Kosmos Energy tops Q2 revenue estimates, swings to profit

Kosmos Energy

03/08/2026 07:11

Overview
Deepwater oil and gas producer's Q2 revenue beat analyst expectations
Co posted adjusted net income of $68 mln on higher production and asset sales, compared to yr-ago loss
Company completed sale of Equatorial Guinea assets and farm-down of Tiberius project

Outlook
Kosmos sees Q3 2026 production at 68,000-72,000 boe per day
Company maintains FY 2026 production guidance at 69,000-74,000 boe per day
Kosmos reiterates FY 2026 capital expenditure guidance of ~$350 mln

Result Drivers
PRODUCTION INCREASE - Co said higher Q2 production was driven by ramp-up at GTA and new wells coming online at Jubilee
OPERATING COST REDUCTION - Co reported Q2 production expense down ~25% vs prior yr, citing operational efficiencies and asset sale
PORTFOLIO OPTIMIZATION - Co completed sale of Equatorial Guinea assets and farm-down of Tiberius project, focusing capital on lower-cost, higher-return assets

Company press release: ID:nGNX7pjWfy

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
Beat
$607 mln
$483.05 mln (6 Analysts)
Q2 EPS
 
$0.31
 
Q2 Net Income
 
$185 mln
 
Q2 Free Cash Flow
 
$89 mln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 3 "hold" and 3 "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 $3.00, about 11.5% above its July 31 closing price of $2.69
The stock recently traded at 16 times the next 12-month earnings vs. a P/E of 63 three months ago

Reuters Recommended Reads
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July 31 - Guyana set for bigger oil profits as ExxonMobil recoups initial 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.)