Hess Midstream LP Reports Second Quarter 2026 Financial Results with Mixed Performance

Hess Midstream LP reported its financial results for the second quarter of 2026, revealing a consolidated net income of $173.7 million, a decrease from $179.7 million in the same period last year. The net income attributable to Hess Midstream LP was $96.4 million, or $0.75 per Class A share, compared to $90.3 million, or $0.74 per share, in the prior year. Total revenues for the quarter were $399.0 million, down from $414.2 million in the second quarter of 2025, primarily due to lower throughput volumes, although this was partially offset by higher tariff rates and increased third-party services.

In terms of operational performance, Hess Midstream experienced a 15% decrease in oil terminaling throughput and a 12% decline in water gathering volumes compared to the previous year, attributed to reduced production from lower new-well activity. Gas processing throughput also fell by 4%, largely due to planned maintenance at the Tioga Gas Plant. The company’s total operating costs and expenses decreased to $145.8 million from $154.0 million, driven by lower employee costs and maintenance expenses, despite an increase in depreciation expenses.

Strategically, Hess Midstream has continued to strengthen its position in the market through its long-term fee-based commercial agreements with Chevron, which account for approximately 95% of its revenues. The company has also exercised renewal options on these agreements, extending them for an additional ten years. In the first quarter of 2026, Hess Midstream placed a new compressor station into service, enhancing its operational capacity. The company’s total assets as of June 30, 2026, were reported at $4.26 billion, a decrease from $4.39 billion at the end of 2025.

The company’s cash flow from operating activities increased to $278.6 million for the quarter, up from $276.9 million in the prior year. Hess Midstream also declared a cash distribution of $0.7888 per Class A share, reflecting a slight increase from the previous quarter. Looking ahead, the company anticipates that its ongoing sources of liquidity will be sufficient to meet operational needs and planned capital expenditures, although it remains cautious about the potential impacts of commodity price fluctuations and market volatility on its operations and throughput volumes.

Overall, Hess Midstream LP's second-quarter results indicate a mixed performance, with declines in revenue and throughput volumes offset by strategic operational enhancements and a stable cash flow position. The company continues to focus on maintaining its strong relationships with Chevron and expanding its service offerings to third-party producers in the Bakken region.