Genesis Energy LP

Genesis Energy reported second-quarter revenue of $532 million, beating analyst estimates of $421.5 million, with GAAP EPS of $0.26 versus expectations of $0.02. CEO Grant Sims said the strong results were driven by successful asset sales, cost-saving initiatives, and opportunistic margin gains from temporary market dislocations, which are largely one-time and not expected to continue. The company reduced the annual run-rate cost of capital on existing businesses by approximately $25 million and reported adjusted EBITDA of $171.5 million, above the $142 million estimate. Sims indicated no non-core assets are currently targeted for near-term divestiture, but future preferred equity retirements could include upsized bond deals depending on market conditions.

Shares of Chord Energy, Murphy Oil, Genesis Energy, ExxonMobil, and ConocoPhillips jumped in afternoon trading after renewed Middle East hostilities and a larger-than-expected drop in US crude inventories heightened concerns over oil supply. Crude oil futures rose more than 6%, snapping a three-day losing streak, as the collapse of a four-day truce between Iran and the US led to an Iranian missile attack on a US base and tanker fire in the Strait of Hormuz, prompting retaliatory strikes by US and Saudi forces on Iran-aligned militias in Iraq. Brent crude climbed above $90 a barrel and West Texas Intermediate surpassed $84 a barrel, while the American Petroleum Institute estimated that US commercial crude stockpiles fell by 3.3 million barrels in the week ending July 24, signaling tightening supply. Among the movers, Chord Energy gained 5.4%, Murphy Oil rose 5.2%, Genesis Energy added 3.7%, ExxonMobil advanced 3.1%, and ConocoPhillips increased 3.8%.