APA Corporation reported third‑quarter 2025 results that included revenue of $2.02 billion, a 16.4 % year‑over‑year decline, and adjusted earnings per share of $0.93, beating the consensus estimate of $0.74 by $0.19. The company’s Q3 2024 performance, which saw a net loss of $223 million and adjusted earnings of $1.00 per diluted share, provides a stark contrast to the current quarter’s profitability.
Revenue fell as U.S. oil and gas volumes slipped, offsetting gains in Egypt’s gas production and modest growth in the North Sea and Suriname segments. The company’s guidance for U.S. oil production was raised to 123,000 barrels per day, and it expects higher gross gas production in Egypt for the fourth quarter, indicating confidence in upstream operations despite the top‑line dip.
The EPS beat was driven by disciplined cost management and accelerated savings initiatives. APA announced it would achieve $350 million in run‑rate cost savings by the end of 2025, two years ahead of schedule, and it reduced net debt by $431 million in Q3 2025, bringing total debt reduction to nearly $2.3 billion since Q3 2024. CEO John J. Christmann IV highlighted the company’s operational execution, cost discipline, and balance‑sheet strengthening as key factors behind the earnings performance.
Guidance for the remainder of 2025 remains robust. APA expects to maintain its cost‑saving trajectory, continue to raise production guidance in the U.S. and Egypt, and return $154 million to shareholders through dividends and share repurchases in Q3 2025. The company’s outlook signals confidence in sustaining profitability while pursuing growth opportunities in key regions.
Market participants noted the earnings beat as a positive sign of operational resilience, while the revenue miss tempered enthusiasm. Analysts expressed mixed views, with some upgrading their outlooks and others remaining cautious, reflecting the balance between strong earnings and top‑line pressure.
The company will discuss its results and outlook in a conference call scheduled for November 6, 2025, where management is expected to elaborate on its guidance and address investor questions.
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