EQT Corp

The following discussion and analysis of financial condition and results of operations should be read in conjunction with the Condensed Consolidated Financial Statements and the notes thereto included in this report. Unless the context otherwise indicates, all references in this report to "EQT" are to EQT Corporation and all references in this report to the "Company," "we," "us," or "our" are to EQT Corporation and its consolidated subsidiaries, collectively. For certain industry specific terms used in this Quarterly Report on Form 10-Q, please see "Glossary of Commonly Used Terms, Abbreviations and Measurements" in EQT's Annual Report on Form 10-K for the year ended December 31, 2025.

CAUTIONARY STATEMENTS

This Quarterly Report on Form 10-Q contains certain forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended (the Exchange Act), and Section 27A of the Securities Act of 1933, as amended. Statements that do not relate strictly to historical or current facts are forward-looking and are usually identified by the use of words such as "anticipate," "estimate," "could," "would," "will," "may," "forecast," "approximate," "expect," "project," "intend," "plan," "believe" and other words of similar meaning, or the negative thereof. Without limiting the generality of the foregoing, forward-looking statements contained in this Quarterly Report on Form 10-Q include the matters discussed in the section "Trends and Uncertainties" in Item 2., "Management's Discussion and Analysis of Financial Condition and Results of Operations," and expectations of our plans, strategies, objectives and growth and anticipated financial and operational performance, including guidance regarding our strategy to develop our reserves; drilling plans and programs, including availability of capital to complete these plans and programs; total resource potential and drilling inventory duration; projected production and sales volume, including natural gas liquids (NGLs) and liquefied natural gas (LNG) volumes and sales; the projected volume and timing of LNG offtake and tolling commitments subject to final investment decisions; potential curtailments and the anticipated volume and duration thereof; natural gas prices; changes in basis and the impact of commodity prices on our business; potential future impairments of our assets; projected well costs and capital expenditures; infrastructure projects; the cost, capacity and timing of obtaining regulatory approvals; our ability to successfully implement and execute our operational and organizational initiatives, and achieve the anticipated results of such initiatives; projected gathering and compression rates; pending and potential acquisitions or other strategic transactions, including the Range Merger (defined in Note 11 to the Condensed Consolidated Financial Statements), the timing thereof and our ability to achieve the intended operational, financial and strategic benefits from any such transactions or from any recently completed strategic transactions, including our acquisition of all of the operating subsidiaries of Blackline Midstream, LLC; the amount and timing of any repayments, redemptions or repurchases of EQT common stock, outstanding debt securities or other debt instruments; our ability to retire our debt and the timing of such retirements, if any; the projected amount and timing of dividends; projected cash flows and free cash flow, and the timing thereof; liquidity and financing requirements, including funding sources and availability; our ability to maintain or improve our credit ratings, leverage levels and financial profile; our hedging strategy and projected margin posting obligations; the effects of litigation, government regulation and tax position; and the expected impact of changes to tax laws.

The forward-looking statements included in this Quarterly Report on Form 10-Q are subject to risks and uncertainties that could cause actual results to differ materially from projected results. Accordingly, investors should not place undue reliance on forward-looking statements as a prediction of actual results. We have based these forward-looking statements on current expectations and assumptions about future events, taking into account all information currently known by us. While we consider these expectations and assumptions to be reasonable, they are inherently subject to significant business, economic, competitive, regulatory and other risks and uncertainties, many of which are difficult to predict and beyond our control. These risks and uncertainties include, but are not limited to, volatility of commodity prices; the costs and results of drilling and operations; uncertainties about estimates of reserves, identification of drilling locations and the ability to add proved reserves in the future; the assumptions underlying production forecasts; the quality of technical data; our ability to appropriately allocate capital and other resources among our strategic opportunities; access to and cost of capital; our hedging and other financial contracts; inherent hazards and risks normally incidental to drilling for, producing, transporting and storing natural gas, NGLs and oil; operational risks and hazards incidental to the gathering, transmission and storage of natural gas as well as unforeseen interruptions; cyber security risks and acts of sabotage; availability and cost of drilling rigs, completion services, equipment, supplies, personnel, oilfield services and sand and water required to execute our exploration and development plans, including as a result of inflationary pressures or tariffs; risks associated with operating primarily in the Appalachian Basin; the ability to obtain environmental and other permits and the timing thereof; construction, business, economic, competitive, regulatory, judicial, environmental, political and legal uncertainties related to the development and construction by us or our joint ventures of pipeline and storage facilities and transmission assets and the optimization of such assets; our ability to renew or replace expiring gathering, transmission or storage contracts at favorable rates on a long-term basis or at all; risks relating to our joint venture arrangements; government regulation or action, including regulations pertaining to methane and other greenhouse gas emissions; negative public perception of the fossil fuels industry; increased consumer demand for alternatives to natural gas; environmental and weather risks, including the possible impacts of climate change; disruptions to our business due to recently completed or pending divestitures, acquisitions and other significant strategic transactions, including the Range Merger; and risks related to the Range Merger, including potential delays in consummating the potential transaction, including as a result of regulatory proceedings, the risk that our shareholders or Range Resources Corporation's (Range) shareholders do not approve the potential transaction, the risk that regulatory approvals are not obtained or are obtained subject to conditions that are not anticipated by us, our ability to integrate Range's operations in a successful manner and in the expected time period and the possibility that any of the anticipated benefits and projected synergies of the potential transaction will not be realized or will not be realized within the expected time period. These and other risks and uncertainties are described under the "Risk Factors" section and elsewhere in EQT's Annual Report on Form 10-K for the year ended December 31, 2025, and may be updated by other documents we subsequently file from time to time with the Securities and Exchange Commission (the SEC).

