Kinder Morgan expects higher 2026 profit on strong natural gas demand

Dec 8 (Reuters) - Pipeline operator Kinder Morgan KMI.N said on Monday it expects growth in 2026 profit compared with the 2025 forecast on the back of strong natural gas demand.

Shares of the company were up 1% at $27.57 in after-market trading.

A rise in LNG exports and a surge in power consumption from data centers dedicated to artificial intelligence and cryptocurrency have raised demand for natural gas.

Kinder Morgan has long-term contracts to move 8 billion cubic feet per day (bcfd) of natural gas to LNG facilities and expects to move 12 bcfd by 2028.

The Houston, Texas-based company forecast an adjusted profit of $1.37 per share for 2026, which is about 8% higher than its forecast for 2025. Analysts expect the company to post a profit of $1.38 per share in 2026, according to data compiled by LSEG.

Kinder Morgan, one of the largest energy infrastructure companies in North America, operates about 79,000 miles of pipelines.

"We are projecting an annualized dividend of $1.19 for 2026, marking the ninth consecutive year of dividend increases," said CEO Kim Dang.

The company also said it plans to invest about $3.4 billion in discretionary capital expenditures, including expansion projects and contributions to joint ventures, compared to a forecast of $2.3 billion for 2025.