EQT Corporation press release

EQT Reports Third Quarter 2026 Results

2026-10-27

NYSE - New York Stock Exchange · Natural Gas · Natural Gas Liquids · Oil · United States · Corporate Finance

PR Newswire

CANONSBURG, Pa., Oct. 27, 2026/PRNewswire/ -- EQT Corporation (NYSE: EQT) today announced financial and operational results for the third quarter of 2026.

Third Quarter 2026Results:

Production: Sales volume of 583 Bcfe, inclusive of 21 Bcfe of strategic curtailments Capital Expenditures: $638 million, 10% below the low-end of guidance, driven by lower-than-expected upstream and midstream spending and continued benefit from operational efficiency gains Realized Pricing: Differential of $(0.64) favorable to guidance despite widening basis during the quarter due to benefits from marketing optimization and curtailment strategy Operating Costs: Total per unit operating costs of $1.09 per Mcfe, at the low end of guidance driven by lower-than-expected LOE and production tax Cash Flow: Net cash provided by operating activities of $1,083 million; generated free cash flow attributable to EQT(1) of $283 million Balance Sheet: Exited the quarter with $5.6 billion total debt and just under $5.5 billion net debt(1)

Third Quarter 2026and Recent Highlights:

Range Acquisition:Announced strategic acquisition of Range Resources Corporation, which will create America's largest and only vertically integrated natural gas producer with leading inventory depth, lowest cost structure, a fortress balance sheet and the largest natural gas marketing platform in the country POWER Pipeline: Launched open season for new 42-inch POWER Pipeline project connecting EQT's core Marcellus assets in Pennsylvania to growing demand at the Clarington hub in Ohio LNG Sales Contract: Signed 10-year LNG sales agreement with Ignitis Group, the largest supplier of electricity and natural gas in Lithuania Gulf Coast Storage: Contracted for 7 Bcf of storage capacity at Leaf River Energy Center's salt dome expansion project along the Gulf Coast; increases EQT's Gulf Coast storage capacity up to 11 Bcf and provides optimization flexibility to support the LNG business Dividend Increase: Increased dividend by 3% to $0.68 per share annualized; compounded annual dividend growth rate of ~7% since 2022 with durability underpinned by material cost structure improvements and synergy capture over this period

President and CEO Toby Z. Rice stated, "Third quarter results built on what has been an exceptional year of execution at EQT. Despite downward pressure on natural gas prices during the quarter, our marketing efforts drove stronger realized pricing, operating expenses came in at the low end of guidance and capital spending was well below expectations as efficiencies continue to accrue. This resulted in yet another quarter of greater-than-expected free cash flow generation."

Rice added, "We also announced our strategic combination with Range Resources, pairing two of the highest-quality, longest-duration asset bases in North America and creating a company uniquely positioned for the next era of natural gas. Our expanded resource base solidifies EQT as the operator of choice for premium, long-term supply arrangements and provides unique growth optionality underpinned by contractual demand. We believe this combination creates a must-own energy company capable of generating durable, through-cycle free cash flow while compounding value for shareholders for decades to come."

| (1) | A non-GAAP financial measure. See the Non-GAAP Disclosures section of this news release for the definition of, and other important information regarding, this non-GAAP financial measure. |

Third Quarter2026 Financial and Operational Performance

| | Three Months Ended

September 30, | | | | | | | 2026 | | 2025 | | Change | | | | | | | | | | (Millions, unless otherwise noted) | | | | | | Total sales volume (Bcfe) | 583 | | 634 | | (51) | | Average realized price ($/Mcfe) | $ 2.72 | | $ 2.76 | | $ (0.04) | | Net income attributable to EQT | $ 279 | | $ 336 | | $ (57) | | Adjusted net income attributable to EQT (a) | $ 261 | | $ 329 | | $ (68) | | Diluted income per share (EPS) | $ 0.44 | | $ 0.53 | | $ (0.09) | | Adjusted EPS (a) | $ 0.42 | | $ 0.52 | | $ (0.10) | | Net income | $ 345 | | $ 407 | | $ (62) | | Adjusted EBITDA (a) | $ 1,143 | | $ 1,328 | | $ (185) | | Adjusted EBITDA attributable to EQT (a) | $ 1,021 | | $ 1,200 | | $ (179) | | Net cash provided by operating activities | $ 1,083 | | $ 1,018 | | $ 65 | | Adjusted operating cash flow (a) | $ 1,096 | | $ 1,221 | | $ (125) | | Adjusted operating cash flow attributable to EQT (a) | $ 975 | | $ 1,094 | | $ (119) | | Capital expenditures | $ 638 | | $ 618 | | $ 20 | | Capital contributions to equity method investments | $ 61 | | $ 2 | | $ 59 | | Free cash flow (a) | $ 398 | | $ 601 | | $ (203) | | Free cash flow attributable to EQT (a) | $ 283 | | $ 484 | | $ (201) |