Any forward-looking statement speaks only as of the date on which such statement is made, and, except as required by law, we do not intend to correct or update any forward-looking statement, whether as a result of new information, future events or otherwise.

Recent and Significant Events

Range Merger

On October 25, 2026, we entered into the Merger Agreement (defined in Note 11 to the Condensed Consolidated Financial Statements) with Range to effect the Range Merger. Pursuant to the Merger Agreement, each share of Range common stock will be converted into the right to receive, without interest, 0.987 shares of EQT common stock with cash in lieu of fractional shares. Consummation of the Range Merger is subject to the satisfaction or waiver of certain closing conditions, including regulatory approvals, approval by EQT's shareholders and approval by Range's shareholders. Range is a leading U.S. independent natural gas and NGL producer with operations focused in the Appalachian Basin and with acreage directly offsetting our core positions in both Southwest and Northeast Pennsylvania. See Note 11 to the Condensed Consolidated Financial Statements for more information on the Merger Agreement and the Range Merger.

Blackline Midstream Acquisition

On July 21, 2026, we completed our acquisition (the Blackline Midstream Acquisition) of all of the operating subsidiaries of Blackline Midstream, LLC, an owner and operator of liquefied propane gas storage, distribution and marine terminal facilities and associated assets on the Piscataqua River in Newington, New Hampshire and Providence, Rhode Island. The purchase price for the Blackline Midstream Acquisition was approximately $77 million, subject to customary post-closing purchase price adjustments. We funded the consideration with borrowings under EQT's revolving credit facility.

MVP A and MVP C Interest Acquisitions

On March 30, 2026, we completed our acquisitions (the MVP A and MVP C Interest Acquisitions) of an approximately 3.94% interest in each of MVP A and MVP C (each defined in Note 8 to the Condensed Consolidated Financial Statements) from an affiliate of Con Edison Gas Pipeline and Storage, LLC pursuant to a preferential buy-out right under the MVP LLC Agreement (defined in Note 8 to the Condensed Consolidated Financial Statements). Total consideration for our acquisition of equity interests in MVP A (MVP A Interest Acquisition), excluding transaction costs, was $198.3 million, of which $98.4 million was funded by the BXCI Affiliate (defined in Note 9 to the Condensed Consolidated Financial Statements). Total consideration for our acquisition of equity interests in MVP C was $15.6 million. We funded our share of the consideration for the MVP A and MVP C Interest Acquisitions with cash on hand.

Olympus Energy Acquisition

Beginning July 1, 2025, our financial results reflect our operation of the assets acquired in our acquisition (the Olympus Energy Acquisition) of certain oil and gas properties and related upstream and midstream assets from Olympus Energy LLC, Hyperion Midstream LLC and Bow & Arrow Land Company LLC.

Trends and Uncertainties

Commodity prices have been volatile thus far in 2026, and we expect commodity prices to continue to be volatile for the remainder of 2026 due to macroeconomic uncertainty, changes to the regulatory environment and geopolitical instability and tensions, including in the Middle East, Venezuela, Russia and Ukraine, and potential further imposition of domestic and foreign tariffs. Our revenue, profitability, liquidity and financial position will continue to be impacted in the future by the market prices for natural gas and, to a lesser extent, NGLs and oil.

In response to natural gas price volatility and to optimize in-basin pricing, we implement strategic production curtailments from time to time. During the third quarter of 2026, strategic production curtailments resulted in decreased sales volumes of approximately 21 billion cubic feet equivalent (Bcfe). Our sales volume guidance for the fourth quarter of 2026 includes approximately 10 Bcfe to 20 Bcfe of strategic production curtailments, subject to market conditions. Low natural gas prices or volatility in the natural gas market may result in further adjustments to our 2026 planned development schedule and/or adjustments to the development schedule of non-operated wells in which we have a working interest. We cannot control or otherwise influence the development schedule of non-operated wells in which we have a working interest. Adjustments to our 2026 planned development schedule or the development schedule of non-operated wells in which we have a working interest, including due to declines in natural gas prices, the pace of well completions, access to sand and water to conduct drilling operations, access to sufficient pipeline takeaway capacity, unscheduled downtime at processing facilities or otherwise, could impact our future sales volume, operating revenues and expenses, per unit metrics and capital expenditures.

On July 4, 2025, President Trump signed the One Big Beautiful Bill Act (OBBBA) into law. We expect the enactment of the OBBBA to favorably impact our future projected cash income tax obligations by deferring the payment of a significant portion of current federal income taxes.

