Kinetik

Kinetik (KNTK) Q2 2025 Earnings

Reported Aug 6, 2025 at 6:12 PM ET · SEC Source

Q2 25 EPS

$0.33

MISS 11.67%

Est. $0.37

Q2 25 Revenue

$426.7M

BEAT +8.18%

Est. $394.5M

vs S&P Since Q2 25

+1.9%

BEATING MARKET

KNTK +20.8% vs S&P +18.9%

Market Reaction

Did KNTK Beat Earnings? Q2 2025 Results

Kinetik Holdings delivered a mixed second quarter for 2025, beating on the top line while falling short on the bottom, as a net income decline overshadowed strong volume growth and left investors weighing a nuanced picture. Revenue came in at $426.74… Read more Kinetik Holdings delivered a mixed second quarter for 2025, beating on the top line while falling short on the bottom, as a net income decline overshadowed strong volume growth and left investors weighing a nuanced picture. Revenue came in at $426.74 million, clearing the $394.46 million consensus estimate by 8.18% and marking an 18.7% increase year-over-year, yet earnings per share of $0.33 missed the $0.37 consensus by 11.67%, pressured by lower commodity pricing and sharply higher operating costs that climbed to $68.05 million from $44.07 million a year prior. The single most consequential development of the quarter was the commencement of commissioning at the Kings Landing Complex, with full commercial in-service targeted for late September 2025, a milestone management described as providing long-overdue relief for producers with curtailed volumes on the Delaware North system. Looking ahead, Kinetik updated its full-year 2025 Adjusted EBITDA guidance to a range of $1.03 billion to $1.09 billion, acknowledging producer development delays and commodity headwinds, though management continues to expect Q4 annualized Adjusted EBITDA of approximately $1.20 billion as the earnings trajectory tilts heavily toward the second half.

Key Takeaways

  • Processed gas volumes grew 11% year-over-year to 1.75 Bcf/d
  • Lower commodity pricing partially offset volume growth
  • Higher operating costs, particularly rental equipment and electricity
  • Proportionate EBITDA from unconsolidated affiliates of $88.1 million for Q2
  • Product revenue increased to $311.6 million from $260.1 million year-over-year
  • Service revenue grew to $112.7 million from $96.4 million year-over-year
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KNTK YoY Financials

Q2 2025 vs Q2 2024, source: SEC Filings

24/7 Wall St

KNTK Revenue by Segment

With YoY comparisons, source: SEC Filings

Q3 25 Q1 26

“Kinetik navigated both successes and challenges in the second quarter of 2025. First and foremost, I am incredibly proud of our team's focus on operational execution and meeting our customers' needs during a period marked with macroeconomic uncertainty and market volatility. For the quarter, we reported Adjusted EBITDA of $243 million with processed gas volumes growing 11% year-over-year. That growth was partially offset by lower commodity pricing and higher operating costs.”

— Jamie Welch, Q2 2025 Earnings Press Release