Range Resources Corporation — Third Quarter 2026 Earnings Summary

Financial Performance:

• GAAP revenues and other income totaled $843 million, an increase of 13% year-over-year compared to $749 million in the third quarter of 2025.
• GAAP net income was $175 million ($0.75 per diluted share), up 21% from $144 million ($0.60 per diluted share) in the prior year period.
• GAAP net cash provided from operating activities was $308 million, compared to $248 million in the third quarter of 2025.
• Cash flow from operations before changes in working capital (non-GAAP) was $347 million, compared to $279 million in the prior year.
• Adjusted net income (non-GAAP) was $191 million ($0.81 per diluted share), compared to $135 million ($0.57 per diluted share) in the prior year.
• Total unit costs plus DD&A were $2.35 per mcfe, a 1% decrease from $2.37 per mcfe in the third quarter of 2025.
• Total cash unit costs remained flat at $1.91 per mcfe compared to the prior year.
• Direct operating costs per mcfe increased 18% to $0.13 from $0.11 in the prior year.
• Transportation, gathering, processing, and compression costs per mcfe increased 3% to $1.52 from $1.47 in the prior year.
• Interest expense per mcfe decreased 45% to $0.06 from $0.11 in the prior year.
• Cash margin was $350 million ($1.52 per mcfe), up from $278 million ($1.36 per mcfe) in the prior year.
• Net debt outstanding was approximately $794 million as of September 30, 2026, down from $1.22 billion as of December 31, 2025.

Guidance and Future Outlook:

• Management stated the company is exiting 2026 in the strongest position in its history.
• The pending transaction with EQT Corporation is expected to allow the combined entity to scale its business, expand reach to meet demand, and accelerate its mission.
• The merger is anticipated to provide improved market access, best-in-class inventory, enhanced cash flow generation, and fortified resiliency.
• No specific numerical forward guidance for revenue, production, or capital expenditures was provided in the release.

Business Segments and Product Lines:

• Net production averaged 2.50 Bcfe per day, approximately 68% natural gas.
• Liquids production reached a record 133,173 barrels per day.
• Realized price including hedges was $3.43 per mcfe, a $0.48 premium versus NYMEX natural gas.
• Pre-hedge NGL realizations were $27.54 per barrel, a $1.54 premium over the Mont Belvieu equivalent.
• Crude oil and condensate price realizations before hedges averaged $75.57 per barrel, $10.03 below WTI.
• Third quarter capital spending was $170 million, representing approximately 25% of the annual 2026 budget.
• Drilling and completion expenditures were $160 million; $5 million was invested in acreage, and $5 million in infrastructure, pneumatic upgrades, and other investments.
• Range drilled approximately 178,000 lateral feet across 10 wells and turned to sales approximately 240,000 feet across 17 wells.
• As of the end of the quarter, 55 wells had been turned to sales year-to-date in Appalachia, with 13 remaining planned for 2026.

Market and Competitive Landscape:

• Range operates as a leading U.S. independent natural gas and NGL producer focused in the Appalachian Basin.
• The company cited strong well performance and expanded infrastructure in its liquids-rich area as key drivers for record production.
• Strategic access to international markets contributed to strong cash margins and free cash flow.
• The pending merger with EQT Corporation is positioned to improve market access and create a larger combined entity.

Risks and Challenges:

• Risks include the potential termination of the merger agreement, failure of shareholders to approve the transaction, or inability to obtain required governmental and regulatory approvals.
• Risks associated with the transaction include disruption of management time, adverse effects on stock price, unexpected costs, litigation, and difficulties in retaining key personnel or maintaining customer relationships.
• Integration risks include the potential failure to achieve anticipated synergies or operating efficiencies.
• Business risks include volatility in commodity prices, regulatory or legislative actions, credit rating changes, public health crises, and operational disruptions due to war, accidents, or severe weather.
• The combined company may face risks related to identifying and mitigating hazards inherent in the global energy industry.

Management Commentary and Tone:

• CEO Dennis Degner described the results as showing "consistent progress" on the multi-year development plan.
• Management expressed "considerable momentum" and confidence in the company's financial position.
• The pending transaction with EQT is characterized as a "natural next step" to drive profitable growth and shareholder value creation.
• Management highlighted the record liquids production and strong cash flow as evidence of the company's strengthened financial position.

Other Key Points:

• Range announced a pending merger transaction with EQT Corporation.
• Range will not host a conference call or webcast to discuss third quarter 2026 results due to the pending merger.
• No shares were repurchased during the quarter; $1.4 billion remained available under the authorized share repurchase program as of September 30, 2026.
• The combined fair value of natural gas basis hedges as of September 30, 2026, was a net loss of $8.4 million.
• GAAP earnings included a $58 million mark-to-market derivative gain due to decreases in commodity prices.
• Range has elected not to disclose probable and possible reserves in its SEC filings.