Tue, Apr 22, 8:46 PM (31 days ago)
### Range Resources Corporation (RRC) Q1 2025 Financial Summary **Financial Health and Performance:** - **Revenue:** Q1 2025 revenue from natural gas, NGLs, and oil sales was $791.9 million, up 40% from $567.0 million in Q1 2024. - **Profit Margins:** Net income was $97.1 million, or $0.40 per diluted share, compared to $92.1 million, or $0.38 per diluted share, in Q1 2024. - **Cash Flow:** Operating cash flow was $330.1 million, slightly down from $331.9 million in Q1 2024. - **Earnings Changes:** Increased realized prices offset by higher unrealized derivative fair value loss. **Operational Metrics:** - **Production:** Daily production averaged 2.2 Bcfe in Q1 2025, up from 2.1 Bcfe in Q1 2024. - **Costs:** Direct operating expense per mcfe increased to $0.13 from $0.11 due to higher water hauling and winter operations. - **Transportation and Gathering:** Costs increased by 5% due to higher NGLs volumes and prices. **Trends and Uncertainties:** - **Commodity Prices:** Natural gas prices increased due to winter weather and LNG exports. Future prices remain volatile. - **Hedging:** Hedged over 30% of projected natural gas production for 2025. - **Debt and Liquidity:** Maintained substantial liquidity with $344.6 million in cash and $1.3 billion available under the credit facility. **Future Operations Impact:** - **Capital Expenditures:** $158.3 million spent on capital expenditures, consistent with the 2025 budget. - **Share Repurchases:** Repurchased $67.5 million (1.8 million shares) of common stock. - **Dividends:** Paid $21.6 million in dividends, increasing the per-share dividend by 12.5% to $0.09. **Market Conditions:** - **Benchmark Prices:** Natural gas prices averaged $3.66 per mcf, up from $2.23 in Q1 2024. Oil prices averaged $71.40 per barrel, down from $76.92. - **Geopolitical Factors:** Monitoring impacts of OPEC actions, Russia-Ukraine conflict, and global energy demands. **Financial Position:** - **Debt:** Total debt of $1.7 billion with fixed interest rates averaging 6.0%. No variable rate debt outstanding. - **Credit Facility:** $3.0 billion borrowing base reaffirmed, with $1.3 billion available under the facility. **Risk Management:** - **Derivatives:** Used to manage price risk, with a net unrealized loss of $108.3 million as of March 31, 2025. - **Interest Rate Risk:** Minimal due to fixed-rate debt. **Conclusion:** Range Resources Corporation demonstrated strong financial performance in Q1 2025, driven by higher realized prices and efficient cost management. The company remains well-positioned to navigate market volatility and continue its strategic initiatives.