DTM

The following discussion of our results of operations and financial condition should be read in conjunction with our unaudited Consolidated Financial Statements and the Notes to Consolidated Financial Statements, which are included under Part I, Item 1 of this quarterly report, and the historical consolidated financial statements and notes thereto, which are included in the DT Midstream 2025 Annual Report on Form 10-K. This discussion contains forward-looking statements that involve risks and uncertainties. The forward-looking statements are not historical facts, but rather are based on current expectations, estimates, assumptions and projections about the midstream industry and our business and financial results. Our actual results could differ materially from the results contemplated by these forward-looking statements due to a number of factors, including those discussed in the sections entitled "Forward-Looking Statements" and "Risk Factors." OVERVIEW Our Business We are an owner, operator, and developer of an integrated portfolio of natural gas midstream assets. We provide multiple, integrated natural gas services to customers through our Pipeline segment, which includes interstate pipelines, intrastate pipelines, storage systems, and gathering lateral pipelines, and through our Gathering segment. We also own joint venture interests in equity method investees which own and operate interstate pipelines that connect to our wholly owned assets. Our core assets strategically connect key demand centers in the Midwestern U.S., Eastern Canada and Northeastern U.S. regions to the premium production areas of the Marcellus/Utica natural gas formation in the Appalachian Basin and connect key demand centers and LNG export terminals in the Gulf Coast region to premium production areas of the Haynesville natural gas formation. We have an established history of stable, long-term growth with contractual cash flows from customers that include natural gas producers, local distribution companies, electric power generators, industrials, and national marketers. STRATEGY Our principal business objective is to safely and reliably operate and develop midstream natural gas assets across our premier footprint. Our proven leadership and highly engaged employees have an excellent track record. Prospectively, we intend to continue this track record by executing on our natural gas-centric business strategy focused on disciplined capital deployment and supported by a flexible, well capitalized balance sheet. Additionally, we intend to develop low carbon business opportunities and deploy GHG reducing technologies as part of our goal of being leading environmental stewards in the midstream industry. We are executing on a plan to achieve net zero carbon emissions by 2050. Our strategy is premised on the following principles: •operate our assets in a sustainable and responsible manner; •provide exceptional service to our customers; •disciplined capital deployment in assets supported by strong fundamentals; •capitalize on asset integration and utilization opportunities; •pursue economically attractive opportunities; and •grow cash flows supported by long-term firm revenue contracts. 28 RESULTS OF OPERATIONS Management’s Discussion and Analysis of Financial Condition and Results of Operations includes financial information prepared in accordance with GAAP. The following sections discuss the operating performance and future outlook of our segments. Segment information includes intercompany revenues and expenses, as well as other income and deductions that are eliminated, as presented in Note 11 "Segment and Related Information" to the Consolidated Financial Statements under Part I, Item 1 of this Form 10-Q. For purposes of the following discussion, any increases or decreases refer to the comparison of the three months ended June 30, 2026 to the three months ended March 31, 2026, and the six months ended June 30, 2026 to the six months ended June 30, 2025, as applicable. The following table summarizes our consolidated financial results: Three Months Ended Six Months Ended June 30, March 31, June 30, June 30, 2026 2026 2026 2025 (millions, except per share amounts) Operating revenues $ 343 $ 336 $ 679 $ 612 Net Income Attributable to DT Midstream 112 130 242 215 Diluted Earnings per Common Share $ 1.09 $ 1.27 $ 2.36 $ 2.10 Three Months Ended Six Months Ended June 30, March 31, June 30, June 30, 2026 2026 2026 2025 (millions) Net Income Attributable to DT Midstream Pipeline $ 86 $ 108 $ 194 $ 185 Gathering 26 22 48 30 Total $ 112 $ 130 $ 242 $ 215 Pipeline The Pipeline segment consists of our interstate pipelines, intrastate pipelines, storage systems, gathering lateral pipelines and compression and surface facilities. This segment also includes our equity method investments. Pipeline results and outlook are discussed below: Three Months Ended Six Months Ended June 30, March 31, June 30, June 30, 2026 2026 2026 2025 (millions) Operating revenues $ 183 $ 185 $ 368 $ 345 Operation and maintenance 39 35 74 66 Depreciation and amortization 28 29 57 56 Taxes other than income 8 9 17 16 Operating Income 108 112 220 207 Interest expense 14 14 28 24 Interest income — (1) (1) (1) Earnings from equity method investees (33) (43) (76) (67) Gain from financing activities (1) — (1) — Other income (3) — (3) — Income tax expense 41 30 71 59 Net Income 90 112 202 192 Less: Net Income Attributable to Noncontrolling Interests 4 4 8 7 Net Income Attributable to DT Midstream $ 86 $ 108 $ 194 $ 185 29 Operating revenues decreased $2 million for the three months ended June 30, 2026 primarily due to lower short-term contract revenue and lower recovery of operational flow order fees, which are offset in operation and maintenance expense, on LEAP of $4 million, partially offset by higher Stonewall inter-segment revenue from the MVP expansion of $3 million. Operating revenues increased $23 million for the six months ended June 30, 2026 primarily due to higher LEAP revenue of $14 million from new customer contracts and higher recovery of operational flow order fees, which are offset in operation and maintenance expense, higher Stonewall inter-segment revenue from the MVP expansion of $12 million, and higher Viking short-term firm service revenue contracts of $3 million, partially offset by lower Stonewall volumes of $5 million. Operation and maintenance expense increased $4 million for the three months ended June 30, 2026 primarily due to timing of pipeline integrity evaluations, partially offset by higher operational flow order fees on LEAP in the prior period. Operation and maintenance expense increased $8 million for the six months ended June 30, 2026 primarily due to higher production-related operating expenses and operational flow order fees on LEAP of $5 million. Earnings from equity method investees decreased $10 million for the three months ended June 30, 2026 primarily due to lower seasonal short-term contract revenues of $7 million at Millennium and higher operating expenses of $3 million at NEXUS. Earnings from equity method investees increased $9 million for the six months ended June 30, 2026 primarily due to higher seasonal short-term contract revenues at Millennium of $5 million and at NEXUS of $3 million. Income tax expense increased $11 million for the three months ended June 30, 2026 due to an increase in the effective tax rate, partially offset by lower income before income taxes. Income tax expense increased $12 million for the six months ended June 30, 2026 due to an increase in the effective tax rate and higher income before income taxes. See Note 7, "Income Taxes" to the Consolidated Financial Statements under Part I, Item 1 of this Form 10-Q. Pipeline Outlook We believe our long-term agreements with customers and the location and connectivity of our pipeline assets position the business for future growth. We will continue to pursue economically attractive expansion opportunities that leverage our current asset footprint and strategic relationships. These growth opportunities include expansion opportunities on the DTM Interstate Transportation assets, further expansion at LEAP and Stonewall, new contracts at the Washington 10 Storage Complex and additional growth related to our equity method investments. 30 Gathering The Gathering segment includes gathering systems, related treatment plants and compression and surface facilities. Gathering results and outlook are discussed below: Three Months Ended Six Months Ended June 30, March 31, June 30, June 30, 2026 2026 2026 2025 (millions) Operating revenues $ 168 $ 156 $ 324 $ 267 Operation and maintenance 59 55 114 92 Depreciation and amortization 40 40 80 70 Taxes other than income 4 6 10 9 Asset losses and impairments, net — 1 1 — Operating Income 65 54 119 96 Interest expense 28 26 54 56 Interest income (1) — (1) — Income tax expense 12 6 18 10 Net Income Attributable to DT Midstream $ 26 $ 22 $ 48 $ 30 Operating revenues increased $12 million for the three months ended June 30, 2026 primarily due to higher volumes of $6 million and higher recovery of production-related operating expenses of $4 million on Blue Union Gathering, and higher Appalachia Gathering volumes due to the MVP expansion of $5 million, partially offset by lower Susquehanna Gathering volumes of $2 million. Operating revenues increased $57 million for the six months ended June 30, 2026 primarily due to higher volumes of $27 million and higher recovery of production-related operating expenses of $4 million on Blue Union Gathering, higher Appalachia Gathering volumes of $16 million, higher Tioga Gathering volumes of $7 million, and higher volumes and deficiency fees on Ohio Utica Gathering of $5 million, partially offset by lower Susquehanna Gathering volumes of $4 million. Operation and maintenance expense increased $4 million for the three months ended June 30, 2026 primarily due to higher production-related operating expenses at Blue Union Gathering of $3 million. Operation and maintenance expense increased $22 million for the six months ended June 30, 2026 primarily due to higher inter-segment fees at Appalachia Gathering from the MVP expansion of $12 million and higher production-related operating expenses at Blue Union Gathering of $10 million. Depreciation and amortization expense increased $10 million for the six months ended June 30, 2026 primarily due to assets