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Item 1. Financial Statements

2025-07-23 compared with 2025-04-23 · 304 added, 143 removed, 626 unchanged (42% of the section changed)

3 unchanged sentences

Three Months Ended

June 30, Six Months Ended

2025 2024 2025 2024

(Thousands, except per share amounts)

1 unchanged sentence

Sales of natural gas, natural gas liquids and oil $ 1,700,499 $ 889,517 $ 3,945,226 $ 2,193,422

(Loss) gain on derivatives ( 678,919 ) 106,511

Pipeline, net marketing services and other 174,042 1,852

Gain on derivatives 719,964 61,333 41,045 167,844

Pipeline and other 137,256 1,662 311,298 3,514

Total operating revenues 2,557,719 952,512 4,297,569 2,364,780

6 unchanged sentences

Depreciation, depletion and amortization 623,471 465,982 1,244,246 952,732

Loss on sale/exchange of long-lived assets 231 147

Loss (gain) on sale/exchange of long-lived assets 2,990 ( 320,129 ) 3,221 ( 319,982 )

Impairment and expiration of leases 3,254 37,659 5,915 46,868

6 unchanged sentences

Interest expense, net 105,668 55,720 223,237 110,091

Income before income taxes 394,086 127,365

Income tax expense 78,668 24,302

Income (loss) before income taxes 1,092,271 ( 34,983 ) 1,486,357 92,382

Income tax expense (benefit) 235,615 ( 44,222 ) 314,283 ( 19,920 )

Net income 856,656 9,239 1,172,074 112,302

11 unchanged sentences

Three Months Ended

June 30, Six Months Ended

2025 2024 2025 2024

Net income $ 856,656 $ 9,239 $ 1,172,074 $ 112,302

8 unchanged sentences

CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)

March 31, 2025 December 31, 2024

June 30, 2025 December 31, 2024

Current assets:

26 unchanged sentences

Deferred income taxes 3,122,972 2,851,103

Other liabilities and credits 1,243,676 1,236,090

Asset retirement obligations and other liabilities 1,216,283 1,236,090

Total liabilities 14,568,898 15,552,119

13 unchanged sentences

STATEMENTS OF CONDENSED CONSOLIDATED CASH FLOWS (UNAUDITED)

Three Months Ended March 31,

Six Months Ended June 30,

Cash flows from operating activities:

1 unchanged sentence

Adjustments to reconcile net income to net cash provided by operating activities:

Deferred income tax expense 72,223 23,394

Deferred income tax expense (benefit) 304,878 ( 22,583 )

Depreciation, depletion and amortization 1,244,246 952,732

Loss on sale/exchange of long-lived assets 231 147

Loss (gain) on sale/exchange of long-lived assets 3,221 ( 319,982 )

Impairments 5,915 46,868

4 unchanged sentences

Other 3,358 8,317

Loss (gain) on derivatives 678,919 ( 106,511 )

Gain on derivatives ( 41,045 ) ( 167,844 )

Net cash settlements (paid) received on derivatives ( 193,350 ) 749,185

3 unchanged sentences

Accounts payable 10,253 ( 47,115 )

Income tax receivable and payable 97,378 1,724

Other current assets ( 1,459 ) ( 61,143 )

4 unchanged sentences

Cash paid for acquisitions, net of cash acquired ( 100,167 ) ( 237,755 )

Proceeds from sale/exchange of assets ( 6,449 ) —

Net cash (paid) received for sale/exchange of assets ( 6,284 ) 453,864

Capital contributions to equity method investments ( 42,047 ) ( 2,608 )

10 unchanged sentences

Dividends paid ( 188,372 ) ( 138,963 )

Distribution to noncontrolling interest ( 44,729 ) —

Distributions to noncontrolling interest ( 151,954 ) —

Cash paid for taxes to net settle share-based incentive awards ( 53,253 ) ( 34,413 )

12 unchanged sentences

(Thousands, except per share amounts)

Balance at April 1, 2024 441,558 $ 12,450,876 $ 2,715,974 $ ( 2,641 ) $ 7,192 $ 15,171,401

Comprehensive income, net of tax:

Net income (loss) 9,517 ( 278 ) 9,239

Other postretirement benefits liability adjustment, net of tax:

Dividends ($ 0.1575 per share)

( 69,551 ) ( 69,551 )

Share-based compensation plans 39 13,616 13,616

Balance at June 30, 2024 441,597 $ 12,464,492 $ 2,655,940 $ ( 2,598 ) $ 6,914 $ 15,124,748

Balance at April 1, 2025 598,586 $ 17,984,118 $ 2,736,046 $ ( 2,284 ) $ 3,685,389 $ 24,403,269

Comprehensive income, net of tax:

Net income 784,147 72,509 856,656

Other postretirement benefits liability adjustment, net of tax:

Dividends ($ 0.1575 per share)

( 94,461 ) ( 94,461 )

Share-based compensation plans 226 15,640 15,640

Distribution to noncontrolling interest ( 83,308 ) ( 83,308 )

Balance at June 30, 2025 598,812 $ 17,999,758 $ 3,425,732 $ ( 2,230 ) $ 3,674,590 $ 25,097,850

Common shares authorized (in thousands):

640,000 and 1,280,000 .

Preferred shares authorized (in thousands):

There were no preferred shares issued or outstanding.

(a) Amounts included in accumulated other comprehensive loss are related to other postretirement benefits liability adjustments, net of tax, which are attributable to net actuarial losses and net prior service costs.

The accompanying notes are an integral part of these Condensed Consolidated Financial Statements.

EQT CORPORATION AND SUBSIDIARIES

STATEMENTS OF CONDENSED CONSOLIDATED EQUITY (UNAUDITED)

Shares Amount Retained Earnings Accumulated Other

Comprehensive Loss (a) Noncontrolling Interest in

Consolidated Subsidiaries Total Equity

(Thousands, except per share amounts)

Balance at January 1, 2024 419,896 $ 12,093,986 $ 2,681,898 $ ( 2,684 ) $ 7,617 $ 14,780,817

5 unchanged sentences

Share-based compensation plans 1,709 ( 8,392 ) ( 8,392 )

Convertible Notes settlements 19,992 285,608 285,608

Net settlement of Capped Call Transactions 93,290 93,290

Balance at March 31, 2024 441,558 $ 12,450,876 $ 2,715,974 $ ( 2,641 ) $ 7,192 $ 15,171,401

Convertible Notes settlements (Note 7) 19,992 285,608 285,608

Net settlement of Capped Call Transactions (Note 7) 93,290 93,290

Balance at June 30, 2024 441,597 $ 12,464,492 $ 2,655,940 $ ( 2,598 ) $ 6,914 $ 15,124,748

Balance at January 1, 2025 596,870 $ 18,014,711 $ 2,585,238 $ ( 2,321 ) $ 3,680,508 $ 24,278,136

7 unchanged sentences

Change in ownership of consolidated subsidiary 375 375

Distribution to noncontrolling interest ( 68,646 ) ( 68,646 )

Balance at March 31, 2025 598,586 $ 17,984,118 $ 2,736,046 $ ( 2,284 ) $ 3,685,389 $ 24,403,269

Distributions to noncontrolling interest ( 151,954 ) ( 151,954 )

Balance at June 30, 2025 598,812 $ 17,999,758 $ 3,425,732 $ ( 2,230 ) $ 3,674,590 $ 25,097,850

Common shares authorized (in thousands):

13 unchanged sentences

Accordingly, they do not include all information and notes required by GAAP for complete financial statements.

In the opinion of management, these statements include all adjustments (consisting of only normal recurring accruals unless otherwise disclosed in this Quarterly Report on Form 10-Q) necessary for a fair presentation of the financial position of the Company as of March 31, 2025 and December 31, 2024 and the results of its operations, equity and cash flows for the three months ended March 31, 2025 and 2024.

Certain previously reported amounts have been reclassified to conform to the current period presentation.