President Trump has also executed several executive orders, some of which impact the oil and gas industry, and he and others in Congress have indicated the potential for further changes to regulations, many of which could impact the oil and gas industry, as well as the implementation of tariffs on foreign goods and services. It is uncertain to what extent such changes in regulations and tariffs will impact our business. Tariffs on foreign goods and services could result in other countries instituting tariffs on U.S. goods and services, which could impact the demand for and price of natural gas, increase the price of supplies and raw materials that we rely on to conduct our business, and impact interest rates. A changing regulatory environment and domestic or foreign tariffs could ultimately impact our future sales volume, operating revenues and expenses, per unit metrics and capital expenditures.

Consolidated Results of Operations

Net income attributable to EQT Corporation for the three months ended September 30, 2026 was approximately $279 million, $0.44 per diluted share, compared to approximately $336 million, $0.53 per diluted share, for the same period in 2025. The decrease was driven primarily by lower natural gas sales resulting from lower sales volume, as well as lower derivative gains, partly offset by lower production depletion expense, lower income tax expense and lower interest expense.

Net income attributable to EQT Corporation for the nine months ended September 30, 2026 was approximately $1,977 million, $3.14 per diluted share, compared to approximately $1,362 million, $2.23 per diluted share, for the same period in 2025. The increase was driven primarily by higher natural gas sales resulting from higher average sales price as well as lower interest expense and lower legal reserves, partly offset by a loss on derivatives in 2026 compared to a gain in 2025, higher income tax expense and higher depreciation and depletion expense.

See "Average Realized Price Reconciliation" for a discussion and calculation of our average realized price, which is based on our Upstream segment's adjusted operating revenues (Upstream adjusted operating revenues), a non-GAAP supplemental financial measure that has been reconciled to total Upstream operating revenues in "Non-GAAP Financial Measures Reconciliation." See "Business Segment Results of Operations" for a discussion of segment operating revenues and expenses and "Other Income Statement Items" for a discussion of other income statement items. See "Investing Activities" under "Capital Resources and Liquidity" for a discussion of capital expenditures, including by business segment.

Average Realized Price Reconciliation

The following table presents detailed natural gas and liquids operational information to assist in the understanding of our consolidated operations, including the calculation of our average realized price ($/Mcfe), which is based on Upstream adjusted operating revenues, a non-GAAP supplemental financial measure. Upstream adjusted operating revenues is presented because it is an important measure we use to evaluate period-to-period comparisons of earnings trends. Upstream adjusted operating revenues should not be considered as an alternative to total Upstream operating revenues. See "Non-GAAP Financial Measures Reconciliation" for a reconciliation of Upstream adjusted operating revenues to total Upstream operating revenues, the most directly comparable financial measure calculated in accordance with United States generally accepted accounting principles (GAAP).

(a)Basis represents the difference between the ultimate sales price for natural gas, including the effects of delivered price benefit or deficit associated with our firm transportation agreements, and the New York Mercantile Exchange (NYMEX) natural gas price.

(b)NGLs, ethane and oil were converted to thousand cubic feet of natural gas equivalents (Mcfe) at a rate of six Mcfe per barrel.

(c)Also referred to in this report as Upstream adjusted operating revenues, a non-GAAP supplemental financial measure.

Non-GAAP Financial Measures Reconciliation

The table below reconciles Upstream adjusted operating revenues, a non-GAAP supplemental financial measure, to total Upstream operating revenues, the most comparable financial measure calculated in accordance with GAAP. See Note 2 to the Condensed Consolidated Financial Statements for a reconciliation of total Upstream operating revenues to EQT Corporation operating revenues as reported in the Statements of Condensed Consolidated Operations.

Upstream adjusted operating revenues (also referred to in this report as total natural gas and liquids sales, including cash settled derivatives) is presented because it is an important measure we use to evaluate period-to-period comparisons of earnings trends. Upstream adjusted operating revenues is defined as total Upstream operating revenues, less the revenue impact of changes in the fair value of Upstream derivative instruments prior to settlement and Upstream other revenues. We believe that Upstream adjusted operating revenues provides useful information to investors regarding our financial condition and results of operations because it helps facilitate comparisons of operating performance and earnings trends across periods. Upstream adjusted operating revenues reflects only the impact of settled Upstream derivative contracts; thus, the measure excludes the often-volatile revenue impact of changes in the fair value of derivative instruments prior to settlement. The measure also excludes Upstream other revenues, which consists of costs of, and recoveries on, pipeline capacity releases and other revenues, because it is unrelated to the revenue from our natural gas and liquids production.

(a)Upstream net cash settlements received (paid) on derivatives are included in average realized price but may not be included in total Upstream operating revenues. For the three months ended September 30, 2026, Upstream net cash settlements received on derivatives consisted of net cash settlements received on NYMEX natural gas hedge positions of approximately $68 million and net cash settlements received on basis and liquids hedge positions of approximately $2 million. For the three months ended September 30, 2025, Upstream net cash settlements received on derivatives consisted of net cash settlements received on NYMEX natural gas hedge positions of approximately $59 million and net cash settlements received on basis and liquids hedge positions of approximately $16 million.

