Third Quarter 2025 Highlights,
Cash flow from operating activities of $248 million
Cash flow from operations, before working capital changes, of $279 million
Repurchased $56 million of shares and paid $21 million in dividends
Capital spending was $190 million, approximately 29% of the annual 2025 budget
Realized price, including hedges, was $3.29 per mcfe, a $0.22 premium versus NYMEX natural gas
Pre-hedge NGL realizations of $22.09 per barrel, a premium of $0.33 over Mont Belvieu equivalent
Natural gas differential, including basis hedging, of ($0.49) per mcf to NYMEX
Production averaged 2.23 Bcfe per day, approximately 69% natural gas
Commenting on the results, Dennis Degner, the Company's CEO said, "Range's third quarter results continue to showcase our ability to generate significant free cash flow through cycles, which supported $77 million in share repurchases and dividends, while maintaining net debt at $1.2 billion and continuing to build operational momentum. Our counter-cyclical investments in drilled inventory over the last two years support the very efficient growth we have planned through 2027, while keeping capital relatively flat. We believe Range is exceedingly well-positioned to benefit from growing local and global demand for natural gas given our consistent well results, high-return, long-life asset base and low full-cycle cost structure. Together, these advantages enable Range to help meet this demand while continuing to return meaningful capital to shareholders."
Financial Discussion
Except for generally accepted accounting principles ("GAAP") reported amounts, specific expense categories exclude non-cash impairments, unrealized mark-to-market adjustment on derivatives, non-cash stock compensation and other items shown separately on the attached tables. "Unit costs" as used in this release are composed of direct operating, transportation, gathering, processing and compression, taxes other than income, general and administrative, interest and depletion, depreciation and amortization costs divided by production. See "Non-GAAP Financial Measures" for a definition of non-GAAP financial measures and the accompanying tables that reconcile each non-GAAP measure to its most directly comparable GAAP financial measure.
Third Quarter 2025 Results
GAAP revenues and other income for third quarter 2025 totaled $749 million, GAAP net cash provided from operating activities (including changes in working capital) was $248 million, and GAAP net income was $144 million ($0.60 per diluted share). Third quarter earnings results include a $93 million mark-to-market derivative gain due to decreases in commodity prices.
Cash flow from operations before changes in working capital, a non-GAAP measure, was $279 million. Adjusted net income comparable to analysts' estimates, a non-GAAP measure, was $135 million ($0.57 per diluted share) in third quarter 2025.
The following table details Range's third quarter 2025 unit costs per mcfe(a):
Expenses
3Q 2025(per mcfe)
3Q 2024(per mcfe)
Increase(Decrease)
Direct operating(a)
$
0.11
$
0.12
(8
%)
Transportation, gathering, processing and compression(a)
1.47
1.51
(3
%)
Taxes other than income
0.04
0.03
33
%
General and administrative(a)
0.17
0.16
6
%
Interest expense(a)
0.11
0.14
(21
%)
Total cash unit costs(b)
1.91
1.96
(3
%)
Depletion, depreciation and amortization (DD&A)
0.46
0.45
2
%
Total unit costs plus DD&A(b)
$
2.37
$
2.41
(2
%)
(a) Excludes stock-based compensation, one-time settlements, and amortization of deferred financing costs.(b) Totals may not be exact due to rounding.
The following table details Range's average production and realized pricing for third quarter 2025(a):
3Q25 Production & Realized Pricing
Natural Gas(mcf)
Oil(bbl)
NGLs(bbl)
Natural GasEquivalent(mcfe)
Net production per day
1,534,065
5,208
110,420
2,227,831
Average NYMEX price
$ 3.07
$64.98
$ 21.76
Differential, including basis hedging
(0.49)
(10.73)
0.33
Realized prices before NYMEX hedges
2.58
54.25
22.09
3.00
Settled NYMEX hedges
0.38
3.37
0.39
0.29
Average realized prices after hedges
$2.96
$57.61
$22.48
$3.29
(a) Totals may not be exact due to rounding.
Third quarter 2025 natural gas, NGLs and oil price realizations (including the impact of cash-settled hedges and derivative settlements) averaged $3.29 per mcfe.
The average natural gas price, including the impact of basis hedging, was $2.58 per mcf, or a ($0.49) per mcf differential to NYMEX. Range is improving its expected 2025 natural gas differential to average ($0.40) to ($0.43) relative to NYMEX.
