Kosmos Energy Q3 revenue misses estimates

Kosmos Energy

03/11/2025 09:20

Overview

Kosmos Q3 revenue missed analyst expectations, adjusted loss per share bigger than expected

Company reports net loss of $124 mln for Q3 2025

Kosmos secured $250 mln term loan with Shell to manage debt maturities

Outlook

Kosmos expects 2025 capital expenditures below $350 mln, over 60% lower year-on-year

Company targets 50% of 2026 oil production to be hedged by year-end

Kosmos anticipates production increase through 2026 with ongoing drilling

Result Drivers

PRODUCTION INCREASE - Net production rose 3% quarter-over-quarter, driven by ramp-up at GTA and increased output at Jubilee

COST REDUCTION - Production expenses fell 39% from Q2 2025, with ongoing efforts to lower operating costs, especially at GTA

LIQUIDITY ENHANCEMENT - Kosmos secured a $250 mln term loan from Shell, using $150 mln to repay 2026 notes, improving financial flexibility

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Miss
$311 mln
$354.10 mln (3 Analysts)
Q3 Adjusted EPS
Beat
-$0.15
-$0.12 (5 Analysts)
Q3 EPS
-$0.26
Q3 Net Income
-$124 mln
Q3 Free Cash Flow
-$99 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 5 "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 Kosmos Energy Ltd is $4.20, about 62.6% above its October 31 closing price of $1.57

The stock recently traded at 27 times the next 12-month earnings vs. a P/E of 19 three months ago

Press Release: ID:nBw16CvbGa

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