Oil and gas explorer Beach Energy has reported a 32 per cent year-over-year decrease in net profit to AU$150 million from AU$222.3 million for the first half of fiscal 2026 as floods in the Cooper Basin in South Australia impacted production.
The company said sales revenue was down 1 per cent from the prior-year half to AU$981.7 million due to weaker realised oil and liquids pricing and lower production volume.
Beach’s production declined by 7 per cent to 9.5 million barrels of oil equivalent (MMboe) from 10.2 MMboe.
Cost of sales were up 10 per cent to AU$745.7 million, largely driven by Waitsia product inventory movement, higher third-party purchases and tolls to facilitate LNG cargoes, partially offset by lower field operating costs.
Other expenses increased 174 per cent to AU$79.6 million from AU$29 million, mainly driven by the unsuccessful Hercules 1 well in the Otway Basin.
Beach CEO Brett Woods said the results were “solid” despite flooding impacting production.
“It is pleasing to see strong operations and outstanding safety and environmental performance across all assets,” Woods said.
“This has underpinned our solid earnings, positive cash flow generation and a further strengthening of our financial position as we continue to invest in growth across our core East and West coast hubs.”
Woods noted that flood recovery efforts at the Cooper Basin have “progressed strongly”, with 97 per cent of affected production now back online.
Beach maintained its full-year guidance, expecting production to come in at 19.7 to 22 MMboe. Capital expenditure is forecast at AU$675 million to AU$775 million for the full year.
“With a solid first half performance, we are well placed to deliver on what will be an active second half of 2026 across our core East and West Coast hubs. We are executing on our vision of becoming Australia’s leading domestic energy company,” Woods said.
