Why did this $2.7 billion ASX 200 energy share just crash 11%?

Investors are fleeing the ASX 200 energy stock today. But why?

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S&P/ASX 200 Index (ASX: XJO) energy share Beach Energy Ltd (ASX: BPT) is getting hammered today.

Beach Energy shares closed yesterday trading for $1.29. In morning trade on Thursday, shares just crashed to $1.15, down 10.9%. At the time of writing, shares are changing hands for $1.16, down 10.1%, giving the company a current market cap of $2.7 billion.

For some context, the ASX 200 is down 0.5% at this same time.

This underperformance follows the release of Beach Energy's June quarter update.

Here's what's happening.

ASX 200 energy share tumbles on quarterly revenue slump

Investors are pressuring the ASX 200 energy share today, with Beach reporting a 4% quarter-on-quarter fall in production to 4.6 million barrels of oil equivalent (MMboe). Production was impacted by flooding in the Cooper Basin, which offset higher production from the company's Otway and Bass basins.

FY 2025 full-year production of 19.7 MMboe was 9% above FY 2024.

Total quarterly sales volumes of 5,896 kboe were down 9% quarter on quarter, which management said was due to one less Waitsia LNG cargo. FY 2025 full-year sales volumes were up 16% year on year to 24.7 MMboe.

Quarterly revenue for the ASX 200 energy share was impacted by the lower volumes, along with a 16% decline in Beach's average realised oil price to $111 per barrel. The company's average realised gas price was in line with the prior quarter at $10.9 per GJ.

All told, this saw June quarter sales revenue slump by 17% quarter on quarter.

Capital expenditure came in at $168 million, in line with the prior quarter.

As at 30 June, Beach had total liquidity of $652 million, down from $708 million at 31 March.

Beach also noted that it expects to record a non-cash impairment charge of $674 million ($474 million after tax) in its FY 2025 full-year result, which it said is predominantly driven by the fall in global commodity prices.

What did management say?

Commenting on the results that are pressuring the ASX 200 energy share today, Beach Energy CEO Brett Woods said, "Beach ended the financial year with strong results for the fourth quarter, material growth in production and revenue for full year FY25 and a strengthened Balance Sheet to pursue growth opportunities."

Woods added:

In the West, good progress was made with the final stages of the Waitsia Stage 2 project with construction of the Waitsia Gas Plant complete and commissioning well progressed as we work towards first gas during Q1 FY 2026…

In the Cooper Basin, the significant flood event is playing out as previously advised. Flood levels have peaked and waters are beginning to recede slowly, however, we expect a continuing impact on production during the first half of FY 2026.

The ASX 200 energy share is scheduled to release its FY 2025 full-year results on 4 August.

Motley Fool contributor Bernd Struben has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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