| (a) | A non-GAAP financial measure. See the Non-GAAP Disclosures section of this news release for the definition of, and other important information regarding, this non-GAAP financial measure. |

Per Unit Operating Costs The following table presents certain of the Company's consolidated operating costs on a per unit basis.(a)

| | Three Months Ended

September 30, | | Nine Months Ended

September 30, | | | | | | | 2026 | | 2025 | | 2026 | | 2025 | | | | | | | | | | | | (Per Mcfe) | | | | | | | | Gathering | $ 0.09 | | $ 0.06 | | $ 0.09 | | $ 0.07 | | Transmission | 0.43 | | 0.40 | | 0.42 | | 0.43 | | Processing | 0.12 | | 0.13 | | 0.12 | | 0.14 | | Lease operating expense (LOE) | 0.10 | | 0.09 | | 0.10 | | 0.09 | | Production taxes | 0.05 | | 0.06 | | 0.07 | | 0.07 | | Operating and maintenance (O&M) | 0.10 | | 0.10 | | 0.10 | | 0.09 | | Selling, general and administrative (SG&A) | 0.20 | | 0.16 | | 0.17 | | 0.15 | | Operating costs | $ 1.09 | | $ 1.00 | | $ 1.07 | | $ 1.04 | | | | | | | | | | | Production depletion | $ 0.94 | | $ 0.95 | | $ 0.94 | | $ 0.95 |

| (a) | References in this news release to the "Company" refer to EQT Corporation together with its consolidated subsidiaries. As used throughout this news release, per unit operating costs reflect, for each period presented, the consolidated amount of such operating cost for the Company (aggregated irrespective of business segment) divided by total sales volume (Mcfe). |

Gathering expense per Mcfe increased for the three months ended September 30, 2026 compared to the same period in 2025 due primarily to higher volumes gathered by third parties from wells turned-in-line in the first quarter of 2026.

Transmission expense per Mcfe increased for the three months ended September 30, 2026 compared to the same period in 2025 due primarily to lower sales volume.

Selling, general and administrative expense increased for the three months ended September 30, 2026 compared to the same period in 2025 due primarily to higher long-term incentive compensation costs and higher professional service costs.

Liquidity As of September 30, 2026, the Company had $63 million of borrowings outstanding under EQT Corporation's $3.5 billion revolving credit facility. Total liquidity, excluding available capacity under Eureka Midstream, LLC's (Eureka) revolving credit facility, as of September 30, 2026 was approximately $3.5 billion.

As of September 30, 2026, total debt and net debt(1)were $5.6 billion and $5.5 billion, respectively, compared to $7.8 billion and $7.7 billion, respectively, as of December 31, 2025.

(1) A non-GAAP financial measure. See the Non-GAAP Disclosures section of this news release for the definition of, and other important information regarding, this non-GAAP financial measure.

Fourth Quarter 2026 Outlook The Company expects total sales volume of 550 – 600 Bcfe in the fourth quarter of 2026, which includes the impact of 10 – 20 Bcfe of strategic curtailments. The Company expects $540 – $610 million of maintenance capital expenditures in the fourth quarter of 2026. Strategic growth capital expenditures in the fourth quarter of 2026 are expected to total $185 – $225 million. The Company plans to turn-in-line (TIL) 16 – 26 net wells in the fourth quarter of 2026.

