false 0000874499 0000874499 2025-11-04 2025-11-04 iso4217:USD xbrli:shares iso4217:USD xbrli:shares

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 8-K

 

CURRENT REPORT

Pursuant to Section 13 or 15(d)

of the Securities Exchange Act of 1934

 

Date of report (Date of earliest event reported): November 4, 2025

 

GULFPORT ENERGY CORPORATION

(Exact Name of Registrant as Specified in Charter)

 

Delaware   001-19514   86-3684669
(State or other jurisdiction
of incorporation)
  (Commission File Number)   (I.R.S. Employer
Identification Number)

 

713 Market Drive
Oklahoma City, Oklahoma
  73114
(Address of principal
executive offices)
  (Zip code)

 

(405) 252-4600

(Registrant’s telephone number, including area code)

 

 

(Former name or former address, if changed since last report)

 

Check the appropriate box below if the Form 8-K is intended to simultaneously satisfy the filing obligation of the Registrant under any of the following provisions:

 

Written communications pursuant to Rule 425 under the Securities Act

 

Soliciting material pursuant to Rule 14a-12 under the Exchange Act

 

Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act

 

Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act

 

Securities registered pursuant to Section 12(b) of the Act:

 

Title of each class   Name of each exchange on which registered   Trading Symbol
Common stock, par value $0.0001 per share   The New York Stock Exchange   GPOR

 

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

 

Emerging growth company

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

 

 

 

 

 

Item 2.02. Results of Operations and Financial Condition.

 

On November 4, 2025, Gulfport Energy Corporation (“Gulfport”) issued a press release reporting its financial and operating results for the three months ended September 30, 2025. A copy of the press release and supplemental financial information are attached as Exhibit 99.1 and Exhibit 99.2, respectively, to this Current Report on Form 8-K.

 

Item 7.01. Regulation FD Disclosure.

 

Also on November 4, 2025, Gulfport posted an updated investor presentation on its website. The presentation may be found on Gulfport’s website at http://www.gulfportenergy.com by selecting “Investors,” “Company Information” and then “Presentations.”

 

The information in the press release and updated investor presentation is being furnished, not filed, pursuant to Item 2.02 and Item 7.01. Accordingly, the information in the press release and updated investor presentation will not be incorporated by reference into any registration statement filed by Gulfport under the Securities Act of 1933, as amended, unless specifically identified therein as being incorporated therein by reference.

 

Item 9.01. Financial Statements and Exhibits

 

(d) Exhibits

 

Number   Exhibit
99.1   Press release dated November 4, 2025 entitled “Gulfport Energy Reports Third Quarter 2025 Financial and Operational Results.”
99.2   Supplemental Financial Information.
104   Cover Page Interactive Data File - the cover page XBRL tags are embedded within the Inline XBRL document.

 

1

 

 

SIGNATURE

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

 

  GULFPORT ENERGY CORPORATION
   
Date: November 4, 2025 By: /s/ Michael Hodges
    Michael Hodges
    Chief Financial Officer

 

2

 

Exhibit 99.1

 

 
Gulfport Energy Reports Third Quarter 2025 Financial and Operating Results

 

OKLAHOMA CITY (November 4, 2025) Gulfport Energy Corporation (NYSE: GPOR) (“Gulfport” or the “Company”) today reported financial and operating results for the three months ended September 30, 2025.

 

Key Highlights

 

Expanded undeveloped Marcellus inventory by approximately 125 gross locations, an increase of approximately 200% in Ohio Marcellus inventory

 

Investing incremental discretionary capital to successfully test the drilling feasibility of U-development in the Utica, recently reaching total depth on two U-development wells and unlocking 20 gross Utica dry gas locations

 

Reiterate plans to invest approximately $75 million - $100 million toward discretionary acreage acquisitions by end of first quarter of 2026, of which $15.7 million was deployed at the end of the third quarter of 2025

 

Plan to allocate approximately $125 million to common stock repurchases in the fourth quarter of 2025 while maintaining leverage at or below one times

 

Third Quarter 2025

 

Delivered total net production of 1,119.7 MMcfe per day, an increase of approximately 11% over second quarter 2025

 

Produced total net liquids production of 22.0 MBbl per day, an increase of approximately 15% over second quarter 2025

 

Incurred base capital expenditures of $74.9 million, which includes $68.7 million of base operated D&C capital expenditures and $6.2 million of maintenance land and leasehold spending

 

Invested incremental $12.4 million on discretionary capital expenditures

 

Reported $111.4 million of net income and $213.1 million of adjusted EBITDA(1)

 

Generated $209.1 million of net cash provided by operating activities and $103.4 million of adjusted free cash flow(1), which includes the impact of approximately $12.4 million of incremental discretionary capital expenditures

 

Repurchased approximately 438.3 thousand shares of common stock (including preferred stock on an as-converted basis) for approximately $76.3 million, including the optional redemption of all the Company’s outstanding preferred stock of approximately $31.3 million

 

Completed opportunistic discretionary acreage acquisitions totaling $8.9 million

 

Issued annual Corporate Sustainability Report, providing transparency around the Company’s sustainability initiatives, progress and commitment to environmental stewardship

 

 

 

 

Updated Full Year 2025 Outlook

 

Forecast full year 2025 net daily equivalent production to be approximately 1.04 Bcfe per day

 

Expect to invest total base capital expenditures of approximately $390 million, including $355 million of base operated drilling and completion expenditures and $35 million of maintenance leasehold and land investment

 

Plan to allocate a total of $30 million toward discretionary appraisal projects, including drilled but uncompleted (“DUC”) and recompletion activity and the Company’s first U-development in the Utica, unlocking approximately 20 gross locations of drillable inventory with attractive returns

 

Plan to allocate a total of $35 million toward discretionary development activity that is anticipated to mitigate the production impact of offset operator simultaneous operations and planned midstream maintenance downtime anticipated in early 2026

 

Expect to repurchase approximately $325 million of Gulfport’s outstanding equity during 2025, inclusive of approximately $125 million planned for the fourth quarter of 2025

 

John Reinhart, President and CEO, commented, “We are pleased to announce a significant expansion of our drillable inventory, driven by further delineation of the Ohio Marcellus across our acreage position as well as our team’s successful execution in drilling our first U-development wells within our Utica acreage footprint. In the Marcellus, recent peer activity combined with Gulfport’s own development has expanded resource viability to the north, capturing significant, incremental value overlying our Utica development at no incremental land cost and effectively doubling our net drillable Marcellus inventory.”

