Q2 2026 Earnings

Reported August 3, 2026NEW

Quarter Comparison

Revenue

Operating Income

Gross Margin

Net Margin

Free Cash Flow

Income Statement

Cash Flow Statement

Balance Sheet

Operating metrics disclosed this quarter

Read from the filing itself — XBRL does not carry these, so no standard financial dataset has them.

Delaware Basin Combined Production
7.4K
Production Data. Substantially all of our revenues are generated through the sale of oil, natural gas and natural gas liquids production. The following tables provide information on the mix of our production for the periods indicated: Three Months Ended June 30, 2026 | | | March 31, 2026 Oil (MBbls) | | 52 | | % | | | 53 | | % Natural gas (MMcf) | | 23 | | | | 22 Natural gas liquids (MBbls) | | 25 | | | | 25 100 | | % | | | 100 | | % Three Months Ended June 30, 2026 | | | Three Months Ended March 31, 2026 Midland Basin | | | Delaware Basin Other Total | | | Midland Basin | | | Delaware Basin Other Total Production Data: Oil (MBbls) | | 44,209 | | | | 3,565 | | | | 17 | | | | 47,791 | | | | 42,907 | | | | 3,721 | | | | 261 | | | | 46,889 Natural gas (MMcf) | | 115,656 | | | | 12,242 | | | | 381 | | | | 128,279 | | | | 104,171 | | | | 12,878 | | | | 1,353 | | | | 118,402 Natural gas liquids (MBbls) | | 21,662 | | | | 1,760 | | | | 14 | | | | 23,436 | | | | 19,591 | | | | 1,804 | | | | 124 | | | | 21,519 Total (MBOE) | | 85,147 | | | | 7,365 | | | | 95 | | | | 92,607 | | | | 79,860 | | | | 7,671 | | | | 611 | | | | 88,142
Delaware Basin NGL Production
1.8K
Production Data. Substantially all of our revenues are generated through the sale of oil, natural gas and natural gas liquids production. The following tables provide information on the mix of our production for the periods indicated: Three Months Ended June 30, 2026 | | | March 31, 2026 Oil (MBbls) | | 52 | | % | | | 53 | | % Natural gas (MMcf) | | 23 | | | | 22 Natural gas liquids (MBbls) | | 25 | | | | 25 100 | | % | | | 100 | | % Three Months Ended June 30, 2026 | | | Three Months Ended March 31, 2026 Midland Basin | | | Delaware Basin Other Total | | | Midland Basin | | | Delaware Basin Other Total Production Data: Oil (MBbls) | | 44,209 | | | | 3,565 | | | | 17 | | | | 47,791 | | | | 42,907 | | | | 3,721 | | | | 261 | | | | 46,889 Natural gas (MMcf) | | 115,656 | | | | 12,242 | | | | 381 | | | | 128,279 | | | | 104,171 | | | | 12,878 | | | | 1,353 | | | | 118,402 Natural gas liquids (MBbls) | | 21,662 | | | | 1,760 | | | | 14 | | | | 23,436 | | | | 19,591 | | | | 1,804 | | | | 124 | | | | 21,519 Total (MBOE) | | 85,147 | | | | 7,365 | | | | 95 | | | | 92,607 | | | | 79,860 | | | | 7,671 | | | | 611 | | | | 88,142

Production Data. Substantially all of our revenues are generated through the sale of oil, natural gas and natural gas liquids production. The following tables provide information on the mix of our production for the periods indicated: Three Months Ended June 30, 2026 | | | March 31, 2026 Oil (MBbls) | | 52 | | % | | | 53 | | % Natural gas (MMcf) | | 23 | | | | 22 Natural gas liquids (MBbls) | | 25 | | | | 25 100 | | % | | | 100 | | % Three Months Ended June 30, 2026 | | | Three Months Ended March 31, 2026 Midland Basin | | | Delaware Basin Other Total | | | Midland Basin | | | Delaware Basin Other Total Production Data: Oil (MBbls) | | 44,209 | | | | 3,565 | | | | 17 | | | | 47,791 | | | | 42,907 | | | | 3,721 | | | | 261 | | | | 46,889 Natural gas (MMcf) | | 115,656 | | | | 12,242 | | | | 381 | | | | 128,279 | | | | 104,171 | | | | 12,878 | | | | 1,353 | | | | 118,402 Natural gas liquids (MBbls) | | 21,662 | | | | 1,760 | | | | 14 | | | | 23,436 | | | | 19,591 | | | | 1,804 | | | | 124 | | | | 21,519 Total (MBOE) | | 85,147 | | | | 7,365 | | | | 95 | | | | 92,607 | | | | 79,860 | | | | 7,671 | | | | 611 | | | | 88,142

