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Sep 30
Kosmos Energy Q3 2025 Earnings Report
Kosmos Energy reported a net loss in Q3 2025 amid higher production and lower costs, but was impacted by impairment charges and underlifted volumes.
Key Takeaways
Kosmos Energy posted a Q3 2025 net loss of $124 million despite increased production and reduced expenses. Impairment of a Gulf of Mexico well and timing of cargo sales contributed to weaker financials. The company continues to advance major projects while focusing on cost reductions and balance sheet strengthening.
Generated a net loss of $124 million and adjusted net loss of $72 million for Q3 2025
Revenue reached $311 million, with production averaging 65,500 boepd
Free cash flow was negative $98.9 million, largely due to working capital draw and capex
Net debt stood at $2.95 billion at quarter-end, with liquidity of $540 million
Kosmos Energy
Kosmos Energy
Kosmos Energy Revenue by Geographic Location
Revenue by Geographic Location
Total Revenue
CapyFin.com Forward Guidance
Kosmos expects production to increase in Q4 2025 with contributions from new Jubilee wells and ramp-up at GTA, while maintaining lower capex and opex.
Positive Outlook
- Q4 production expected to increase to 66,000–72,000 boepd
- Capital expenditure for FY 2025 guided to be below $350 million
- GTA Phase 1 operating costs targeted for further reductions
- Company remains on track to reduce overhead by $25 million in 2025
- More hedges added to protect 2026 production with $66/bbl floor
Challenges Ahead
- Winterfell-4 well in Gulf of Mexico was abandoned, incurring $51.1 million write-off
- Free cash flow remained negative in Q3 2025
- Kosmos underlifted by ~0.6 mmboe, impacting revenue recognition
- Net debt remains high at nearly $3 billion
- Lower-than-expected gas production in Ghana due to maintenance issues