Sable Offshore misses earnings by $0.74, revenue below estimates

Sable Offshore Energy Inc. on Wednesday reported second-quarter earnings that fell short of analyst projections, with adjusted earnings per share missing estimates by $0.74.

The offshore energy producer posted adjusted EPS of $0.41, below the $1.15 forecast from a Refinitiv consensus of eight analysts. Revenue totaled $124.3 million, down 12% from the same period last year and below the $132.1 million estimate.

The company attributed the shortfall to weaker oilfield activity and reduced production volumes, partly offset by stable commodity prices. Sable Offshore operates primarily in the U.S. Gulf of Mexico, where drilling and production levels have softened in recent months amid higher operational costs and project delays.

Management noted that while market conditions remain challenging, demand for offshore services is expected to stabilize as energy companies resume capital expenditure plans. The firm maintained its full-year guidance, citing long-term contracts and a backlog of projects as stabilizing factors.

Shares of Sable Offshore were down 3.2% in pre-market trading following the release. The company has not provided an updated outlook beyond its existing guidance.