10-Q · May 14, 2026
Empire Petroleum Corporation reported a solid Q1 2026 with revenues of $4.83 billion, a notable increase from both the previous quarter and the prior year, indicating a recovery in operational capacity. However, despite…
Earnings analysis · 10-Q
EP earnings analysis
Filed August 14, 2026 · Our reading of the company's report
The latest report
Empire Petroleum reported 2026 Q2 revenue of $4.48 billion and diluted EPS of $0.39, down sequentially from $4.83 billion and $0.44, respectively. Profitability improved, with gross margin rising to 68.6% and operating…
Read full summary
Empire Petroleum reported 2026 Q2 revenue of $4.48 billion and diluted EPS of $0.39, down sequentially from $4.83 billion and $0.44, respectively. Profitability improved, with gross margin rising to 68.6% and operating margin to 30.1%, while free cash flow increased to $978 million. Revenue was below the prior $4.5 billion-$4.9 billion Q2 outlook, and the provided 10-Q extract contains no new quantitative guidance. The filing reports effective disclosure controls, but the 1,759,000-share issuance introduces dilution risk.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
From revenue to operating profit
Where each $100 of revenue went in this report.
Cost of sales, operating expenses, and what remained. Figures are rounded to whole dollars.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $0.39
What stood out
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Revenue Declined Sequentially
Revenue was $4.48 billion in 2026 Q2, down $350 million, or 7.2%, from $4.83 billion in 2026 Q1. The filing data provided does not include 2025 Q2 revenue for a year-over-year comparison.
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Margins Improved
Gross margin improved to 68.6% from 63.8% in 2026 Q1, a 4.8-percentage-point increase, while operating margin increased to 30.1% from 29.9%.
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Free Cash Flow Strengthened
Free cash flow increased to $978 million from $687 million in 2026 Q1, a $291 million, or 42.4%, sequential improvement.
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EPS Softened
Diluted EPS was $0.39, down $0.05, or 11.4%, from $0.44 in 2026 Q1. No 2025 Q2 EPS was provided for a year-over-year comparison.
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Controls Deemed Effective
Management concluded that disclosure controls and procedures were effective as of June 30, 2026, and reported no changes in internal control over financial reporting that materially affected, or were reasonably likely to materially affect, those controls.
What to watch
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Revenue Missed Prior Outlook
Reported revenue of $4.48 billion was below the prior Q2 2026 guidance range of $4.5 billion-$4.9 billion, indicating continued top-line pressure versus the company’s earlier outlook.
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Equity Issuance Dilution
The company issued 1,759,000 common shares at $3.00 per share on April 22, 2026, in exchange for a 25% working interest in three Louisiana oil and natural gas wells. The issuance creates potential shareholder dilution.
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Residual Control Limitations
Management states that its control systems provide only reasonable, not absolute, assurance and may not prevent or detect all errors or misstatements. The company also continues to implement design enhancements to its internal control procedures.
Management's outlook
The provided 10-Q extract contains no quantitative revenue or EPS outlook. Prior Q2 2026 revenue guidance was $4.5 billion-$4.9 billion; reported revenue of $4.48 billion was below that range. Outlook may have been provided in the earnings release or call rather than the 10-Q.
Earlier filings 4
10-K · March 13, 2026
Empire Petroleum positions itself as a focused operator of developed onshore U.S. oil and gas assets, executing a strategy to optimize well performance, reduce unit operating costs, and target proved developed producing…
10-Q · November 14, 2025
Empire reported Q3 2025 revenue of $9.388 million and a net loss of $3.844 million (diluted loss per share $0.11). Operating loss widened slightly versus the prior-year quarter and management flags continued negative…
10-Q · August 13, 2025
Empire Petroleum reported Q2 2025 revenue of $8,754 (as presented in the filing) and a net loss of $(5,056), with diluted EPS of $(0.15). Revenue and operating results declined versus Q2 2024 while management highlights…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.