In the opinion of management, these statements include all adjustments (consisting of only normal recurring accruals unless otherwise disclosed in this Quarterly Report on Form 10-Q) necessary for a fair presentation of the Company's financial position as of June 30, 2025 and December 31, 2024, results of operations and changes in equity for the three and six months ended June 30, 2025 and 2024 and cash flows for the six months ended June 30, 2025 and 2024.

Certain previously reported amounts have been reclassified to conform to the current period's presentation.

In addition, as discussed further in Note 2, certain prior period amounts have been recast to reflect the Company's change in reportable segments from one reportable segment to three reportable segments consisting of Production, Gathering and Transmission.

4 unchanged sentences

Intercompany accounts and transactions have been eliminated in consolidation.

The Company records noncontrolling interests in its Condensed Consolidated Financial Statements for any non-wholly-owned consolidated subsidiary.

The Company records noncontrolling interest in its Condensed Consolidated Financial Statements for any non-wholly-owned consolidated subsidiary.

Supplemental Cash Flow Information .

The following table summarizes net cash paid for interest and income taxes and non-cash activity included in the Statements of Condensed Consolidated Cash Flows.

Three Months Ended

Cash paid during the period for:

Six Months Ended

Cash paid (received) during the period for:

Interest, net of amount capitalized $ 241,824 $ 104,940

1 unchanged sentence

Non-cash activity during the period for:

Distribution payable to noncontrolling interest $ 23,917 $ —

Increase in right-of-use assets and lease liabilities, net 5,095 3,634

Capitalization of non-cash equity share-based compensation 4,506 1,771

Investments in unconsolidated entities 17,981 2,375

Increase in asset retirement costs and obligations 15,185 3,313

Capitalization of non-cash equity share-based compensation 9,389 3,371

Increase in right-of-use assets and lease liabilities, net 5,095 8,283

Issuance of EQT common stock for Convertible Notes settlement (Note 7)

Investment in nonconsolidated entities — 2,375

First NEPA Non-Operated Asset Divestiture (Note 12 )

EQT CORPORATION AND SUBSIDIARIES

33 unchanged sentences

The following tables present the Company's profit and loss metric of operating income by segment.

Three Months Ended March 31, 2025

Three Months Ended June 30, 2025

Production Gathering Transmission Total Segment Intersegment Eliminations

2 unchanged sentences

Sales of natural gas, natural gas liquids and oil $ 1,700,499 $ — $ — $ 1,700,499 $ — $ 1,700,499

Loss on derivatives ( 678,919 ) — — ( 678,919 ) — ( 678,919 )

Pipeline, net marketing services and other 3,475 335,313 146,271 485,059 ( 311,017 ) 174,042

Gain on derivatives 719,964 — — 719,964 — 719,964

Pipeline and other 79 320,269 134,583 454,931 ( 317,675 ) 137,256

Total operating revenues 2,420,542 320,269 134,583 2,875,394 ( 317,675 ) 2,557,719

8 unchanged sentences

Impairment and expiration of leases 3,254 — — 3,254 — 3,254

Other operating expenses 4,399 2,982 ( 536 ) 6,845 6,629 13,474

Other operating expenses (b) 20,934 7,314 — 28,248 148,242 176,490

Total operating expenses 1,413,432 114,864 44,527 1,572,823 ( 149,142 ) 1,423,681

1 unchanged sentence

(a) The significant expense categories and amounts presented align with information that is regularly provided to the chief operating decision maker.

(b) Corporate other operating expenses consisted primarily of legal reserves related to the Securities Class Action (defined in Note 13).

EQT CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements (Unaudited)

Three Months Ended March 31, 2024

Three Months Ended June 30, 2024

Production Gathering Total Segment Intersegment Eliminations

3 unchanged sentences

Gain on derivatives 61,333 — 61,333 — 61,333

Pipeline, net marketing services and other ( 1,615 ) 64,362 62,747 ( 60,895 ) 1,852

Pipeline and other ( 1,454 ) 74,300 72,846 ( 71,184 ) 1,662

Total operating revenues 949,396 74,300 1,023,696 ( 71,184 ) 952,512

6 unchanged sentences

Depreciation, depletion and amortization 456,567 6,872 463,439 2,543 465,982

Gain on sale/exchange of long-lived assets ( 320,050 ) ( 79 ) ( 320,129 ) — ( 320,129 )

Impairment and expiration of leases 37,659 — 37,659 — 37,659

Other operating expenses 10,844 — 10,844 41,346 52,190

Total operating expenses 956,408 20,429 976,837 ( 27,296 ) 949,541

Operating (loss) income $ ( 7,012 ) $ 53,871 $ 46,859 $ ( 43,888 ) $ 2,971

(a) The significant expense categories and amounts presented align with information that is regularly provided to the chief operating decision maker.

(b) Selling, general and administrative expense incurred prior to the Equitrans Midstream Merger closing date was not recast as the necessary information is not available and the cost to develop such information would be excessive.

EQT CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements (Unaudited)

Six Months Ended June 30, 2025

Production Gathering Transmission Total Segment Intersegment Eliminations

and Other EQT Corporation

Operating revenues:

Sales of natural gas, natural gas liquids and oil $ 3,945,226 $ — $ — $ 3,945,226 $ — $ 3,945,226

Gain on derivatives 41,045 — — 41,045 — 41,045

Pipeline and other 3,554 655,582 280,854 939,990 ( 628,692 ) 311,298

Total operating revenues 3,989,825 655,582 280,854 4,926,261 ( 628,692 ) 4,297,569

Operating expenses (a):

Transportation and processing 1,394,739 — — 1,394,739 ( 627,414 ) 767,325

Production 179,956 — — 179,956 — 179,956

Operating and maintenance — 76,906 24,374 101,280 — 101,280

Exploration 2,324 — — 2,324 — 2,324

Selling, general and administrative 95,378 28,318 17,526 141,222 31,828 173,050

Depreciation, depletion and amortization 1,084,412 103,456 45,935 1,233,803 10,443 1,244,246

Loss on sale/exchange of long-lived assets 2,872 — 349 3,221 — 3,221

Impairment and expiration of leases 5,915 — — 5,915 — 5,915

Other operating expenses (b) 25,333 10,296 ( 536 ) 35,093 154,871 189,964

Total operating expenses 2,790,929 218,976 87,648 3,097,553 ( 430,272 ) 2,667,281

Operating income (loss) $ 1,198,896 $ 436,606 $ 193,206 $ 1,828,708 $ ( 198,420 ) $ 1,630,288

(a) The significant expense categories and amounts presented align with information that is regularly provided to the chief operating decision maker.

(b) Corporate other operating expenses consisted primarily of legal reserves related to the Securities Class Action.

EQT CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements (Unaudited)

Six Months Ended June 30, 2024

Production Gathering Total Segment Intersegment Eliminations

and Other EQT Corporation

Operating revenues:

Sales of natural gas, natural gas liquids and oil $ 2,193,422 $ — $ 2,193,422 $ — $ 2,193,422

Gain on derivatives 167,844 — 167,844 — 167,844

Pipeline and other ( 3,069 ) 138,662 135,593 ( 132,079 ) 3,514

Total operating revenues 2,358,197 138,662 2,496,859 ( 132,079 ) 2,364,780

Operating expenses (a):

Transportation and processing 1,220,340 — 1,220,340 ( 132,092 ) 1,088,248

Production 179,200 — 179,200 — 179,200

Operating and maintenance — 25,306 25,306 — 25,306

Exploration 2,294 — 2,294 — 2,294

Selling, general and administrative (b) 140,260 — 140,260 — 140,260

Depreciation, depletion and amortization 940,221 7,509 947,730 5,002 952,732

Gain on sale/exchange of long-lived assets ( 319,960 ) ( 22 ) ( 319,982 ) — ( 319,982 )

Impairment and expiration of leases 46,868 — 46,868 — 46,868

Other operating expenses 13,444 — 13,444 50,719 64,163

3 unchanged sentences

EQT CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements (Unaudited)

Reconciliation of total segment operating income to income before income taxes

Three Months Ended

June 30, Six Months Ended

2025 2024 2025 2024

Total segment operating income $ 1,302,571 $ 46,859 $ 1,828,708 $ 241,399

4 unchanged sentences

Corporate depreciation and amortization 5,789 2,543 10,443 5,002

Corporate other operating expenses 6,629 9,373

Income from investments (a) ( 26,462 ) ( 2,260 )

Corporate other operating expenses (a) 148,242 41,346 154,871 50,719

Income from investments (b) ( 67,174 ) ( 172 ) ( 93,636 ) ( 2,432 )

Other income ( 2,616 ) ( 19,431 ) ( 3,239 ) ( 19,636 )

1 unchanged sentence

Interest expense, net 105,668 55,720 223,237 110,091

Income before income taxes $ 394,086 $ 127,365

(a) Income from investments for the three months ended March 31, 2025 included $ 24.4 million of equity earnings from the Company's investment in the MVP Joint Venture, which is reported in the Company's Transmission segment.