placed into service at Blue Union Gathering, Clean Fuels Gathering, Ohio Utica Gathering, and Appalachia Gathering. Income tax expense increased $6 million for the three months ended June 30, 2026 due to an increase in the effective tax rate and higher income before income taxes. Income tax expense increased $8 million for the six months ended June 30, 2026 due to higher income before income taxes and an increase in the effective tax rate. See Note 7, "Income Taxes" to the Consolidated Financial Statements under Part I, Item 1 of this Form 10-Q. Gathering Outlook We believe our long-term agreements with producers and the quality of the natural gas reserves in the Marcellus/Utica and Haynesville formations position the business for future growth. We will continue to pursue economically attractive expansion opportunities that leverage our current asset footprint and strategic relationships. These growth opportunities include further expansions at Blue Union Gathering, Appalachia Gathering, Ohio Utica Gathering, and Tioga Gathering. 31 ENVIRONMENTAL MATTERS We are subject to U.S. federal, state, and local laws and environmental regulations, including laws and regulations relating to pipeline safety, climate change and GHG emissions. Additional compliance costs may result as the effects of various substances on the environment and human health are studied and laws and regulations are developed and implemented. Actual costs to comply with such laws and regulations could vary substantially from our expectations. Pending or future legislation or regulation could have a material impact on our operations and financial position. Potential impacts include unplanned expenditures for environmental equipment, such as pollution control equipment, financing costs related to additional capital expenditures, and the replacement costs of aging pipelines and other facilities. For further discussion of environmental matters, see Note 10, "Commitments and Contingencies" to the Consolidated Financial Statements under Part I, Item 1 of this Form 10-Q. CAPITAL RESOURCES AND LIQUIDITY Cash Requirements Our principal liquidity requirements are to finance our operations, fund capital expenditures, satisfy our indebtedness obligations, and pay approved dividends. We believe we will have sufficient internal and external capital resources to fund anticipated capital and operating requirements. Six Months Ended June 30, 2026 2025 (millions) Cash and Cash Equivalents at Beginning of Period $ 54 $ 68 Net cash and cash equivalents from operating activities 502 432 Net cash and cash equivalents used for investing activities (172) (124) Net cash and cash equivalents used for financing activities (212) (302) Net Increase in Cash and Cash Equivalents 118 6 Cash and Cash Equivalents at End of Period $ 172 $ 74 For purposes of the following discussion, any increases or decreases refer to the comparison of the six months ended June 30, 2026 to the six months ended June 30, 2025. Operating Activities Cash flows from our operating activities can be impacted in the short term by the natural gas volumes gathered or transported through our systems under interruptible service revenue contracts, changing natural gas prices, seasonality, weather fluctuations, dividends received from equity method investees, working capital changes and the financial condition of our customers. Our preference to enter into firm service revenue contracts leads to more stable operating performance, revenues and cash flows and limits our exposure to natural gas price fluctuations. Net cash and cash equivalents from operating activities increased $70 million for the six months ended June 30, 2026 primarily due to an increase in operating income of $47 million after adjustment for non-cash items including depreciation and amortization expense, stock-based compensation, and amortization of operating lease right-of-use assets, an increase in dividends received from equity method investees of $16 million, and increases in net working capital changes of $8 million, partially offset by an increase in cash paid for income taxes, net of refunds received, of $3 million. Investing Activities Cash outflows associated with our investing activities are primarily the result of plant and equipment expenditures, acquisitions, and contributions to equity method investees. Cash inflows from our investing activities are generated from proceeds from sale or collection of notes receivable, distributions received from equity method investees, and proceeds from asset sales. 