Antero Midstream Q2: Record Volumes, $371M Veolia Award, $650M Debt Call
AM sits 25% above its 52-week low of $16.84.
Summary
Record Q2 gathering volumes and revenue were accompanied by a $371 million Veolia lawsuit payment, which was used to call $650 million of 2028 notes and accelerate deleveraging. Adjusted EBITDA missed estimates slightly, but the balance sheet now sits below its leverage target with ample liquidity.
Key Events · Earnings and Guidance · AM
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Record Gathering Volumes
Gathering volumes rose 19% year-over-year to a new company record of 4.1 Bcf/d, driving total revenue to $327 million.
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Veolia Lawsuit Proceeds Received
On July 24, 2026, following affirmation by the Colorado Supreme Court, the company received $371 million in damages and interest from Veolia.
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$650M Debt Called at Par
All $650 million of 5.75% senior notes due 2028 were called at par, using Veolia proceeds and revolver borrowings; leverage now sits below the 3x target.
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East Side Express Pipeline Construction Begun
Construction commenced on the first intrastate regional pipeline, a multiyear investment to enhance connectivity and capture growing regional demand.
Analysis · AM · Energy & Transportation
Record gathering volumes of 4.1 Bcf/d—up 19% year-over-year—powered revenue to $327 million, slightly ahead of consensus. While Adjusted EBITDA of $289 million missed estimates by about 4%, the quarter was dominated by two balance-sheet milestones: the receipt of $371 million in damages from the Veolia lawsuit and the subsequent call of all $650 million of 5.75% senior notes due 2028 at par. Funded by the Veolia proceeds and revolver borrowings, the debt retirement pulls leverage below the 3x target ahead of schedule and leaves over $600 million in liquidity with no near-term maturities. Construction also began on East Side Express, the company's first intrastate regional pipeline, signaling a multiyear growth investment. With $310 million remaining on the buyback authorization and free cash flow after dividends of $80 million, the quarter reinforces a deleveraging-and-return story, though the EBITDA miss and rising interest expense bear watching.
At the time of this filing, AM was trading at $21.06 on NYSE in the Energy & Transportation sector, with a market capitalization of approximately $10.2B. The 52-week trading range was $16.84 to $23.84. This filing was assessed with positive market sentiment and an importance score of 7 out of 10.