Reportable Segment

9 Months Ended

Sep. 30, 2025

Segment Reporting [Abstract]

Reportable Segment

11. REPORTABLE SEGMENT

Segment overview. The Partnership’s chief operating decision maker (“CODM”) is the Partnership’s President and Chief Executive Officer who assesses performance and allocates resources on a consolidated basis due to the similar nature of services provided to customers across the Partnership’s domestic asset portfolio. The CODM does not assess performance and allocate resources separately for Western Midstream Operating, LP. Accordingly, the Partnership has a single operating and reportable segment, all the assets of which are in the United States and gather, compress, treat, process, and transport natural gas; gather, stabilize, and transport condensate, NGLs, and crude oil; and gather and dispose of produced water.

Performance measures. Adjusted EBITDA attributable to Western Midstream Partners, LP (“Adjusted EBITDA”) is used as the performance measure by the Partnership’s CODM in assessing performance and allocating resources to the Partnership’s single operating and reportable segment. Net income (loss) is the most comparable GAAP metric to the performance metric of non-GAAP Adjusted EBITDA. The Partnership defines Adjusted EBITDA as net income (loss), plus (i) distributions from equity investments, (ii) non-cash equity-based compensation expense, (iii) interest expense, (iv) income tax expense, (v) depreciation and amortization, (vi) impairments, and (vii) other expense (including lower of cost or market inventory adjustments recorded in cost of product), less (i) gain (loss) on divestiture and other, net, (ii) gain (loss) on early extinguishment of debt, (iii) income from equity investments, (iv) income tax benefit, (v) other income, (vi) other items impacting comparability with the Partnership’s core operating performance, and (vii) the noncontrolling interest owners’ proportionate share of revenues and expenses.

Adjusted EBITDA is a non-GAAP financial measure that the CODM utilizes to assess (i) the Partnership’s operating performance as compared to other publicly traded partnerships in the midstream industry, without regard to financing methods, capital structure, or historical cost basis, (ii) the ability of the Partnership’s assets to generate cash flow to make distributions, and (iii) the viability of acquisitions and capital expenditures and the returns on investment of various investment opportunities. The Partnership’s calculation of Adjusted EBITDA may or may not be comparable to similarly titled measures used by others.

11. REPORTABLE SEGMENT

Summarized financial information. The following table presents information about the Partnership’s single operating and reportable segment including (i) total revenues and other, (ii) significant expenses, and (iii) other segment items:

	Three Months Ended  September 30,				Nine Months Ended  September 30,
thousands	2025		2024		2025		2024
Revenues from external customers (1)	$	952,301	$	883,107	$	2,811,360	$	2,675,763
Other revenues	183		255		562		957
Total revenues and other	952,484		883,362		2,811,922		2,676,720
Equity income, net – related parties	16,847		23,977		64,410		84,227
Less significant expenses: (2)
Operation and maintenance	212,385		231,066		663,528		649,324
Cash general and administrative costs (3)	52,320		55,111		164,033		164,187
Less other segment items:
Depreciation and amortization	170,323		166,015		512,896		487,438
Interest expense	92,353		94,149		284,816		279,177
Other (income) expense, net (4)	(1,754)		(9,565)		(12,923)		(16,124)
Income tax expense (benefit)	2,089		15,390		7,763		17,667
Other (5)	92,743		59,281		240,033		(90,394)
Net income (loss)	$	348,872	$	295,892	$	1,016,186	$	1,269,672

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(1)Includes Service revenue - fee based, Service revenue - product based, and Product sales.

(2)The significant expense categories and amounts align with the information that is regularly provided to the CODM.

(3)General and administrative expense as presented in the consolidated statements of operations less non-cash equity-based compensation expense and non-cash amortization of cloud-computing arrangements.

(4)Includes interest income earned on cash and cash equivalent balances.

(5)Other includes: (i) Cost of product, (ii) Non-cash equity-based compensation expense, (iii) non-cash amortization of cloud-computing arrangements, (iv) Property and other taxes, (v) Long-lived asset and other impairments, (vi) Gain (loss) on divestiture and other, net, and (vii) Gain (loss) on early extinguishment of debt.

The CODM uses consolidated total assets as the measure of the Partnership’s single reportable segment assets. As of September 30, 2025, and December 31, 2024, the consolidated balance sheets included $12.1 billion and $13.1 billion, respectively, of total assets, which includes $510.6 million and $541.4 million of assets related to equity investments as of September 30, 2025, and December 31, 2024, respectively.

Capital expenditures for additions to long-lived assets were $505.8 million and $595.1 million for the nine months ended September 30, 2025 and 2024, respectively.