Summit Midstream Corporation (SMC) reported second-quarter revenues of $140.2 million, a 38% increase from $101.3 million in Q2 2024, but recorded a net loss of $4.2 million, improving from a loss of $23.8 million a year ago. Following this report, shares dropped 14.6%, significantly underperforming the S&P 500 index, which grew by 1%.
Performance Metrics
Adjusted EBITDA rose to $61.1 million from $43.1 million, driven by increased throughput and acquisitions. Aggregate natural gas throughput increased to 912 MMcf/d, compared to 716 MMcf/d in the previous year. However, the company expects 2025 adjusted EBITDA to be at the low end of the projected $245-$280 million range due to ongoing issues with customer development.
Strategic Insight
Management highlighted strategic achievements, including contract extensions and acquisitions aimed at improving asset performance. Despite concerns over commodity price volatility, which reduced realized margins, CEO Heath Deneke remains optimistic about a recovery in volumes through 2026.