For the nine months ended September 30, 2026, Upstream net cash settlements paid on derivatives consisted of net cash settlements paid on basis and liquids hedge positions of approximately $191 million and net cash settlements received on NYMEX natural gas hedge positions of approximately $30 million. For the nine months ended September 30, 2025, Upstream net cash settlements paid on derivatives consisted of net cash settlements paid on NYMEX natural gas hedge positions of approximately $86 million and net cash settlements paid on basis and liquids hedge positions of approximately $32 million.

Business Segment Results of Operations

We have three reportable segments consisting of Upstream, Gathering and Transmission.

Effective December 31, 2025, we renamed our previously reported "Production" segment as the "Upstream" segment to better align with the nature of our operations and our internal reporting framework. This change had no impact on the structure of our internal organization, including the composition of our reportable segments.

The following sections present operating income and key operational measures by reportable segments. We believe this information provides useful information to investors regarding our financial condition, results of operations and trends and uncertainties. See Note 2 to the Condensed Consolidated Financial Statements for financial information by business segment.

Cash and cash equivalents, debt, income taxes, amounts related to our corporate function and other items managed on a consolidated basis as well as items related to our downstream liquefied propane gas business, new ventures and energy transition initiatives have not been allocated to our reportable segments. These items are presented as "Other" and discussed under "Other Income Statement Items."

Upstream Results of Operations

(a)Transportation and processing to affiliate represents intercompany transactions with our Gathering and Transmission segments, which are eliminated in consolidation.

Sales of Natural Gas, NGLs and Oil. Sales of natural gas, NGLs and oil decreased by approximately $161 million for the three months ended September 30, 2026 compared to the same period in 2025, reflecting decreases of approximately $136 million from decreased sales volumes and approximately $25 million from lower average sales price.

Sales volume decreased for the three months ended September 30, 2026 compared to the same period for 2025 due primarily to strategic production curtailments of 21 Bcfe as well as normal production declines that outpaced sales volumes from wells turned-in-line since the third quarter of 2025.

Average sales price decreased for the three months ended September 30, 2026 compared to the same period for 2025 due primarily to a lower NYMEX price, partly offset by a favorable basis differential and higher NGL prices.

Gain on Derivatives. For the three months ended September 30, 2026, we recognized a gain on derivatives of approximately $105 million related primarily to increases in the fair market value of our NYMEX swaps and options of approximately $109 million due to decreases in NYMEX forward prices, partly offset by decreases in the fair market value of our basis and liquids swaps of approximately $4 million. For the three months ended September 30, 2025, we recognized a gain on derivatives of approximately $136 million related primarily to increases in the fair market value of our NYMEX swaps and options of approximately $266 million due to decreases in NYMEX forward prices, partly offset by decreases in the fair market value of our basis and liquids swaps of approximately $130 million.

Gathering Expense. Gathering expense increased on an absolute and per Mcfe basis for the three months ended September 30, 2026 compared to the same period in 2025 due primarily to higher volumes gathered by third parties from wells turned-in-line in the first quarter of 2026.

Processing Expense. Processing expense decreased on an absolute and per Mcfe basis for the three months ended September 30, 2026 compared to the same period in 2025 due primarily to decreased production of gas that requires processing.

Transportation and Processing Expense to Affiliate. Affiliate transportation and processing expense increased on an absolute basis for the three months ended September 30, 2026 compared to the same period in 2025 due primarily to additional contracted capacity and higher rates under certain gas gathering agreements with our Gathering segment, partly offset by lower gathered volumes under certain gas gathering agreements with our Gathering segment. On a per Mcfe basis, affiliate transportation and processing expense increased due primarily to decreased sales volumes.

Production Depletion Expense. Production depletion expense decreased on an absolute basis for the three months ended September 30, 2026 compared to the same period in 2025 due primarily to decreased sales volumes and a lower annual depletion rate.

Other Operating Expenses. Other operating expenses increased on an absolute basis for the three months ended September 30, 2026 compared to the same period in 2025 due primarily to increased expense from changes in legal and environmental reserves, including from settlements.

(a)Transportation and processing to affiliate represents intercompany transactions with our Gathering and Transmission segments, which are eliminated in consolidation.

Sales of Natural Gas, NGLs and Oil. Sales of natural gas, NGLs and oil increased by approximately $943 million for the nine months ended September 30, 2026 compared to the same period in 2025, reflecting increases of approximately $748 million from higher average sales price and approximately $195 million from increased sales volumes.

Average sales price increased for the nine months ended September 30, 2026 compared to the same period for 2025 due primarily to a higher NYMEX price, a favorable basis differential and higher NGL prices.

Sales volume increased for the nine months ended September 30, 2026 compared to the same period for 2025 due primarily to a 96 Bcfe increase from the assets acquired in the Olympus Energy Acquisition and increases from well performance optimization, partly offset by strategic production curtailments of 25 Bcfe as well as normal production declines that outpaced sales volumes from wells turned-in-line in 2025 and 2026.