Range's pre-hedge NGL price during the quarter was $22.09 per barrel, approximately $0.33 above the Mont Belvieu weighted equivalent. Range now expects its 2025 NGL differential to average +$0.50 to +$0.75 relative to a Mont Belvieu equivalent barrel.
Oil and condensate price realizations, before realized hedges, averaged $54.25 per barrel, or $10.73 below WTI (West Texas Intermediate). Range continues to expect condensate differentials to average ($10.00) to ($15.00) relative to NYMEX.
Repurchase Activity and Financial Position
During the third quarter, Range repurchased 1,580,711 shares at an average price of approximately $35.59 per share. As of September 30, 2025, the Company had approximately $839 million of availability under the share repurchase program.
As of September 30, 2025, Range had net debt outstanding of approximately $1.23 billion, consisting of $1.1 billion of senior notes, $129 million on the credit facility, and $0.2 million in cash. In October, Range entered an amended and restated revolving bank credit facility, which will mature in 2030. This amended facility maintained a maximum facility of $4.0 billion and an initial borrowing base of $3.0 billion, and increased bank commitments from $1.5 billion to $2.0 billion.
Capital Expenditures and Operational Activity
Third quarter 2025 drilling and completion expenditures were $165 million. In addition, during the quarter, approximately $16 million was invested in acreage, and $9 million was invested in infrastructure, pneumatic upgrades, and other investments. Total capital spending through third quarter was $491 million, representing approximately 74% of Range's capital budget for 2025.
During the quarter, Range drilled ~262,000 lateral feet across 16 wells, while turning to sales ~228,000 lateral feet across 15 wells. Range remains on track to exit 2025 with greater than 400,000 lateral feet of growth inventory to support announced growth plans.
The table below summarizes expected 2025 activity plans regarding the number of wells to sales in each area.
YTD Wells TIL3Q 2025
Remaining2025
2025Planned TIL
SW PA Super-Rich
8
6
14
SW PA Wet
20
4
24
SW PA Dry
5
-
5
NE PA Dry
4
-
4
Total Wells
37
10
47
Guidance, 2025
Updated Capital & Production Guidance
Range's 2025 all-in capital budget is $650 million - $680 million. Annual production is now expected to be approximately 2.23 Bcfe per day in 2025, updated from prior guidance of ~2.225 Bcfe per day. Liquids are expected to be over 30% of production.
Updated Full Year 2025 Expense Guidance
Updated Guidance
Prior Guidance
Direct operating expense:
$0.12 - $0.13 per mcfe
$0.12 - $0.13 per mcfe
Transportation, gathering, processing and compression expense:
$1.50 - $1.52 per mcfe
$1.50 - $1.55 per mcfe
Taxes other than income:
$0.03 - $0.04 per mcfe
$0.03 - $0.04 per mcfe
Exploration expense:
$24 - $28 million
$24 - $28 million
G&A expense:
$0.17 - $0.18 per mcfe
$0.17 - $0.18 per mcfe
Net Interest expense:
$0.12 - $0.13 per mcfe
$0.12 - $0.13 per mcfe
DD&A expense:
$0.45 - $0.46 per mcfe
$0.45 - $0.46 per mcfe
Net brokered gas marketing expense:
$8 - $12 million
$8 - $12 million
Updated Full Year 2025 Price Guidance
Based on recent market indications, Range expects to average the following price differentials for its production in 2025.
Updated Guidance
Prior Guidance
FY 2025 Natural Gas:(a)
NYMEX minus $0.40 to $0.43
NYMEX minus $0.40 to $0.48
FY 2025 Natural Gas Liquids:(b)
MB plus $0.50 to $0.75 per barrel
MB plus $0.40 to $1.25 per barrel
FY 2025 Oil/Condensate:
WTI minus $10.00 to $15.00
WTI minus $10.00 to $15.00
(a) Including basis hedging.(b) Mont Belvieu-equivalent pricing based on weighting of 53% ethane, 27% propane, 8% normal butane, 4% iso-butane and 8% natural gasoline.
Hedging Status
Range hedges portions of its expected future production volumes to increase the predictability of cash flow and maintain a strong, flexible financial position. Please see the detailed hedging schedule posted on the Range website under Investor Relations - Financial Information.
