Executive Summary
EQT Corporation delivered a standout QQ2 2025 performance with a pronounced top-line expansion and strong margin profile, underpinned by favorable natural gas price dynamics and resilient volumes in the Marcellus region. Reported revenue of USD 2,557.7 million translated into a gross profit of USD 1,399.6 million and EBITDA of USD 1,821.4 million, delivering an EBITDA margin in excess of 70% for the quarter. Net income reached USD 784.1 million with basic and diluted EPS of USD 1.31 and USD 1.30, respectively, underscoring meaningful profitability on a quarterly basis. In AUD terms (assuming USD/AUD ~1.50 for QQ2 2025), this equates to roughly AUD 3,836.6 million of revenue, AUD 2,099.4 million gross profit, AUD 2,732.1 million EBITDA, and AUD 1,176.2 million net income.
Despite robust profitability, cash flow from operations was modest in the quarter at USD 5.68 million, with free cash flow of USD 5.48 million and capex of USD 0.192 million. The incongruity between high earnings and cash conversion reflects working capital dynamics and non-cash items, a pattern investors should monitor as commodity cycles and capital allocation evolve. The balance sheet remains solid with total assets of USD 527.5 million and net debt of USD -40.9 million (net cash), supported by a cash position of USD 114.6 million and a current ratio of 7.41, signaling ample liquidity.
Looking ahead, EQT’s near-term trajectory will hinge on energy price volatility, gas demand trends (including LNG feedstock demand), and the company’s ability to translate favorable operating performance into durable free cash flow. The current quarter reinforces EQT’s capability to generate substantial earnings power from its gas-centric asset base, but sustained investor value will depend on cash flow durability, balance sheet discipline, and the execution of any portfolio optimization or growth initiatives in a volatile macro backdrop.
Key Performance Indicators
QoQ: 5.13% | YoY:1 404.98%
QoQ: 128.52% | YoY:502.37%
QoQ: 223.84% | YoY:360.67%
QoQ: 227.50% | YoY:342.59%
Key Insights
Revenue: USD 2,557.72M; YoY +110.17%; QoQ +5.74% (AUD: ~3,836.58M; YoY +110%; QoQ +6%)
Gross Profit: USD 1,399.63M; Gross Margin 54.7%; YoY +1,405%; QoQ +5.13% (AUD: ~2,099.45M; margin ~54.7%)
Operating Income: USD 1,134.04M; Operating Margin 44.3%; YoY +502%; QoQ +128.5% (AUD: ~1,701.06M; margin ~44.3%)
Net Income: USD 784.15M; Net Margin 30.7%; YoY +361%; QoQ +224% (AUD: ~1,176.22M)
EPS (Basic): USD 1.31; Diluted USD 1.30; AUD ~1.97 (basic) / ~1.95 (diluted)
EBITDA: USD 1,821.41M; EBITDA Marg...
Financial Highlights
Revenue: USD 2,557.72M; YoY +110.17%; QoQ +5.74% (AUD: ~3,836.58M; YoY +110%; QoQ +6%)
Gross Profit: USD 1,399.63M; Gross Margin 54.7%; YoY +1,405%; QoQ +5.13% (AUD: ~2,099.45M; margin ~54.7%)
Operating Income: USD 1,134.04M; Operating Margin 44.3%; YoY +502%; QoQ +128.5% (AUD: ~1,701.06M; margin ~44.3%)
Net Income: USD 784.15M; Net Margin 30.7%; YoY +361%; QoQ +224% (AUD: ~1,176.22M)
EPS (Basic): USD 1.31; Diluted USD 1.30; AUD ~1.97 (basic) / ~1.95 (diluted)
EBITDA: USD 1,821.41M; EBITDA Margin ~71.2%; QoQ comparison not provided in the snippet (AUD ~2,732.12M)
EBITDA Margin (EBITDARatio): 0.7121
Net Debt / Cash: Net Debt USD -40.86M (Net cash); Cash USD 114.64M; Debt USD 73.77M (AUD equivalents shown in narrative)
Liquidity: Current Ratio 7.41; Cash & Short-Term Investments USD 124.64M (AUD ~186.96M); Free Cash Flow USD 5.48M (AUD ~8.22M)
Capital Expenditure: USD -0.192M (AUD ~ -0.288M); Dividends Paid USD -13.21M (AUD ~ -19.82M)
Weighted Average Shares (basic): 59.92M (USD-based OS share counts; AUD translation remains indicative)
Income Statement
| Metric |
Value |
YoY Change |
QoQ Change |
| Revenue |
89.43M |
110.17% |
5.74% |
| Gross Profit |
26.68M |
1 404.98% |
5.13% |
| Operating Income |
26.53M |
502.37% |
128.52% |
| Net Income |
12.26M |
360.67% |
223.84% |
| EPS |
0.52 |
342.59% |
227.50% |
Key Financial Ratios
operatingProfitMargin
29.7%
operatingCashFlowPerShare
$0.23
freeCashFlowPerShare
$0.22
dividendPayoutRatio
107.7%
Management Commentary
Transcript highlights not provided in the input. No earnings-call quotes or themes were supplied. N/A for the current dataset.
Forward Guidance
Management did not publish explicit QQ2 2025 guidance within the supplied data. In the current energy context, investors should monitor: (i) Henry Hub price trajectories and LNG demand, which directly influence EQT’s volume realization and pricing power; (ii) production volumes in the Marcellus/Southeast basins and any operational efficiencies; (iii) capex cadence and any potential growth investments or portfolio optimizations; (iv) debt management and liquidity evolution given the cash flow dispersion observed between earnings and cash generation; and (v) macro factors such as regulatory changes affecting natural gas development and midstream connectivity. Our assessment is that the earnings power remains robust given gas-market tailwinds, but the near-term cash conversion will depend on working capital movements and non-cash charges. Investors should monitor liquidity metrics, ongoing capital allocation, and any shifts in the commodity mix that could affect EBITDA durability.