EQT CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements (Unaudited)

Income (loss) before income taxes $ 1,092,271 $ ( 34,983 ) $ 1,486,357 $ 92,382

(a) For the three and six months ended June 30, 2025, corporate other operating expenses consisted primarily of legal reserves related to the Securities Class Action.

(b) Income from investments for the three and six months ended June 30, 2025 included $ 41.6 million and $ 66.0 million, respectively, of equity earnings from the Company's investment in the MVP Joint Venture, which is reported in the Company's Transmission segment.

Total segment assets.

The following table presents the Company's total assets by segment.

The Company's investment in the MVP Joint Venture is presented in investments in unconsolidated entities in the Condensed Consolidated Balance Sheet.

The Company's investment in the MVP Joint Venture is presented in investments in unconsolidated entities in the Condensed Consolidated Balance Sheets.

The Company did not have an investment in the MVP Joint Venture or goodwill prior to completion of the Equitrans Midstream Merger.

Production Gathering Transmission Total Segment

March 31, 2025 (Thousands)

June 30, 2025 (Thousands)

Investment in the MVP Joint Venture $ — $ — $ 3,503,025 $ 3,503,025

2 unchanged sentences

Total assets $ 22,027,485 $ 8,276,505 $ 7,635,142 $ 37,939,132

March 31, 2024

June 30, 2024

Total assets $ 22,994,946 $ 1,479,044 $ — $ 24,473,990

EQT CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements (Unaudited)

Reconciliation of total segment assets to total assets

8 unchanged sentences

Total assets $ 39,666,748 $ 24,706,469

(a) Represents goodwill attributable to additional deferred tax liabilities that arose from the differences between the fair value and tax bases of the Equitrans Midstream Merger preliminary purchase price allocation that carried over from Equitrans Midstream (defined in Note 11) to the Company.

(a) Represents goodwill attributable to additional deferred tax liabilities that arose from the differences between the fair value and tax bases of the Equitrans Midstream Merger purchase price allocation that carried over from Equitrans Midstream (defined in Note 11) to the Company.

Total segment capital expenditures.

1 unchanged sentence

Three Months Ended

June 30, Six Months Ended

2025 2024 2025 2024

Production $ 449,440 $ 551,294 $ 858,195 $ 1,085,132

4 unchanged sentences

Total capital expenditures $ 553,559 $ 576,135 $ 1,051,003 $ 1,125,122

EQT CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements (Unaudited)

Revenue from Contracts with Customers

8 unchanged sentences

Based on management's judgment, the performance obligations for the sale of natural gas, NGLs and oil are satisfied at a point in time because the customer obtains control and legal title of the asset when the natural gas, NGLs or oil is delivered to the designated sales point.

EQT CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements (Unaudited)

The sales of natural gas, NGLs and oil presented in the Statements of Condensed Consolidated Operations represent the Company's share of revenues net of royalties and exclude revenue interests owned by others.

16 unchanged sentences

The units-of-production methodology requires the use of judgment to estimate future production volumes.

EQT CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements (Unaudited)

Certain of the Company's gathering service agreements are structured with minimum volume commitments (MVCs), which specify minimum quantities that the customer will be charged regardless of whether such quantities are gathered.

1 unchanged sentence

If a customer fails to meet its MVC for a specified period (thus not exercising all the contractual rights to gathering services within the specified period), the customer is obligated to pay a contractually-determined fee based on the shortfall between actual volume gathered and the MVC.

EQT CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements (Unaudited)

Disaggregated revenue information.

1 unchanged sentence

Certain other revenue contracts are outside the scope of ASU 2014-09, Revenue from Contracts with Customers .

These contracts are reported in pipeline, net marketing services and other revenues in the Statements of Condensed Consolidated Operations.

These contracts are reported in pipeline and other revenues in the Statements of Condensed Consolidated Operations.

Derivative contracts are also outside the scope of ASU 2014-09.

Three Months Ended

June 30, Six Months Ended

2025 2024 2025 2024

Revenues from contracts with customers:

15 unchanged sentences

Other sources of revenue:

(Loss) gain on derivatives ( 678,919 ) 106,511

Net marketing services and other revenues 3,475 ( 1,615 )

Gain on derivatives 719,964 61,333 41,045 167,844

Other revenues 79 ( 1,454 ) 3,554 ( 3,069 )

Total other sources of revenue 720,043 59,879 44,599 164,775

Total operating revenues $ 2,557,719 $ 952,512 $ 4,297,569 $ 2,364,780

(a) Firm reservation fee revenue for the three months ended March 31, 2025 included unbilled revenues supported by MVCs of approximately $ 5.6 million.

(b) For contracts with customers where the Company's performance obligations had been satisfied and an unconditional right to consideration existed as of the balance sheet date, the Company recorded in accounts receivable amounts due from contracts with customers of $ 994.1 million and $ 939.9 million as of March 31, 2025 and December 31, 2024, respectively.

(a) Firm reservation fee revenue for the three and six months ended June 30, 2025 included unbilled revenues supported by MVCs of approximately $ 5.6 million and $ 11.2 million, respectively.

(b) For contracts with customers where the Company's performance obligations had been satisfied and an unconditional right to consideration existed as of the balance sheet date, the Company recorded in accounts receivable amounts due from contracts with customers of $ 668.9 million and $ 939.9 million as of June 30, 2025 and December 31, 2024, respectively.

EQT CORPORATION AND SUBSIDIARIES

1 unchanged sentence

Summary of remaining performance obligations .

The following table summarizes the transaction price allocated to the Company's remaining obligations on all contracts with fixed consideration as of March 31, 2025.

The table excludes contracts that qualified for the exception to the relative standalone selling price method as of March 31, 2025.

The following table summarizes the transaction price allocated to the Company's remaining obligations on all contracts with fixed consideration as of June 30, 2025.

The table excludes contracts that qualified for the exception to the relative standalone selling price method as of June 30, 2025.

2025 (a) 2026 2027 2028 2029 Thereafter Total

12 unchanged sentences

Total $ 556,248 $ 1,127,250 $ 1,117,952 $ 1,107,250 $ 1,091,674 $ 6,906,344 $ 11,906,718

(a) April 1 through December 31.

As of March 31, 2025, the Company had no remaining performance obligations on its natural gas sales contracts with fixed consideration.

Based on total projected contractual revenues, both the Company's firm gathering third-party contracts and firm transmission and storage third-party contracts had a weighted average remaining term of approximately 11 years as of March 31, 2025.

Based on total projected contractual revenues, the Company's firm gathering affiliate contracts and firm transmission and storage affiliate contracts had a weighted average remaining term of approximately 14 years and 13 years, respectively, as of March 31, 2025.

(a) July 1 through December 31.

As of June 30, 2025, the Company had no remaining performance obligations on its natural gas sales contracts with fixed consideration.

