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RRC Q1 Earnings Surpass Estimates on Higher Price Realizations
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Key Takeaways
Range Resources reported Q1 2026 EPS of $1.52, beating estimates and increasing from 96 cents a year ago.
RRC posted realized prices of $5.09 per Mcfe, up 27%, with natural gas prices rising 43% year over year.
Range Resources revenues top $1.02B, driven by natural gas prices and production growth.
Range Resources Corporation (RRC - Free Report) reported first-quarter 2026 adjusted earnings of $1.52 per share, which beat the Zacks Consensus Estimate of $1.33. The bottom line also improved from the prior-year level of 96 cents.
Total quarterly revenues of $1,018.3 million topped the Zacks Consensus Estimate of $919.3 million. The top line increased from the prior-year figure of $854 million.
Strong quarterly results can be attributed to higher gas-equivalent production and increased natural gas price realization.
Range Resources Corporation Price, Consensus and EPS Surprise
Production averaged 2,207.4 million cubic feet equivalent per day (MMcfe/d), higher than the year-ago quarter’s 2,200.3 MMcfe/d. The figure came in lower than our projection of 2,233.7 MMcfe/d. Natural gas contributed 68% to the company’s total production, while NGLs and oil accounted for the rest.
Natural gas production remained flat year over year. Oil production increased 75%, while NGL output declined 2% over the same time frame.
Total price realization (excluding derivative settlements and before third-party transportation costs) averaged $5.09 per Mcfe, up 27% year over year. Price realization exceeded our estimate of $4.48 per Mcfe. Natural gas price increased 43% on a year-over-year basis to $5.18 per Mcf. NGL price declined 4%, while oil price rose 4%.
RRC’s Costs & Expenses
Total costs and expenses increased 3% year over year to $601 million. The reported figure topped our projection of $571.3 million. Transportation, gathering, processing and compression costs, which constitute a significant part of the total costs, increased to $323.3 million from $306.1 million in the prior-year quarter.
RRC’s Capital Expenditure & Balance Sheet
Drilling and completion expenditure totaled $130 million. An additional $5 million was spent on acreage and $4 million on infrastructure and other investments.
At the end of the first quarter, Range Resources reported a total debt of $819.3 million, net of deferred financing costs.
Outlook of Range Resources
RRC expects the total production for 2026 to be in the range of 2.35-2.40 billion cubic feet equivalent per day (Bcfe/d), of which more than 30% is expected to come from liquid production. The company updated its capital budget for the year to be in the range of $650-$700 million.
RRC’s Zacks Rank & Stocks to Consider
Currently, Range Resources carries a Zacks Rank #3 (Hold).
Chevron is a leading integrated energy giant involved in all aspects of the oil and gas industry, including exploration, production, refining and marketing. As one of the world's largest integrated energy firms, it operates globally with assets in North America, Kazakhstan, Australia, Nigeria and many other countries.
In the United States, CVX maintains a significant presence in the Permian Basin, with more than 1.75 million net acres in the Delaware and Midland sub-basins. With a sustained demand for oil and gas in the future, Chevron is positioning itself as a key provider by expanding its oil and gas supply to fulfill the increased global energy needs. CVX is set to release first-quarter 2026 earnings on May 1, 2026.
BP is an energy giant that operates globally in oil and gas exploration, extraction, refining and marketing. BP generates a significant portion of revenues from its upstream operations. Alongside its core hydrocarbon business, BP is also focusing on lower-carbon energy, including biofuels, electric vehicle charging, hydrogen and renewable power. BP is set to release first-quarter 2026 earnings on April 28, 2026.
Headquartered in Denver, CO, Antero Resources is an independent energy company focused on producing natural gas and natural gas liquids (NGLs) in the Appalachian Basin. AR utilizes horizontal drilling and hydraulic fracturing to develop its extensive 537,000 acreage in the Appalachian Basin, primarily in West Virginia and Ohio. Strong natural gas demand driven by liquified natural gas exports and power consumption is expected to benefit AR as it stands as a major U.S. natural gas producer. AR is set to release first-quarter 2026 earnings on April 29, 2026.
