How did Hess Midstream (NYSE:HESM) perform in Q1 2026?

Hess Midstream reported Q1 2026 net income of $157.7 million, slightly down from $161.4 million in Q1 2025. However, net income attributable to Class A shareholders rose to $0.68 per share, compared to $0.65 per share in the previous year, reflecting the impact of recent equity repurchases. The company also demonstrated strong operational cash generation, reporting adjusted EBITDA of $299.8 million and adjusted free cash flow of $237 million.

What were Hess Midstream’s key financial metrics in Q1 2026?

In Q1 2026, Hess Midstream generated adjusted EBITDA of $299.8 million and adjusted free cash flow of $237 million. Net cash provided by operating activities was $253.3 million, highlighting the company’s strong operational cash generation despite a slight decrease in net income.

How did Hess Midstream return capital to shareholders in Q1 2026?

Hess Midstream prioritized capital returns to shareholders by completing $60 million in total share repurchases during Q1 2026. This included $42 million of Class A shares and $18 million of Class B units. The company also increased the quarterly cash distribution to $0.7792 per Class A share, marking a $0.0151 per share increase over Q4 2025, demonstrating its commitment to consistent distribution growth.

What was the impact of equity repurchases on Hess Midstream’s earnings per share?

The impact of recent equity repurchases contributed to an increase in net income attributable to Class A shareholders, which rose to $0.68 per share in Q1 2026, compared to $0.65 per share in Q1 2025. The reduced share count due to the buybacks helped boost per-share earnings despite the slight decrease in overall net income.

How did Hess Midstream’s throughput volumes perform in Q1 2026?

Hess Midstream’s throughput volumes showed mixed performance in Q1 2026. Gas processing increased by 1% year-over-year, driven by higher third-party volumes. However, oil terminaling decreased by 5% compared to Q1 2025, and water gathering volumes were down 9% year-over-year, reflecting shifting production levels in the company’s operational areas.

Hess Midstream Q1 net income drops slightly to $157.7 million

Written by Liezl GambePublished May. 4 2026Last Updated May. 4 2026

Hess Midstream (NYSE:HESM) reported first-quarter 2026 net income of $157.7 million, a slight decrease from the $161.4 million recorded in the prior-year period.

However, on a per-share basis, net income attributable to Class A shareholders rose to $0.68 per share, compared to $0.65 in Q1 2025, reflecting the impact of recent equity repurchases.

The company demonstrated strong operational cash generation, reporting adjusted EBITDA of $299.8 million and adjusted free cash flow of $237 million.

Net cash provided by operating activities totaled $253.3 million.

Hess Midstream continues to prioritize returning capital to shareholders through a combination of dividends and buybacks.

During the quarter, the company completed $60 million in total repurchases, including $42 million of Class A shares and $18.0 million of Class B units.

Capitalizing on the reduced share count, the Board increased the quarterly cash distribution to $0.7792 per Class A share.

This represents a $0.0151 per share increase over the fourth quarter of 2025, underscoring management's commitment to consistent distribution growth.

Elsewhere, throughput volumes for the quarter showed a mixed performance due to shifting production levels.

While gas processing increased 1% year-over-year, supported by higher third-party volumes, oil terminaling decreased 5% compared to Q1 2025.

Additionally, water gathering decreased 9% year-over-year.