Sable Offshore Corp.: Q1 FY2026 earnings call

What management said about Q1 FY2026, from the documents filed with the SEC on 6 May 2026: press release. The quarter’s numbers.

Key takeaways

Oil sales resumed under DOE order: Management said oil sales from the Santa Ynez Unit resumed under a Defense Production Act order from the U.S. Department of Energy. Source
Warrant liability fair value loss: The loss included a non-cash loss of $44.2 million on the change in fair value of warrant liabilities. Source
Capital spending of $44.4 million: Capital expenditures incurred in the first quarter were about $44.4 million. Source
Short-term debt reached $956.3 million: Short-term outstanding debt was $956.3 million at quarter end, including paid-in-kind interest, up from $921.6 million at the end of 2025. Source
Term loan refinancing expected Q2: Management said refinancing discussions for the Senior Secured Term Loan continue, with completion expected in Q2 2026. Source
ATM program sold 7.0 million shares: To date, 7,000,634 shares have been sold under the ATM program for gross proceeds of about $95.0 million. Source

“Successfully resumed sales of American oil from the Santa Ynez Unit in accordance with the Defense Production Act order from the U.S. Department of Energy.”
Sable Offshore Corp., press release

What changed from last quarter

New: Oil sales from the Santa Ynez Unit resumed. The prior release said produced oil was still held in onshore storage pending resumed transportation or an OS&T vessel. Source
New: The company reports share sales under an at-the-market common stock issuance program. The prior release did not describe this program. Source
New: Management reports ongoing discussions to refinance the Senior Secured Term Loan, with completion expected in Q2 2026. Source

Oil sales resumed under DOE order

Oil sales resumed under DOE order: Management said oil sales from the Santa Ynez Unit resumed under a Defense Production Act order from the U.S. Department of Energy. Source
Storage before sales resumed: The prior release said produced oil was held in onshore storage tanks at Las Flores Canyon pending resumed petroleum transportation.
Transport restart cited for costs: The company reported a net loss of $197.0 million and attributed it mainly to operating expenses of restarting oil transportation through the Santa Ynez Pipeline System and oil sales. Source

Net loss and non-cash charges

Non-cash interest of $34.7 million: The loss included non-cash interest expense of $34.7 million. Source
Warrant liability fair value loss: The loss included a non-cash loss of $44.2 million on the change in fair value of warrant liabilities. Source
General and administrative costs included: The loss also included general and administrative expenses, which the release lists without a stated amount. Source

“Sable continues to progress discussions related to the debt refinancing of its Senior Secured Term Loan, expected to be completed in Q2 2026.”
Sable Offshore Corp., press release

Capital spending and pipeline filling

Capital spending of $44.4 million: Capital expenditures incurred in the first quarter were about $44.4 million. Source
One-time pipeline fill costs: Of the $44.4 million, $21.2 million was one-time cost for filling Segments 324 and 325 of the SYPS, and $6.5 million of the total was non-cash. Source
Cash capital payments of $21.1 million: Cash payments for capital expenditures totaled $21.1 million in the first quarter of 2026. Source

Debt, cash and refinancing

Short-term debt reached $956.3 million: Short-term outstanding debt was $956.3 million at quarter end, including paid-in-kind interest, up from $921.6 million at the end of 2025. Source
Cash lower than year-end: Cash and cash equivalents were $52.2 million and accounts payable $37.7 million at quarter end, compared with $97.7 million of cash at the end of 2025. Source
Term loan refinancing expected Q2: Management said refinancing discussions for the Senior Secured Term Loan continue, with completion expected in Q2 2026. Source

Share count and ATM issuance

Shares outstanding at quarter end: The company ended the quarter with 150,321,586 shares of Common Stock outstanding. Source
ATM program sold 7.0 million shares: To date, 7,000,634 shares have been sold under the ATM program for gross proceeds of about $95.0 million. Source
Share sales tied to ATM program: The share sales reported to date are under the ATM common stock issuance program described in the release. Source

Background from prior release

Pipeline classed as interstate facility: The prior release reported that PHMSA concurred the Santa Ynez Pipeline System is an interstate pipeline facility under the Pipeline Safety Act.
Emergency permit for segments 324 and 325: The prior release reported an emergency special permit from PHMSA covering Pipeline Segments 324 and 325, dated December 23, 2025.
OS&T alternative pursued earlier: The prior release said the company was pursuing an OS&T strategy with shuttle tankers as an alternative to the Santa Ynez Pipeline System.