 

Reinhart continued, “As part of our evaluation of U-development, we are investing approximately $30 million in discretionary appraisal capital during 2025, which includes the drilling and completion of two U-development wells in the Utica. These wells were recently successfully drilled and are scheduled for completion in the coming months, validating the technical feasibility of this development concept across our acreage position. This discretionary investment adds nearly one net year of high-quality, dry gas inventory and unlocks previously uneconomic development at no additional land cost to the Company, further enhancing our long-term development portfolio.”

 

Reinhart continued, “Since year-end 2022, Gulfport has grown our gross undeveloped inventory by more than 40%, driven by targeted discretionary acreage acquisitions, Marcellus delineation and U-development initiatives. We now estimate the Company holds approximately 700 gross locations across our asset base. These inventory additions unlock substantial value across our core assets, increasing economic inventory by approximately three years and bringing our total net inventory to roughly 15 years with break-evens below $2.50 per MMBtu, underscoring the high-quality, go-forward development opportunities in our portfolio.”

 

“In response to known production impacts predominately from simultaneous operations of an offsetting operator and planned third-party midstream maintenance downtime in the first quarter of 2026, Gulfport has proactively elected to invest approximately $35 million toward discretionary development activity during 2025. This proactive spend is expected to mitigate a portion of the forecasted upcoming production impact and position the Company to deliver volumes into a favorable commodity price environment, benefiting the 2026 development program. These incremental investments, ongoing discretionary acreage acquisitions and the repurchase of our common stock represent some of the most attractive uses of our available adjusted free cash flow. Considering this, we plan to repurchase approximately $125 million of our outstanding common stock during the fourth quarter of 2025, funded by adjusted free cash flow generation and available capacity on our revolving credit facility while maintaining financial leverage at or below one times,” concluded Reinhart.

 

A company presentation to accompany the Gulfport earnings conference call can be accessed by clicking here.

 

1.A non-GAAP financial measure. Reconciliations of these non-GAAP measures and other disclosures are provided with the supplemental financial tables available on our website at www.gulfportenergy.com.

 

2

 

 

Operational Update

 

The table below summarizes Gulfport’s operated drilling and completion activity for the third quarter of 2025:

 

   Quarter Ended September 30, 2025 
   Gross   Net   Lateral Length 
Spud            
Utica & Marcellus   9    9.0    13,800 
SCOOP            
                
Drilled               
Utica & Marcellus   4    4.0    11,400 
SCOOP            
                
Completed               
Utica & Marcellus   4    4.0    14,700 
SCOOP            
                
Turned-to-Sales               
Utica & Marcellus   7    7.0    14,900 
SCOOP            

 

Gulfport’s net daily production for the third quarter of 2025 averaged 1,119.7 MMcfe per day, primarily consisting of 916.8 MMcfe per day in the Utica/Marcellus and 202.9 MMcfe per day in the SCOOP. For the third quarter of 2025, Gulfport’s net daily production mix was comprised of approximately 88% natural gas, 8% natural gas liquids (“NGL”) and 4% oil and condensate.

 

   Three Months Ended September 30, 2025   Three Months Ended September 30, 2024 
Production        
Natural gas (Mcf/day)   987,746    966,522 
Oil and condensate (Bbl/day)   6,892    4,618 
NGL (Bbl/day)   15,097    10,489 
Total (Mcfe/day)   1,119,678    1,057,164 
Average Prices          
Natural Gas:          
Average price without the impact of derivatives ($/Mcf)  $2.61   $1.80 
Impact from settled derivatives ($/Mcf)  $0.34   $0.95 
Average price, including settled derivatives ($/Mcf)  $2.95   $2.75 
Oil and condensate:          
Average price without the impact of derivatives ($/Bbl)  $58.99   $69.35 
Impact from settled derivatives ($/Bbl)  $3.63   $0.22 
Average price, including settled derivatives ($/Bbl)  $62.62   $69.57 
NGL:          
Average price without the impact of derivatives ($/Bbl)  $27.89   $27.58 
Impact from settled derivatives ($/Bbl)  $0.21   $(0.16)
Average price, including settled derivatives ($/Bbl)  $28.10   $27.42 
Total:          
Average price without the impact of derivatives ($/Mcfe)  $3.04   $2.22 
Impact from settled derivatives ($/Mcfe)  $0.33   $0.87 
Average price, including settled derivatives ($/Mcfe)  $3.37   $3.09 
Selected operating metrics          
Lease operating expenses ($/Mcfe)  $0.20   $0.19 
Taxes other than income ($/Mcfe)  $0.08   $0.07 
Transportation, gathering, processing and compression expense  ($/Mcfe)  $0.94   $0.92 
Recurring cash general and administrative expenses ($/Mcfe) (non-GAAP)  $0.13   $0.13 
Interest expenses ($/Mcfe)  $0.13   $0.16 

 

3

 

 

Capital Investment

 

Total base capital investment was $74.9 million (on an incurred basis) for the third quarter of 2025, of which $68.7 million related to operated base drilling and completion activity and $6.2 million related to maintenance leasehold and land investment. In addition, Gulfport invested $9.3 million on discretionary appraisal projects, including capital directed toward DUC activity and recomplete opportunities on historical Utica development and the Company’s first U-development in the Utica, and approximately $3.1 million on discretionary development activity. Gulfport also invested approximately $8.9 million in discretionary acreage acquisitions and incurred approximately $0.7 million related to non-operated drilling and completion activities.

 

For the nine-month period ended September 30, 2025, total base capital investment was $352.7 million (on an incurred basis), of which $329.3 million related to operated base drilling and completion activity and $23.4 million related to maintenance leasehold and land investment. In addition, Gulfport invested $15.4 million on appraisal projects, including capital directed toward DUC activity and recomplete opportunities on historical Utica development and the Company’s first U-development in the Utica, and approximately $3.1 million on discretionary development activity. Gulfport also invested approximately $15.7 million in discretionary acreage acquisitions and incurred approximately $2.2 million related to non-operated drilling and completion activities.

 

Stock Repurchase Program

 

Gulfport repurchased approximately 438.3 thousand shares of common stock (including the underlying shares of common stock into which the preferred stock was convertible) at a weighted-average price of $174.01 during the third quarter of 2025, totaling approximately $76.3 million. As of September 30, 2025, the Company had approximately $715.0 million of remaining capacity under the stock repurchase program.

 

Financial Position and Liquidity

 

As of September 30, 2025, Gulfport had approximately $3.4 million of cash and cash equivalents, $51.0 million of borrowings under its revolving credit facility, $48.7 million of letters of credit outstanding and $650.0 million of outstanding 2029 senior notes.

 

Gulfport’s liquidity at September 30, 2025, totaled approximately $903.7 million, comprised of the $3.4 million of cash and cash equivalents and approximately $900.3 million of available borrowing capacity under its credit facility.