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RRC Q1 Earnings Surpass Estimates on Higher Price Realizations
Key Takeaways
Range Resources Corporation (RRC - Free Report) reported first-quarter 2026 adjusted earnings of $1.52 per share, which beat the Zacks Consensus Estimate of $1.33. The bottom line also improved from the prior-year level of 96 cents.
Total quarterly revenues of $1,018.3 million topped the Zacks Consensus Estimate of $919.3 million. The top line increased from the prior-year figure of $854 million.
Strong quarterly results can be attributed to higher gas-equivalent production and increased natural gas price realization.
Range Resources Corporation Price, Consensus and EPS Surprise
Range Resources Corporation price-consensus-eps-surprise-chart | Range Resources Corporation Quote
Operational Performance of RRC
Production averaged 2,207.4 million cubic feet equivalent per day (MMcfe/d), higher than the year-ago quarter’s 2,200.3 MMcfe/d. The figure came in lower than our projection of 2,233.7 MMcfe/d. Natural gas contributed 68% to the company’s total production, while NGLs and oil accounted for the rest.
Natural gas production remained flat year over year. Oil production increased 75%, while NGL output declined 2% over the same time frame.
Total price realization (excluding derivative settlements and before third-party transportation costs) averaged $5.09 per Mcfe, up 27% year over year. Price realization exceeded our estimate of $4.48 per Mcfe. Natural gas price increased 43% on a year-over-year basis to $5.18 per Mcf. NGL price declined 4%, while oil price rose 4%.
RRC’s Costs & Expenses
Total costs and expenses increased 3% year over year to $601 million. The reported figure topped our projection of $571.3 million. Transportation, gathering, processing and compression costs, which constitute a significant part of the total costs, increased to $323.3 million from $306.1 million in the prior-year quarter.
RRC’s Capital Expenditure & Balance Sheet
Drilling and completion expenditure totaled $130 million. An additional $5 million was spent on acreage and $4 million on infrastructure and other investments.
At the end of the first quarter, Range Resources reported a total debt of $819.3 million, net of deferred financing costs.
Outlook of Range Resources
RRC expects the total production for 2026 to be in the range of 2.35-2.40 billion cubic feet equivalent per day (Bcfe/d), of which more than 30% is expected to come from liquid production. The company updated its capital budget for the year to be in the range of $650-$700 million.
RRC’s Zacks Rank & Stocks to Consider
Currently, Range Resources carries a Zacks Rank #3 (Hold).
Some better-ranked stocks from the energy sector are Chevron Corporation (CVX - Free Report) , BP p.l.c. (BP - Free Report) and Antero Resources Corporation (AR - Free Report) . CVX and BP each sport a Zacks Rank #1 (Strong Buy), while AR has a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks Rank #1 stocks here.
Chevron is a leading integrated energy giant involved in all aspects of the oil and gas industry, including exploration, production, refining and marketing. As one of the world's largest integrated energy firms, it operates globally with assets in North America, Kazakhstan, Australia, Nigeria and many other countries.
In the United States, CVX maintains a significant presence in the Permian Basin, with more than 1.75 million net acres in the Delaware and Midland sub-basins. With a sustained demand for oil and gas in the future, Chevron is positioning itself as a key provider by expanding its oil and gas supply to fulfill the increased global energy needs. CVX is set to release first-quarter 2026 earnings on May 1, 2026.
BP is an energy giant that operates globally in oil and gas exploration, extraction, refining and marketing. BP generates a significant portion of revenues from its upstream operations. Alongside its core hydrocarbon business, BP is also focusing on lower-carbon energy, including biofuels, electric vehicle charging, hydrogen and renewable power. BP is set to release first-quarter 2026 earnings on April 28, 2026.
Headquartered in Denver, CO, Antero Resources is an independent energy company focused on producing natural gas and natural gas liquids (NGLs) in the Appalachian Basin. AR utilizes horizontal drilling and hydraulic fracturing to develop its extensive 537,000 acreage in the Appalachian Basin, primarily in West Virginia and Ohio. Strong natural gas demand driven by liquified natural gas exports and power consumption is expected to benefit AR as it stands as a major U.S. natural gas producer. AR is set to release first-quarter 2026 earnings on April 29, 2026.