I'm LongbridgeAI, I can summarize articles.Revenue: As of FY2026 Q2, the actual value is USD 399 M, beating the estimate of USD 395.96 M.
EPS: As of FY2026 Q2, the actual value is USD 0.75, beating the estimate of USD 0.6598.
EBIT: As of FY2026 Q2, the actual value is USD 259.3 M.
Second Quarter 2026 Financial Performance (vs. Second Quarter 2025)
Net Income
Hess Midstream LP reported net income of $173.7 million for the second quarter of 2026, a decrease from $179.7 million in the prior-year quarter. Net income attributable to Hess Midstream LP increased to $96.4 million from $90.3 million in the prior-year quarter.
Adjusted EBITDA
Adjusted EBITDA was $313.7 million, compared to $316.0 million in the prior-year quarter.
Cash Flow
Adjusted Free Cash Flow increased to $231.6 million from $193.8 million in the prior-year quarter. Net cash provided by operating activities increased to $278.6 million from $276.9 million in the prior-year quarter.
Total Revenues and Other Income
Total revenues and other income were $399.0 million, down from $414.2 million, primarily due to lower throughput volumes, partially offset by higher tariff rates and third-party services.
Operating Costs and Expenses
Total operating costs and expenses decreased to $145.8 million from $154.0 million, mainly due to lower employee costs and maintenance expense, partially offset by higher depreciation expense.
Interest Expense, Net
Interest expense, net, was $54.5 million, approximately flat compared to $55.4 million in the prior-year quarter.
Income from Operations
Income from operations was $253.2 million, compared to $260.2 million in the prior-year quarter.
Margins
Gross margin remained consistent at 63%, while Gross Adjusted EBITDA Margin increased to 85% from 82% in the prior-year quarter.
Capital Expenditures
Capital expenditures for the second quarter of 2026 totaled $30.6 million, a 56% decrease from $70.0 million in the prior-year quarter, primarily due to the completion of gas compression capacity expansion.
Revolving Credit Facility
At June 30, 2026, Hess Midstream LP had a drawn balance of $256.0 million on its revolving credit facility.
Six Months Ended June 30, 2026 Financial Performance (vs. Six Months Ended June 30, 2025)
Total Revenues
For the six months ended June 30, 2026, total revenues were $789.1 million, a decrease from $796.2 million in the prior-year period.
Net Income
Net income was $331.4 million, compared to $341.1 million in the prior-year period. Net income attributable to Hess Midstream LP was $184.0 million, an increase from $161.9 million in the prior-year period.
Total Operating Costs and Expenses
Total operating costs and expenses were $297.8 million, a slight decrease from $298.6 million in the prior-year period.
Income from Operations
Income from operations was $491.3 million, compared to $497.6 million in the prior-year period.
Interest Expense, Net
Interest expense, net, was $109.9 million, compared to $111.8 million in the prior-year period.
Second Quarter 2026 Segment Revenue
Gathering Segment
Total revenues for the Gathering segment were $209.8 million, consisting of $203.2 million from affiliate services and $6.6 million from third-party services. Income from operations for this segment was $120.0 million.
Processing and Storage Segment
Total revenues for the Processing and Storage segment were $151.3 million, with $140.1 million from affiliate services and $11.2 million from third-party services. Income from operations for this segment was $109.0 million.
Terminaling and Export Segment
Total revenues for the Terminaling and Export segment were $37.9 million, including $36.5 million from affiliate services, $0.1 million from third-party services, and $1.3 million in other income. Income from operations for this segment was $25.7 million.
Second Quarter 2026 Operational Metrics (Throughput Volumes vs. Second Quarter 2025)
Throughput Volume Changes
Oil terminaling volumes decreased by 15% to 117 MBbl of crude oil per day from 137 MBbl of crude oil per day. Water gathering volumes decreased by 12% to 121 MBbl of water per day from 138 MBbl of water per day. Gas processing volumes decreased by 4% to 433 Mcf of natural gas per day from 449 Mcf of natural gas per day, primarily due to planned maintenance.
Specific Throughput Volumes
Gas gathering volumes were 445 Mcf of natural gas per day, down from 464 Mcf of natural gas per day. Crude oil gathering volumes were 103 MBbl of crude oil per day, down from 127 MBbl of crude oil per day. NGL loading volumes remained flat at 17 blpd.
Outlook / Guidance
Hess Midstream LP is reaffirming its full year 2026 financial and throughput guidance, anticipating net income between $650 million and $700 million, Adjusted EBITDA between $1,225 million and $1,275 million, and Adjusted Free Cash Flow between $910 million and $960 million. Capital expenditures are projected at $105 million for the full year 2026. The company expects to generate approximately $1 billion of Adjusted Free Cash Flow after Distributions through 2028, intended for incremental shareholder returns and debt repayment.