EQT Corporation reported strong Q1 2025 financial results, with net income attributable to EQT of $242 million ($0.40 per diluted share) and adjusted net income of $713 million ($1.18 per diluted share). Total sales volume was 571 Bcfe, and the average realized price was $3.77 per Mcfe, up from $3.22 per Mcfe in Q1 2024. The company generated over $1 billion of free cash flow attributable to EQT in the quarter.
EQT announced an agreement to acquire the upstream and midstream assets of Olympus Energy for $1.8 billion, consisting of approximately 26 million shares of EQT common stock ($1.3 billion) and $500 million in cash. The acquisition adds a contiguous 90,000 net acre position in Southwest Pennsylvania with 500 MMcf/d net production and over 10 years of high-quality Marcellus inventory. This bolt-on acquisition is expected to generate an attractive 15% unlevered free cash flow yield.
EQT raised its 2025 production guidance by 25 Bcfe to 2,200 – 2,300 Bcfe and lowered the midpoint of its 2025 maintenance capital spending by $25 million. The company exited Q1 2025 with $8.1 billion of net debt, down $1 billion from year-end 2024. The Olympus acquisition is expected to close early in Q3 2025, subject to regulatory approval.
The record free cash flow generation and strong operational performance in Q1 2025 highlight the effectiveness of EQT's integrated platform and tactical production management. The accretive acquisition of Olympus Energy strengthens EQT's core asset base, adds high-quality inventory, and is expected to generate an attractive 15% unlevered free cash flow yield. The updated guidance reflects continued efficiency gains and synergy capture.
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