Based on total projected contractual revenues, both the Company's firm gathering affiliate contracts and firm transmission and storage affiliate contracts had a weighted average remaining term of approximately 13 years as of June 30, 2025.

Derivative Instruments

8 unchanged sentences

The Company does not designate any of its derivative instruments as cash flow hedges;

therefore, all changes in fair value of the Company's derivative instruments are recognized in operating revenues in (loss) gain on derivatives in the Statements of Condensed Consolidated Operations.

therefore, all changes in fair value of the Company's derivative instruments are recognized in operating revenues in gain on derivatives in the Statements of Condensed Consolidated Operations.

The Company recognizes all derivative instruments as either assets or liabilities at fair value on a gross basis.

8 unchanged sentences

Settlements of derivative commodity instruments are reported as a component of cash flows from operating activities in the Statements of Condensed Consolidated Cash Flows.

With respect to the derivative commodity instruments held by the Company, the Company hedged portions of its expected sales of production and portions of its basis exposure covering approximately 1,422 Bcf of natural gas and 3,672 thousand barrels (Mbbl) of NGLs as of March 31, 2025 and 2,189 Bcf of natural gas and 2,562 Mbbl of NGLs as of December 31, 2024.

The open positions at both March 31, 2025 and December 31, 2024 had maturities extending through December 2027.

With respect to the derivative commodity instruments held by the Company, the Company hedged portions of its expected sales of production and portions of its basis exposure covering approximately 1,042 billion cubic feet (Bcf) of natural gas and 6,218 thousand barrels (Mbbl) of NGLs as of June 30, 2025 and 2,189 Bcf of natural gas and 2,562 Mbbl of NGLs as of December 31, 2024.

The open positions at both June 30, 2025 and December 31, 2024 had maturities extending through December 2027.

Certain of the Company's OTC derivative instrument contracts provide that, if EQT's credit rating assigned by Moody's Investors Service, Inc.

5 unchanged sentences

Anything below these ratings is considered non-investment grade.

As of March 31, 2025, EQT's senior notes were rated "Baa3" by Moody's, "BBB–" by S&P and "BBB–" by Fitch.

As of June 30, 2025, EQT's senior notes were rated "Baa3" by Moody's, "BBB–" by S&P and "BBB–" by Fitch.

When the net fair value of any of the Company's OTC derivative instrument contracts represents a liability to the Company that is in excess of the agreed-upon dollar threshold for the Company's then-applicable credit rating, the counterparty has the right to require the Company to remit funds as a margin deposit in an amount equal to the portion of the derivative liability that is in excess of the dollar threshold amount.

The Company records these deposits as a current asset in the Condensed Consolidated Balance Sheets.

As of March 31, 2025 and December 31, 2024, the aggregate fair value of the Company's OTC derivative instruments with credit rating risk-related contingent features in a net liability position was $ 99.2 million and $ 61.9 million, respectively, for which no deposits were required or recorded in the Condensed Consolidated Balance Sheets.

As of June 30, 2025 and December 31, 2024, the aggregate fair value of the Company's OTC derivative instruments with credit rating risk-related contingent features in a net liability position was $ 45.3 million and $ 61.9 million, respectively, for which no deposits were required or recorded in the Condensed Consolidated Balance Sheets.

When the net fair value of any of the Company's OTC derivative instrument contracts represents an asset to the Company that is in excess of the agreed-upon dollar threshold for the counterparty's then-applicable credit rating, the Company has the right to require the counterparty to remit funds as a margin deposit in an amount equal to the portion of the derivative asset that is in excess of the dollar threshold amount.

The Company records these deposits as a current liability in the Condensed Consolidated Balance Sheets.

As of both March 31, 2025 and December 31, 2024, there were no such deposits recorded in the Condensed Consolidated Balance Sheets.

As of both June 30, 2025 and December 31, 2024, there were no such deposits recorded in the Condensed Consolidated Balance Sheets.

When the Company enters into exchange traded natural gas contracts, exchanges may require the Company to remit funds to the corresponding broker as good-faith deposits to guard against the risks associated with changing market conditions.

5 unchanged sentences

The margin requirements are subject to change at the exchanges' discretion.

As of March 31, 2025 and December 31, 2024, there was $ 43.2 million and $ 87.0 million, respectively, of such deposits recorded as a current asset in the Condensed Consolidated Balance Sheets.

As of June 30, 2025 and December 31, 2024, there was $ 79.5 million and $ 87.0 million, respectively, of such deposits recorded as a current asset in the Condensed Consolidated Balance Sheets.

EQT CORPORATION AND SUBSIDIARIES

4 unchanged sentences

master netting agreements Margin requirements with counterparties Net derivative instruments

March 31, 2025

June 30, 2025

Asset derivative instruments, at fair value $ 118,934 $ ( 92,869 ) $ — $ 26,065

24 unchanged sentences

(Level 2) Significant unobservable inputs

March 31, 2025

June 30, 2025

Asset derivative instruments, at fair value $ 118,934 $ 16,909 $ 102,025 $ —

8 unchanged sentences

Because not all of the Company's senior notes are actively traded, their fair value is a Level 2 fair value measurement.

As of March 31, 2025 and December 31, 2024, the Company's senior notes had a fair value of approximately $ 8.2 billion and $ 8.8 billion, respectively, and a carrying value of approximately $ 8.1 billion and $ 8.9 billion, respectively, inclusive of any current portion.

As of June 30, 2025 and December 31, 2024, the Company's senior notes had a fair value of approximately $ 8.2 billion and $ 8.8 billion, respectively, and a carrying value of approximately $ 8.0 billion and $ 8.9 billion, respectively, inclusive of any current portion.

See Note 7 for further discussion of the Company's debt.

3 unchanged sentences

See Note 11 herein and Note 6 to the Consolidated Financial Statements in EQT's Annual Report on Form 10-K for the year ended December 31, 2024 for a discussion of the fair value measurement of assets acquired and liabilities assumed in the Equitrans Midstream Merger.

See Note 7 to the Consolidated Financial Statements in EQT's Annual Report on Form 10-K for the year ended December 31, 2024 for a discussion of the fair value measurement of the assets received as consideration for the First NEPA Non-Operated Asset Divestiture (defined in Note 12).

See Note 1 to the Consolidated Financial Statements in EQT's Annual Report on Form 10-K for the year ended December 31, 2024 for a discussion of (i) the fair value measurement and impairment of the Company's property, plant and equipment, (ii) impairment of the Company's contract asset, investments in unconsolidated entities, net intangible assets and goodwill and (iii) fair value measurement of the Company's asset retirement obligations.

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Notes to the Condensed Consolidated Financial Statements (Unaudited)

For the three months ended March 31, 2025 and 2024, the Company calculated the provision for income taxes by applying an estimate of the annual effective tax rate for the full fiscal year to "ordinary" income or loss (pre-tax income or loss excluding unusual or infrequently occurring items) for the period.

For the six months ended June 30, 2025, the Company calculated the provision for income taxes by applying an estimate of the annual effective tax rate for the full fiscal year to "ordinary" income or loss (pre-tax income or loss excluding unusual or infrequently occurring items) for the period.

Any refinements to prior period taxes made in the current period due to new information are reflected as adjustments in the current period.

There were no material changes to the Company's methodology for determining unrecognized tax benefits during the three months ended March 31, 2025.

The Midstream Joint Venture (defined in Note 9) and Eureka Midstream Holdings, LLC (Eureka Midstream Holdings), both of which are consolidated subsidiaries of the Company's, are treated as partnerships for U.S.

For the six months ended June 30, 2024, modest fluctuations in estimated ordinary income resulted in significant changes in the estimated annual effective tax rate, which made the annual effective tax rate method unreliable;

as such, the Company calculated the provision for income taxes for the six months ended June 30, 2024 using the discrete effective tax rate method.

There were no material changes to the Company's methodology for determining unrecognized tax benefits during the six months ended June 30, 2025.