 

Credit Facility Borrowing Base Redetermination

 

On October 30, 2025, Gulfport completed its semi-annual borrowing base redetermination during which the borrowing base was reaffirmed at $1.1 billion with elected commitments remaining at $1.0 billion.

 

Derivatives

 

Gulfport enters into commodity derivative contracts on a portion of its expected future production volumes to mitigate the Company’s exposure to commodity price fluctuations. For details, please refer to the “Derivatives” section provided with the supplemental financial tables available on our website at ir.gulfportenergy.com.

 

2024 - 2025 Corporate Sustainability Report

 

Gulfport is committed to environmental stewardship, sustainable practices and strong corporate governance. The Company’s sustainability report can be found under “Sustainability” on www.gulfportenergy.com. Gulfport published its 2024 - 2025 Corporate Sustainability Report on November 4, 2025.

 

Third Quarter 2025 Conference Call

 

Gulfport will host a teleconference and webcast to discuss its third quarter of 2025 results beginning at 9:00 a.m. ET (8:00 a.m. CT) on Wednesday, November 5, 2025.

 

The conference call can be heard live through a link on the Gulfport website, www.gulfportenergy.com. In addition, you may participate in the conference call by dialing 866-373-3408 domestically or 412-902-1039 internationally. A replay of the conference call will be available on the Gulfport website and a telephone audio replay will be available from November 5, 2025 to November 19, 2025, by calling 877-660-6853 domestically or 201-612-7415 internationally and then entering the replay passcode 13756501. 

 

4

 

 

Financial Statements and Guidance Documents

 

Third Quarter of 2025 earnings results and supplemental information regarding quarterly data such as production volumes, pricing, financial statements and non-GAAP reconciliations are available on our website at ir.gulfportenergy.com.

 

Non-GAAP Disclosures

 

This news release includes non-GAAP financial measures. Such non-GAAP measures should be not considered as an alternative to GAAP measures. Reconciliations of these non-GAAP measures and other disclosures are provided with the supplemental financial tables available on our website at ir.gulfportenergy.com.

 

About Gulfport

 

Gulfport is an independent natural gas-weighted exploration and production company focused on the exploration, acquisition and production of natural gas, crude oil and NGL in the United States with primary focus in the Appalachia and Anadarko basins. Our principal properties are located in eastern Ohio targeting the Utica and Marcellus formations and in central Oklahoma targeting the SCOOP Woodford and SCOOP Springer formations.

 

Forward Looking Statements

 

This press release includes “forward-looking statements” for purposes of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934. These statements involve known and unknown risks, uncertainties and other factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. In some cases, you can identify forward-looking statements by terms such as “may,” “will,” “should,” “could,” “would,” “expects,” “plans,” “anticipates,” “intends,” “believes,” “estimates,” “projects,” “predicts,” “potential” and similar expressions intended to identify forward-looking statements. All statements, other than statements of historical facts, included in this press release that address activities, events or developments that we expect or anticipate will or may occur in the future, including the expected impact of U.S. trade policy and its impact on broader economic conditions, the war in Ukraine and the conflict in the Middle East on our business, our industry and the global economy, estimated future production and net revenues from oil and gas reserves and the present value thereof, future capital expenditures (including the amount and nature thereof), share repurchases, business strategy and measures to implement strategy, competitive strength, goals, expansion and growth of our business and operations, plans, references to future success, reference to intentions as to future matters and other such matters are forward-looking statements. Gulfport believes the expectations and forecasts reflected in the forward-looking statements are reasonable, Gulfport can give no assurance they will prove to have been correct. They can be affected by inaccurate or changed assumptions or by known or unknown risks and uncertainties. Important risks, assumptions and other important factors that could cause future results to differ materially from those expressed in the forward-looking statements are described under “Risk Factors” in Item 1A of Gulfport’s annual report on Form 10-K for the year ended December 31, 2024 and any updates to those factors set forth in Gulfport’s subsequent quarterly reports on Form 10-Q or current reports on Form 8-K (available at https://www.gulfportenergy.com/investors/sec-filings). Gulfport undertakes no obligation to release publicly any revisions to any forward-looking statements, to report events or to report the occurrence of unanticipated events.

 

Investors should note that Gulfport announces financial information in SEC filings, press releases and public conference calls.  Gulfport may use the Investors section of its website (www.gulfportenergy.com) to communicate with investors.  It is possible that the financial and other information posted there could be deemed to be material information.  The information on Gulfport’s website is not part of this filing.

 

Investor Contact:

 

Jessica Antle – Vice President, Investor Relations

jantle@gulfportenergy.com

405-252-4550

 

5

 

Exhibit 99.2

 

Three months and nine months ended September 30, 2025

Supplemental Information of Gulfport Energy

 

Table of Contents:   Page:
Production Volumes by Asset Area   2
Production and Pricing   4
Consolidated Statements of Income   6
Consolidated Balance Sheets   8
Consolidated Statement of Cash Flows   10
2025E Guidance   12
Derivatives   13
Non-GAAP Reconciliations   14
Definitions   15
Adjusted Net Income   16
Adjusted EBITDA   18
Adjusted Free Cash Flow   20
Recurring General and Administrative Expenses   22

 

 

 

 

 

Production Volumes by Asset Area: Three months ended September 30, 2025

Production Volumes

 

   Three Months
Ended
September 30,
2025
   Three Months
Ended
September 30,
2024
 
Natural gas (Mcf/day)        
Utica & Marcellus   833,710    822,015 
SCOOP   154,035    144,507 
Total   987,746    966,522 
Oil and condensate (Bbl/day)          
Utica & Marcellus   5,485    3,105 
SCOOP   1,408    1,513 
Total   6,892    4,618 
NGL (Bbl/day)          
Utica & Marcellus   8,364    3,491 
SCOOP   6,733    6,998 
Total   15,097    10,489 
Combined (Mcfe/day)          
Utica & Marcellus   916,801    861,592 
SCOOP   202,877    195,572 
Total   1,119,678    1,057,164 

 

Totals may not sum or recalculate due to rounding.

 

Page 2

 

 

 

Production Volumes by Asset Area: Nine months ended September 30, 2025

 

Production Volumes

 

   Nine Months
Ended
September 30,
2025
   Nine Months
Ended
September 30,
2024
 
Natural gas (Mcf/day)        
Utica & Marcellus   752,902    816,788 
SCOOP   153,287    154,054 
Total   906,189    970,842 
Oil and condensate (Bbl/day)          
Utica & Marcellus   5,166    1,815 
SCOOP   1,512    1,754 
Total   6,678    3,569 
NGL (Bbl/day)          
Utica & Marcellus   5,489    2,610 
SCOOP   6,654    7,629 
Total   12,143    10,239 
Combined (Mcfe/day)          
Utica & Marcellus   816,835    843,339 
SCOOP   202,282    210,348 
Total   1,019,116    1,053,687 

 

Totals may not sum or recalculate due to rounding.

