Chord Energy (CHRD) Q2 2026 earnings summary

Executive summary

• Delivered strong operational and financial performance in Q2 2026, with free cash flow and oil production at the high end of guidance, supported by innovation, AI deployment, and longer laterals.

• Net income for Q2 2026 was $525.2 million, with total revenues of $1.49 billion and adjusted EBITDA of $923 million.

• Returned $220 million (54% of adjusted free cash flow) to shareholders via dividends and share repurchases, with a $1.30/share base dividend and aggressive buybacks reducing share count.

• Maintained a robust balance sheet with $612 million in cash, leverage below 1.5x, and $2.6 billion in liquidity at quarter end.

• Premier Williston Basin operator with over 1.3 million net acres, generating over 90% of revenue from oil sales.

Financial highlights

• Q2 2026 adjusted free cash flow was $414 million, with free cash flow per share up 30% since 2024 on normalized pricing.

• Oil production averaged 165.4 MBopd in Q2 2026, at the high end of guidance; total production was 286.4 MBoepd.

• CapEx for Q2 2026 was $416.7 million, modestly below midpoint guidance.

• Net cash from operating activities was $1.12 billion in Q2 2026.

• Oil, NGL, and gas revenues totaled $1.49 billion, up from $950.3 million in Q2 2025.

Outlook and guidance

• FY26 oil volume guidance raised to 161,000–161,800 bpd, with 3Q26 midpoint at 163,000 bpd; CapEx guidance for FY26 remains at $1.36–$1.44 billion.

• Targeted return of capital to increase to at least 75% of adjusted free cash flow starting Q3 2026 as leverage falls below half a turn.

• LOE expense guidance updated to $10.30 per BOE due to production enhancement initiatives.

• Approximately 38% of H2 2026 oil volumes and 18% of 2027 volumes are hedged.

• Management expects continued volatility in commodity prices due to geopolitical tensions, OPEC+ policy, and inflationary pressures.