The Midstream Joint Venture (defined in Note 9) and Eureka Midstream Holdings, LLC (Eureka Midstream Holdings), both of which are consolidated subsidiaries of the Company, are treated as partnerships for U.S.

federal and applicable state income tax purposes and are not separately subject to U.S.

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however, the Company does not record income tax expense on income attributable to noncontrolling interests in the Midstream Joint Venture and Eureka Midstream Holdings, which reduces the Company's effective tax rate in periods when the Company has consolidated pre-tax income and increases the effective tax rate in periods when the Company has consolidated pre-tax losses.

For the three months ended March 31, 2025 and 2024, the Company recorded income tax expense at an effective tax rate of 20.0 % and 19.1 %, respectively.

The Company's effective tax rate for the three months ended March 31, 2025 was lower compared to the U.S.

federal statutory rate primarily as a result of the Midstream Joint Ventures' and Eureka Midstream Holdings' income attributable to the noncontrolling interests and excess tax benefits from share-based payments, partly offset by state taxes.

The Company's effective tax rate for the three months ended March 31, 2024 was lower compared to the U.S.

federal statutory rate primarily as a result of excess tax benefits from share-based payments, partly offset by state taxes.

For the six months ended June 30, 2025 and 2024, the Company recorded income tax expense (benefit) at an effective tax rate of 21.1 % and ( 21.6 )%, respectively.

The Company's effective tax rate for the six months ended June 30, 2025 was higher compared to the U.S.

federal statutory rate primarily as a result of state taxes, partly offset by the Midstream Joint Venture's and Eureka Midstream Holdings' income attributable to the noncontrolling interests and excess tax benefits from share-based payments.

The Company's effective tax rate for the six months ended June 30, 2024 was lower compared to the U.S.

federal statutory rate primarily as a result of the Company's utilization of some of its capital loss carryforwards with the capital gain generated from the First NEPA Non-Operated Asset Divestiture, which results in the release of the associated valuation allowance, as well as from excess tax benefits from share-based payments.

On July 4, 2025, President Trump signed the One Big Beautiful Bill Act into law.

The Company is evaluating the potential tax impacts of the One Big Beautiful Bill Act on the Company.

EQT CORPORATION AND SUBSIDIARIES

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The table below summarizes the Company's outstanding debt.

March 31, 2025 December 31, 2024

June 30, 2025 December 31, 2024

Principal Value Carrying Value (a) Principal Value Carrying Value (a)

8 unchanged sentences

4,069 4,142 500,000 511,377

EQT's 7.500 % notes due June 1, 2027

495,925 504,440 — —

EQM's 6.500 % notes due July 1, 2027

48,868 52,222 900,000 915,538

EQT's 6.500 % notes due July 1, 2027

344,921 346,700 — —

EQT's 3.90 % notes due October 1, 2027

4 unchanged sentences

— — 118,683 118,204

EQT's 5.500 % notes due July 15, 2028

45,225 45,027 — —

EQT's 5.00 % notes due January 15, 2029

2 unchanged sentences

8,338 8,031 742,923 711,754

EQT's 4.50 % notes due January 15, 2029

734,583 706,891 — —

EQM's 6.375 % notes due April 1, 2029

3,265 3,307 600,000 608,667

EQT's 6.375 % notes due April 1, 2029

596,725 603,781 — —

EQT's 7.000 % notes due February 1, 2030 (b)

2 unchanged sentences

5,536 5,894 500,000 535,671

EQT's 7.500 % notes due June 1, 2030

494,086 525,994 — —

EQM's 4.75 % notes due January 15, 2031

9,616 9,177 1,100,000 1,045,219

EQT's 4.75 % notes due January 15, 2031

1,090,218 1,039,524 — —

EQT's 3.625 % notes due May 15, 2031

4 unchanged sentences

12,989 13,164 80,233 81,338

EQT's 6.500 % notes due July 15, 2048

67,196 68,083 — —

Total debt 8,366,092 8,315,037 9,368,516 9,324,177

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Interest rates for the Company's other senior notes do not fluctuate.

(c) As of both March 31, 2025 and December 31, 2024, the current portion of debt included borrowings outstanding under Eureka's revolving credit facility.

As of December 31, 2024, the current portion of debt included borrowings outstanding under Eureka's revolving credit facility.

EQT CORPORATION AND SUBSIDIARIES

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Debt Repayments .

The Company repaid, redeemed or repurchased the following debt during the three months ended March 31, 2025.

The Company repaid, redeemed or repurchased the following debt during the six months ended June 30, 2025.

Debt Tranche Principal Premiums Paid

4 unchanged sentences

233,345 ( 2,842 ) 4,070 234,573

EQM's 5.500 % notes due July 15, 2028

73,456 2,878 1,190 77,524

Total $ 813,010 $ 13,324 $ 11,749 $ 838,083

(a) In addition to call premiums paid (discounts received), EQM Midstream Partners (EQM) paid $ 1.9 million in fees to dealer managers and other non-lender parties for the repayment of certain of its senior notes in the Tender Offers (defined below).

Such costs were accrued in other current liabilities in the Condensed Consolidated Balance Sheet as of March 31, 2025.

(a) On February 24, 2025, the Company announced the commencement of tender offers (the Tender Offers) to purchase any and all of the outstanding 6.500 % senior notes issued by EQM Midstream Partners, LP's (EQM), a wholly-owned subsidiary of EQT, and a certain amount of the outstanding 3.90 % senior notes issued by EQT.

On March 12, 2025, the Company settled the Tender Offers.

In addition to call premiums paid (discounts received) shown above, the Company paid $ 2.7 million in fees to dealer managers and other non-lender parties in connection with the Tender Offers.

On July 16, 2025, EQM issued notices of full redemption to the holders of each of its outstanding series of notes, and, on July 31, 2025, using cash on hand and, to the extent necessary, borrowings under EQT's revolving credit facility, EQM will redeem such notes (which have an outstanding aggregate principal amount of approximately $ 92.7 million as of July 16, 2025) in full for the redemption prices set forth in the applicable governing indentures.

After such redemptions, EQM will no longer have any outstanding notes.

EQT's Revolving Credit Facility.

EQT has a $ 3.5 billion revolving credit facility.

As of March 31, 2025, the Company had less than $ 0.1 million of letters of credit outstanding under EQT's revolving credit facility.

EQT has a $ 3.5 billion revolving credit facility governed by that certain Fourth Amended and Restated Credit Agreement, dated as of July 22, 2024 (as amended, the Revolving Credit Agreement), among EQT, PNC Bank, National Association, as administrative agent, swing line lender and letter of credit issuer, and the other lenders party thereto.

On June 30, 2025, EQT obtained the consent of each of the lenders party to the Revolving Credit Agreement to extend the maturity date of the commitments and loans thereunder (the Stated Maturity Date) from July 23, 2029 to July 23, 2030, effective as of July 23, 2025 (the Extension).

The terms of the Revolving Credit Agreement otherwise remain unchanged.

Pursuant to the terms of the Revolving Credit Agreement, EQT may request two one-year extensions of the Stated Maturity Date, subject to satisfaction of certain conditions.

The Extension is the first such extension.

As of June 30, 2025, the Company had less than $ 0.1 million of letters of credit outstanding under EQT's revolving credit facility.

As of December 31, 2024, the Company had approximately $ 1 million of letters of credit outstanding under EQT's revolving credit facility.

During the three months ended March 31, 2025 and 2024, under EQT's revolving credit facility, the maximum amount of outstanding borrowings was $ 566 million and $ 107 million, respectively, the average daily balance was approximately $ 208 million and $ 11 million, respectively, and interest was incurred at a weighted average annual interest rate of 5.9 % and 6.9 %, respectively.

For both the three months ended March 31, 2025 and 2024, EQT incurred commitment fees of approximately 20 basis points on the undrawn portion of EQT's revolving credit facility to maintain credit availability.