2026 Guidance

| Production | | Q4 2026 | | Full Year 2026 | | Total sales volume (Bcfe) | | 550 – 600 | | 2,375 – 2,450 | | Liquids sales volume, excluding ethane (Mbbl) | | 3,150 – 3,450 | | 14,700 – 15,000 | | Ethane sales volume (Mbbl) | | 1,900 – 2,050 | | 8,850 – 9,000 | | Total liquids sales volume (Mbbl) | | 5,050 – 5,500 | | 23,550 – 24,000 | | | | | | | | Btu uplift (MMBtu/Mcf) | | 1.050 – 1.060 | | 1.050 – 1.060 | | | | | | | | Average Differential ($/Mcf, including basis hedges) | | ($0.65) – ($0.55) | | ($0.55) – ($0.35) | | | | | | | | Resource Counts | | | | | | Top-hole rigs | | 2 – 3 | | 2 – 3 | | Horizontal rigs | | 3 – 4 | | 3 – 4 | | Frac crews | | 2 – 3 | | 2 – 3 | | | | | | | | Third-party Midstream Revenue ($ Millions) | | $145 – $170 | | $600 – $700 | | | | | | | | Per Unit Operating Costs ($/Mcfe) | | | | | | Gathering | | $0.08 – $0.10 | | $0.09 – $0.11 | | Transmission | | $0.43 – $0.45 | | $0.41 – $0.44 | | Processing | | $0.11 – $0.13 | | $0.11 – $0.13 | | LOE | | $0.11 – $0.13 | | $0.10 – $0.12 | | Production taxes | | $0.06 – $0.08 | | $0.07 – $0.09 | | O&M | | $0.12 – $0.14 | | $0.09 – $0.11 | | SG&A | | $0.23 – $0.25 | | $0.18 – $0.20 | | Operating costs | | $1.14 – $1.28 | | $1.05 – $1.20 | | | | | | | | Equity Method Investments and Midstream JV Noncontrolling Interest ($ Millions) | | | | | | Distributions from equity method investments (a) | | $50 – $60 | | $240 – $250 | | Distributions to PipeBox LLC (the Midstream JV) noncontrolling interest (b) | | $100 – $115 | | $430 – $470 | | | | | | | | Capital Expenditures and Capital Contributions ($ Millions) | | | | | | Upstream maintenance | | $435 – $485 | | $1,590 – $1,640 | | Midstream maintenance | | $50 – $60 | | $210 – $220 | | Corporate and capitalized costs | | $55 – $65 | | $220 – $240 | | Total maintenance capital expenditures | | $540 – $610 | | $2,020 – $2,100 | | Growth capital expenditures | | $185 – $225 | | $580 – $640 | | | | | | | | Capital contributions to equity method investments (c) | | $30 – $40 | | $145 – $155 |

| (a) | Includes distributions from Series A of Mountain Valley Pipeline, LLC for MVP Mainline and Laurel Mountain Midstream, LLC (LMM). | | (b) | Assumes Midstream JV cash distributions of 60% to third-party noncontrolling interest. | | (c) | Includes capital contributions to Mountain Valley Pipeline, LLC (the MVP Joint Venture), including to Series A of Mountain Valley Pipeline, LLC for MVP Mainline, Series B of Mountain Valley Pipeline, LLC for MVP Southgate and Series C of Mountain Valley Pipeline, LLC for MVP Boost, and LMM. |

Third Quarter 2026 Earnings Webcast Information The Company has canceled its third quarter 2026 earnings conference call following the announcement of EQT's acquisition of Range. A presentation accompanying third quarter 2026 results is available on the Company's investor relations website, ir.eqt.com, under "Events & Presentations."

Hedging (as of October20, 2026) The following table summarizes the approximate volume and prices of the Company's NYMEX hedge positions. The difference between the fixed price and NYMEX price is included in average differential presented in the Company's price reconciliation.

| | Q4 2026 (a) | | Q1 2027 | | Q2 2027 | | Q3 2027 | | Q4 2027 | | Hedged Volume (MMDth) | 108 | | 62 | | 156 | | 174 | | 70 | | Hedged Volume (MMDth/d) | 1.2 | | 0.7 | | 1.7 | | 1.9 | | 0.8 | | Swaps – Short | | | | | | | | | | | Volume (MMDth) | — | | — | | 83 | | 100 | | 45 | | Avg. Price ($/Dth) | $ — | | $ — | | $ 3.13 | | $ 3.14 | | $ 3.16 | | Calls – Short | | | | | | | | | | | Volume (MMDth) | 108 | | 62 | | 73 | | 74 | | 25 | | Avg. Strike ($/Dth) | $ 5.13 | | $ 5.77 | | $ 4.51 | | $ 4.51 | | $ 4.51 | | Puts – Long | | | | | | | | | | | Volume (MMDth) | 108 | | 62 | | 73 | | 74 | | 25 | | Avg. Strike ($/Dth) | $ 3.72 | | $ 3.65 | | $ 3.00 | | $ 3.00 | | $ 3.00 | | Puts – Short | | | | | | | | | | | Volume (MMDth) | — | | 25 | | 73 | | 74 | | 25 | | Avg. Strike ($/Dth) | $ — | | $ 2.50 | | $ 2.50 | | $ 2.50 | | $ 2.50 |

| (a) October 1 through December 31. |

The Company also entered into derivative instruments to hedge basis. The Company may use other contractual agreements to implement its commodity hedging strategy from time to time.

