Granite Ridge Q2 adjusted EPS beats, net income misses estimates

Granite Ridge Resources

06/08/2026 21:36

Overview
U.S. oil and gas producer's Q2 adjusted EPS beat analyst expectations, adjusted net income missed
Company grew daily production 1% yr/yr to 32,044 Boe per day
Lease operating expenses rose 47% per Boe due to higher water cuts and flowback operations

Outlook
Granite Ridge sees 2026 annual production at 34,000-36,000 Boe per day
Company expects 2026 total capital expenditures of $345 mln to $385 mln
Granite Ridge anticipates 2026 lease operating expenses of $8.25-$9.25 per Boe

Result Drivers
PRODUCTION GROWTH - Co grew daily production 1% yr/yr to 32,044 Boe per day, driven by bringing 7.2 net wells online
HIGHER OPERATING COSTS - Lease operating expenses rose 47% per Boe due to increased saltwater disposal costs from higher water cuts and flowback operations, surface equipment rentals, and contract labor
HIGHER REALIZED OIL PRICES - Co's average realized oil price rose to $93.93 per Bbl from $61.41 per Bbl in Q2 2025

Company press release: ID:nBw5k1Ds9a

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Oil and Natural Gas Sales
 
$149.30 mln
 
Q2 Adjusted EPS
Beat
$0.09
$0.07 (5 Analysts)
Q2 Adjusted Net Income
Miss
$11.10 mln
$15 mln (3 Analysts)
Q2 Adjusted EBITDA
Miss
$79.60 mln
$81.84 mln (5 Analysts)
Q2 Net Cash Provided by Operating Activities
 
$55.60 mln
 
Q2 Dividend
 
$0.11
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the oil & gas exploration and production peer group is "buy"
Wall Street's median 12-month price target for Granite Ridge Resources, Inc. is $8.00, about 72.8% above its August 5 closing price of $4.63
The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 8 three months ago

Reuters Recommended Reads
Aug 5 - Shale producer APA beats second-quarter profit estimates on higher crude prices
Aug 5 - Permian Resources Q2 oil output rises 3%, raises 2026 guidance
Aug 5 - Ring Energy Q2 adjusted net income beats, aided by lower operating costs

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)