During the three months ended June 30, 2025 and 2024, under EQT's revolving credit facility, the maximum amount of outstanding borrowings was $ 512 million and $ 207 million, respectively, the average daily balance was approximately $ 64 million and $ 24 million, respectively, and interest was incurred at a weighted average annual interest rate of 5.9 % and 6.9 %, respectively.

During the six months ended June 30, 2025 and 2024, under EQT's revolving credit facility, the maximum amount of outstanding borrowings was $ 566 million and $ 207 million, respectively, the average daily balance was approximately $ 136 million and $ 17 million, respectively, and interest was incurred at a weighted average annual interest rate of 5.9 % and 6.9 %, respectively.

For both the six months ended June 30, 2025 and 2024, EQT incurred commitment fees of 20 basis points on the undrawn portion of EQT's revolving credit facility.

Eureka's Revolving Credit Facility.

The Company has a controlling interest in Eureka Midstream Holdings.

Eureka, a wholly-owned subsidiary of Eureka Midstream Holdings, has a $ 400 million senior secured revolving credit facility.

As of March 31, 2025, Eureka had no letters of credit outstanding under its revolving credit facility.

During the three months ended March 31, 2025, under Eureka's revolving credit facility, the maximum amount of outstanding borrowings was approximately $ 321 million, the average daily balance was approximately $ 311 million and interest was incurred at a weighted average annual interest rate of 7.2 %.

For the three months ended March 31, 2025, Eureka incurred commitment fees of approximately 50 basis points on the undrawn portion of Eureka's revolving credit facility to maintain credit availability.

Tender Offers.

On February 24, 2025, the Company announced the commencement of tender offers (the Tender Offers) to purchase any and all of EQM's outstanding 6.500 % senior notes due 2027 and a certain amount of EQT's outstanding 3.90 % senior notes due 2027.

On March 12, 2025, the Company settled the Tender Offers.

Refer to the "Debt Repayments" table above for details.

EQM Exchange Offers.

On February 24, 2025, the Company announced the commencement of offers (the EQM Exchange Offers) made to certain eligible holders of EQM's senior notes to exchange any and all outstanding notes issued by EQM (the Existing EQM Notes), including outstanding principal of EQM's 6.500 % senior notes due 2027 that remained outstanding following settlement of the Tender Offers, for up to $ 4,541.8 million aggregate principal amount of new notes issued by EQT (the New EQT Notes) and cash consideration equal to $1.00 per $1,000 principal amount of Existing EQM Notes exchanged.

Pursuant to the EQM Exchange Offers, for each $1,000 principal amount of Existing EQM Notes validly tendered on or prior to 5:00 p.m., New York City time, on March 7, 2025 (the Early Tender Date), the holder thereof received $1,000 principal amount of New EQT Notes;

for each $1,000 principal amount of Existing EQM Notes validly tendered after the Early Tender Date but on or prior to 5:00 p.m., New York City time, on March 28, 2025 (the Expiration Date, as extended), the holder thereof received $950 principal of New EQT Notes.

Eureka, a wholly-owned subsidiary of Eureka Midstream Holdings, has a $ 400 million senior secured revolving credit facility pursuant to the Credit Agreement, dated May 13, 2021, among Eureka, Sumitomo Mitsui Banking Corporation, as administrative agent, the lenders party thereto from time to time and any other persons party thereto from time to time (as amended, the Eureka Credit Agreement).

On June 30, 2025, Eureka entered into that certain Third Amendment and Master Assignment to Credit Agreement to, among other changes referenced therein, extend the maturity date of the commitments and loans under the Eureka Credit Agreement from November 13, 2025 to November 13, 2027 and reduce the commitment fee spread (calculated based on Eureka's Consolidated Leverage Ratio, as defined in the Eureka Credit Agreement) from a range of 37.5 to 50 basis points to a range of 32.5 to 45 basis points.

EQT CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements (Unaudited)

On April 2, 2025, in the aggregate, the Company issued approximately $ 3,868.9 million of New EQT Notes in exchange for the tender of approximately $ 3,869.5 million of Existing EQM Notes and paid to holders of the New EQT Notes cash consideration of approximately $ 3.9 million, which was capitalized as additional debt premium.

In addition, the discount received by EQT from those lenders who validly tendered their Existing EQM Notes after the Early Tender Date but on or prior to the Expiration Date of approximately $ 0.6 million was capitalized as additional debt discount.

In connection with the EQM Exchange Offers, the Company incurred non-lender expenses of approximately $ 6.9 million in loss on debt extinguishment in the Statement of Condensed Consolidated Operations for the three months ended March 31, 2025.

Such costs were accrued in other current liabilities in the Condensed Consolidated Balance Sheet as of March 31, 2025.

The maturity date and interest rate of each New EQT Note is consistent with that of the corresponding Existing EQM Note exchanged.

The covenants of the New EQT Notes are consistent with those of EQT's existing senior unsecured notes.

As of both June 30, 2025 and December 31, 2024, Eureka had no letters of credit outstanding under its revolving credit facility.

During the three months ended June 30, 2025, under Eureka's revolving credit facility, the maximum amount of outstanding borrowings was $ 285 million, the average daily balance was approximately $ 284 million and interest was incurred at a weighted average annual interest rate of 7.1 %.

During the six months ended June 30, 2025, under Eureka's revolving credit facility, the maximum amount of outstanding borrowings was $ 321 million, the average daily balance was approximately $ 297 million and interest was incurred at a weighted average annual interest rate of 7.1 %.

For the six months ended June 30, 2025, Eureka incurred commitment fees ranging from 32.5 to 50 basis points (based on applicable Consolidated Leverage Ratio) on the undrawn portion of Eureka's revolving credit facility.

EQM Exchange Offers.

On February 24, 2025, the Company commenced private offers (the EQM Exchange Offers) to certain eligible holders of EQM's senior notes to exchange any and all outstanding notes issued by EQM (the Existing EQM Notes), including outstanding principal of EQM's 6.500 % senior notes due 2027 that remained outstanding following settlement of the Tender Offers, for up to $ 4,541.8 million aggregate principal amount of new notes issued by EQT (the New EQT Notes) and cash consideration equal to $1.00 per $1,000 principal amount of Existing EQM Notes exchanged.

for each $1,000 principal amount of Existing EQM Notes validly tendered after the Early Tender Date but on or prior to 5:00 p.m., New York City time, on March 28, 2025 (as extended, the Expiration Date), the holder thereof received $950 principal of New EQT Notes.

On April 2, 2025, the Company issued approximately $ 3,868.9 million of New EQT Notes in exchange for the tender of approximately $ 3,869.5 million of Existing EQM Notes and paid to holders of the New EQT Notes cash consideration of approximately $ 3.9 million, which was capitalized as additional debt premium.

In addition, the discount received by EQT from holders who validly tendered their Existing EQM Notes after the Early Tender Date but on or prior to the Expiration Date of approximately $ 0.6 million was capitalized as additional debt discount.

In connection with the EQM Exchange Offers, the Company incurred non-lender expenses of approximately $ 8.6 million in loss on debt extinguishment in the Statement of Condensed Consolidated Operations during the six months ended June 30, 2025.

The maturity date, interest rate and covenants of each New EQT Note are consistent with those of the corresponding Existing EQM Note exchanged.

Consent Solicitation.

In conjunction with the Tender Offers and EQM Exchange Offers, the Company issued consent solicitations with respect to certain proposed amendments to each of the indentures governing the Existing EQM Notes that, upon adoption (which occurred on April 2, 2025), eliminated substantially all of the restrictive covenants, certain events of default and certain other provisions previously contained in such indentures.

In conjunction with the Tender Offers and EQM Exchange Offers, the Company solicited and obtained consents with respect to certain proposed amendments to each of the indentures governing the Existing EQM Notes that, upon adoption (which occurred on April 2, 2025), eliminated substantially all of the restrictive covenants, certain events of default and certain other provisions previously contained in such indentures.

EQT's 1.75 % Convertible Notes and Capped Call Transactions.

