Source Energy Services Reports Q2 Earnings Amid Declining Canadian Activity
Source Energy Services (TSE:SHLE) reported weaker second-quarter performance in early August 2026, with sales volumes falling by 24% year over year to 831,000 metric tons. Revenue declined to C$137.1 million and adjusted EBITDA dropped to C$18.5 million due primarily to reduced completion activity driven by low Western Canadian natural gas prices. Despite the decline in Canada, U.S. mine-gate demand rose sharply amid higher oil prices and increased Lower 48 completion activity. However, lower-margin sales mix and production challenges at Source’s Peace River facility pressured overall margins. Management expects a rebound in Canadian activity during the second half of 2026. The company maintained its full-year capital spending outlook between C$30 million–C$40 million and ended Q2 with C$27 million in available liquidity.
Topics: canadian_economy ebitda_performance energy_services oil_and_gas_production