Antero Resources Posts Record Third-Quarter Production of 4.234 Billion Cubic Feet Equivalent per Day
Key Facts
Antero Resources reported average net production of 4.234 billion cubic feet equivalent per day in the third quarter of 2026, a company record, according to its financial and operating results. Net income was $367 million, while adjusted net income, a non-GAAP measure, was $256 million. Revenue rose to $1.562837 billion, compared with $1.213994 billion in the third quarter of 2025. Adjusted free cash flow was $215 million, up 137% from the same period. The results came as natural gas prices on NYMEX fell 4%, while the company said production growth and cost reductions supported its performance.
The comparison with the previous quarter shows continued production expansion; the company reported record production of more than 4.1 billion cubic feet equivalent per day in the second quarter of 2026, up 21% year over year. In the third quarter, average gas and liquids production was 4.2 billion cubic feet equivalent per day, including 222 thousand barrels per day of liquids. Antero estimated that forced curtailments totaled about 10 billion cubic feet equivalent during the quarter, meaning reported production came despite some volumes being unable to reach the market. The average realized gas price before derivatives settlements was $2.63 per thousand cubic feet, compared with a benchmark price of $2.95. After derivatives settlements, the realized price rose to $3.15 per thousand cubic feet.
On costs, cash production expenses fell to $2.05 per thousand cubic feet equivalent, from $2.44 a year earlier. The company attributed the decline to continued integration of HG Energy assets and improved firm transportation agreements. The chief executive said net production had increased by about one billion cubic feet equivalent per day over the preceding twelve months, while the company executed and optimized accretive deals. He added that the company had reduced its cost structure by about $0.40 per thousand cubic feet equivalent. The chief financial officer said the margin improvement came "despite a 4% decline in natural gas prices on NYMEX," indicating that lower costs helped support performance in a weaker pricing environment.
On sales, the company completed premium-priced supply agreements for 265 million cubic feet per day, linked to increased in-basin demand in the Clarington market in Ohio. It also repurchased 1.6 million shares during the quarter for about $56 million, at a weighted average price of $34.15 per share. About $821 million remained available under the repurchase program after those transactions. The company targets $140 million in margin improvement initiatives toward a total goal of $300 million by mid-2027. These steps combine expanded sales outlets, returning capital to shareholders and continued efforts to reduce costs.
Antero expects production of about 4.3 billion cubic feet equivalent per day in the fourth quarter of 2026, with estimated curtailments of between 15 and 20 billion cubic feet equivalent because of lower regional prices. It is targeting a drilling and completion budget of $1.2 billion for 2026 and said its development plan is expected to support high-single-digit production growth in 2027. The outlook follows production of more than 4.1 billion cubic feet equivalent per day in the second quarter, then an average of 4.234 billion in the third quarter. The company is scheduled to hold its third-quarter results call on October 29, 2026, at 9 a.m. Mountain Time. Its shares closed at $42.1 on October 27, according to EL7 data.