Range has also hedged basis across the Company's numerous natural gas sales points to limit volatility between benchmark and regional prices. The combined fair value of basis hedges as of September 30, 2025, was a net loss of $12.9 million.
Conference Call Information
A conference call to review the financial results is scheduled on Wednesday, October 29 at 8:00 AM Central Time (9:00 AM Eastern Time). Please click here to pre-register for the conference call and obtain a dial in number with passcode.
A simultaneous webcast of the call may be accessed at www.rangeresources.com. The webcast will be archived for replay on the Company's website until November 29th.
Non-GAAP Financial Measures
To supplement the presentation of its financial results prepared in accordance with generally accepted accounting principles (GAAP), the Company's earnings press release contains certain financial measures that are not presented in accordance with GAAP. Management believes certain non-GAAP measures may provide financial statement users with meaningful supplemental information for comparisons within the industry. These non-GAAP financial measures may include, but are not limited to Net Income, excluding certain items, Cash flow from operations before changes in working capital, realized prices, Net debt and Cash margin.
Adjusted net income comparable to analysts' estimates as set forth in this release represents income or loss from operations before income taxes adjusted for certain non-cash items (detailed in the accompanying table) less income taxes. We believe adjusted net income comparable to analysts' estimates is calculated on the same basis as analysts' estimates and that many investors use this published research in making investment decisions and evaluating operational trends of the Company and its performance relative to other oil and gas producing companies. Diluted earnings per share (adjusted) as set forth in this release represents adjusted net income comparable to analysts' estimates on a diluted per share basis. A table is included which reconciles income or loss from operations to adjusted net income comparable to analysts' estimates and diluted earnings per share (adjusted). On its website, the Company provides additional comparative information on prior periods.
Cash flow from operations before changes in working capital represents net cash provided by operations before changes in working capital and exploration expense adjusted for certain non-cash compensation items. Cash flow from operations before changes in working capital (sometimes referred to as "adjusted cash flow") is widely accepted by the investment community as a financial indicator of an oil and gas company's ability to generate cash to internally fund exploration and development activities and to service debt. Cash flow from operations before changes in working capital is also useful because it is widely used by professional research analysts in valuing, comparing, rating and providing investment recommendations of companies in the oil and gas exploration and production industry. In turn, many investors use this published research in making investment decisions. Cash flow from operations before changes in working capital is not a measure of financial performance under GAAP and should not be considered as an alternative to cash flows from operations, investing, or financing activities as an indicator of cash flows, or as a measure of liquidity. A table is included which reconciles net cash provided by operations to cash flow from operations before changes in working capital as used in this release. On its website, the Company provides additional comparative information on prior periods for cash flow, cash margins and non-GAAP earnings as used in this release.
The cash prices realized for oil and natural gas production, including the amounts realized on cash-settled derivatives and net of transportation, gathering, processing and compression expense, is a critical component in the Company's performance tracked by investors and professional research analysts in valuing, comparing, rating and providing investment recommendations and forecasts of companies in the oil and gas exploration and production industry. In turn, many investors use this published research in making investment decisions. Due to the GAAP disclosures of various derivative transactions and third-party transportation, gathering, processing and compression expense, such information is now reported in various lines of the income statement. The Company believes that it is important to furnish a table reflecting the details of the various components of each income statement line to better inform the reader of the details of each amount and provide a summary of the realized cash-settled amounts and third-party transportation, gathering, processing and compression expense, which were historically reported as natural gas, NGLs and oil sales. This information is intended to bridge the gap between various readers' understanding and fully disclose the information needed.
Net debt is calculated as total debt less cash and cash equivalents. The Company believes this measure is helpful to investors and industry analysts who utilize Net debt for comparative purposes across the industry.
The Company discloses in this release the detailed components of many of the single line items shown in the GAAP financial statements included in the Company's Annual or Quarterly Reports on Form 10-K or 10-Q. The Company believes that it is important to furnish this detail of the various components comprising each line of the Statements of Operations to better inform the reader of the details of each amount, the changes between periods and the effect on its financial results.