 

Page 3

 

 

 

Production and Pricing: Three months ended September 30, 2025

 

The following table summarizes production and related pricing for the three months ended September 30, 2025, as compared to such data for the three months ended September 30, 2024:

 

   Three Months
Ended
September 30,
2025
   Three Months
Ended
September 30,
2024
 
Natural gas sales        
Natural gas production volumes (MMcf)   90,873    88,920 
Natural gas production volumes (MMcf) per day   988    967 
Total sales  $236,801   $159,862 
Average price without the impact of derivatives ($/Mcf)  $2.61   $1.80 
Impact from settled derivatives ($/Mcf)  $0.34   $0.95 
Average price, including settled derivatives ($/Mcf)  $2.95   $2.75 
           
Oil and condensate sales          
Oil and condensate production volumes (MBbl)   634    425 
Oil and condensate production volumes (MBbl) per day   7    5 
Total sales  $37,406   $29,467 
Average price without the impact of derivatives ($/Bbl)  $58.99   $69.35 
Impact from settled derivatives ($/Bbl)  $3.63   $0.22 
Average price, including settled derivatives ($/Bbl)  $62.62   $69.57 
           
NGL sales          
NGL production volumes (MBbl)   1,389    965 
NGL production volumes (MBbl) per day   15    10 
Total sales  $38,734   $26,617 
Average price without the impact of derivatives ($/Bbl)  $27.89   $27.58 
Impact from settled derivatives ($/Bbl)  $0.21   $(0.16)
Average price, including settled derivatives ($/Bbl)  $28.10   $27.42 
           
Natural gas, oil and condensate and NGL sales          
Natural gas equivalents (MMcfe)   103,010    97,259 
Natural gas equivalents (MMcfe) per day   1,120    1,057 
Total sales  $312,941   $215,946 
Average price without the impact of derivatives ($/Mcfe)  $3.04   $2.22 
Impact from settled derivatives ($/Mcfe)  $0.33   $0.87 
Average price, including settled derivatives ($/Mcfe)  $3.37   $3.09 
           
Production Costs:          
Average lease operating expenses ($/Mcfe)  $0.20   $0.19 
Average taxes other than income ($/Mcfe)  $0.08   $0.07 
Average transportation, gathering, processing and compression ($/Mcfe)  $0.94   $0.92 
Total lease operating expenses, midstream costs and production taxes ($/Mcfe)  $1.21   $1.18 

 

Totals may not sum or recalculate due to rounding.

 

Page 4

 

 

 

Production and Pricing: Nine months ended September 30, 2025

 

The following table summarizes production and related pricing for the nine months ended September 30, 2025, as compared to such data for the nine months ended September 30, 2024:

 

   Nine Months
Ended
September 30,
2025
   Nine Months
Ended
September 30,
2024
 
Natural gas sales        
Natural gas production volumes (MMcf)   247,390    266,011 
Natural gas production volumes (MMcf) per day   906    971 
Total sales  $759,543   $492,606 
Average price without the impact of derivatives ($/Mcf)  $3.07   $1.85 
Impact from settled derivatives ($/Mcf)  $0.16   $0.91 
Average price, including settled derivatives ($/Mcf)  $3.23   $2.76 
           
Oil and condensate sales          
Oil and condensate production volumes (MBbl)   1,823    978 
Oil and condensate production volumes (MBbl) per day   7    4 
Total sales  $110,208   $70,295 
Average price without the impact of derivatives ($/Bbl)  $60.45   $71.89 
Impact from settled derivatives ($/Bbl)  $2.86   $(0.17)
Average price, including settled derivatives ($/Bbl)  $63.31   $71.72 
           
NGL sales          
NGL production volumes (MBbl)   3,315    2,805 
NGL production volumes (MBbl) per day   12    10 
Total sales  $98,287   $80,870 
Average price without the impact of derivatives ($/Bbl)  $29.65   $28.83 
Impact from settled derivatives ($/Bbl)  $(0.40)  $(0.55)
Average price, including settled derivatives ($/Bbl)  $29.25   $28.28 
           
Natural gas, oil and condensate and NGL sales          
Natural gas equivalents (MMcfe)   278,219    288,710 
Natural gas equivalents (MMcfe) per day   1,019    1,054 
Total sales  $968,038   $643,771 
Average price without the impact of derivatives ($/Mcfe)  $3.48   $2.23 
Impact from settled derivatives ($/Mcfe)  $0.16   $0.83 
Average price, including settled derivatives ($/Mcfe)  $3.64   $3.06 
           
Production Costs:          
Average lease operating expenses ($/Mcfe)  $0.21   $0.18 
Average taxes other than income ($/Mcfe)  $0.08   $0.08 
Average transportation, gathering, processing and compression ($/Mcfe)  $0.96   $0.91 
Total lease operating expenses, midstream costs and production taxes ($/Mcfe)  $1.25   $1.16 

 

Totals may not sum or recalculate due to rounding.

 

Page 5

 

 

 

Consolidated Statements of Income: Three months ended September 30, 2025

(In thousands, except per share data)

(Unaudited)

 

   Three Months
Ended
September 30,
2025
   Three Months
Ended
September 30,
2024
 
REVENUES:        
Natural gas sales  $236,801   $159,862 
Oil and condensate sales   37,406    29,467 
Natural gas liquid sales   38,734    26,617 
Net gain on natural gas, oil and NGL derivatives   66,804    37,966 
Total revenues   379,745    253,912 
OPERATING EXPENSES:          
Lease operating expenses   20,793    18,218 
Taxes other than income   7,925    6,833 
Transportation, gathering, processing and compression   96,390    89,900 
Depreciation, depletion and amortization   83,216    82,825 
Impairment of oil and natural gas properties       30,487 
General and administrative expenses   11,835    10,479 
Accretion expense   597    583 
Total operating expenses   220,756    239,325 
INCOME FROM OPERATIONS   158,989    14,587 
OTHER EXPENSE:          
Interest expense   13,590    15,866 
Loss on debt extinguishment       13,388 
Other, net   2,596    3,133 
Total other expense   16,186    32,387 
INCOME (LOSS) BEFORE INCOME TAXES   142,803    (17,800)
INCOME TAX EXPENSE (BENEFIT):          
Current   (105)    
Deferred   31,515    (3,833)
Total income tax expense (benefit)   31,410    (3,833)
NET INCOME (LOSS)  $111,393   $(13,967)
Dividends on preferred stock       (1,093)
Deemed dividend on preferred stock   (29,986)    
Participating securities - preferred stock        
NET INCOME (LOSS) ATTRIBUTABLE TO COMMON STOCKHOLDERS  $81,407   $(15,060)
NET INCOME (LOSS) PER COMMON SHARE:          
Basic  $4.49   $(0.83)
Diluted  $4.45   $(0.83)
Weighted average common shares outstanding—Basic   18,114    18,062 
Weighted average common shares outstanding—Diluted   18,290    18,062 

