SM Energy Reports Third Quarter 2026 Results
PR Newswire•03/11/2026•16:10 ET
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Key Highlights
- ➤Adjusted net income $465 million, or $1.95 per diluted share
- ➤Operating cash flow reached $1.1 billion in the third quarter
- ➤Merger run-rate synergies reached approximately $400 million
- ➤Full-year 2026 oil guidance lowered 1% to 220-222 MBbl/d
- ➤Net debt fell to $6.0 billion from $7.4 billion at March 31, 2026
Expert Statements
Beth McDonald, President and CEO of SM Energy Company
“We are meaningfully transforming SM Energy – exceeding our merger synergy target, substantially achieving our divestiture target and materially strengthening the balance sheet. In the third quarter, we generated $1.1 billion of operating cash flow, redeemed $417 million of debt and returned $133 million to stockholders. We are modestly lowering full-year oil guidance to 220-222 MBbl/d due to transitory factors, while reiterating our full-year total production outlook. Importantly, despite service-cost inflation, we now expect 2026 capital of approximately $2.75 billion, the midpoint of our prior range, supported by synergy capture and ongoing efficiency gains. We expect the factors leading to our lower oil production outlook to be resolved in early 2027.”
Beth McDonald, President and CEO of SM Energy Company
“This is a multi-year journey, and our strong and resilient balance sheet is the foundation. We remain on track for low one-times leverage at mid-cycle prices by year-end 2026, strengthening the capacity for durable stockholder returns. With integration substantially complete, our focus is on disciplined execution, continuous improvement and increasing the capital efficiency of the portfolio to compound long-term value for stockholders.”
Operating cash flow of $1.1 billion funds $417 million of debt redemption and $133 million of capital returned to stockholders
DENVER, Nov. 3, 2026 /PRNewswire/ -- SM Energy Company (the "Company" or "SM") (NYSE: SM) today reported financial and operating results for the third quarter 2026. Investor materials, including accompanying slides, can be accessed at www.sm-energy.com/investors . A conference call is scheduled for 8 a.m. MT/10 a.m. ET on November 4, 2026. Participation details are included in this release.
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