8 unchanged sentences

The table below summarizes the Company's equity method investments.

March 31, 2025 December 31, 2024

June 30, 2025 December 31, 2024

Ownership Interest Carrying Value Ownership Interest Carrying Value

5 unchanged sentences

Laurel Mountain Midstream, LLC (b) 31 % 49,490 31 % 28,757

WATT Fuel Cell Corporation (c) 15.63 % 13,953 15.63 % 14,533

Yellowbird Energy LLC (d) 50 % 6,195 50 % 6,135

Other 37,401 20,668

Total $ 3,589,916 $ 3,584,155

(a) Mountain Valley Pipeline, LLC (the MVP Joint Venture) is a Delaware series limited liability company joint venture formed among (i) with respect to Series A, the Midstream Joint Venture and affiliates of each of NextEra Energy, Inc., Consolidated Edison, Inc., AltaGas Ltd.

(a) Mountain Valley Pipeline, LLC (the MVP Joint Venture) is a Delaware series limited liability company formed as a joint venture among (i) with respect to Series A, the Midstream Joint Venture and affiliates of NextEra Energy, Inc., Consolidated Edison, Inc., AltaGas Ltd.

and RGC Resources, Inc.

for purposes of constructing, owning and operating the MVP (defined below) and (ii) with respect to Series B, a wholly-owned subsidiary of EQT and affiliates of NextEra Energy, Inc., AltaGas Ltd.

for the purpose of constructing, owning and operating the MVP (defined below);

and (ii) with respect to Series B, a wholly-owned subsidiary of EQT and affiliates of NextEra Energy, Inc., AltaGas Ltd.

and RGC Resources, Inc.

for purposes of constructing, owning and operating MVP Southgate (defined below).

(b) Laurel Mountain Midstream, LLC is a natural gas gathering and processing joint venture formed among a wholly-owned subsidiary of EQT, Williams Companies Inc.

and certain other energy companies.

(c) Watt Fuel Cell Corporation is a developer and manufacturer of solid oxide fuel cell systems that operate on common, readily available fuels such as natural gas and propane.

(d) Yellowbird Energy LLC is a joint venture formed between a wholly-owned subsidiary of EQT and a third-party investor that is focused on the capture of coal mine methane with the goal of generating environmental attributes.

The MVP is a 303 -mile long, 42 -inch diameter natural gas interstate pipeline with a total capacity of 2.0 Bcf per day that spans from the Company's transmission and storage system in Wetzel County, West Virginia to Pittsylvania County, Virginia.

for the purpose of constructing, owning and operating MVP Southgate (defined below).

(b) Laurel Mountain Midstream, LLC is a midstream company formed as a joint venture among a wholly-owned subsidiary of EQT, Williams Companies Inc.

and certain other energy companies, to provide natural gas gathering and processing services.

The Mountain Valley Pipeline (the MVP) is a 303 -mile long, 42 -inch diameter natural gas interstate pipeline with a total capacity of 2.0 Bcf per day that spans from the Company's transmission and storage system in Wetzel County, West Virginia to Pittsylvania County, Virginia.

The MVP entered into service on June 14, 2024 and commenced long-term firm capacity obligations on July 1, 2024.

A wholly-owned subsidiary of EQM is the operator of the MVP.

The Company has a negative basis difference between the carrying value of its equity method investment in the MVP and its proportionate share of the MVP's net assets (composed of fixed assets).

The basis difference is accreted over the useful life of the fixed assets, with accretion expense presented in income from investments in the Company's Statements of Condensed Consolidated Operations.

As of both March 31, 2025 and December 31, 2024, the basis difference, net of accretion, was approximately $ 1.3 billion.

MVP Southgate.

MVP Southgate is a contemplated interstate pipeline that was approved by the FERC.

MVP Southgate is a contemplated interstate pipeline that was approved by the Federal Energy Regulatory Commission (FERC).

The pipeline was initially designed to extend approximately 75 miles from the MVP in Pittsylvania County, Virginia to new delivery points in Rockingham and Alamance Counties, North Carolina using 24 -inch and 16 -inch diameter pipe.

3 unchanged sentences

The proposed route passes through a portion of the Southern Virginia Mega Site at Berry Hill, which is one of the largest business parks on the East Coast.

EQT CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements (Unaudited)

On February 3, 2025, the MVP Joint Venture filed an application with the FERC seeking to amend its existing Certificate of Public Convenience and Necessity to reflect the amended project.

1 unchanged sentence

MVP Southgate is estimated to have a total cost of approximately $ 370 million to $ 430 million, excluding allowance for funds used during construction and certain costs incurred for purposes of the originally certificated project, of which the Company will fund its proportionate share through capital contributions to the MVP Joint Venture.

Pursuant to the MVP Joint Venture's limited liability company agreement and upon the closing of the Equitrans Midstream Merger, the Company is obligated to provide performance assurances with respect to MVP Southgate that may take the form of a guarantee from EQM (provided that, in accordance with the requirements of the MVP Joint Venture's limited liability company agreement, EQM's debt is assigned an investment grade credit rating), a letter of credit or cash collateral.

Upon receipt of the FERC's initial release to begin construction of MVP Southgate, the Company will be obligated to provide performance assurance in an amount equal to 33 % of its share of MVP Southgate's remaining capital commitments under the applicable construction budget.

EQT CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements (Unaudited)

Pursuant to the MVP Joint Venture's limited liability company agreement, a wholly-owned subsidiary of EQM is obligated to provide performance assurances with respect to MVP Southgate that may take the form of a guarantee from EQT (as a Qualified Guarantor, as defined in and pursuant to the MVP Joint Venture's limited liability company agreement), a letter of credit or cash collateral.

Upon receipt of the FERC's notice to proceed with construction of MVP Southgate, the Company will be obligated to provide performance assurance in an amount equal to 33 % of its share of MVP Southgate's remaining capital commitments under the applicable construction budget.

Investments in Equity Securities

1 unchanged sentence

The Company holds an investment in a fund (the Investment Fund) that invests in companies that develop technology and operating solutions for exploration and production companies.

As of both March 31, 2025 and December 31, 2024, the fair value of the Company's investment in the Investment Fund was approximately $ 33 million and is presented in investments in unconsolidated entities in the Condensed Consolidated Balance Sheets.

As of both June 30, 2025 and December 31, 2024, the fair value of the Company's investment in the Investment Fund was approximately $ 33 million and is presented in investments in unconsolidated entities in the Condensed Consolidated Balance Sheets.

The Company computes the fair value of the Company's investment in the Investment Fund using, as a practical expedient, the net asset value provided in the financial statements received from fund managers.

7 unchanged sentences

after the Base Return has been achieved and from the 8th anniversary of December 30, 2024 and thereafter, no less than 95 % of the Midstream Joint Venture's distributions, including in a liquidation or sale of the Midstream Joint Venture, will be distributed to EQM as Class A Unitholder, and up to 5 % of the Midstream Joint Venture's distributions will be distributed to the BXCI Affiliate as Class B Unitholder (with specific distribution percentages determined based on the BXCI Affiliate's ownership of Class B Units as of the time of such distribution).

During the three months ended March 31, 2025, the Midstream Joint Venture paid $ 73.5 million of aggregate cash distributions, of which $ 44.7 million was paid to the BXCI Affiliate as Class B Unitholder.

During the six months ended June 30, 2025, the Midstream Joint Venture paid $ 252.3 million of aggregate cash distributions, of which $ 152.0 million was paid to the BXCI Affiliate as Class B Unitholder.

Distributions paid by the Midstream Joint Venture to EQM have been eliminated in consolidation.

As of March 31, 2025, the Midstream Joint Venture recorded a distribution payable to the BXCI Affiliate as Class B Unitholder of $ 23.9 million.

Such amount is presented in accounts payable in the Condensed Consolidated Balance Sheet as of March 31, 2025.

EQT CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements (Unaudited)

Based on the governing provisions of the JV Agreement, EQT's management determined that the allocation of income between the Company and the BXCI Affiliate should be based on the change in the investor's claim on the Midstream Joint Venture's book value.

