Coterra(US:CTRA)2025-11-04 15:00Production and Guidance - 3Q25 production beat both oil and natural gas production guidance midpoints by approximately 2.5%[7] - Coterra is raising FY25 BOE and natural gas guidance while tightening the range around oil production guidance[7] - Updated 2025 total production guidance is 772-782 mboed, compared to the February guidance of 710-770 mboed[9] - Updated 2025 natural gas guidance is 2,925-2,965 mmcfd, compared to the February guidance of 2,675-2,875 mmcfd[9] - Updated 2025 oil production guidance is 159-161 mbod, compared to the February guidance of 152-168 mbod[9] Financial Performance and Outlook - Coterra anticipates 2026 capex to be modestly down year-over-year, while maintaining 0-5% annual BOE & natural gas growth, and approximately 5% annual oil growth; expects reinvestment rate to be less than 50%[7] - Estimated 2025 Free Cash Flow is approximately $2.0 billion[7] - Pro forma leverage is approximately 0.8x[7] - The company retired $600 million of Term Loans year-to-date and restarted the share repurchase program in 4Q25[7] Cost and Efficiency - Franklin / Avant acquisitions are exceeding expectations with approximately 5% LOE improvement and a line-of-sight to additional savings; well costs are down 10%; increased the asset's inventory footage by over 10% through trades, leasing, and successful delineation[7] - Coterra expects approximately $14 billion, or approximately 45%, of capex to generate 2.0x PVI10 or better[32] - Marcellus asset overview shows a 24% cost reduction YoY with an average well cost per foot of $790[66] - Anadarko asset overview shows a 15% cost reduction YoY with an average well cost per foot of $1,060[70]