Summit Midstream Corporation (NYSE: SMC) has reported its financial and operating results for the second quarter of 2025. The company's net loss for the quarter was $4.2 million, with adjusted EBITDA standing at $61.1 million. Cash flow available for distributions (DCF) was reported at $32.4 million, while free cash flow (FCF) was $9.2 million.
In terms of operational highlights, Summit connected 47 wells during the second quarter and maintained an active customer base with three drilling rigs. An additional rig is expected in the Arkoma, with over 100 drilled but uncompleted wells (DUCs) behind the company's systems. Notably, the anchor customer in the Arkoma Basin is expected to begin drilling a 20-well program with completions starting in the fourth quarter of 2025 through the first half of 2026.
Summit's President and CEO, Heath Deneke, mentioned that they generated $61.1 million of adjusted EBITDA in the second quarter, which was slightly below their expectations. The company expects year-end financial results to be near the low end of their original 2025 adjusted EBITDA guidance range of $245 million to $280 million.
Summit's average daily natural gas throughput on its wholly owned operated systems increased by 3.3% to 912 mmcf/d, while liquids volumes increased by 5.4% to 78 mbbl/d, relative to the first quarter of 2025. The Double E pipeline transported an average of 682 mmcf/d and contributed $8.3 million in adjusted EBITDA net to Summit Midstream Corporation for the second quarter of 2025.
In terms of financial performance, Summit's total adjusted EBITDA for the second quarter of 2025 was $61.1 million, a significant increase from the $43.1 million reported for the same period in 2024. The company's capital expenditures totaled $26.4 million in the second quarter of 2025, inclusive of maintenance capital expenditures of $5.5 million.
As of June 30, 2025, Summit had $20.9 million in unrestricted cash on hand and $140 million drawn under its $500 million ABL revolver with $359 million of borrowing availability.
The company also reported that it billed its customers $4.2 million in the second quarter of 2025 related to minimum volume commitment (MVC) shortfalls. For those customers that do not have MVC shortfall credit banking mechanisms in their gathering agreements, the MVC shortfall payments are accounted for as gathering revenue in the period in which they are earned.
Summit Midstream Corporation continued to suspend cash dividends payable on its common stock for the period ended June 30, 2025.
Summit will host a conference call to discuss its quarterly operating and financial results on August 12, 2025, at 10:00 a.m. Eastern Time.
This provides an overview of Summit Midstream Corporation's financial and operational performance for the second quarter of 2025. Today the company's shares have moved -11.07% to a price of $21.61. If you want to know more, read the company's complete 8-K report here.
