CNX Resources(US:CNX)2025-10-30 10:58Production and Sales Volumes - In Q3 2025, CNX Resources reported total production volumes of 161.3 Bcfe, a decrease of 3.8% from 167.6 Bcfe in Q2 2025[3] - Shale sales volumes were 139.2 Bcf in Q3 2025, down from 146.9 Bcf in Q2 2025, reflecting a decline of 5.2%[3] - Average daily production for Q3 2025 was 1,753.3 MMcfe, compared to 1,841.8 MMcfe in Q2 2025, representing a decrease of 4.8%[3] - Production volumes guidance for 2025 has been updated to a range of 620 to 625 Bcfe, with approximately 8% expected to be liquids[21] Financial Performance - Total revenue for Q3-2025 was $583,840,000, a significant decrease of 39.4% compared to Q2-2025's $962,422,000[11] - Natural Gas, NGL, and Oil revenue decreased to $400,990,000 in Q3-2025 from $485,029,000 in Q2-2025, reflecting a decline of 17.4%[11] - Net income for Q3-2025 was $202,103,000, down 53.3% from $432,521,000 in Q2-2025[11] - Basic earnings per share for Q3-2025 was $1.45, compared to $3.02 in Q2-2025, a decrease of 52.0%[11] - Total Revenue and Other Operating Income for Q3-2025 was $584 million, a decrease from $962 million in Q2-2025[29] - Net Income for Q3-2025 was $202 million, down from $432 million in Q2-2025, while Q1-2025 reported a loss of $198 million[31] - Adjusted EBITDAX for Q3-2025 was $298 million, compared to $332 million in Q2-2025[31] - Adjusted Net Income for Q3-2025 was $82 million, compared to $100 million in Q2-2025[32] Cash Flow and Expenses - The company reported a net cash provided by operating activities of $233.8 million in Q3 2025, a decrease from $282.5 million in Q2 2025[13] - Free cash flow (FCF) guidance for 2025 has been increased to approximately $640 million, up from $575 million[21] - Free Cash Flow for Q3 2025 is $226 million, an increase from $188 million in Q2 2025[45] - Capital Expenditures for Q3 2025 are $76 million, down from $114 million in Q2 2025[45] - The company reported a total operating expense of $340,892,000 in Q3-2025, a slight decrease from $346,726,000 in Q2-2025[11] Hedging and Commodity Derivatives - CNX has hedged 121.8 Bcf for Q4 2025 at an average price of $2.55 per Mcf, with total hedged volumes for 2025 reaching 483.5 Bcf at an average price of $2.58 per Mcf[5] - The unrealized gain for Q3 2025 was $110 million, a significant improvement from an unrealized loss of $418 million in Q1 2025[9] - The company reported a significant unrealized loss on commodity derivative instruments of $110 million in Q3-2025, compared to a loss of $456 million in Q2-2025[34] - The average gain on natural gas commodity derivative instruments for cash settlement in Q3 2025 was $0.15, compared to a loss of $0.23 in Q2 2025[17] - CNX's average prices for NYMEX hedges in 2025 are projected at $3.31 per Mcf, with a forecasted gain/loss of ($79,286,000) for the year[7] Assets and Liabilities - Total current assets decreased to $360,895,000 as of September 30, 2025, from $394,225,000 at the end of June 2025, a decline of 8.4%[12] - Total assets as of September 30, 2025, were $8,904,118,000, down from $8,987,867,000 at the end of June 2025, a decrease of 0.9%[12] - Total liabilities decreased to $4,788,545,000 as of September 30, 2025, from $4,895,154,000 at the end of June 2025, a decline of 2.2%[12] - Long-term debt as of September 30, 2025, was $2,247,199,000, a decrease from $2,286,855,000 at the end of June 2025, down 1.7%[12] - Total Long-Term Debt as of September 30, 2025, is $2,577 million, a decrease from $2,682 million on March 31, 2025[41] - Net Debt as of September 30, 2025, stands at $2,560 million, down from $2,669 million on March 31, 2025[41] Market Strategy and Outlook - CNX's market strategy includes continued focus on natural gas production and hedging to mitigate price volatility[2] - The company expects to have 84% of its natural gas production hedged for 2025, slightly down from 85% previously[21] - Total capital expenditures for 2025 are now projected to be between $475 million and $500 million, reflecting an increase in drilling and completions spending[21]