Epsilon Energy Q2 2026: Net Income Soars to $7.1M, But Material Weakness Persists
EPSN sits 41% above its 52-week low of $4.2.
Summary
Epsilon Energy's Q2 2026 net income rose to $7.13 million from $1.55 million, but the company disclosed a material weakness in internal controls.
Key Events · Earnings and Guidance · EPSN
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Q2 Net Income Jumps to $7.13M
Net income for Q2 2026 was $7.13 million, up from $1.55 million in Q2 2025, driven by the Peak acquisition and higher oil prices.
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Material Weakness in Internal Controls
Management disclosed a material weakness related to accounting for significant and non-standard transactions, first identified in the 2025 10-K, and is implementing remediation plans.
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Revenue Up 58% Year-Over-Year
Six-month revenue reached $43.86 million, a 58% increase from $27.79 million in the prior year, primarily due to the Peak acquisition.
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Credit Facility Reduced by $10M
The company repaid $10 million on its revolving credit facility, bringing the balance to $40.5 million as of June 30, 2026.
Analysis · EPSN · Energy & Transportation
A strong second quarter saw net income climb to $7.13 million from $1.55 million a year earlier, helped by the Peak acquisition and firmer oil prices. At the same time, the company flagged a material weakness in internal control over financial reporting tied to accounting for significant and non-standard transactions, which management is working to remediate. The credit facility balance was also reduced by $10 million, and no shares have been repurchased under the $15 million buyback program.
How filings like this one have moved
In the 30 days to Oct 2, 2026, 36.4% of the 1059 measured filings Wiseek scored 8 moved their stock by 5% or more by the next session's close. The median move was -0.56%. These are measured outcomes after filings of this importance, not a forecast for this one.
Measured one observation per ticker per day, after exclusions. Current figures: Filing Impact Tracker · open dataset
At the time of this filing, EPSN was trading at $5.94 on NASDAQ in the Energy & Transportation sector, with a market capitalization of approximately $179.7M. The 52-week trading range was $4.20 to $6.65. This filing was assessed with neutral market sentiment and an importance score of 8 out of 10.