Beach Energy shares: quarterly revenue drops, Waitsia ramps up

The Beach Energy Ltd (ASX: BPT) share price is in focus today after the company reported a 17% drop in quarterly sales revenue to $445 million and highlighted the successful ramp-up of its Waitsia Gas Plant.

What did Beach Energy report?

• Quarterly production down 9% to 4.5 million barrels of oil equivalent (MMboe)
• Sales volumes fell 13% to 5.9 MMboe
• Sales revenue down 17% to $445 million
• Average realised gas price rose 2% to $11.9 per gigajoule (GJ)
• Waitsia Gas Plant delivered first gas and peaked at 165 TJ/day after quarter-end
• Liquidity at quarter-end rose to $925 million

What else do investors need to know?

Production increases in the Western Flank and Cooper Basin joint venture were achieved following successful flood recovery efforts, with output up 5% and 12% respectively on the previous quarter. Meanwhile, planned maintenance and lower seasonal demand led to a 31% decrease in Otway Basin production.

Beach lifted two Waitsia LNG cargoes in the quarter, generating $111 million in revenue. The company also secured a $300 million term loan to further strengthen its liquidity, ending the quarter with $925 million in cash and undrawn facilities.

What did Beach Energy management say?

Managing Director and Chief Executive Officer Brett Woods said:

With growth activities underway across all of our core assets, it was an active quarter for Beach with delivery of key milestones on our major projects, whilst maintaining outstanding safety and environmental performance across all operations. Pleasingly, our Beach operated assets achieved 12 months injury free in late December.

Completion of the Waitsia Gas Plant and delivery of first sales gas into the pipeline network is a great achievement. I am very proud of our team’s effort to support and drive the project to completion, unlocking a critical piece of infrastructure for the Western Australian gas market. The ramp-up process is well underway.

What’s next for Beach Energy?

Beach is focused on reaching steady-state operations at Waitsia Gas Plant, with production expected to ramp up towards nameplate capacity in the third quarter of FY26. The company also plans to continue its drilling programs in the Cooper Basin and Western Flank, including an oil appraisal and development campaign and a 10-well exploration campaign into FY27.

Investors can expect further updates when Beach releases its FY26 half-year financial results in early February. Ongoing exploration and development activities will be a key driver for future production and earnings.

Beach Energy share price snapshot

Over the past 12 months, Beach Energy shares have declined 26%, trailing the S&P/ASX 200 Index (ASX: XJO) which has risen 5% over the same period.

View Original Announcement

The post Beach Energy shares: quarterly revenue drops, Waitsia ramps up appeared first on The Motley Fool Australia.

More reading

• Westgold Resources doubles cash build and sets new production record in Q2 FY26
• Ampol share price in focus as ACCC refers EG Australia acquisition to Phase 2 review
• Australian Foundation Investment Company shares: Half-year profit slips, dividends held steady
• Vault Minerals delivers strong gold production and cash flow in December quarter
• Paladin Energy lifts uranium output and sales in December quarter

Motley Fool contributor Laura Stewart has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips. This article was prepared with the assistance of Large Language Model (LLM) tools for the initial summary of the company announcement. Any content assisted by AI is subject to our robust human-in-the-loop quality control framework, involving thorough review, substantial editing, and fact-checking by our experienced writers and editors holding appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content published by The Motley Fool Australia.