 | |||||
| Income before income taxes | 174 | 108 | 104 | 382 | 344 |
| Adjusted for specific items: | |||||
| Depreciation and amortization | 65 | 62 | 64 | 191 | 189 |
| Interest expense | 84 | 86 | 84 | 254 | 248 |
| Interest income and other | (5) | (12) | (9) | (28) | (23) |
| Other income | — | — | (20) | — | (20) |
| Risk management instruments | (37) | 7 | (16) | 2 | (25) |
| Keystone variable toll disputes | — | — | 43 | (18) | 43 |
| Separation costs | — | — | 2 | 1 | 8 |
| Business development projects | — | 1 | — | 6 | — |
| Tariff charges | — | — | — | — | 1 |
| Keystone XL costs and other | (1) | (4) | 2 | (5) | 5 |
| Normalized EBITDA | 280 | 248 | 254 | 785 | 770 |
The following tables reconcile income (loss) before income taxes to normalized EBITDA by operating segment for the indicated periods:
| $ millions | Three Months Ended June 30, 2026 | |||
|---|---|---|---|---|
| Keystone Pipeline System · Marketing · Intra-Alberta & Other · Total | ||||
| Income (loss) before income taxes | 202 | 41 | (69) | 174 |
| Adjusted for specific items: | ||||
| Depreciation and amortization | 60 | — | 5 | 65 |
| Interest expense | — | — | 84 | 84 |
| Interest income and other | (2) | (2) | (1) | (5) |
| Other income | — | — | — | — |
| Risk management instruments | — | (37) | — | (37) |
| Keystone variable toll disputes | — | — | — | — |
| Separation costs | — | — | — | — |
| Business development projects | — | — | — | — |
| Tariff charges | — | — | — | — |
| Keystone XL costs and other | (1) | — | — | (1) |
| Segment normalized EBITDA | 259 | 2 | 19 | 280 |
| $ millions | Three Months Ended Sept. 30, 2026 | |||
|---|---|---|---|---|
| Keystone Pipeline System · Marketing · Intra-Alberta & Other · Total | ||||
| Income (loss) before income taxes | 179 | (10) | (61) | 108 |
| Adjusted for specific items: | ||||
| Depreciation and amortization | 59 | — | 3 | 62 |
| Interest expense | 2 | — | 84 | 86 |
| Interest income and other | (2) | — | (10) | (12) |
| Other income | — | — | — | — |
| Risk management instruments | — | 7 | — | 7 |
| Keystone variable toll disputes | — | — | — | — |
| Separation costs | — | — | — | — |
| Business development projects | — | — | 1 | 1 |
| Tariff charges | — | — | — | — |
| Keystone XL costs and other | (4) | — | — | (4) |
| Segment normalized EBITDA | 234 | (3) | 17 | 248 |
| $ millions | Three Months Ended Sept. 30, 2025 | |||
|---|---|---|---|---|
| Keystone Pipeline System · Marketing · Intra-Alberta & Other · Total | ||||
| Income (loss) before income taxes | 178 | 1 | (75) | 104 |
| Adjusted for specific items: | ||||
| Depreciation and amortization | 60 | — | 4 | 64 |
| Interest expense | 1 | — | 83 | 84 |
| Interest income and other | (4) | (2) | (3) | (9) |
| Other income | (20) | — | — | (20) |
| Risk management instruments | — | (16) | — | (16) |
| Keystone variable toll disputes | 43 | — | — | 43 |
| Separation costs | — | — | 2 | 2 |
| Business development projects | — | — | — | — |
| Tariff charges | — | — | — | — |
| Keystone XL costs and other | 2 | — | — | 2 |
| Segment normalized EBITDA | 260 | (17) | 11 | 254 |
| $ millions | Nine Months Ended Sept. 30, 2026 | |||
|---|---|---|---|---|
| Keystone Pipeline System · Marketing · Intra-Alberta & Other · Total | ||||
| Income (loss) before income taxes | 578 | 9 | (205) | 382 |
| Adjusted for specific items: | ||||
| Depreciation and amortization | 179 | — | 12 | 191 |
| Interest expense | 2 | — | 252 | 254 |
| Interest income and other | (10) | (3) | (15) | (28) |
| Other income | — | — | — | — |
| Risk management instruments | — | 2 | — | 2 |
| Keystone variable toll disputes | (18) | — | — | (18) |
| Separation costs | — | — | 1 | 1 |
| Business development projects | — | — | 6 | 6 |
| Tariff charges | — | — | — | — |
| Keystone XL costs and other | (5) | — | — | (5) |
| Segment normalized EBITDA | 726 | 8 | 51 | 785 |
| $ millions | Nine Months Ended Sept. 30, 2025 | |||||
|---|---|---|---|---|---|---|
| Keystone Pipeline System · Marketing · Intra-Alberta & Other · Total | ||||||
| Income (loss) before income taxes | 530 | 24 | (210) | 344 | ||
| Adjusted for specific items: | ||||||
| Depreciation and amortization | 178 | — | 11 | 189 | ||
| Interest expense | 1 | — | 247 | 248 | ||
| Interest income and other | (8) | (2) | (13) | (23) | ||
| Other income | (20) | — | — | (20) | ||
| Risk management instruments | — | (25) | — | (25) | ||
| Keystone variable toll disputes | 43 | — | — | 43 | ||
| Separation costs | — | — | 8 | 8 | ||
| Business development projects | — | — | — | — | ||
| Tariff charges | — | 1 | — | 1 | ||
| Keystone XL costs and other | 5 | — | — | 5 | ||
| Segment normalized EBITDA | 729 | (2) | 43 | 770 | ||
The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.