Canada's Touchstone Q2 revenue up on higher prices
Canada's Touchstone Q2 revenue up on higher prices
Overview
Canada oil and gas producer's Q2 Petroleum and natural gas sales rose 39% quarter-over-quarter, driven by higher prices
Net income for Q2 reversed prior quarter loss, reaching $2.34 mln
Production declined 5% sequentially due to planned maintenance at Atlantic LNG
Outlook
Touchstone expects production to increase as pipeline constraints ease after Atlantic LNG Train 4 outage
Company has several well intervention programs scheduled for H2 2026 to support future production growth
Touchstone says material uncertainty exists about ability to continue as a going concern due to cash flow dependency on prices, production, and capital timing
Result Drivers
HIGHER REALIZED PRICES - Co said increased realized prices for crude oil, liquids, and natural gas were the primary driver of higher revenue and funds flow
PLANNED MAINTENANCE IMPACT - Production declined 5% sequentially due to planned third-party infrastructure maintenance at Atlantic LNG, which temporarily constrained natural gas output
CASCADURA BOOSTER COMMISSIONING - Successful commissioning of the Cascadura booster compressor supported improved production capacity and is expected to aid future output
Company press release: ID:nRSN6452Qa
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Net Income |
| $2.34 mln |
|
Q2 Pretax Profit |
| $4 mln |
|
Q2 Petroleum and Natural gas sales |
| $17.47 mln |
|
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 1 "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 Touchstone Exploration Inc is C$0.35, about 125.8% above its August 13 closing price of C$0.16
Reuters Recommended Reads
Aug 13 - Canada's InPlay Oil Q2 revenue rises on higher output and prices
Aug 12 - Canada's Birchcliff Q2 production falls on planned turnaround at Pouce Coupe gas plant
Aug 11 - Canada's Questerre Energy Q2 revenue rises on higher production, oil prices
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(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.)