Granite Ridge Reports Q3 2026 Earnings Growth and Announces $35 Million Share Repurchase Program
Granite Ridge (GRNT) reported strong third-quarter 2026 results, highlighted by an 8% increase in average daily production compared to the previous quarter. A significant driver of improved performance was the recovery of natural gas prices at the Waha hub, which saw realized prices triple from $1.12 to $3.46 per Mcf due to new pipeline capacity. The company is shifting its capital allocation strategy toward returning value to shareholders, having authorized a $35 million share repurchase program while maintaining its quarterly dividend of $0.11 per share. Management noted that cash flow before working capital changes is now sufficient to cover drilling and completion capital expenditures. Looking forward, Granite Ridge aims to leverage operator partnerships in the Permian Basin to secure low-cost drilling locations for less than $2.5 million per net location. The company expects further strengthening of cash generation as production expands and its oil mix increases.
Topics: cash flow earnings natural gas prices production growth share repurchase