Big Sky Industrial (BSIN) Q2 2026 earnings summary

Executive summary

• Completed rebranding to Big Sky Industrial, transitioning from legacy oil and gas to an integrated industrial gas and carbon management platform, and began trading under BSIN on Nasdaq.

• Finalized Phase 1 capital stack, including amended credit facility, equity raise, and a five-year, 100% take-or-pay helium offtake agreement at $285/Mcf.

• Construction of the Phase 1 processing facility at Big Sky Carbon Hub is on schedule, with commissioning targeted for late 2026 and first commercial operations and revenue in Q1–March 2027.

• Strategic divestitures of legacy assets completed, funding the pivot to industrial gas, energy, and carbon management.

• Net loss for Q2 2026 was $2.3 million, improved from prior periods, primarily due to lower production from divestitures and natural declines.

Financial highlights

• Q2 2026 revenue was $2.1 million, flat or up 5% year-over-year, as higher oil prices offset lower volumes post-divestiture.

• Cash G&A expense dropped to $1.8 million from $2.6 million sequentially, while total G&A rose year-over-year due to higher compensation.

• Adjusted EBITDA improved to -$0.9 million from -$1.3 million year-over-year.

• $9.6 million invested in industrial gas capital in H1 2026, up from $2.5 million in the prior year period.

• Ended Q2 with $21.5 million in liquidity; $16.4 million as of August 4 after a $4 million construction draw.

Outlook and guidance

• Phase 1 plant commissioning expected late 2026, with first gas and revenue in Q1–March 2027.

• MRV (Monitoring, Reporting, and Verification) approvals for Section 45Q tax credits are progressing, with EPA review ongoing and approvals expected in coming months.

• Gathering system completion, facility commissioning, and Phase 2 planning (targeting 2x–3x Phase 1 capacity) are key near-term milestones.

• Section 45Q tax credit monetization expected to provide significant non-dilutive capital for Phase 2.

• Capital program for the remainder of 2026 is $20–25 million, focused on advancing the Big Sky project.