(Loss) Gain on Derivatives. For the nine months ended September 30, 2026, we recognized a loss on derivatives of approximately $89 million related primarily to decreases in the fair market value of our basis and liquids swaps of approximately $161 million, partly offset by increases in the fair market value of our NYMEX swaps and options of approximately $72 million due to decreases in NYMEX forward prices. For the nine months ended September 30, 2025, we recognized a gain on derivatives of approximately $177 million related primarily to increases in the fair market value of our NYMEX swaps and options of approximately $165 million due to decreases in NYMEX forward prices and increases in the fair market value of our basis and liquids swaps of approximately $12 million.

Gathering Expense. Gathering expense increased on an absolute and per Mcfe basis for the nine months ended September 30, 2026 compared to the same period in 2025 due primarily to higher volumes gathered by third parties from wells turned-in-line in the first quarter of 2026.

Processing Expense. Processing expense decreased on an absolute and per Mcfe basis for the nine months ended September 30, 2026 compared to the same period in 2025 due primarily to decreased production of gas that requires processing. In addition, on a per Mcfe basis, processing expense decreased due primarily to higher sales volume.

Transportation and Processing Expense to Affiliate. Affiliate transportation and processing expense increased on an absolute basis for the nine months ended September 30, 2026 compared to the same period in 2025 due primarily to our Gathering segment's ownership of the gathering assets acquired in the Olympus Energy Acquisition, partly offset by declining rate structures and lower gathered volumes under certain gas gathering agreements with our Gathering segment.

Lease Operating Expense. Lease operating expense increased on an absolute and per Mcfe basis for the nine months ended September 30, 2026 compared to the same period in 2025 due primarily to costs from the assets acquired in the Olympus Energy Acquisition as well as higher water operations and winter maintenance expenses.

Selling, General and Administrative Expense. Selling, general and administrative expense increased on an absolute basis and per Mcfe basis for the nine months ended September 30, 2026 compared to the same period in 2025 due primarily to higher long-term incentive compensation costs as well as higher personnel costs resulting from increased headcount.

Production Depletion Expense. Production depletion expense increased on an absolute basis for the nine months ended September 30, 2026 compared to the same period in 2025 due primarily to higher sales volumes, partly offset by a lower annual depletion rate.

Other Operating Expenses. Other operating expenses increased on an absolute basis for the nine months ended September 30, 2026 compared to the same period in 2025 due primarily to increased expense from changes in legal and environmental reserves, including from settlements.

Gathering Results of Operations

(a)For agreements structured with minimum volume commitments (MVCs), firm capacity includes volumes up to the contractual MVC and volumetric-based volumes includes volumes in excess of the contractual MVC.

Firm Reservation Fees. Firm reservation fee revenue increased for the three months ended September 30, 2026 compared to the same period in 2025 due primarily to increased affiliate revenue of approximately $33 million driven by additional contracted capacity and higher rates under certain gas gathering agreements with our Upstream segment.

Volumetric-Based Fees. Volumetric-based fee revenue decreased for the three months ended September 30, 2026 compared to the same period in 2025 due to decreased affiliate and third-party revenue. Affiliate revenue decreased approximately $20 million due primarily to lower usage under certain gas gathering agreements with our Upstream segment. Third-party revenue decreased approximately $5 million due primarily to lower usage.

Selling, General and Administrative Expense. Selling, general and administrative expense increased for the three months ended September 30, 2026 compared to the same period in 2025 due primarily to higher long-term incentive compensation costs and higher professional service costs.

(a)For agreements structured with MVCs, firm capacity includes volumes up to the contractual MVC and volumetric-based volumes includes volumes in excess of the contractual MVC.

Firm Reservation Fees. Firm reservation fee revenue increased for the nine months ended September 30, 2026 compared to the same period in 2025 due to increased affiliate and third-party revenue. Affiliate revenue increased approximately $21 million due primarily to additional contracted capacity under certain gas gathering agreements with our Upstream segment, partly offset by declining rate structures under certain gas gathering agreements with our Upstream segment. Third-party revenue increased approximately $12 million due primarily to increased contracted MVCs.

Volumetric-Based Fees. Volumetric-based fee revenue decreased for the nine months ended September 30, 2026 compared to the same period in 2025 due to decreased third-party revenue, partly offset by increased affiliate revenue. Third-party revenue decreased approximately $13 million due primarily to lower usage. Affiliate revenue increased approximately $11 million due primarily to the gathering assets acquired in the Olympus Energy Acquisition of approximately $46 million, partly offset by lower usage under certain gas gathering agreements with our Upstream segment.

Operating and Maintenance Expense. Operating and maintenance expense increased for the nine months ended September 30, 2026 compared to the same period in 2025 due primarily to higher personnel costs and higher repairs and maintenance expense.

Selling, General and Administrative Expense. Selling, general and administrative expense increased for the nine months ended September 30, 2026 compared to the same period in 2025 due primarily to higher long-term incentive compensation costs and higher professional service costs.

Depreciation Expense. Depreciation expense increased for the nine months ended September 30, 2026 compared to the same period in 2025 due primarily to depreciation of the gathering assets acquired in the Olympus Energy Acquisition and additional assets placed in service in 2026.

Other Operating Expense. During the nine months ended September 30, 2025, we recognized other operating expenses related to environmental reserves.

Transmission Results of Operations

(a)Firm capacity includes all volumes associated with firm capacity contracts, including volumes in excess of firm capacity.