Non-GAAP Disclosures This news release includes the non-GAAP financial measures described below. These non-GAAP measures are defined and reconciled to the most directly comparable GAAP measure. These non-GAAP measures are intended to provide additional information only and should not be considered as alternatives to, or more meaningful than, net income attributable to EQT Corporation, diluted EPS, net income, net cash provided by operating activities, total Upstream operating revenues, total debt or any other measure calculated in accordance with GAAP. Certain items excluded from these non-GAAP measures are significant components in understanding and assessing a company's financial performance, such as a company's cost of capital, tax structure and historic costs of depreciable assets.

Adjusted Net Income Attributable to EQT and AdjustedEPS Adjusted net income attributable to EQT is defined as net income attributable to EQT Corporation, excluding (gain) loss on sale/exchange of long-lived assets, impairments, the revenue impact of changes in the fair value of derivative instruments prior to settlement and certain other items that the Company's management believes do not reflect the Company's core operating performance. Adjusted EPS is defined as adjusted net income attributable to EQT divided by diluted weighted average common shares outstanding.

The Company's management believes that adjusted net income attributable to EQT and adjusted EPS provide useful information to investors regarding the Company's financial condition and results of operations because it helps facilitate comparisons of operating performance and earnings trends across periods by excluding the impact of items that, in their opinion, do not reflect the Company's core operating performance. For example, adjusted net income attributable to EQT and adjusted EPS reflect only the impact of settled derivative contracts; thus, the measures exclude the often-volatile revenue impact of changes in the fair value of derivative instruments prior to settlement.

The table below reconciles adjusted net income attributable to EQT and adjusted EPS with net income attributable to EQT Corporation and diluted EPS, respectively, the most comparable financial measures calculated in accordance with GAAP, each as derived from the Statements of Condensed Consolidated Operations to be included in EQT Corporation's Quarterly Report on Form 10-Q for the quarter ended September 30, 2026.

| | Three Months Ended

September 30, | | Nine Months Ended

September 30, | | | | | | | 2026 | | 2025 | | 2026 | | 2025 | | | | | | | | | | | | (Thousands, except per share amounts) | | | | | | | | Net income attributable to EQT Corporation | $ 278,691 | | $ 335,862 | | $ 1,977,345 | | $ 1,362,148 | | (Deduct) add: | | | | | | | | | (Gain) loss on sale/exchange of long-lived assets | (2,893) | | (5,623) | | 659 | | (2,402) | | Impairment and expiration of leases | 6,007 | | 3,476 | | 16,062 | | 9,391 | | (Gain) loss on derivatives | (100,287) | | (135,784) | | 93,342 | | (176,829) | | Net cash settlements received (paid) on derivatives | 70,521 | | 74,960 | | (160,527) | | (118,390) | | Other expenses (a) | 3,802 | | 28,962 | | 10,422 | | 182,693 | | Loss on debt extinguishment | 18 | | 1,909 | | 29,887 | | 19,478 | | Tax impact of non-GAAP items (b) | 5,557 | | 24,818 | | 2,570 | | 38,774 | | Adjusted net income attributable to EQT | $ 261,416 | | $ 328,580 | | $ 1,969,760 | | $ 1,314,863 | | | | | | | | | | | Diluted weighted average common shares outstanding | 629,172 | | 628,324 | | 628,992 | | 611,427 | | Diluted EPS | $ 0.44 | | $ 0.53 | | $ 3.14 | | $ 2.23 | | Adjusted EPS | $ 0.42 | | $ 0.52 | | $ 3.13 | | $ 2.15 |