Delaware Basin Oil Production

3.6K

Midland Basin Combined Production

85.1K

Midland Basin NGL Production

21.7K

Midland Basin Natural Gas Production

115.7K

Midland Basin Oil Production

44.2K

Other-Area Combined Production

Other-Area NGL Production

Other-Area Natural Gas Production

381

Other-Area Oil Production

Gross Operated Horizontal Wells Completed

168

The following table sets forth the total number of operated horizontal wells drilled and completed during the periods indicated: Three Months Ended June 30, 2026 Six Months Ended June 30, 2026 Drilled Completed (1) Drilled Completed (2) Area: | | Gross | | | Net | | | Gross | | | Net | | | Gross | | | Net | | | Gross | | | Net Midland Basin | | 97 | | | | 89 | | | | 168 | | | | 157 | | | | 215 | | | | 200 | | | | 315 | | | | 294 Total | | 97 | | | | 89 | | | | 168 | | | | 157 | | | | 215 | | | | 200 | | | | 315 | | | | 294 (1) The average lateral length for the wells completed during the second quarter of 2026 was 11,983 feet. Operated completions during the second quarter of 2026 consisted of 41 Wolfcamp B wells, 38 Wolfcamp A wells, 31 Jo Mill wells, 31 Lower Spraberry wells, 13 Middle Spraberry wells, seven Wolfcamp D wells, five Dean wells, one Barnett well and one Upper Spraberry well. (2) The average lateral length for the wells completed during the six months ended June 30, 2026 was 11,679 feet. Operated completions during the six months ended June 30, 2026 consisted of 71 Wolfcamp B wells, 69 Wolfcamp A wells, 63 Lower Spraberry wells, 62 Jo Mill wells, 20 Middle Spraberry wells, 15 Wolfcamp D wells, 11 Dean wells, three Upper Spraberry wells and one Barnett well.

Net Operated Horizontal Wells Completed

157

Gross Operated Horizontal Wells Drilled

Net Operated Horizontal Wells Drilled

Non-Operated Working-Interest Wells - Gross

1.9K

As of June 30, 2026, we operated the following wells: As of June 30, 2026 Vertical Wells | | | Horizontal Wells | | | Total Area: | | Gross | | | Net | | | Gross | | | Net | | | Gross | | | Net Midland Basin | | 4,368 | | | | 4,154 | | | | 5,179 | | | | 4,867 | | | | 9,547 | | | | 9,021 Delaware Basin | | 36 | | | | 30 | | | | 457 | | | | 427 | | | | 493 | | | | 457 Total | | 4,404 | | | | 4,184 | | | | 5,636 | | | | 5,294 | | | | 10,040 | | | | 9,478 As of June 30, 2026, we and Viper held interests in 44,314 gross (9,810 net) wells, including 1,909 gross (331 net) wells in which we have a non-operated working interest.

Non-Operated Working-Interest Wells - Net

331

Total Operated Wells - Gross

10.0K

Total Operated Wells - Net

9.5K

Delaware Basin Net Acres

93.6K

Upstream Operations Our activities are primarily directed at the horizontal development of the Wolfcamp, Spraberry and Barnett formations in the Midland Basin and the Wolfcamp and Bone Spring formations in the Delaware Basin within the Permian Basin. Additionally, our publicly-traded subsidiary, Viper, is focused on owning and acquiring mineral interests and royalty interests in oil and natural gas properties primarily in the Permian Basin and derives royalty income and lease bonus income from such interests. As of June 30, 2026, we had approximately 902,005 net acres in the Permian Basin, which included approximately 808,401 net acres in the Midland Basin and 93,604 net acres in the Delaware Basin.

Midland Basin Net Acres

808.4K

Permian Basin Net Acres

902.0K

Average Realized Combined Price

$51.68

The following table sets forth selected operating data for the periods indicated: Three Months Ended June 30, 2026 | | | March 31, 2026 Revenues (In millions): Oil sales | | $ | | 4,627 | | | | $ | | 3,445 Natural gas sales | | (276) | | | | 21 Natural gas liquid sales | | 435 | | | | 359 Total oil, natural gas and natural gas liquid revenues | | $ | | 4,786 | | | | $ | | 3,825 Production Data: Oil (MBbls) | | 47,791 | | | | 46,889 Natural gas (MMcf) | | 128,279 | | | | 118,402 Natural gas liquids (MBbls) | | 23,436 | | | | 21,519 Combined volumes (MBOE) (1) 92,607 | | | | 88,142 Daily oil volumes (BO/d) | | 525,176 | | | | 520,989 Daily combined volumes (BOE/d) | | 1,017,659 | | | | 979,356 Average Prices: Oil ($ per Bbl) | | $ | | 96.82 | | | | $ | | 73.47 Natural gas ($ per Mcf) | | $ | | (2.15) | | | | $ | | 0.18 Natural gas liquids ($ per Bbl) | | $ | | 18.56 | | | | $ | | 16.68 Combined ($ per BOE) | | $ | | 51.68 | | | | $ | | 43.40 Oil, hedged ($ per Bbl) (2) $ | | 94.33 | | | | $ | | 72.53 Natural gas, hedged ($ per Mcf) (2) $ | | (0.34) | | | | $ | | 1.90 Natural gas liquids, hedged ($ per Bbl) (2) $ | | 18.56 | | | | $ | | 16.68 Average price, hedged ($ per BOE) (2) $ | | 52.90 | | | | $ | | 45.21 (1) Bbl equivalents are calculated using a conversion rate of six Mcf per Bbl. (2) Hedged prices reflect the effect of our commodity derivative transactions on our average sales prices and include gains and losses on cash settlements for matured commodity derivatives, which we do not designate for hedge accounting. Hedged prices exclude gains or losses resulting from the early settlement of commodity derivative contracts.

