Genesis Energy (NYSE:GEL) Posts Quarterly Earnings Results, Beats Expectations By $0.13 EPS

Genesis Energy (NYSE:GEL) announced its earnings results on Thursday. The pipeline company reported ($0.05) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.18) by $0.13, FiscalAI reports. Genesis Energy had a return on equity of 55.96% and a net margin of 4.29%. The company’s revenue was up 8.5% compared to the same quarter last year. During the same period in the previous year, the firm posted ($0.05) earnings per share.

Here are the key takeaways from Genesis Energy’s conference call:

• Genesis said 2026 Adjusted EBITDA will likely be near or possibly below the low end of its original guidance, with management citing lower offshore volumes and operational delays. In Q&A, the CEO indicated results could be around $570 million.
• Offshore volumes were affected by curtailments and well issues at Shenandoah, plus a Salamanca turnaround; expected new production at both fields has shifted into the first quarter of 2027. Management says minimum volume commitments provide some downside protection and characterizes the delays as timing issues, while acknowledging operators are still working through technical challenges.
• Marine utilization is effectively 100%, with negotiated spot rates up more than 10% in recent periods. The company expects higher rates as contracts reprice, including much of its inland fleet and about half of its offshore fleet over the coming year.
• Genesis has retired about 40% of its high-cost Series A preferred securities this year and has no debt maturities until 2029, though bank-calculated leverage was approximately 5.03x at quarter-end and about $311 million of preferred remains. The quarterly common distribution is unchanged at $0.20 per unit, up approximately 21% year over year.

Genesis Energy Stock Performance

GEL stock traded down $0.69 during trading on Thursday, hitting $12.56. The company had a trading volume of 521,962 shares, compared to its average volume of 229,868. The firm has a 50-day moving average price of $14.69 and a 200-day moving average price of $15.91. The company has a quick ratio of 0.90, a current ratio of 0.93 and a debt-to-equity ratio of 24.31. The firm has a market cap of $1.54 billion, a PE ratio of 66.14 and a beta of 0.79. Genesis Energy has a 1-year low of $12.49 and a 1-year high of $18.64.

Genesis Energy Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Friday, November 13th. Investors of record on Friday, October 30th will be given a $0.20 dividend. This represents a $0.80 annualized dividend and a yield of 6.4%. The ex-dividend date is Friday, October 30th. Genesis Energy’s payout ratio is 421.05%.

Analysts Set New Price Targets

A number of equities research analysts have weighed in on GEL shares. Weiss Ratings upgraded Genesis Energy from a “hold (c-)” rating to a “hold (c)” rating in a research note on Thursday, August 13th. Royal Bank Of Canada cut their target price on shares of Genesis Energy from $18.00 to $17.00 and set an “outperform” rating on the stock in a report on Tuesday, October 13th. Two equities research analysts have rated the stock with a Buy rating and one has given a Hold rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $17.50.

About Genesis Energy

Genesis Energy, L.P. is a Houston-based publicly traded master limited partnership that provides midstream energy infrastructure and related industrial services. The company owns and operates assets used to gather, transport, process and store crude oil and other energy products, primarily in the United States.

Genesis Energy’s offshore pipeline transportation business serves producers in the Gulf of Mexico, moving crude oil and natural gas through an extensive network of pipelines and related infrastructure.