Firm Reservation Fees. Firm reservation fee revenue increased for the three months ended September 30, 2026 compared to the same period in 2025 due primarily to increased affiliate revenue of approximately $3 million related to increased firm reservation capacity and higher average reservation rates under certain agreements with our Upstream segment.

Volumetric-Based Fees. Volumetric-based fee revenue decreased for the three months ended September 30, 2026 compared to the same period in 2025 due to decreased affiliate revenue of approximately $11 million related to lower usage and lower overrun charges from our Upstream segment.

(a)Firm capacity includes all volumes associated with firm capacity contracts, including volumes in excess of firm capacity.

Firm Reservation Fees. Firm reservation fee revenue increased for the nine months ended September 30, 2026 compared to the same period in 2025 due to increased affiliate and third-party revenue. Affiliate revenue increased approximately $16 million due primarily to increased firm reservation capacity and higher average reservation rates under certain agreements with our Upstream segment. Third-party revenue increased approximately $7 million due primarily to increased short-term firm reservation winter capacity and higher average reservation rates under certain agreements with third parties.

Volumetric-Based Fees. Volumetric-based fee revenue decreased for the nine months ended September 30, 2026 compared to the same period in 2025 due primarily to decreased affiliate revenue of approximately $11 million related to lower usage and lower overrun charges from our Upstream segment, partly offset by increased third-party revenue.

Other Income Statement Items

Other Revenues. Other revenues increased for the three months ended September 30, 2026 compared to the same period in 2025 due primarily to revenues from our operation of the propane assets acquired in the Blackline Midstream Acquisition.

Purchased Commodities. For the three months ended September 30, 2026, we recognized approximately $8 million of purchased commodities expense for propane inventory acquired in the Blackline Midstream Acquisition and subsequently sold as part of our operation of the acquired propane storage assets.

Other Operating Expenses. Other operating expenses decreased for the three months ended September 30, 2026 compared to the same period in 2025 due primarily to approximately $21 million of transaction costs recognized in 2025 related to the Olympus Energy Acquisition.

Interest Expense, Net. Net interest expense decreased for the three months ended September 30, 2026 compared to the same period in 2025 due primarily to the redemptions and repurchases of senior notes since the third quarter of 2025.

Income Tax Expense. See Note 6 to the Condensed Consolidated Financial Statements.

Other Revenues. Other revenues increased for the nine months ended September 30, 2026 compared to the same period in 2025 due primarily to revenues from our operation of the propane assets acquired in the Blackline Midstream Acquisition.

Purchased Commodities. For the nine months ended September 30, 2026, we recognized approximately $8 million of purchased commodities expense for propane inventory acquired in the Blackline Midstream Acquisition and subsequently sold as part of our operation of the acquired propane storage assets.

Other Operating Expenses. Other operating expenses decreased for the nine months ended September 30, 2026 compared to the same period in 2025 due primarily to approximately $134 million of expense, net of insurance recoveries, recognized in 2025 related to a securities class action settlement as well as approximately $25 million of transaction costs recognized in 2025 related to the Olympus Energy Acquisition.

Income from Investments. Income from investments increased for the nine months ended September 30, 2026 compared to the same period in 2025 due primarily to higher equity earnings from our investment in the MVP Joint Venture (defined in Note 8 to the Condensed Consolidated Financial Statements) of approximately $37 million and a favorable change in the fair value of our investment in the Investment Fund (defined in Note 8 to the Condensed Consolidated Financial Statements) of approximately $14 million, partly offset by lower equity earnings from our investment in Laurel Mountain Midstream, LLC.

Loss on Debt Extinguishment. Loss on debt extinguishment increased for the nine months ended September 30, 2026 compared to the same period in 2025 due primarily to the derecognition of unamortized fair value adjustments associated with debt redemptions, which resulted in a net loss of approximately $7 million in 2026 compared to a net gain of approximately $10 million in 2025, as well as higher net cash premiums, partly offset by lower financing fees. See Note 7 to the Condensed Consolidated Financial Statements for discussion of debt repayments during the nine months ended September 30, 2026.

Interest Expense, Net. Net interest expense decreased for the nine months ended September 30, 2026 compared to the same period in 2025 due primarily to the redemptions and repurchases of senior notes in 2025 and 2026.

Income Tax Expense. See Note 6 to the Condensed Consolidated Financial Statements.

Capital Resources and Liquidity

Although we cannot provide any assurance, we believe cash flows from operating activities and availability under EQT's revolving credit facility and, beginning October 7, 2026, EQT's commercial paper program (the Commercial Paper Program), should be sufficient to meet our cash requirements, including, but not limited to, normal operating needs, debt service obligations, planned capital expenditures and commitments for at least the next twelve months and, based on current expectations, for the long term. EQT's revolving credit facility serves as a liquidity backstop for issuances under the Commercial Paper Program, and we intend to maintain available capacity under EQT's revolving credit facility in an amount at least equal to the aggregate principal amount of outstanding commercial paper notes issued under the Commercial Paper Program.

See Note 7 to the Condensed Consolidated Financial Statements for further information on the Commercial Paper Program.