Average Realized NGL Price

$18.56

Average Realized Natural Gas Price

$-2.15

Average Realized Oil Price

$96.82

Combined Production Volume

92.6K

Natural Gas Liquids Production Volume

23.4K

Natural Gas Production Volume

128.3K

Oil Production Volume

47.8K

NGL Production Mix

Natural Gas Production Mix

Oil Production Mix

Daily Combined Production

1.0M

Daily Oil Production

525.2K

Wells With Interests - Gross

44.3K

Wells With Interests - Net

9.8K

Ad Valorem Tax per BOE

$0.66

Lease Operating Expenses. The following table shows lease operating expenses for the periods indicated: Three Months Ended June 30, 2026 | | | March 31, 2026 (In millions, except per BOE amounts) | | Amount | | | Per BOE | | | Amount | | | Per BOE Lease operating expenses | | $ | | 552 | | | | $ | | 5.96 | | | | $ | | 547 | | | | $ | | 6.21 Lease operating expenses increased for the second quarter of 2026 compared to the first quarter of 2026 primarily due to higher production volumes, which was largely offset by the benefit of the Company’s cost discipline initiatives and other individually insignificant activity. Production and Ad Valorem Tax Expense. The following table shows production and ad valorem tax expense for the periods indicated: Three Months Ended June 30, 2026 | | | March 31, 2026 (In millions, except per BOE amounts) | | Amount | | | Per BOE | | | Percentage of oil, natural gas and natural gas liquids revenue | | | Amount | | | Per BOE | | | Percentage of oil, natural gas and natural gas liquids revenue Production taxes | | $ | | 241 | | | | $ | | 2.60 | | | | 5.0 | | % | | | $ | | 186 | | | | $ | | 2.11 | | | | 4.9 | | % Ad valorem taxes | | 61 | | | | 0.66 | | | | 1.3 | | | | 82 | | | | 0.93 | | | | 2.1 Total production and ad valorem expense | | $ | | 302 | | | | $ | | 3.26 | | | | 6.3 | | % | | | $ | | 268 | | | | $ | | 3.04 | | | | 7.0 | | % In general, production taxes are directly related to production revenues and are based upon current year commodity prices. Production taxes as a percentage of oil, natural gas and natural gas liquids revenue remained consistent from the first quarter of 2026 to the second quarter of 2026. Ad valorem taxes are based, among other factors, on property values driven by prior year commodity prices. Ad valorem taxes as a percentage of oil, natural gas and natural gas liquids revenue decreased in the second quarter of 2026 due primarily to current valuations reflecting lower 2025 commodity prices. 30 Table of Contents Gathering, Processing and Transportation Expense. The following table shows gathering, processing and transportation expenses for the periods indicated: Three Months Ended June 30, 2026 | | | March 31, 2026 (In millions, except per BOE amounts) | | Amount | | | Per BOE | | | Amount | | | Per BOE Gathering, processing and transportation | | $ | | 113 | | | | $ | | 1.22 | | | | $ | | 120 | | | | $ | | 1.36

Cash G&A per BOE

$0.52

Second Quarter 2026 Financial and Operating Highlights • Recorded net income of $1.9 billion. • Our cash operating costs were $10.96 per BOE, including lease operating expenses of $5.96 per BOE, cash general and administrative expenses of $0.52 per BOE, production and ad valorem taxes of $3.26 per BOE and gathering, processing and transportation expenses of $1.22 per BOE. • Incurred cash capital expenditures, excluding acquisitions, of $996 million. • Paid dividends to stockholders, including dividend equivalent rights, of $311 million, or $1.10 per share, during the second quarter of 2026 and declared a base cash dividend payable in the third quarter of 2026 of $1.10 per share of common stock. • Repurchased $141 million of our common stock, excluding excise taxes. • Retired approximately $828 million in aggregate principal of our senior notes and $550 million in outstanding borrowings on our 2025 Term Loan, which was terminated upon repayment. • Our average production was 1,017.7 MBOE/d, surpassing the 1.0 million BOE/d milestone. • Drilled 97 gross horizontal wells in the Midland Basin and turned 168 gross operated horizontal wells in the Midland Basin to production.

Cash Operating Cost per BOE

$10.96

Gathering, Processing and Transportation per BOE

$1.22

Lease Operating Expense per BOE

$5.96

Production Tax per BOE

$2.6

Production and Ad Valorem Tax per BOE

$3.26

Average Completed Well Lateral Length

12.0K