EQT Q4 2023 Earnings Report
Key Takeaways
EQT's Q4 2023 production was 564 Bcfe, towards the high-end of guidance. They generated $236 million of free cash flow and retired all outstanding convertible notes. Capital expenditures were $539 million and cash operating expenses were $1.27 per Mcfe.
Fourth quarter production of 564 Bcfe, toward the high-end of guidance driven by continued operational efficiency gains and strong well performance
Capital expenditures of $539 million, near the low-end of guidance
Cash operating expenses of $1.27 per Mcfe, near the low-end of guidance, as lease operating expense continues to outperform expectations, reflecting benefits of EQT’s West Virginia water assets
Net cash provided by operating activities of $624 million; generated $236 million of free cash flow
EQT
EQT
EQT Revenue by Segment
Forward Guidance
In 2024, the Company expects total sales volume of 2,200 – 2,300 Bcfe and maintenance capital expenditures to total $1,950 – $2,050 million. The Company also plans to spend $200 – $300 million on strategic growth capital expenditures.
Positive Outlook
- Total sales volume of 2,200 – 2,300 Bcfe in 2024
- Maintenance capital expenditures to total $1,950 – $2,050 million in 2024
- Strategic growth capital expenditures of $200 – $300 million in 2024
- Turn-in-line (TIL) 110 – 140 net wells in 2024
- First quarter of 2024 total sales volume expected to be 525 – 575 Bcfe
Challenges Ahead
- Includes the impact of 10 – 15 Bcfe of lower sales volume due to non-operated midstream constraints in Q1 2024
- Assumes Mountain Valley Pipeline in-service date during April 2024
- Average differential ($/Mcf) ($0.70) – ($0.50) for full year 2024
- Total per unit operating costs $1.37 – $1.49 for full year 2024
- Maintenance Capital Expenditures $1,950 - $2,050 millions for full year 2024
Revenue & Expenses
Visualization of income flow from segment revenue to net income