Granite Ridge Q2 EPS Beats, But Net Income and EBITDA Miss; Guides 2026 Production
GRNT is trading near its 52-week low of $4.18 (15% above the low).
Summary
Granite Ridge's Q2 adjusted EPS of $0.09 beat the $0.07 consensus, but adjusted net income of $11.1M and EBITDA of $79.6M both missed estimates. Production rose 1% YoY to 32,044 Boe/d, helped by 7.2 net wells online, while realized oil prices jumped to $93.93/Bbl from $61.41 a year ago. However, lease operating expenses surged 47% per Boe due to higher water cuts and flowback costs. The company set 2026 production guidance at 34,000-36,000 Boe/d with capex of $345M-$385M, implying a modest growth ramp. The mixed results follow a Q1 net loss of $47M driven by derivative losses, and the recent completion of reincorporation to Texas on August 5. The stock trades at 8x forward earnings, with a median analyst target of $8.00, suggesting potential upside if cost pressures ease.
At the time of this announcement, GRNT was trading at $4.80 on NYSE in the Energy & Transportation sector, with a market capitalization of approximately $614.6M. The 52-week trading range was $4.18 to $6.15. This news item was assessed with neutral market sentiment and an importance score of 7 out of 10. Source: Reuters.