32 Net cash and cash equivalents used for investing activities increased $48 million for the six months ended June 30, 2026 primarily due to an increase in plant and equipment expenditures of $31 million, a purchase price adjustment for the Midwest Pipeline Acquisition in 2025 of $10 million, and higher contributions to equity method investees of $8 million. Financing Activities DT Midstream paid cash dividends on common stock of $172 million and $158 million during the six months ended June 30, 2026 and 2025, respectively. See Note 6, "Earnings Per Share and Dividends" to the Consolidated Financial Statements under Part I, Item 1 of this Form 10-Q. Net cash and cash equivalents used for financing activities decreased $90 million for the six months ended June 30, 2026 primarily due to proceeds received from the issuance of the Guardian Term Loan of $149 million and lower net repayments under the Revolving Credit Facility of $125 million, partially offset by repurchases of the 2029 Notes and 2031 Notes of $148 million, higher payroll taxes paid related to vested stock-based compensation of $18 million, higher dividends paid on common stock of $14 million, and lower contributions from noncontrolling interests of $4 million. Outlook We expect to continue executing on our natural gas-centric business strategy focused on disciplined capital deployment and supported by a flexible, well capitalized balance sheet. Other than the impact of the items discussed below on our debt and equity capitalization, we are not aware of any trends, other demands, commitments, events or uncertainties that are reasonably likely to materially impact our liquidity position. Our working capital requirements will be primarily driven by changes in accounts receivable, accounts payable and taxes payable. We continue our efforts to identify opportunities to improve cash flows through working capital initiatives and obtaining long-term firm service revenue contracts from customers. Our sources of liquidity include cash and cash equivalents generated from operating activities and available borrowings under our Revolving Credit Facility. As of June 30, 2026, we had $17 million of letters of credit outstanding and no borrowings outstanding under our Revolving Credit Facility. We had approximately $1.2 billion of available liquidity as of June 30, 2026, consisting of Cash and cash equivalents and available borrowings under our Revolving Credit Facility. We expect to pay regular cash dividends to DT Midstream common stockholders in the future. Any payment of future dividends is subject to approval by the Board of Directors and may depend on our future earnings, cash flows, capital requirements, financial condition, and the effect a dividend payment would have on our compliance with relevant financial covenants. Over the long term, we expect to grow our dividend with cash flow growth. We believe we will have sufficient operating flexibility, cash resources and funding sources to maintain adequate liquidity amounts and to meet future operating cash, capital expenditure and debt servicing requirements. However, our business is capital intensive, and an inability to access adequate capital could adversely impact future earnings and cash flows. The credit agreements covering the Revolving Credit Facility and Guardian Term Loan include financial covenants that must be maintained. We are in compliance with these covenants as of June 30, 2026. See Note 9, "Debt" to the Consolidated Financial Statements under Part I, Item 1 of this Form 10-Q. CAPITAL INVESTMENTS Capital spending within our Company is primarily for ongoing maintenance and expansion of our existing assets, and if identified, attractive growth opportunities. We have been disciplined in our capital deployment and make growth investments that meet our criteria in terms of strategy, management skills, and identified risks and expected returns. All potential investments are analyzed for their rates of return and cash payback on a risk-adjusted basis. Our total capital investments were $193 million for the six months ended June 30, 2026, inclusive of $10 million in contributions to equity method investees and $183 million in plant and equipment expenditures. These were primarily related to investments on Blue Union Gathering, Guardian, Appalachia Gathering, Midwestern, Viking and Ohio Utica Gathering. We anticipate total capital investments, inclusive of contributions to equity method investees and plant and equipment expenditures, for the year ended December 31, 2026 of approximately $490 million to $570 million. 33 CRITICAL ACCOUNTING ESTIMATES The preparation of our Consolidated Financial Statements in conformity with GAAP requires that management apply accounting policies and makes estimates and assumptions that affect results of operations and the amounts of assets and liabilities reported in the Consolidated Financial Statements. There have been no significant changes to our critical accounting estimates from those disclosed in our Annual Report on Form 10-K for the year ended December 31, 2025. OFF-BALANCE SHEET ARRANGEMENTS We are party to off-balance sheet arrangements, which include our equity method investments. See Note 1, "Description of the Business and Basis of Presentation—Principles of Consolidation" to the Consolidated Financial Statements under Part I, Item 1 of this Form 10-Q for further discussion of the nature, purpose and other details of such agreements. Other off-balance sheet arrangements include the Vector line of credit and our surety bonds, which are discussed in Note 10, "Commitments and Contingencies" to the Consolidated Financial Statements under Part I, Item 1 of this Form 10-Q. NEW ACCOUNTING PRONOUNCEMENTS See Note 3, "New Accounting Pronouncements" to the Consolidated Financial Statements under Part I, Item 1 of this Form 10-Q.