 

Page 6

 

 

 

Consolidated Statements of Income: Nine months ended September 30, 2025

(In thousands, except per share data)

(Unaudited)

 

   Nine Months
Ended
September 30,
2025
   Nine Months
Ended
September 30,
2024
 
REVENUES:        
Natural gas sales  $759,543   $492,606 
Oil and condensate sales   110,208    70,295 
Natural gas liquid sales   98,287    80,870 
Net gain on natural gas, oil and NGL derivatives   56,357    74,487 
Total revenues   1,024,395    718,258 
OPERATING EXPENSES:          
Lease operating expenses   58,704    50,843 
Taxes other than income   22,107    22,111 
Transportation, gathering, processing and compression   265,768    263,048 
Depreciation, depletion and amortization   222,481    241,401 
Impairment of oil and natural gas properties       30,487 
General and administrative expenses   31,762    30,429 
Accretion expense   1,802    1,705 
Total operating expenses   602,624    640,024 
INCOME FROM OPERATIONS   421,771    78,234 
OTHER EXPENSE:          
Interest expense   40,677    46,027 
Loss on debt extinguishment       13,388 
Other, net   2,795    3,530 
Total other expense   43,472    62,945 
INCOME BEFORE INCOME TAXES   378,299    15,289 
INCOME TAX EXPENSE:          
Current        
Deferred   82,904    3,433 
Total income tax expense   82,904    3,433 
NET INCOME  $295,395   $11,856 
Dividends on preferred stock   (1,666)   (3,293)
Deemed dividend on preferred stock   (29,986)    
Participating securities - preferred stock       (1,259)
NET INCOME ATTRIBUTABLE TO COMMON STOCKHOLDERS  $263,743   $7,304 
NET INCOME PER COMMON SHARE:          
Basic  $14.73   $0.40 
Diluted  $14.57   $0.40 
Weighted average common shares outstanding—Basic   17,901    18,133 
Weighted average common shares outstanding—Diluted   18,102    18,463 

 

Page 7

 

 

 

Consolidated Balance Sheets

(In thousands)

 

   September 30,
2025
   December 31,
2024
 
Assets  (Unaudited)     
Current assets:        
Cash and cash equivalents  $3,367   $1,473 
Accounts receivable—oil, natural gas, and natural gas liquids sales   121,990    155,942 
Accounts receivable—joint interest and other   7,910    8,727 
Prepaid expenses and other current assets   8,804    7,086 
Short-term derivative instruments   44,556    58,085 
Total current assets   186,627    231,313 
Property and equipment:          
Oil and natural gas properties, full-cost method          
Proved oil and natural gas properties   3,779,424    3,349,805 
Unproved properties   208,050    221,650 
Other property and equipment   12,779    11,291 
Total property and equipment   4,000,253    3,582,746 
Less: accumulated depletion, depreciation and amortization   (1,786,883)   (1,564,475)
Total property and equipment, net   2,213,370    2,018,271 
Other assets:          
Long-term derivative instruments   16,378    6,003 
Deferred tax asset   498,329    581,233 
Operating lease assets   760    6,099 
Other assets   19,531    22,778 
Total other assets   534,998    616,113 
Total assets  $2,934,995   $2,865,697 

 

Page 8

 

 

 

Consolidated Balance Sheets

(In thousands, except share data)

 

   September 30,
2025
   December 31,
2024
 
Liabilities, Mezzanine Equity and Stockholders’ Equity  (Unaudited)     
Current liabilities:        
Accounts payable and accrued liabilities  $313,900   $298,081 
Short-term derivative instruments   30,898    41,889 
Current portion of operating lease liabilities   747    5,538 
Total current liabilities   345,545    345,508 
Non-current liabilities:          
Long-term derivative instruments   29,864    35,081 
Asset retirement obligation   33,598    32,949 
Non-current operating lease liabilities   13    561 
Long-term debt   691,666    702,857 
Total non-current liabilities   755,141    771,448 
Total liabilities  $1,100,686   $1,116,956 
Commitments and contingencies (Note 9)          
Mezzanine equity:          
Preferred stock - $0.0001 par value, 110.0 thousand shares authorized, 0 issued and outstanding at September 30, 2025, and 37.3 thousand issued and outstanding at December 31, 2024       37,348 
Stockholders’ equity:          
Common stock - $0.0001 par value, 42.0 million shares authorized, 19.5 million issued and outstanding at September 30, 2025, and 17.8 million issued and outstanding at December 31, 2024   2    2 
Additional paid-in capital   3,101    129,059 
Retained earnings   1,833,145    1,582,332 
Treasury stock, at cost - 10.7 thousand shares at September 30, 2025 and 0 shares at December 31, 2024   (1,939)    
Total stockholders’ equity  $1,834,309   $1,711,393 
Total liabilities, mezzanine equity and stockholders’ equity  $2,934,995   $2,865,697 

 

Page 9

 

 

 

Consolidated Statement of Cash Flows: Three months ended September 30, 2025

(In thousands)

(Unaudited)

 