Coming up, as management said on 6 May 2026

Term loan refinancing expected Q2 2026: Management expects the debt refinancing of the Senior Secured Term Loan to be completed in Q2 2026. Source

Figures management reported

Figure	Reported
Capital expenditure Source	about $44.4 million, including $21.2 million one-time costs and $6.5 million non-cash
Cash payments for capital expenditures Source	$21.1 million

Risks management discussed

Financial: Short-term outstanding debt of $956.3 million, including paid-in-kind interest, is a pending item tied to the refinancing. Source
Operational: Operating expenses of restarting oil transportation and oil sales were the main driver of the net loss. Source
Financial: Shares sold under the ATM program increase the count of shares outstanding. Source
Regulatory: Oil sales are described as made under a Defense Production Act order from the U.S. Department of Energy. Source

Earlier plans management reported on

Met: The prior release described sales as pending; the current release reports that sales have resumed. Source
Not stated: Management said the refinancing is expected to be completed in Q2 2026; no status beyond ongoing discussions is given. Source

Other quarters

Summarised with AI from the documents the company filed with the SEC. Every point is checked against the filing before it is shown: management’s own words word for word, figures against the line or table row they come from. A point that fails the check is left out. Source opens the filing at that line.

As filed with the SEC

Open the filing on EDGAR

Sable Offshore Corp. Reports First Quarter 2026 Financial Results

Houston, May 6, 2026 - Sable Offshore Corp. (“Sable,” or the “Company”)(NYSE: SOC) today announced its first quarter 2026 financial results.

First Quarter 2026 Financial Highlights

Successfully resumed sales of American oil from the Santa Ynez Unit in accordance with the Defense Production Act order from the U.S. Department of Energy.
Reported a net loss of $197.0 million, primarily driven by operating expenses associated with the resumption of oil transportation through the Santa Ynez Pipeline System (the “SYPS”) and the resumption of oil sales, as well as general and administrative expenses, non-cash interest expense of $34.7 million, and a non-cash loss on the change in fair value of warrant liabilities of $44.2 million.
Concluded the quarter with short-term outstanding debt of $956.3 million, inclusive of paid-in-kind interest.
Ended the quarter with cash and cash equivalents balance of $52.2 million and accounts payable balance of $37.7 million.
Capital Expenditures incurred in the first quarter were approximately $44.4 million, including $21.2 million in one-time costs attributable to filling Segments 324 and 325 of the SYPS, of which $6.5 million was non-cash.
Cash payments for capital expenditures totaled $21.1 million for the first quarter of 2026.
Ended the quarter with 150,321,586 shares of Common Stock outstanding.
To date, Sable has sold 7,000,634 shares of its common stock for gross proceeds of approximately $95.0 million through its ATM common stock issuance program.
Sable continues to progress discussions related to the debt refinancing of its Senior Secured Term Loan, expected to be completed in Q2 2026.

About Sable

Sable Offshore Corp. is an independent oil and gas company, headquartered in Houston, Texas, focused on responsibly developing the Santa Ynez Unit in federal waters offshore California. The Sable team has extensive experience safely operating in California.

Forward-Looking Statements

Forward-looking statements notice

The information in this press release include “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. When used in this press release, the words “could,” “should,” “will,” “may,” “believe,” “anticipate,” “intend,” “estimate,” “expect,” “project,” “continue,” “plan,” “forecast,” “predict,” “potential,” “future,” “outlook,” and “target,” the negative of such terms and other similar expressions are intended to identify forward- looking statements, although not all forward-looking statements will contain such identifying words. These statements are based on the current beliefs and expectations of Sable’s management and are subject to significant risks and uncertainties. Actual results may differ materially from those described in the forward-looking statements. Factors that could cause Sable’s actual results to differ materially from those described in the forward-looking statements include: the ability to recommence full production of the SYU assets; the cost and time required therefor, and production levels once recommenced; availability of future financing; our ability to consummate a debt refinancing of our Senior Secured Term Loan and the timing and terms thereof; our financial performance; global economic conditions and inflation; increased operating costs; lack of availability of drilling and production equipment, supplies, services and qualified personnel; geographical concentration of operations; environmental and weather risks; regulatory changes and uncertainties; litigation, complaints and/or adverse publicity; privacy and data protection laws, privacy or data breaches, or loss of data; our ability to comply with laws and regulations applicable to our business; and other one-time events and other factors that can be found in Sable’s Annual Report on Form 10-K for the year ended December 31, 2025, which is filed with the Securities and Exchange Commission and is available on Sable’s website (www.sableoffshore.com) and on the Securities and Exchange Commission’s website (www.sec.gov). Except as required by applicable law, Sable undertakes no obligation to publicly release the result of any revisions to these forward-looking statements to reflect the impact of events or circumstances that may arise after the date of this press release.

Contacts
Harrison Breaud
Vice President, Finance & Investor Relations
IR@sableoffshore.com
713-579-8111