third quarter of 2026
Filed Oct 14, 2026SM Energy provides preliminary Q3 2026 realized commodity prices and anticipates a $207 million net derivative settlement loss.
The filing reports preliminary realized commodity prices for the three months ended September 30, 2026, but flags an anticipated $207 million net derivative settlement loss and does not provide revenue, production, earnings, cash flow, or finalized financial results.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Oil realized price before the effect of net derivative settlements, three months ended September 30, 2026other | $85.76 per Bbl | – | – |
| Gas realized price before the effect of net derivative settlements, three months ended September 30, 2026other | $2.48 per Mcf | – | – |
| NGLs realized price before the effect of net derivative settlements, three months ended September 30, 2026other | $29.40 per Bbl | – | – |
| Anticipated net derivative settlement loss, third quarter of 2026other | $207M | – | – |
third quarter of 2026 outlook
- NoteAnticipates a net derivative settlement loss of $207 million.
What drove it
- Average realized oil price before the effect of net derivative settlements was $85.76 per Bbl for the three months ended September 30, 2026.
- Average realized gas price before the effect of net derivative settlements was $2.48 per Mcf for the three months ended September 30, 2026.
- Average realized NGL price before the effect of net derivative settlements was $29.40 per Bbl for the three months ended September 30, 2026.
- The anticipated $207 million net derivative settlement loss reflects settlements of commodity derivatives during the quarter.
Concerns
- The $207 million anticipated net derivative settlement loss excludes changes in the fair value of unsettled derivative positions, which the company states could be material.
- The information is preliminary, unaudited, subject to completion of the financial reporting process, and may change.
- The company states that this summary is not comprehensive of all third-quarter results and does not constitute an estimate of third-quarter 2026 earnings.
What to watch
- Final third-quarter results, including the change in fair value of unsettled derivative positions.
- Whether final reported derivative activity differs from the anticipated $207 million net derivative settlement loss.
- Final revenue, production volumes, costs, earnings, cash flow, capital spending, and balance-sheet information, none of which are included in this filing.
Analysis
SM Energy furnished a preliminary third-quarter 2026 update rather than a full earnings release. The filing supplies average realized prices before net derivative settlements of $85.76 per Bbl for oil, $2.48 per Mcf for gas, and $29.40 per Bbl for NGLs for the three months ended September 30, 2026. No production volumes, commodity sales volumes, or prior-period price comparisons were disclosed, so the filing does not establish changes in underlying production or realized-price trends.
The principal financial consideration disclosed is an anticipated $207 million net derivative settlement loss for the third quarter of 2026. The company states that this amount reflects commodity-derivative settlements during the quarter. This points to a meaningful realized hedging-related offset relative to pre-settlement commodity prices, although the filing does not provide the corresponding revenue, earnings, or cash-flow effect.
Derivative exposure remains an important outstanding variable because the anticipated settlement loss excludes changes in the fair value of unsettled derivative positions. SM Energy states that those fair-value changes could be material and will be reported with third-quarter results. The preliminary disclosure therefore does not provide a complete view of derivative-related impacts for the period.
No income statement, balance sheet, cash-flow statement, capital spending, capital-return, debt, liquidity, or operational data are included. There is also no prior outlook in the provided materials, preventing an assessment of performance against prior guidance. Investors should focus on the finalized third-quarter financial statements and the full accounting for unsettled commodity derivatives when the company reports results.
Not in the filing
stated, not guessed- Total revenue and revenue comparisons
- Production volumes and sales volumes by commodity
- Segment revenue and segment operating metrics
- Gross profit or gross margin
- Operating expenses and operating income
- GAAP net income or loss
- GAAP diluted earnings per share
- Non-GAAP earnings, adjusted EBITDA, and non-GAAP earnings per share
- Income taxes and tax rate
- Operating cash flow and free cash flow
- Capital expenditures
- Cash, debt, liquidity, and net debt
- Share repurchases and dividends
- Commodity derivative fair-value changes for unsettled positions
- Prior-year and prior-quarter comparisons for realized prices and derivative settlement loss
- Full-year or subsequent-period operational and financial guidance
- Prior outlook for comparison with actual results
- Named executive commentary or executive quotes
AlphAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.