   Three Months
Ended
September 30,
2025
   Three Months
Ended
September 30,
2024
 
Cash flows from operating activities:        
Net income (loss)  $111,393   $(13,967)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:          
Depletion, depreciation and amortization   83,216    82,825 
Impairment of oil and natural gas properties       30,487 
Loss on debt extinguishment       13,388 
Net gain on derivative instruments   (66,804)   (37,965)
Net cash receipts on settled derivative instruments   33,752    84,876 
Deferred income tax expense (benefit)   31,515    (3,833)
Stock-based compensation expense   2,942    2,664 
Other, net   2,386    1,485 
Changes in operating assets and liabilities, net   10,678    29,738 
Net cash provided by operating activities   209,078    189,698 
Cash flows from investing activities:          
Additions to oil and natural gas properties   (129,899)   (132,059)
Proceeds from sale of oil and natural gas properties   150     
Other, net   (509)   (494)
Net cash used in investing activities   (130,258)   (132,553)
Cash flows from financing activities:          
Principal payments on Credit Facility   (580,000)   (314,000)
Borrowings on Credit Facility   576,000    214,000 
Issuance of 2029 Senior Notes       650,000 
Early retirement of 2026 Senior Notes       (524,298)
Premium paid on 2026 Senior Notes       (12,941)
Debt issuance costs and loan commitment fees       (14,714)
Dividends on preferred stock       (1,093)
Redemption of preferred stock   (31,374)    
Repurchase of common stock under Repurchase Program   (43,523)   (25,228)
Repurchase of common stock under Repurchase Program - related party       (24,862)
Shares exchanged for tax withholdings   (348)   (2,022)
Other, net   (2)    
Net cash used in financing activities   (79,247)   (55,158)
Net change in cash and cash equivalents   (427)   1,987 
Cash and cash equivalents at beginning of period   3,794    1,233 
Cash and cash equivalents at end of period  $3,367   $3,220 

 

Page 10

 

 

 

Consolidated Statement of Cash Flows: Nine months ended September 30, 2025

(In thousands)

(Unaudited)

 

   Nine Months
Ended
September 30,
2025
   Nine Months
Ended
September 30,
2024
 
Cash flows from operating activities:        
Net income  $295,395   $11,856 
Adjustments to reconcile net income to net cash provided by operating activities:          
Depletion, depreciation and amortization   222,481    241,401 
Impairment of oil and natural gas properties       30,487 
Loss on debt extinguishment       13,388 
Net gain on derivative instruments   (56,357)   (74,487)
Net cash receipts on settled derivative instruments   43,302    240,941 
Deferred income tax expense   82,904    3,433 
Stock-based compensation expense   9,245    8,410 
Other, net   6,236    4,509 
Changes in operating assets and liabilities, net   14,555    21,247 
Net cash provided by operating activities   617,761    501,185 
Cash flows from investing activities:          
Additions to oil and natural gas properties   (382,899)   (376,910)
Proceeds from sale of oil and natural gas properties   150     
Other, net   (1,474)   (2,141)
Net cash used in investing activities   (384,223)   (379,051)
Cash flows from financing activities:          
Principal payments on Credit Facility   (994,000)   (825,000)
Borrowings on Credit Facility   1,007,000    737,000 
Issuance of 2029 Senior Notes       650,000 
Early retirement of 2026 Senior Notes   (25,702)   (524,298)
Premium paid on 2026 Senior Notes       (12,941)
Debt issuance costs and loan commitment fees       (14,820)
Dividends on preferred stock   (1,666)   (3,293)
Redemption of preferred stock   (31,374)    
Repurchase of common stock under Repurchase Program   (153,023)   (64,021)
Repurchase of common stock under Repurchase Program - related party   (15,000)   (39,864)
Net cash payments on performance vesting restricted stock units   (12,297)    
Shares exchanged for tax withholdings   (5,576)   (23,606)
Other, net   (6)    
Net cash used in financing activities   (231,644)   (120,843)
Net change in cash and cash equivalents   1,894    1,291 
Cash and cash equivalents at beginning of period   1,473    1,929 
Cash and cash equivalents at end of period  $3,367   $3,220 

 

Page 11

 

 

 

2025E Guidance

 

Gulfport’s 2025 guidance assumes commodity strip prices as of October 14, 2025, adjusted for applicable commodity and location differentials, and no property acquisitions or divestitures.

 

   Year Ending 
   December 31, 2025 
   Low   High 
Production        
Average daily gas equivalent (MMcfe/day)   ~1,040 
Average daily liquids production (MBbl/day)   18.0    20.5 
% Gas   ~89% 
           
Realizations (before hedges)          
Natural gas (differential to NYMEX settled price) ($/Mcf)  $(0.20)  $(0.35)
NGL (% of WTI)   40%   50%
Oil (differential to NYMEX WTI) ($/Bbl)  $(5.50)  $(6.50)
           
Expenses          
Lease operating expense ($/Mcfe)  $0.19   $0.22 
Taxes other than income ($/Mcfe)  $0.08   $0.10 
Transportation, gathering, processing and compression ($/Mcfe)  $0.93   $0.97 
Recurring cash general and administrative(1,2)  ($/Mcfe)  $0.12   $0.14 
           
    Total 
Capital expenditures (incurred)   (in millions) 
Operated base D&C   ~$355 
Maintenance leasehold and land   ~$35 
Total base capital expenditures   ~$390 
      
Discretionary appraisal capital   ~$30 
Discretionary development capital   ~$35 

 

(1)Recurring cash G&A includes capitalization. It excludes non-cash stock compensation and expenses related to the continued administration of our prior Chapter 11 filing.
(2)This is a non-GAAP measure. Reconciliations of these non-GAAP measures and other disclosures are provided with the supplemental financial tables available on our website at www.gulfportenergy.com.

 

Page 12

 

 

 

Derivatives

 

The below details Gulfport’s hedging positions as of October 29, 2025:

 

   4Q2025   Full Year 2025(1)   Full Year
2026
   Full Year
2027
 
Natural Gas Contract Summary (NYMEX):                
Fixed Price Swaps                
Volume (BBtupd)   270    270    310    130 
Weighted Average Price ($/MMBtu)  $3.82   $3.82   $3.80   $3.94 
                     
Fixed Price Collars                    
Volume (BBtupd)   240    240    150    110 
Weighted Average Floor Price ($/MMBtu)  $3.42   $3.42   $3.61   $3.75 
Weighted Average Ceiling Price ($/MMBtu)  $4.27   $4.27   $4.35   $4.27 
                     
Fixed Price Calls Sold                    
Volume (BBtupd)   173    173         
Weighted Average Price ($/MMBtu)  $5.93   $5.93   $   $ 
                     
Basis Contract Summary:                    
Rex Zone 3 Basis                    
Volume (BBtupd)   110    110    80     
Differential ($/MMBtu)  $(0.20)  $(0.20)  $(0.18)  $ 
                     
Tetco M2 Basis                    
Volume (BBtupd)   230    230    170    40 
Differential ($/MMBtu)  $(0.96)  $(0.96)  $(0.95)  $(0.93)
                     
NGPL TX OK Basis                    
Volume (BBtupd)   40    40    30    10 
Differential ($/MMBtu)  $(0.29)  $(0.29)  $(0.30)  $(0.29)
                     
TGP 500 Basis                    
Volume (BBtupd)   20    20    20     
Differential ($/MMBtu)  $0.41   $0.41   $0.56   $ 
                     
Transco Station 85 Basis                    
Volume (BBtupd)   10    10    10     
Differential ($/MMBtu)  $0.45   $0.45   $0.56   $ 
                     
Oil Contract Summary (WTI):                    
Fixed Price Swaps                    
Volume (Bblpd)   3,000    3,000         
Weighted Average Price ($/Bbl)  $73.29   $73.29   $   $ 
                     
NGL Contract Summary:                    
C3 Propane Fixed Price Swaps                    
Volume (Bblpd)   3,000    3,000    2,496     
Weighted Average Price ($/Bbl)  $29.89   $29.89   $30.91   $ 

 

(1)October 1, 2025 - December 31, 2025.