We believe that the presentation of PV10 value of our proved reserves is a relevant and useful metric for our investors as supplemental disclosure to the standardized measure, or after-tax amount, because it presents the discounted future net cash flows attributable to our proved reserves before taking into account future corporate income taxes and our current tax structure. While the standardized measure is dependent on the unique tax situation of each company, PV10 is based on prices and discount factors that are consistent for all companies. Because of this, PV10 can be used within the industry and by credit and security analysts to evaluate estimated net cash flows from proved reserves on a more comparable basis.
RANGE RESOURCES CORPORATION (NYSE:RRC) is a leading U.S. independent natural gas and NGL producer with operations focused in the Appalachian Basin. The Company is headquartered in Fort Worth, Texas. More information about Range can be found at www.rangeresources.com.
Included within this release are certain "forward-looking statements" within the meaning of the federal securities laws, including the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, that are not limited to historical facts, but reflect Range's current beliefs, expectations or intentions regarding future events. Words such as "may," "will," "could," "should," "expect," "plan," "project," "intend," "anticipate," "believe," "outlook", "estimate," "predict," "potential," "pursue," "target," "continue," and similar expressions are intended to identify such forward-looking statements.
All statements, except for statements of historical fact, made within regarding activities, events or developments the Company expects, believes or anticipates will or may occur in the future, such as those regarding future well costs, expected asset sales, well productivity, future liquidity and financial resilience, anticipated exports and related financial impact, NGL market supply and demand, future commodity fundamentals and pricing, future capital efficiencies, future shareholder value, emerging plays, capital spending, anticipated drilling and completion activity, acreage prospectivity, expected pipeline utilization and future guidance information, are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements are based on assumptions and estimates that management believes are reasonable based on currently available information; however, management's assumptions and Range's future performance are subject to a wide range of business risks and uncertainties and there is no assurance that these goals and projections can or will be met. Any number of factors could cause actual results to differ materially from those in the forward-looking statements. Further information on risks and uncertainties is available in Range's filings with the Securities and Exchange Commission (SEC), including its most recent Annual Report on Form 10-K. Unless required by law, Range undertakes no obligation to publicly update or revise any forward-looking statements to reflect circumstances or events after the date they are made.
The SEC permits oil and gas companies, in filings made with the SEC, to disclose proved reserves, which are estimates that geological and engineering data demonstrate with reasonable certainty to be recoverable in future years from known reservoirs under existing economic and operating conditions as well as the option to disclose probable and possible reserves. Range has elected not to disclose its probable and possible reserves in its filings with the SEC. Range uses certain broader terms such as "resource potential," "unrisked resource potential," "unproved resource potential" or "upside" or other descriptions of volumes of resources potentially recoverable through additional drilling or recovery techniques that may include probable and possible reserves as defined by the SEC's guidelines. Range has not attempted to distinguish probable and possible reserves from these broader classifications. The SEC's rules prohibit us from including in filings with the SEC these broader classifications of reserves. These estimates are by their nature more speculative than estimates of proved, probable and possible reserves and accordingly are subject to substantially greater risk of actually being realized. Unproved resource potential refers to Range's internal estimates of hydrocarbon quantities that may be potentially discovered through exploratory drilling or recovered with additional drilling or recovery techniques and have not been reviewed by independent engineers. Unproved resource potential does not constitute reserves within the meaning of the Society of Petroleum Engineer's Petroleum Resource Management System and does not include proved reserves. Area wide unproven resource potential has not been fully risked by Range's management. "EUR", or estimated ultimate recovery, refers to our management's estimates of hydrocarbon quantities that may be recovered from a well completed as a producer in the area. These quantities may not necessarily constitute or represent reserves within the meaning of the Society of Petroleum Engineer's Petroleum Resource Management System or the SEC's oil and natural gas disclosure rules. Actual quantities that may be recovered from Range's interests could differ substantially. Factors affecting ultimate recovery include the scope of Range's drilling program, which will be directly affected by the availability of capital, drilling and production costs, commodity prices, availability of drilling services and equipment, drilling results, lease expirations, transportation constraints, regulatory approvals, field spacing rules, recoveries of gas in place, length of horizontal laterals, actual drilling results, including geological and mechanical factors affecting recovery rates and other factors. Estimates of resource potential may change significantly as development of our resource plays provides additional data.
