Q2 25 EPS
$1.50
BEAT +19.81%
Est. $1.25
Q2 25 Revenue
$785.1M
BEAT +0.20%
Est. $783.5M
vs S&P Since Q2 25
-22.9%
TRAILING MARKET
SM -3.1% vs S&P +19.8%
Market Reaction
Did SM Beat Earnings? Q2 2025 Results
SM Energy posted a convincing earnings beat in the second quarter of 2025, with adjusted EPS of $1.50 clearing the $1.25 consensus estimate by 19.81% as record production volumes validated the company's transformative Uinta Basin acquisition. Revenue… Read more SM Energy posted a convincing earnings beat in the second quarter of 2025, with adjusted EPS of $1.50 clearing the $1.25 consensus estimate by 19.81% as record production volumes validated the company's transformative Uinta Basin acquisition. Revenue climbed 23.9% year over year to $785.08 million, edging just above the $783.48 million consensus by 0.20%, driven by a record quarterly output of 19.0 MMBoe, or 209.1 MBoe per day, a figure that topped the company's own guidance midpoint by 5%. The Uinta assets, producing an 87% oil mix, were the clearest engine behind the production surge, with total daily output up 32% and oil volumes up 59% compared to a year earlier. Despite lower realized oil prices weighing on net income, adjusted EBITDAX rose 17% to $569.58 million and the company paid its revolver to zero, building $101.88 million in cash. Looking ahead, SM Energy maintained full-year production guidance at 200-215 MBoe/d while raising its oil mix target and absorbing a higher capital budget of approximately $1.38 billion, with a meaningfully reduced cash tax burden expected to benefit results beginning in the third quarter.
Key Takeaways
- • Record net quarterly production of 19.0 MMBoe (209.1 MBoe/d), 5% above guidance midpoint
- • Strong Uinta Basin asset performance with 87% oil production mix was the primary driver of outperformance
- • Year-over-year total daily production increased 32% and oil production rose 59%
- • Drilling and completion efficiency improvements accelerated activity across all assets
- • Net derivative settlement gain of $39.7 million ($2.09/Boe) supported cash flow
- • Lower than expected operating costs from Texas assets
SM YoY Financials
Q2 2025 vs Q2 2024, source: SEC Filings
“This was a standout quarter for SM Energy and highlighted the top-tier quality of our Uinta Basin assets. Record production combined with our low breakeven cost assets delivered excellent bottom line results. In turn, we were able to pay off the revolving credit facility, build a cash balance, and return capital to stockholders through our sustainable quarterly fixed dividend. While we focused on the successful integration of our Uinta Basin assets during the first half of 2025, we have now moved into optimization mode, where we expect to continue to grow value from this core asset. I'm proud of how our team continues to execute, and with this momentum, we are well-positioned for a strong second half of the year, expecting to achieve our 1.0x leverage target by year-end at current commodity prices.”
— Herb Vogel, Q2 2025 Earnings Press Release
SM Earnings Trends
SM vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
SM EPS Trend
Earnings per share: estimate vs actual
SM Revenue Trend
Quarterly revenue: estimate vs actual
SM Quarterly Results
5 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q1 26 BEAT | $1.13 | $1.55 | +37.75% | $1.48B | +3.89% |
| Q4 25 BEAT FY | $0.83 | $0.83 | +0.19% | $705.0M | -7.31% |
| FY Full Year | $5.41 | $5.42 | +0.20% | $3.15B | -2.87% |
| Q3 25 BEAT | $1.25 | $1.33 | +6.20% | $811.6M | -2.14% |
| Q2 25 BEAT | $1.25 | $1.50 | +19.81% | $785.1M | +0.20% |
| Q1 25 BEAT | $1.62 | $1.76 | +8.80% | $844.5M | +2.52% |