EQT earnings analysis
What we found in EQT's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
EQT's Q2 GAAP diluted EPS was $0.34, with total operating revenue of $1.810 billion, as lower realized gas prices and a much smaller derivative gain drove net income down to $211 million from $784 million a year earlier. Operational performance was constructive: upstream volumes rose 11.7%, while both Gathering and Transmission expanded revenue and operating income. First-half operating cash flow increased to $4.103 billion, supporting liquidity and planned investment, but profitability remains highly sensitive to natural-gas prices and derivatives.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Upstream volume rose 11.7%
- Q2 sales volume increased 11.7% year over year to 634,474 MMcfe, or 6,972 MMcfe/d. Management attributed the increase principally to 48 Bcfe from Olympus Energy assets, new wells and well-performance optimization.
- Gathering delivered revenue growth
- Gathering revenue grew 6.6% to $341.3 million and operating income rose 5.5% to $216.7 million. Total gathered volume increased 10.7% to 10,875 BBtu/d.
- Transmission growth remained positive
- Transmission revenue increased 4.9% to $141.2 million and operating income grew 3.3% to $93.0 million. Firm throughput rose 11.1% to 4,700 BBtu/d.
- Strong first-half operating cash flow
- Six-month operating cash flow rose to $4.103 billion from $2.983 billion, while cash capital expenditures were $1.249 billion versus $1.049 billion. This implies approximately $2.854 billion of pre-discretionary free cash generation for the first half.
- Liquidity outlook supports planned spending
- Management expects Q3 sales volumes of 570-620 Bcfe and total capital expenditures of $710-$820 million. It states operating cash flow and revolver availability should cover planned spending, debt service and other requirements for at least the next 12 months.
- Capital-return capacity remains available
- The Board declared a $0.165-per-share quarterly dividend, payable September 1, 2026. EQT also had $1.4 billion remaining under its share-repurchase authorization at June 30, 2026.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- Year-over-year earnings contracted sharply
- Net income attributable to EQT fell to $211 million, or $0.34 per diluted share, from $784 million, or $1.30 per diluted share, in Q2 2025. The company cited lower derivative gains and lower realized natural-gas prices as the primary drivers.
- Price and derivative gains pressured upstream
- Upstream operating income declined 89.1% to $109.4 million as operating revenue fell 31.3% to $1.664 billion. The gain on derivatives dropped to $44.6 million from $720.0 million, while average sales price fell 15.1% to $2.54/Mcfe.
- Natural-gas price volatility remains material
- Commodity-price exposure remains material: a hypothetical 10% increase in NYMEX gas prices would reduce the fair value of natural-gas derivatives by approximately $117 million at June 30, 2026. Management expects commodity-price volatility to continue through the remainder of 2026.
- No formal risk-factor update; new lease commitment
- The filing states there were no material changes to risk factors previously disclosed in the 2025 Form 10-K. New commitments nevertheless include two 10-year LNG-vessel leases expected to commence in 2028, with approximately $295 million of undiscounted minimum payments per vessel.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $0.34
- Segment
- Upstream operating revenue: $1.664 billion, down $756.9 million (31.3%) year over year
- Segment
- Gathering operating revenue: $341.3 million, up $21.1 million (6.6%) year over year
- Segment
- Transmission operating revenue: $141.2 million, up $6.6 million (4.9%) year over year
What they said about what is next.
The 10-Q provides Q3 operational planning assumptions rather than revenue or EPS guidance: sales volume of 570-620 Bcfe, total capital expenditures of $710-$820 million, and equity-method-investment contributions of $60-$70 million. Previously announced full-year 2026 sales-volume guidance was raised to 2,375-2,450 Bcfe and maintenance CapEx was reduced to $2.040-$2.190 billion; no revenue or EPS outlook was provided.
The filing reads about the same as the one before it.
What came before.
- 10-Q · April 22, 2026
- EQT reported strong Q1 2026 operational and cash results: total operating revenues of $3,378,736,000, operating income of $2,035,960,000 and diluted EPS of $2.36. Operating cash flow was $3,055,047,000 and implied free…
- 10-K · February 18, 2026
- EQT's 2025 10-K emphasizes a low-cost, vertically integrated natural gas strategy anchored in 'combo-development' and midstream annuity-like cash flows. 2025 results show meaningful scale-up: total operating revenues of…
- 10-Q · October 22, 2025
- EQT reported a strong quarter: total operating revenues of $1,958,571 (thousands) in Q3 2025, up from $1,283,802 (thousands) a year ago, driving operating income of $603,210 (thousands) versus an operating loss of…
- 10-Q · July 23, 2025
- Q2 2025 results reflect a strong post‑merger operating performance driven by higher commodity realizations and inclusion of midstream operations from the Equitrans Midstream Merger. Total operating revenues rose to…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
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