| (a) | Consists primarily of transaction costs associated with acquisitions and other strategic transactions as well as costs related to exploring new venture opportunities. Other expenses for the three and nine months ended September 30, 2025 included the impact of $21.0 million and $24.5 million, respectively, of cash transaction costs related to the Company's acquisition of Olympus Energy (the Olympus Energy Acquisition), and, for the nine months ended September 30, 2025 included the impact of $133.7 million of net expense related to a securities class action settlement. | | (b) | The tax impact of non-GAAP items represents the incremental tax expense/benefit that would have been incurred by the Company had these items been excluded from net income attributable to EQT Corporation. This approach resulted in a blended tax rate of 24.3% and 24.7% for the three months ended September 30, 2026 and 2025, respectively, and 25.3% and 25.1% for the nine months ended September 30, 2026 and 2025, respectively. The blended tax rates differ from the Company's statutory tax rate due primarily to state taxes, including valuation allowances limiting certain state tax benefits. |

Adjusted EBITDA, Adjusted EBITDA Attributable to Noncontrolling Interests and Adjusted EBITDA Attributable to EQT Adjusted EBITDA is defined as net income excluding net interest expense, income tax expense, depreciation, depletion and amortization, (gain) loss on sale/exchange of long-lived assets, impairments, the revenue impact of changes in the fair value of derivative instruments prior to settlement and certain other items that the Company's management believes do not reflect the Company's core operating performance. Adjusted EBITDA attributable to EQT is defined as adjusted EBITDA less adjusted EBITDA attributable to noncontrolling interests. Adjusted EBITDA attributable to noncontrolling interests is defined as the proportionate share of adjusted EBITDA attributable to the third-party ownership interests in the Non-Wholly Owned Consolidated Subsidiaries (defined below).

The Company's management believes that these measures provide useful information to investors regarding the Company's financial condition and results of operations because they help facilitate comparisons of operating performance and earnings trends across periods by excluding the impact of items that, in their opinion, do not reflect the Company's core operating performance. For example, adjusted EBITDA reflects only the impact of settled derivative instruments and excludes the often-volatile revenue impact of changes in the fair value of derivative instruments prior to settlement. In addition, adjusted EBITDA includes the impact of distributions received from equity method investments, which excludes the impact of depreciation included within equity earnings from equity method investments and helps facilitate comparisons of the core operating performance of the Company's equity method investments.

The table below reconciles adjusted EBITDA and adjusted EBITDA attributable to EQT with net income, the most comparable financial measure as calculated in accordance with GAAP, as reported in the Statements of Condensed Consolidated Operations to be included in EQT Corporation's Quarterly Report on Form 10-Q for the quarter ended September 30, 2026.

| | Three Months Ended

September 30, | | Nine Months Ended

September 30, | | | | | | | 2026 | | 2025 | | 2026 | | 2025 | | | | | | | | | | | | (Thousands) | | | | | | | | Net income | $ 345,077 | | $ 407,216 | | $ 2,180,455 | | $ 1,579,290 | | Add (deduct): | | | | | | | | | Interest expense, net | 72,152 | | 109,929 | | 244,381 | | 333,166 | | Income tax expense | 86,682 | | 129,266 | | 604,967 | | 443,549 | | Depreciation, depletion and amortization | 639,783 | | 688,382 | | 1,984,167 | | 1,932,628 | | (Gain) loss on sale/exchange of long-lived assets | (2,893) | | (5,623) | | 659 | | (2,402) | | Impairment and expiration of leases | 6,007 | | 3,476 | | 16,062 | | 9,391 | | (Gain) loss on derivatives | (100,287) | | (135,784) | | 93,342 | | (176,829) | | Net cash settlements received (paid) on derivatives | 70,521 | | 74,960 | | (160,527) | | (118,390) | | Other expenses (a) | 3,802 | | 28,962 | | 10,422 | | 182,693 | | Income from investments | (43,688) | | (44,638) | | (165,929) | | (138,274) | | Distributions from equity method investments | 65,760 | | 69,679 | | 187,083 | | 202,560 | | Loss on debt extinguishment | 18 | | 1,909 | | 29,887 | | 19,478 | | Adjusted EBITDA | 1,142,934 | | 1,327,734 | | 5,024,969 | | 4,266,860 | | Deduct: Adjusted EBITDA attributable to noncontrolling interests (b) | (121,851) | | (128,230) | | (389,892) | | (390,194) | | Adjusted EBITDA attributable to EQT | $ 1,021,083 | | $ 1,199,504 | | $ 4,635,077 | | $ 3,876,666 |