TXO Partners (TXO) Q3 2026 earnings summary

Executive summary

• Q3 2026 revenue fell 45% YoY to $55.1 million, with a $32.1 million net loss and diluted loss per unit of $0.58; derivative results were the primary revenue drag.

• Nine-month operating cash flow rose to $116.2 million from $85.7 million, while net loss was $45.7 million versus net income of $6.6 million.

Financial highlights

• Q3 oil and condensate revenue was $29.8 million versus $66.3 million YoY; NGL revenue rose to $10.2 million from $7.5 million, while natural gas revenue fell to $15.0 million from $27.0 million.

• Q3 derivative activity shifted from net gains of $10.3 million in 2025 to net losses of $57.9 million in 2026, including $37.3 million of non-cash derivative losses.

• 9M revenue decreased 15% to $234.2 million; net derivative losses of $132.8 million outweighed higher production and realized oil and NGL prices.

• Adjusted EBITDAX was $41.3 million in Q3 versus $32.8 million YoY and $140.4 million for 9M versus $101.2 million; cash available for distribution was negative $2.7 million in Q3 and $61.1 million for 9M.

Outlook and guidance

• 2026 drilling, completion, recompletion and facilities spending is expected at $90 million to $95 million; $79.2 million had been incurred through September.

• Current commodity prices and drilling results are expected to support distributions, debt obligations and the 2026 development program through operating cash flow and credit-facility borrowings.

• Cross Timbers Energy wind-down is expected to be completed by year-end 2026.