EQT Corporation

What they do

EQT explores for, develops, produces, gathers, and transmits natural gas, NGLs, and oil in the Appalachian Basin. As of December 31, 2025, it held 28.0 Tcfe of proved reserves across approximately 2.3 million gross acres and about 2,945 miles of pipeline. The company operates in three segments: Upstream, Gathering, and Transmission, and owns an investment in Mountain Valley Pipeline (MVP A).

Revenue drivers

• Upstream natural gas, NGLs, and oil sales — Primary revenue source; 2025 total sales volume was 634 Bcfe in Q2 2026 alone; subject to commodity price volatility.
• Gathering and transmission services — Provides stable, annuity-like revenue from midstream assets; affiliate transactions increase internal revenues but are eliminated in consolidation.
• Power and LNG contracts — Signed 10-year supply deal with CPV for 325,000 Dth/d linked to PJM power prices and 5-year LNG offtake with Asian buyer for 0.5 MTPA starting 2028.

Recent performance

For Q2 2026, EQT reported total sales volume of 634 Bcfe, above guidance, with net cash from operations of $1,048 million and free cash flow of $330 million. Capital expenditures were $666 million, below guidance. Full-year 2025 revenue was $8.64B with net income of $2.04B. Quarterly revenue for Q2 2026 was $1.81B, down from $3.38B in Q1 2026. The company exited Q2 2026 with $5.5 billion net debt.

Strategy

EQT focuses on low-cost, large-scale combo-development projects, leveraging its extensive infrastructure and digital capabilities. The company aims to generate durable free cash flow across commodity cycles, returning capital via dividends and share repurchases. Recent actions include acquiring Blackline Midstream for $77 million, accelerating MVP Southgate construction, and signing long-term supply agreements. Management also emphasizes low emissions and maintaining investment-grade credit metrics.

Risks

• Commodity price volatility — Natural gas prices are volatile, and lower prices can lead to curtailments and reduced revenue; Q2 2026 realized differential was $(0.67).
• Operational and drilling risks — High-risk activities including drilling, completion, and pipeline operations can be delayed by equipment shortages, permitting, and other factors.
• Regulatory and geopolitical uncertainty — Changes in regulations, tariffs, and geopolitical tensions (e.g., Venezuela, Russia, Ukraine) can affect prices and operations.
• Integration and transaction execution — Recent acquisitions and divestitures (Olympus Energy, NEPA divestitures, Blackline) may not achieve expected benefits and could strain operations.

Outlook

Management raised 2026 production guidance by 90 Bcfe due to compression investments and lowered full-year capital spending guidance by $25 million. They expect 2026 commodity prices to remain volatile. The OBBBA is expected to favorably defer federal income taxes over five years. EQT plans to complete MVP Southgate by year-end 2026 and expects the LNG offtake to increase 2028 free cash flow by $45 million.