XPLR Infrastructure (XIFR) Q2 2026 earnings summary

Executive summary

• Achieved $523 million in adjusted EBITDA and $257 million in free cash flow before growth for Q2 2026, with net income attributable to the partnership of $38 million and significant progress on capital structure simplification, including a $150 million CEPF 5 buyout and full repayment of $500 million in convertible notes.

• Advanced capital plan with 50% of planned 2026 repowerings completed and formation of Mammoth Plains and Carousel Energy Storage joint ventures, as well as entry into additional battery storage projects.

• Completed sales of interconnection assets and buyout of 10% of Class B noncontrolling membership interests in Genesis Holdings for $149 million.

• Report covers the quarter ended June 30, 2026, reflecting partial ownership in clean energy infrastructure and the sale of natural gas pipeline assets in 2025.

• No material operational or financial impact from recent legislative and regulatory changes; wind repowering program expected to qualify for clean energy tax credits.

Financial highlights

• Q2 2026 operating revenues were $363 million, up from $342 million in Q2 2025, driven by favorable wind resource.

• Adjusted EBITDA for Q2 2026 was $523 million, down from $557 million in Q2 2025, primarily due to asset dispositions and higher corporate interest.

• Free cash flow before growth for Q2 2026 was $257 million, slightly down from $261 million in Q2 2025.

• Net income attributable to the partnership was $38 million, compared to $79 million in Q2 2025.

• Earnings per common unit for Q2 2026 were $0.40, down from $0.93 in Q2 2025.

Outlook and guidance

• 2026 guidance maintained: Adjusted EBITDA expected between $1.75 billion and $1.95 billion; free cash flow before growth projected at $600 million to $700 million.

• Full-year O&M expenses anticipated at approximately $500 million, consistent with historical averages.

• Construction on first two battery storage projects expected to begin as early as Q4 2026, with most activity in 2027.

• Tax credits expected to reduce cash flow by $650–$700 million; debt service by $490–$510 million.

• Management expects liquidity and cash flows from operations to be adequate for O&M, capital expenditures, and liquidity commitments.