 

Page 13

 

 

 

Non-GAAP Reconciliations

 

Gulfport’s management uses certain non-GAAP financial measures for planning, forecasting and evaluating business and financial performance, and believes that they are useful tools to assess Gulfport’s operating results. Although these are not measures of performance calculated in accordance with generally accepted accounting principles (GAAP), management believes that these financial measures are useful to an investor in evaluating Gulfport because (i) analysts utilize these metrics when evaluating company performance and have requested this information as of a recent practicable date, (ii) these metrics are widely used to evaluate a company’s operating performance, and (iii) we want to provide updated information to investors. Investors should not view these metrics as a substitute for measures of performance that are calculated in accordance with GAAP. In addition, because all companies do not calculate these measures identically, these measures may not be comparable to similarly titled measures of other companies.

 

These non-GAAP financial measures include adjusted net income, adjusted EBITDA, adjusted free cash flow, and recurring general and administrative expense. A reconciliation of each financial measure to its most directly comparable GAAP financial measure is included in the tables below. These non-GAAP measure should be considered in addition to, but not instead of, the financial statements prepared in accordance with GAAP.

 

Page 14

 

 

Definitions

 

Adjusted net income is a non-GAAP financial measure equal to net income (loss) less non-cash derivative loss (gain), impairment of oil and natural gas properties, non-recurring general and administrative expenses comprised of expenses related to the continued administration of our prior Chapter 11 filing, stock-based compensation expenses, loss on debt extinguishment, other non-material expenses and the tax effect of the adjustments to net income (loss).

 

Adjusted EBITDA is a non-GAAP financial measure equal to net income (loss), the most directly comparable GAAP financial measure, plus interest expense, income tax expense (benefit), depreciation, depletion, amortization, impairment and accretion, non-cash derivative loss (gain), non-recurring general and administrative expenses comprised of expenses related to the continued administration of our prior Chapter 11 filing, stock-based compensation, loss on debt extinguishment and other non-material expenses.

 

Adjusted free cash flow is a non-GAAP measure defined as adjusted EBITDA plus certain non-cash items that are included in net cash provided by operating activities but excluded from adjusted EBITDA less interest expense, current income tax expense (benefit), capitalized expenses incurred and capital expenditures incurred. Gulfport includes an adjusted free cash flow estimate for 2025. We are unable, however, to provide a quantitative reconciliation of the forward-looking non-GAAP measure to its most directly comparable forward-looking GAAP measure because management cannot reliably quantify certain of the necessary components of such forward-looking GAAP measure. Accordingly, Gulfport is relying on the exception provided by Item 10(e)(1)(i)(B) of Regulation S-K to exclude such reconciliation. Items excluded in net cash provided by (used in) operating activities to arrive at adjusted free cash flow include interest expense, income taxes, capitalized expenses as well as one-time items or items whose timing or amount cannot be reasonably estimated.

 

Recurring general and administrative expense is a non-GAAP financial measure equal to general and administrative expense (GAAP) plus capitalized general and administrative expense, less non-recurring general and administrative expenses comprised of expenses related to the continued administration of our prior Chapter 11 filing. Gulfport includes a recurring general and administrative expense estimate for 2025. We are unable, however, to provide a quantitative reconciliation of the forward-looking non-GAAP measure to its most directly comparable forward-looking GAAP measure because management cannot reliably quantify certain of the necessary components of such forward-looking GAAP measure. Accordingly, Gulfport is relying on the exception provided by Item 10(e)(1)(i)(B) of Regulation S-K to exclude such reconciliation. Items excluded in general and administrative expense to arrive at recurring general and administrative expense include capitalized expenses as well as one-time items or items whose timing or amount cannot be reasonably estimated. The non-GAAP measure recurring general and administrative expenses allows investors to compare Gulfport’s total general and administrative expenses, including capitalization, to peer companies that account for their oil and gas operations using the successful efforts method.

 

Page 15

 

 

 

Adjusted Net Income: Three months ended September 30, 2025

(In thousands)

(Unaudited)

 

   Three Months
Ended
September 30,
2025
   Three Months
Ended
September 30,
2024
 
         
Net Income (Loss) (GAAP)  $111,393   $(13,967)
           
Adjustments:          
Non-cash derivative (gain) loss   (33,052)   46,911 
Impairment of oil and natural gas properties       30,487 
Non-recurring general and administrative expense   407    33 
Stock-based compensation expense   2,942    2,664 
Loss on debt extinguishment       13,388 
Other, net   2,596    3,133 
Tax effect of adjustments(1)   5,964    (20,801)
Adjusted Net Income (Non-GAAP)  $90,250   $61,848 

 

(1) Income taxes were approximately 22% and 22% for the three months ended September 30, 2025 and 2024, respectively.

 

Page 16

 

 

 

Adjusted Net Income: Nine months ended September 30, 2025

(In thousands)

(Unaudited)

 

   Nine Months
Ended
September 30,
2025
   Nine Months
Ended
September 30,
2024
 
         
Net Income (GAAP)  $295,395   $11,856 
           
Adjustments:          
Non-cash derivative (gain) loss   (13,055)   166,454 
Impairment of oil and natural gas properties       30,487 
Non-recurring general and administrative expense   1,438    1,561 
Stock-based compensation expense   9,245    8,410 
Loss on debt extinguishment       13,388 
Other, net   2,795    3,530 
Tax effect of adjustments(1)   (93)   (50,272)
Adjusted Net Income (Non-GAAP)  $295,725   $185,414 

 

(1) Income taxes were approximately 22% and 22% for the nine months ended September 30, 2025 and 2024, respectively.

