Q2 26 EPS Adjusted
$1.89
BEAT +1.01%
Est. $1.87
GAAP EPS of $2.11 includes $117M pre-tax unrealized derivative instrument gains ($92M after-tax, -$0.26/share), $12M transaction/reorganization costs ($9M after-tax, +$0.02/share), $4M loss on extinguishment of debt ($4M after-tax, +$0.01/share), and $2M loss on divestitures
Q2 26 Revenue
$2.37B
MISS 0.10%
Est. $2.38B
vs S&P Since Q2 26
+2.6%
BEATING MARKET
APA +3.2% vs S&P +0.6%
Market Reaction
Did APA Beat Earnings? Q2 2026 Results
APA Corporation delivered a solid second quarter in 2026, posting adjusted earnings of $1.89 per diluted share and extending its streak of beating consensus EPS estimates to five consecutive quarters, edging past the $1.87 analyst forecast by 1.01%. … Read more APA Corporation delivered a solid second quarter in 2026, posting adjusted earnings of $1.89 per diluted share and extending its streak of beating consensus EPS estimates to five consecutive quarters, edging past the $1.87 analyst forecast by 1.01%. Revenue of $2.37 billion rose 8.9% year over year, falling just 0.10% short of the $2.38 billion consensus, a negligible gap against an otherwise strong operational backdrop. The primary engine behind the results was a sharp recovery in oil prices, with U.S. Oil averaging $98.46 per barrel compared to $64.84 a year ago, a tailwind that more than offset modestly lower production volumes. Free cash flow reached $738 million for the quarter, helping APA retire $673 million in bond debt during Q2 alone and reduce total debt by $2.30 billion since year-end 2024. Management sharpened its outlook, raising full-year U.S. Oil production guidance to 123,000 barrels per day, lowering lease operating expense guidance by $25 million to $1.50 billion, and lifting its 2026 exit run-rate cost savings target to $500 million, signaling continued confidence in operational efficiency heading into the second half.
Key Takeaways
- • U.S. oil production of 123,500 b/d exceeded guidance by 2,500 b/d, driven by drilling and completion efficiency gains and strong base production in the Permian Basin
- • Higher oil prices — U.S. average of $98.46/bbl vs. $64.84/bbl year-ago
- • Egypt gas production increased to 539 MMcf/d, with nearly half benefiting from revised pricing agreement
- • Upstream capital investment of $546 million and lease operating expenses of $353 million both below guidance
- • Cost reduction initiatives accelerated to $500 million exit run-rate savings target
APA Forward Guidance & Outlook
APA raised full-year 2026 U.S. oil production guidance to 123,000 b/d (from prior guidance) while maintaining U.S. capital at $1.3 billion. Total company upstream capital investment is expected to be $2.07 billion, slightly lower than prior guidance due to a shift in timing of Suriname Block 58 exploration activity. Lease operating expenses guidance was lowered by $25 million to $1.5 billion. The company increased its expected 2026 exit run-rate cost savings target to $500 million, up from the prior $450 million target. APA expects to return at least 60% of free cash flow to shareholders in 2026. The pending Savant Alaska acquisition ($70 million upfront) is expected to close by year-end 2026, and an initial exploration well in Uruguay with Eni is planned for 2027.
APA YoY Financials
Q2 2026 vs Q2 2025, source: SEC Filings
APA Revenue by Segment
With YoY comparisons, source: SEC Filings
“We delivered a very strong second quarter, with excellent operational execution across our core assets. We're sustaining top-tier operational performance and driving stronger production, lower costs and lower capital intensity. These results reflect the structural improvements we've made over the past two years to become a cost leader and drive higher capital efficiency across the Permian and Egypt. APA is in a great position with a strengthening balance sheet, a highly capital-efficient base business, a clear path to organic oil production growth led by GranMorgu and multiple high-quality investment opportunities in exploration.”
— John J. Christmann IV, Q2 2026 Earnings Press Release
APA Earnings Trends
APA vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
APA EPS Trend
Earnings per share: estimate vs actual
APA Revenue Trend
Quarterly revenue: estimate vs actual
APA Quarterly Results
6 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q2 26 BEAT GAAP EPS of $2.11 includes $117M pre-tax unrealized derivative instrument gains ($92M after-tax, -$0.26/share), $12M transaction/reorganization costs ($9M after-tax, +$0.02/share), $4M loss on extinguishment of debt ($4M after-tax, +$0.01/share), and $2M loss on divestitures | $1.87 | $1.89 | +1.01% | $2.37B | -0.10% |
| Q1 26 BEAT | $1.14 | $1.38 | +20.90% | $2.33B | +4.99% |
| Q4 25 BEAT FY | $0.64 | $0.91 | +41.72% | $1.99B | +6.60% |
| FY Full Year | $3.50 | $3.77 | +7.56% | $8.92B | -2.00% |
| Q3 25 BEAT | $0.79 | $0.93 | +17.59% | $2.12B | +0.40% |
| Q2 25 BEAT | $0.48 | $0.87 | +81.51% | $2.18B | +5.55% |
| Q1 25 BEAT | $0.82 | $1.06 | +29.17% | $2.64B | +20.05% |