Range Resources' Q4 performance exceeded expectations, with strong natural gas prices driving a 2% increase in stock price

Range Resources Corporation (NYSE:RRC) reports Q4 results that beat analyst expectations, with adjusted earnings of $0.82 per share, higher than the market consensus of $0.72. Following the announcement, the stock rose 2.5%.

Revenue reached $820.16 million, surpassing the expected $751.29 million, a 31% increase from the same period last year.

The company’s average daily production in Q4 was 2.32 Bcfe, with approximately 69% being natural gas. Including basis hedges, the realized natural gas price was $3.22 per thousand cubic feet, with a $0.32 discount to NYMEX. The pre-hedge NGL price was $23.10 per barrel, $1.62 above the Mont Belvieu equivalent.

Operating cash flow before changes in working capital for this quarter was $353 million.

CEO Dennis Degner stated, “Our 2025 performance demonstrates the strength of Range’s business. We successfully generated free cash flow, returned capital to shareholders, and reduced net debt while prudently investing in business development.”

For 2026, Range’s guidance indicates total capital expenditures of $650 million to $700 million, with production expected to reach 2.35 to 2.40 Bcfe per day. The company anticipates that, with similar capital levels, production will grow to 2.6 Bcfe per day in 2027.

Range’s board expects to approve an 11.1% increase in quarterly dividends to $0.10 per share. In Q4, the company repurchased 1.5 million shares at an average price of $36.23. The board approved an increase in the share repurchase authorization, bringing the total available to $1.5 billion.

As of the end of 2025, the company’s net debt is approximately $1.22 billion, with proved reserves of 18.1 Tcfe, marking the 18th consecutive year of positive performance revisions.

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