In addition, our production forecasts and expectations for future periods are dependent upon many assumptions, including estimates of production decline rates from existing wells and the undertaking and outcome of future drilling activity, which may be affected by significant commodity price or drilling cost changes. Investors are urged to consider closely the disclosure in our most recent Annual Report on Form 10-K, available from our website at www.rangeresources.com or by written request to 100 Throckmorton Street, Suite 1200, Fort Worth, Texas 76102. You can also obtain this Form 10-K on the SEC's website at www.sec.gov or by calling the SEC at 1-800-SEC-0330.
SOURCE: Range Resources Corporation
Range Investor Contacts:
Laith Sando817-869-4267
Matt Schmid817-869-1538
Range Media Contact:
Mark Windle724-873-3223
RANGE RESOURCES CORPORATION
STATEMENTS OF OPERATIONS
Based on GAAP reported earnings with additional
details of items included in each line in Form 10-Q
(Unaudited, In thousands, except per share data)
Three Months Ended September 30,
Nine Months Ended September 30,
2025
2024
%
2025
2024
%
Revenues and other income:
Natural gas, NGLs and oil sales (a)
$
611,491
$
533,277
$
2,070,049
$
1,578,728
Derivative fair value income
92,946
47,124
88,736
110,530
Brokered natural gas and marketing
43,807
31,289
131,224
91,513
ARO settlement (loss) gain (b)
-
-
1
(26
)
Interest income (b)
52
3,188
4,867
9,507
Loss (gain) on sale of assets (b)
(6
)
69
158
222
Other (b)
238
155
322
193
Total revenues and other income
748,528
615,102
22
%
2,295,357
1,790,667
28
%
Costs and expenses:
Direct operating
23,305
24,799
70,757
68,744
Direct operating - stock-based compensation (c)
525
486
1,566
1,454
Transportation, gathering, processing and compression
301,110
306,154
911,933
878,524
Taxes other than income
8,265
5,117
23,087
15,459
Brokered natural gas and marketing
48,256
32,017
139,800
96,425
Brokered natural gas and marketing - stock-based compensation (c)
626
571
2,268
1,862
Exploration
7,820
6,988
21,426
17,506
Exploration - stock-based compensation (c)
285
346
998
1,005
Abandonment and impairment of unproved properties
4,899
4,723
16,254
8,618
General and administrative
35,253
32,674
99,563
97,818
General and administrative - stock-based compensation (c)
9,448
8,639
28,885
27,099
General and administrative - lawsuit settlements
11
213
101
691
Exit costs
8,085
7,649
25,484
28,058
Deferred compensation plan (d)
(765
)
(1,930
)
2,026
5,715
Interest expense
23,200
27,958
76,615
85,430
Interest expense - amortization of deferred financing costs (e)
1,068
1,343
3,610
4,060
Gain on early extinguishment of debt
-
(11
)
(3
)
(254
)
Depletion, depreciation and amortization
93,793
91,137
275,866
265,872
Total costs and expenses
565,184
548,873
3
%
1,700,236
1,604,086
6
%
Income before income taxes
183,344
66,229
177
%
595,121
186,581
219
%
Income tax expense (benefit)
Current
(1,022
)
1,282
5,623
5,263
Deferred
40,059
14,291
110,561
9,820
39,037
15,573
116,184
15,083
Net income
$
144,307
$
50,656
185
%
$
478,937
$
171,498
179
%
Net income Per Common Share
Basic
$
0.61
$
0.21
$
2.00
$
0.71
Diluted
$
0.60
$
0.21
$
1.99
$
0.70
Weighted average common shares outstanding, as reported
Basic
237,378
240,865
-1
%
238,523
240,832
-1
%
Diluted
239,026
242,623
-1
%
240,255
242,802
-1
%
(a) See separate natural gas, NGLs and oil sales information table.
(b) Included in Other income in the 10-Q.
(c) Costs associated with stock compensation and restricted stock amortization, which have been reflected
in the categories associated with the direct personnel costs, which are combined with the cash costs in the 10-Q.
(d) Reflects the change in market value of the vested Company stock held in the deferred compensation plan.
(e) Included in interest expense in the 10-Q.
RANGE RESOURCES CORPORATION
BALANCE SHEET
(In thousands)
September 30,
December 31,
2025
2024
(Unaudited)
(Audited)
Assets
Current assets
$
274,431
$
636,982
Derivative assets
62,152
87,098
Natural gas and oil properties, net (successful efforts method)
6,627,222
6,421,700
Other property and equipment, net
3,464
