Kinder Morgan filed its 10-Q with the SEC, and its figures are now in our data. Revenue over the twelve months to Q3 2026 was $18.34 billion, which rose 11.7% on the year before. That growth rate was down 0.7 percentage points on the rate a quarter earlier.
What stands out
Reported profit and cash are moving at different speeds. Net income rose 32.1% over the year while free cash flow rose 11.8%.
Growth and profit
The company is converting more of its revenue into profit. The trailing operating margin was 29.0%, up 1.8 percentage points from a year earlier. The trailing net margin was 19.6%. Net income over the twelve months was $3.60 billion, which rose 32.1% on the year before.
Cash flow
Operating cash flow grew faster than revenue. Operating cash flow over the twelve months was $6.73 billion, up 17.4% on the year before. Capital spending was $3.65 billion, or 19.9% of revenue. Free cash flow, operating cash flow less capital spending, was $3.08 billion, up 11.8% on the year before. Free cash flow was 16.8% of revenue (the free-cash-flow margin), up 0.0 percentage points from a year earlier. The average diluted share count rose 0.1% over the year.
In context
Today’s free-cash-flow margin of 16.8% is higher than 54% of the company’s own past quarterly readings, which have ranged from 3.7% to 30.1%. Today’s operating margin of 29.0% is higher than 89% of the company’s own past quarterly readings, which have ranged from 13.1% to 36.9%. Today’s twelve-month revenue growth rate of 11.7% is higher than 64% of the company’s own past quarterly readings, which have ranged from −20.1% to 53.3%.
Guidance
The company gave its 2026 guidance for net income attributable to KMI: $3.1 billion. The company gave its 2026 guidance for Adjusted EPS: $1.36. The company gave its 2026 guidance for Adjusted EBITDA: $8.6 billion. The company gave its 2026 guidance for year-end Net Debt-to-Adjusted EBITDA ratio (budget): 3.8.
What it means for value
Our model shows high sensitivity to growth assumptions. In our model, growth 5 percentage points lower would lower the value by 39.3%, and 5 percentage points higher would raise it by 50.8%. A free-cash-flow margin 1 percentage point lower would lower it by 9.5%.
What to watch
The next filing will show whether the divergence between net income and free cash flow continues. It will also reveal if the operating margin holds its recent level relative to historical ranges. Finally, it will demonstrate if the company meets its guided targets for net income and adjusted EBITDA.