Planned Capital Expenditures, Capital Contributions and Sales Volume

In the fourth quarter of 2026, we expect to spend approximately $725 million to $835 million in total capital expenditures. We expect to fund our capital expenditures with cash generated from operations and, if required, borrowings under EQT's revolving credit facility and the Commercial Paper Program. Because we are the operator of a high percentage of our developed acreage, the amount and timing of certain of our capital expenditures is largely discretionary. We could choose to defer a portion of our planned 2026 capital expenditures depending on a variety of factors, including prevailing and anticipated prices for natural gas, NGLs and oil; the availability of necessary equipment, infrastructure and capital; the receipt and timing of required regulatory permits and approvals; and drilling, completion and acquisition costs.

In the fourth quarter of 2026, we expect to make approximately $30 million to $40 million of capital contributions to our equity method investments, including the MVP Joint Venture.

In the fourth quarter of 2026, we expect our sales volume, including expected curtailments, to be 550 Bcfe to 600 Bcfe.

Material Cash Requirements

We have contractual commitments under our debt agreements, including interest payments and principal repayments. See Note 7 to the Condensed Consolidated Financial Statements for a summary of such contractual commitments, including maturity dates.

Through our controlling interest in the Midstream Joint Venture (defined in Note 9 to the Condensed Consolidated Financial Statements), we are required to distribute available cash flow to the BXCI Affiliate as the holder of the Midstream Joint Venture's Class B units at least quarterly, including to satisfy the Base Return (as defined in the amended and restated limited liability company agreement of the Midstream Joint Venture). See Note 9 to the Condensed Consolidated Financial Statements for further discussion.

In January 2026, we entered into an agreement with a third-party owner and operator of LNG vessels pursuant to which we have agreed to lease two vessels for a 10-year term, with lease commencement expected in 2028. The leases are anticipated to result in undiscounted future minimum lease payments of approximately $295 million per vessel. The leases have not been recognized in the Condensed Consolidated Balance Sheet as they have not yet commenced.

Sources and Uses of Cash

Operating Activities. Net cash provided by operating activities was approximately $5,186 million and $4,001 million for the nine months ended September 30, 2026 and 2025, respectively. The increase was due primarily to higher sales of natural gas, NGLs and oil, resulting from higher average sales price, as well as favorable changes in working capital and lower net interest expense, partly offset by our receipt of a tax refund in 2025 and higher net cash settlements paid on derivatives.

Our cash flows from operating activities, including changes in working capital, are affected by movements in the market price for commodities. We are unable to predict such movements outside of the current market view as reflected in forward strip pricing. For a discussion of potential commodity market risks, refer to Item 1A., "Risk Factors –Natural gas, NGLs and oil price volatility, or a prolonged period of low natural gas, NGLs and oil prices, may have an adverse effect on our revenue, profitability, future rate of growth, liquidity and financial position."in EQT's Annual Report on Form 10-K for the year ended December 31, 2025.

Investing Activities. Net cash used in investing activities was approximately $2,311 million and $2,224 million for the nine months ended September 30, 2026 and 2025, respectively. The increase was due primarily to increased capital expenditures and cash paid for the MVP A and MVP C Interest Acquisitions, including the portion paid by the BXCI Affiliate, partly offset by lower cash paid for the Blackline Midstream Acquisition in 2026 compared to cash paid for the Olympus Energy Acquisition in 2025.

The following table summarizes our capital expenditures by segment.

(a)Represents the net impact of non-cash capital expenditures, including the effect of timing of receivables from working interest partners, accrued capital expenditures, transfers to or from inventory as assets are completed or assigned to a project and capitalized share-based compensation costs. The impact of accrued capital expenditures includes the current period estimate, net of the reversal of the prior period accrual.

Financing Activities. Net cash used in financing activities was approximately $2,907 million and $1,743 million for the nine months ended September 30, 2026 and 2025, respectively. For the nine months ended September 30, 2026, the primary uses of financing cash flows were the repayment and retirement of debt, distributions to the BXCI Affiliate and payment of dividends. The primary sources of financing cash flows for the nine months ended September 30, 2026 were capital contributions from the BXCI Affiliate related to the MVP A Interest Acquisition of approximately $98 million. For the nine months ended September 30, 2025, the primary uses of financing cash flows were the repayment and retirement of debt, payment of dividends, distributions to the BXCI Affiliate and net repayment of revolving credit facility borrowings.

See Note 9 to the Condensed Consolidated Financial Statements for further discussion of cash flows to and from the BXCI Affiliate.

On October 14, 2026, our Board of Directors declared a quarterly cash dividend of $0.17 per share of EQT common stock, payable on December 1, 2026, to shareholders of record at the close of business on November 4, 2026.

Depending on our actual and anticipated sources and uses of liquidity, prevailing market conditions and other factors, we may from time to time seek to redeem or repurchase our outstanding debt or equity securities through tender offers or other cash purchases in the open market or privately negotiated transactions. The amounts involved in any such transactions may be material. See Note 7 to the Condensed Consolidated Financial Statements for discussion of redemptions and repurchases of debt.