 

Page 17

 

 

 

Adjusted EBITDA: Three months ended September 30, 2025

(In thousands)

(Unaudited)

 

   Three Months
Ended
September 30,
2025
   Three Months
Ended
September 30,
2024
 
         
Net Income (Loss) (GAAP)  $111,393   $(13,967)
           
Adjustments:          
Interest expense   13,590    15,866 
Income tax expense (benefit)   31,410    (3,833)
DD&A, impairment and accretion   83,813    113,895 
Non-cash derivative (gain) loss   (33,052)   46,911 
Non-recurring general and administrative expenses   407    33 
Stock-based compensation expense   2,942    2,664 
Loss on debt extinguishment       13,388 
Other, net   2,596    3,133 
Adjusted EBITDA (Non-GAAP)  $213,099   $178,090 

 

Page 18

 

 

 

Adjusted EBITDA: Nine months ended September 30, 2025

(In thousands)

(Unaudited)

 

   Nine Months
Ended
September 30,
2025
   Nine Months
Ended
September 30,
2024
 
         
Net Income (GAAP)  $295,395   $11,856 
           
Adjustments:          
Interest expense   40,677    46,027 
Income tax expense   82,904    3,433 
DD&A, impairment and accretion   224,283    273,593 
Non-cash derivative (gain) loss   (13,055)   166,454 
Non-recurring general and administrative expenses   1,438    1,561 
Stock-based compensation expense   9,245    8,410 
Loss on debt extinguishment       13,388 
Other, net   2,795    3,530 
Adjusted EBITDA (Non-GAAP)  $643,682   $528,252 

 

Page 19

 

 

 

Adjusted Free Cash Flow: Three months ended September 30, 2025

(In thousands)

(Unaudited)

 

   Three Months
Ended
September 30,
2025
   Three Months
Ended
September 30,
2024
 
         
Net cash provided by operating activity (GAAP)  $209,078   $189,698 
Adjustments:          
Interest expense   13,590    15,866 
Non-recurring general and administrative expenses   407    33 
Current income tax expense   (105)    
Other, net   807    2,231 
Changes in operating assets and liabilities, net:          
Accounts receivable - oil, natural gas, and natural gas liquids sales   (6,624)   (5,415)
Accounts receivable - joint interest and other   (3,838)   (6,936)
Accounts payable and accrued liabilities   283    (15,900)
Prepaid expenses   (457)   (1,499)
Other assets   (42)   12 
Total changes in operating assets and liabilities, net  $(10,678)  $(29,738)
Adjusted EBITDA (Non-GAAP)  $213,099   $178,090 
Interest expense   (13,590)   (15,866)
Current income tax expense   105     
Capitalized expenses incurred(1)   (6,325)   (6,413)
Capital expenditures incurred(2,3,4)   (89,853)   (83,254)
Adjusted free cash flow (Non-GAAP)  $103,436   $72,557 

 

(1) Includes cash capitalized general and administrative expense and incurred capitalized interest expenses.
(2) Incurred capital expenditures and cash capital expenditures may vary from period to period due to the cash payment cycle.
(3) For the three months ended September 30, 2025, includes $1.9 million and $0.7 million of non-D&C capital and non-operated capital expenditures, respectively. Additionally, excludes targeted discretionary acreage acquisitions of $8.9 million that the Company has guided to an anticipated total of $75 - $100 million of discretionary acreage acquisitions.
(4) For the three months ended September 30, 2024, includes $0.8 million and $0.8 million of non-D&C capital and non-operated capital expenditures, respectively. Additionally, excludes targeted discretionary acreage acquisitions of $19.8 million.

 

Page 20

 

 

 

Adjusted Free Cash Flow: Nine months ended September 30, 2025

(In thousands)

(Unaudited)

 

   Nine Months
Ended
September 30,
2025
   Nine Months
Ended
September 30,
2024
 
         
Net cash provided by operating activity (GAAP)  $617,761   $501,185 
Adjustments:          
Interest expense   40,677    46,027 
Non-recurring general and administrative expenses   1,438    1,561 
Current income tax expense        
Other, net   (1,639)   726 
Changes in operating assets and liabilities, net:          
Accounts receivable - oil, natural gas, and natural gas liquids sales   (33,952)   (33,548)
Accounts receivable - joint interest and other   (817)   (7,947)
Accounts payable and accrued liabilities   17,612    21,117 
Prepaid expenses   2,603    (850)
Other assets   (1)   (19)
Total changes in operating assets and liabilities, net  $(14,555)  $(21,247)
Adjusted EBITDA (Non-GAAP)  $643,682   $528,252 
Interest expense   (40,677)   (46,027)
Current income tax expense        
Capitalized expenses incurred(1)   (18,762)   (17,991)
Capital expenditures incurred(2,3,4)   (379,615)   (332,633)
Adjusted free cash flow (Non-GAAP)  $204,628   $131,601 

 

(1) Includes cash capitalized general and administrative expense and incurred capitalized interest expenses.
(2) Incurred capital expenditures and cash capital expenditures may vary from period to period due to the cash payment cycle.
(3) For the nine months ended September 30, 2025, includes $6.2 million and $2.2 million of non-D&C capital and non-operated capital expenditures, respectively. Additionally, excludes targeted discretionary acreage acquisitions of $15.7 million that the Company has guided to an anticipated total of $75 - $100 million of discretionary acreage acquisitions.
(4) For the nine months ended September 30, 2024, includes $3.7 million and $2.4 million of non-D&C capital and non-operated capital expenditures, respectively. Additionally, excludes targeted discretionary acreage acquisitions of $38.8 million.

 

Page 21

 

 

 

Recurring General and Administrative Expenses:

Three months ended September 30, 2025

(In thousands)

(Unaudited)

 

   Three Months Ended September 30, 2025   Three Months Ended September 30, 2024 
   Cash   Non-Cash   Total   Cash   Non-Cash   Total 
                         
General and administrative expense (GAAP)  $8,893   $2,942   $11,835   $7,815   $2,664   $10,479 
Capitalized general and administrative expense   4,789    1,449    6,238    5,183    1,312    6,495 
Non-recurring general and administrative expense   (407)       (407)   (33)       (33)
Recurring general and administrative before capitalization (Non-GAAP)  $13,275   $4,391   $17,666   $12,965   $3,976   $16,941 

 

Page 22

 

 

 

Recurring General and Administrative Expenses:

Nine months ended September 30, 2025

(In thousands)

(Unaudited)

 

   Nine Months Ended September 30, 2025   Nine Months Ended September 30, 2024 
   Cash   Non-Cash   Total   Cash   Non-Cash   Total 
                         
General and administrative expense (GAAP)  $22,517   $9,245   $31,762   $22,019   $8,410   $30,429 
Capitalized general and administrative expense   14,350    4,554    18,904    14,388    4,142    18,530 
Non-recurring general and administrative expense   (1,438)       (1,438)   (1,561)       (1,561)
Recurring general and administrative before capitalization (Non-GAAP)  $35,429   $13,799   $49,228   $34,846   $12,552   $47,398 

 

Page 23