Corpus Christi Stage 3 Trains 5 and 6 Reach Substantial Completion
Trains 5 and 6 of the Corpus Christi Stage 3 Project achieved substantial completion in March and June 2026, respectively, adding to production capacity.
Source: 10-Q Item 2 MD&A
Computed from published fixed rules, not a model's judgement — though one input, the count of high-severity risks, comes from the AI analysis below.
Not investment advice and not a price target: it scores the quarter's fundamentals, not the stock. Full methodology →
AI Takeaway
Cheniere Energy reported second quarter fiscal 2026 results that reflected a surge in net income driven by non-cash derivative gains and the ramp-up of new LNG production capacity. Favorable changes in the fair value of derivative instruments, primarily from long-term IPM agreements, added $1.4 billion to net income, while LNG deliveries grew 20% on the back of the newly commissioned Corpus Christi Stage 3 Trains 5 and 6. However, the gains were largely non-cash and highlight the earnings volatility inherent in the company's derivative portfolio, though the recent NPNS designation for most IPM contracts is expected to mitigate such swings going forward.
Revenue
$5.73B
+23.51% YoY
EPS (Diluted)
$14.65
+100.68% YoY
Operating Income
$4.29B
+69.57% YoY
Source: SEC XBRL
Cheniere Energy (LNG) reported Q2 FY2026 revenue of $5.73B, up 23.5% year over year. Operating margin was 74.8%, up 20.3 points from 54.5% a year earlier. LNG's fiscal Q2 FY2026 corresponds to calendar Q2 2026.
Last 4 quarters: 3 beats
| Quarter | Actual EPS (USD) | Consensus (USD) | Result |
|---|---|---|---|
| Mar 2026 | -16.75 | 4.23 | Miss -495.9% |
| Dec 2025 | 10.68 | 3.94 | Beat +171.2% |
| Sep 2025 | 4.75 | 2.97 | Beat +60.1% |
| Jun 2025 | 7.30 | 2.55 | Beat +185.7% |
Compiled by AI from 10-Q Item 2 of this filing
Trains 5 and 6 of the Corpus Christi Stage 3 Project achieved substantial completion in March and June 2026, respectively, adding to production capacity.
Source: 10-Q Item 2 MD&A
A favorable change in the fair value of derivatives, primarily from IPM agreements, contributed $1.4 billion to net income for the quarter.
Source: 10-Q Item 2 MD&A
Cheniere designated the normal purchases and normal sales exception for certain IPM agreements, covering 73% of fixed minimum volumes, which will reduce mark-to-market earnings volatility going forward.
Source: 10-Q Item 2 MD&A
LNG volumes recognized rose from 551 TBtu to 660 TBtu, driven by the operational start of additional midscale trains.
Source: 10-Q Item 2 MD&A
The company repurchased $550 million of shares in Q2 and $1.1 billion in H1 2026, following a board increase in the repurchase authorization to $10 billion through 2030.
Source: 10-Q Item 2 MD&A
Compiled by AI from this SEC filing · 2 high, 3 medium, 0 low
Earnings are sensitive to global LNG and U.S. natural gas price spreads, which caused a $3.4 billion unfavorable derivative swing in the first half of 2026.
Source: 10-Q Item 2 MD&A
Despite the NPNS designation, remaining derivative instruments expose earnings to significant mark-to-market swings that may not reflect operational performance.
Source: 10-Q Item 2 MD&A
The company has multiple large projects under construction (CCL Midscale Trains 8 & 9, SPL Expansion) which are subject to cost overruns, delays, and contractor performance.
Source: 10-Q Item 2 MD&A
Expansion projects require approvals from FERC and DOE; delays or adverse decisions could impede growth plans.
Source: 10-Q Item 2 MD&A
With a debt-to-equity ratio of 5.89x and current ratio below 1.0, the company relies on sustained operating cash flow to service debt and fund capital returns.
Source: 10-Q Balance Sheet (XBRL)
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Revenue $B | 5.73 $B | 4.64 $B | +23.51% |
Operating Income $B | 4.29 $B | 2.53 $B | +69.57% |
Net Income $B | 3.07 $B | 1.63 $B | +88.68% |
EPS (Basic) $ | 14.68 $ | 7.32 $ | +100.55% |
EPS (Diluted) $ | 14.65 $ | 7.30 $ | +100.68% |
SG&A Expense $M | 88.00 $M | 99.00 $M | -11.11% |
Answers draw on this SEC filing and the data on this page
Expected release date, analyst estimates & what to watch
LNG reported a massive net loss of $3.50B in Q1 FY2026, a dramatic reversal from a $353M profit a year ago, driven by a steep operating loss of $3.49B, even as revenue grew 7.8% to $5.87B.
LNG (Cheniere Energy) delivered a strong FY2025 with revenue surging 27.2% to $19.98B and operating income jumping 48.7% to $9.11B, driven by robust LNG demand and disciplined cost management, while returning $3.18B to shareholders via buybacks and dividends.