Our debt agreements and other financial obligations contain various provisions that, if not complied with, could result in default or event of default under EQT's and Eureka Midstream, LLC's (Eureka) revolving credit facilities, mandatory partial or full repayment of amounts outstanding, reduced loan capacity or other similar actions. The most significant covenants and events of default under our debt agreements relate to maintenance of a debt-to-total capitalization ratio, limitations on transactions with affiliates, insolvency events, nonpayment of scheduled principal or interest payments, acceleration of other financial obligations and change of control provisions. EQT's revolving credit facility contains financial covenants that require us to have a total debt to total capitalization ratio no greater than 65%. As of September 30, 2026, we were in compliance with all provisions and covenants under our debt agreements. See Note 7 to the Condensed Consolidated Financial Statements for a discussion of borrowings under EQT's and Eureka's revolving credit facilities.

Security Ratings

Our credit ratings and rating outlooks are subject to revision or withdrawal at any time by the assigning rating agency, and each rating should be evaluated independently from any other rating. We cannot ensure that a rating will remain in effect for any given period of time or that a rating will not be lowered or withdrawn by a rating agency if, in the rating agency's judgment, circumstances so warrant. See Note 4 to the Condensed Consolidated Financial Statements for a description of what is deemed investment grade.

The table below reflects the credit ratings and rating outlooks assigned to EQT's debt instruments as of October 20, 2026.

Changes in our credit ratings may affect our access to the capital markets, the cost of short-term debt through interest rates and fees under EQT's revolving credit facility and the Commercial Paper Program, the interest rate on our senior notes with adjustable rates, the rates available on new debt, our pool of investors and funding sources, the borrowing costs and margin deposit requirements on our over-the-counter (OTC) derivative instruments and credit assurance requirements, including collateral, in support of our midstream service contracts, joint venture arrangements or construction contracts. Margin deposits on our OTC derivative instruments are also subject to factors other than credit rating, such as natural gas prices and credit thresholds set forth in the agreements between us and our hedging counterparties.

Commodity Risk Management

The substantial majority of our commodity risk management program is related to hedging sales of our produced natural gas. The overall objective of our hedging program is to protect cash flows from undue exposure to the risk of changing commodity prices. The derivative commodity instruments that we use are primarily swap, collar and option agreements. The following table summarizes the approximate volume and prices of our NYMEX hedge positions as of October 20, 2026. The difference between the fixed price and NYMEX price is included in average differential presented in our price reconciliation in "Average Realized Price Reconciliation." The fixed price natural gas sales agreements can be physically or financially settled.

(a)October 1 through December 31.

We have also entered into derivative instruments to hedge basis. We may use other contractual agreements to implement our commodity hedging strategy from time to time.

See Part I, Item 3., "Quantitative and Qualitative Disclosures About Market Risk" and Note 4 to the Condensed Consolidated Financial Statements for further discussion of our hedging program.

Commitments and Contingencies

In the ordinary course of business, various legal and regulatory claims and proceedings are pending or threatened against us. While the amounts claimed may be substantial, we are unable to predict with certainty the ultimate outcome of such claims and proceedings.

We evaluate our legal proceedings, including litigation and regulatory and governmental investigations and inquiries, on a regular basis and accrue a liability when we determine, based on historical experience and matter-specific facts, that a loss is probable and the amount of the loss can be reasonably estimated. Any such accruals are adjusted thereafter as appropriate to reflect changed circumstances. In the event we determine that (i) a loss to us is probable but the amount of the loss cannot be reasonably estimated, or (ii) a loss to us is less likely than probable but is reasonably possible, then we are required to disclose the matter in EQT's Annual Report on Form 10-K with any update thereto in this Quarterly Report on Form 10-Q, as applicable, although we are not required to accrue such loss.

When able, we determine an estimate of reasonably possible losses or ranges of reasonably possible losses, whether in excess of any related accrued liability or where there is no accrued liability, for legal proceedings. In instances where such estimates can be made, any such estimates are based on our analysis of currently available information and are subject to significant judgment and a variety of assumptions and uncertainties and may change as new information is obtained.

See Note 13 to the Consolidated Financial Statements in EQT's Annual Report on Form 10-K for the year ended December 31, 2025 for a discussion of our commitments and contingencies.

Additionally, in the normal course of business, we are subject to various other pending and threatened legal proceedings in which claims for monetary damages or other relief are asserted. We do not anticipate, at the present time, that the ultimate aggregate liability, if any, arising out of such other legal proceedings will have a material adverse effect on our financial position, results of operations or liquidity.

Recently Issued Accounting Standards

See Note 1 to the Condensed Consolidated Financial Statements for a description of recently issued accounting standards.

Critical Accounting Estimates

Our critical accounting estimates, including a discussion regarding the estimation uncertainty and the impact that our critical accounting estimates have had, or are reasonably likely to have, on our financial condition or results of operations, are described in the "Management's Discussion and Analysis of Financial Condition and Results of Operations" section of EQT's Annual Report on Form 10-K for the year ended December 31, 2025. The application of our critical accounting estimates may require us to make judgments and estimates about the amounts reflected in the Condensed Consolidated Financial Statements. We use historical experience and all available information to make these estimates and judgments. Different amounts could be reported using different assumptions and estimates.