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Hess Midstream (HESM) Reports Strong Q2 2026 Results & Outlook

Hess Midstream LP (NYSE: HESM) Reports Strong Q2 2026 Results and Reaffirms Full-Year Outlook

  • Hess Midstream LP (NYSE: HESM) reported second-quarter 2026 earnings per share (EPS) of $0.75 and revenue of $399 million, exceeding analyst estimates of $0.67 and $396 million, respectively.
  • The company generated $173.7 million in consolidated net income, while net income attributable to Hess Midstream LP increased to $96.4 million. Adjusted EBITDA totaled $313.7 million, and adjusted free cash flow reached $231.6 million.
  • Hess Midstream reaffirmed its full-year 2026 financial and throughput guidance and continues to focus on shareholder returns and balance-sheet strength, including potential debt repayment.

Hess Midstream LP is a fee-based midstream energy company that owns, operates, develops, and acquires infrastructure used to gather, process, transport, and handle oil, natural gas, and produced water. Its assets are primarily located in the Bakken and Three Forks Shale formations in North Dakota. The company provides services to Chevron, its subsidiaries, and third-party customers.

For the second quarter of 2026, Hess Midstream reported basic EPS of $0.75, compared with $0.74 in the same quarter of 2025. Net income attributable to Hess Midstream LP reached $96.4 million, up from $90.3 million in the prior-year period.

Revenue and other income totaled $399 million, compared with $414.2 million in the second quarter of 2025. Although revenue declined year over year, it exceeded the analyst estimate of approximately $396 million. The company attributed the year-over-year decline primarily to lower throughput volumes, partially offset by higher tariff rates and third-party services.

Hess Midstream generated adjusted EBITDA of $313.7 million, compared with $316 million in the prior-year quarter. Adjusted free cash flow increased to $231.6 million from $193.8 million, supported in part by lower capital expenditures. Operating costs and expenses declined to $145.8 million from $154 million, primarily because of lower employee and maintenance expenses.

The company reaffirmed its full-year 2026 guidance, including net income of $650 million to $700 million, adjusted EBITDA of $1.225 billion to $1.275 billion, capital expenditures of approximately $105 million, and adjusted free cash flow of $910 million to $960 million.

Hess Midstream also increased its quarterly cash distribution to $0.788 per Class A share. The company expects to generate approximately $1 billion in adjusted free cash flow after distributions through 2028, which may support additional shareholder returns and debt repayment.

The company’s price-to-earnings ratio was reported at 14.01 by the referenced data provider. The P/E ratio compares a company’s share price with its earnings per share and is commonly used to evaluate relative stock valuation. Since this figure changes with the share price and earnings data, it should be checked against the latest market data before publication.

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