Under this method, the Company recognizes net income/loss attributable to the noncontrolling interest based on changes to the amount that each member would hypothetically receive at each balance sheet date under the JV Agreement's liquidation provisions, assuming that the net assets of the Midstream Joint Venture were liquidated at the recorded amounts, after taking into account any capital transactions between the Company and the BXCI Affiliate.

EQT CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements (Unaudited)

Income Per Share

1 unchanged sentence

Three Months Ended

June 30, Six Months Ended

2025 2024 2025 2024

(Thousands, except per share amounts)

9 unchanged sentences

Diluted $ 1.30 $ 0.02 $ 1.70 $ 0.25

Olympus Energy Acquisition.

On July 1, 2025, the Company completed its acquisition (the Olympus Energy Acquisition) of certain oil and gas properties and related upstream and midstream assets, including approximately 90,000 net acres with approximately 500 MMcf per day of net production, from Olympus Energy LLC, Hyperion Midstream LLC and Bow & Arrow Land Company LLC (collectively, Olympus Energy) pursuant to that certain Purchase and Sale Agreement, dated April 22, 2025 (the Olympus Energy Purchase Agreement), by and among EQT, a wholly-owned subsidiary of EQT and Olympus Energy.

As set forth in the Olympus Energy Purchase Agreement, the purchase price for the Olympus Energy Acquisition consisted of 26,031,237 shares of EQT common stock and $ 500 million in cash, in each case subject to customary purchase price adjustments.

The Company funded the cash consideration with cash on hand and borrowings under EQT's revolving credit facility, and the Company issued 25,229,166 shares of EQT common stock, as adjusted in accordance with closing purchase price adjustments, to Olympus Energy and its designees at closing.

In connection with its entry into the Olympus Energy Purchase Agreement, EQT deposited $ 90 million of cash into an escrow account, a portion of which was released to Olympus Energy as closing cash consideration.

The Olympus Energy Purchase Agreement has an economic effective date of March 31, 2025.

The Company expects to account for the Olympus Energy Acquisition as a business combination using the acquisition method.

Certain information necessary to complete a preliminary purchase price allocation is not yet available, including, but not limited to, appraisal estimates of assets acquired and liabilities assumed.

EQT CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements (Unaudited)

Equitrans Midstream Merger

8 unchanged sentences

The Equitrans Midstream Merger was accounted for as a business combination using the acquisition method.

The table below summarizes the preliminary purchase price and estimated fair values of assets acquired and liabilities assumed as of July 22, 2024 with the excess of purchase price over estimated fair value of the identified net assets recognized as goodwill.

Certain information necessary to complete the purchase price allocation is not yet available, including, but not limited to, final income tax computations and final appraisals of assets acquired and liabilities assumed.

The Company expects to complete the purchase price allocation once it has received all necessary information, at which time the value of the assets acquired and liabilities assumed will be revised if necessary.

During the three months ended March 31, 2025, the Company recorded purchase accounting adjustments primarily related to deferred income taxes based on updated income tax computations as well as investments in unconsolidated entities and property, plant and equipment based on updated appraisal estimates.

Preliminary Purchase Price Allocation

The Company completed the purchase price allocation for the Equitrans Midstream Merger during the second quarter of 2025.

The table below summarizes the final purchase price and estimated fair values of assets acquired and liabilities assumed as of July 22, 2024, with the excess of purchase price over estimated fair value of the identified net assets recognized as goodwill.

During the six months ended June 30, 2025, the Company recorded purchase accounting adjustments primarily related to deferred income taxes based on updated income tax computations as well as investments in unconsolidated entities and property, plant and equipment based on updated appraisal estimates.

Purchase Price Allocation

Consideration:

23 unchanged sentences

Deferred income taxes 904,044

Other liabilities and credits 152,271

Asset retirement obligations and other liabilities 152,271

Amount attributable to liabilities assumed $ 9,249,046

4 unchanged sentences

Of the total goodwill, the Company attributed $ 1,232 million to synergies expected from the vertical integration of the business, including from the elimination of contracted transportation and processing costs with Equitrans Midstream as the Company is unable to recognize intangible assets related to its significant long-term customer contracts with Equitrans Midstream, as such contracts became intercompany transactions upon the closing of the Equitrans Midstream Merger.

In addition, the Company attributed $ 831 million of total goodwill to additional deferred tax liabilities that arose from the differences between the preliminary purchase price allocation based on fair value and tax basis that carried over from Equitrans Midstream to the Company.

In addition, the Company attributed $ 831 million of total goodwill to additional deferred tax liabilities that arose from the differences between the purchase price allocation based on fair value and tax basis that carried over from Equitrans Midstream to the Company.

The Company allocated all of the goodwill from the Equitrans Midstream Merger to the Company's Transmission segment.

Differences between the preliminary purchase price allocation and the final purchase price allocation may change the amount of goodwill recognized.

See Note 5 for a description of the fair value hierarchy.

Olympus Energy Acquisition.

On April 22, 2025, the Company entered into a purchase agreement (the Olympus Energy Purchase Agreement) with Olympus Energy Holdings LLC, Hyperion Midstream LLC and Bow & Arrow Land Company LLC (collectively, Olympus Energy), pursuant to which the Company agreed to acquire certain upstream and midstream assets of Olympus Energy (the Olympus Energy Acquisition), including approximately 90,000 net acres with approximately 500 MMcf per day of net production, for consideration of approximately 26 million shares of EQT common stock and $ 500 million in cash, as adjusted pursuant to customary closing purchase price adjustments.

The Company expects to fund the cash consideration with cash on hand and borrowings under EQT's revolving credit facility.

The Olympus Energy Purchase Agreement has an effective date of March 31, 2025.

The Olympus Energy Acquisition is expected to close in the third quarter of 2025, subject to regulatory approvals and the satisfaction of customary closing conditions.

Upon execution of the Olympus Energy Purchase Agreement, the Company deposited $ 90 million into an escrow account, which will be credited toward the cash consideration upon the closing of the Olympus Energy Acquisition.

NEPA Gathering System Acquisition

In 2021, the Company acquired a 50 % interest in and became the operator of certain gathering assets located in Northeast Pennsylvania (collectively, the NEPA Gathering System).

On April 11, 2024, the Company completed its acquisition of a minority equity partner's 33.75 % interest in the NEPA Gathering System for a purchase price of approximately $ 205 million (the NEPA Gathering System Acquisition), subject to customary post-closing purchase price adjustments.

The NEPA Gathering System Acquisition was accounted for as an asset acquisition, and, as such, its purchase price was allocated to property, plant and equipment.

First NEPA Non-Operated Asset Divestiture

On May 31, 2024, the Company completed the divestiture (the First NEPA Non-Operated Asset Divestiture) of an undivided 40 % interest in the Company's non-operated natural gas assets in northeast Pennsylvania to Equinor USA Onshore Properties Inc.

and its affiliates (collectively, the Equinor Parties).

In exchange, as consideration, the Company received from the Equinor Parties cash of $ 500 million, subject to customary post-closing purchase price adjustments, certain upstream assets and the remaining 16.25 % equity interest in the NEPA Gathering System.

As a result of the First NEPA Non-Operated Asset Divestiture, the Company recognized a gain of approximately $ 320 million in loss (gain) on sale/exchange of long-lived assets in the Statements of Condensed Consolidated Operations for the three and six months ended June 30, 2024.

Cash proceeds from the First NEPA Non-Operated Asset Divestiture were used to partly fund the Company's redemption of EQT's 6.125 % senior notes.

Commitments and Contingencies

Legal and Regulatory Proceedings

In the ordinary course of business, various legal and regulatory claims and proceedings are pending or threatened against the Company.

While the amounts claimed may be substantial, the Company is unable to predict with certainty the ultimate outcome of such claims and proceedings.

The Company evaluates its legal proceedings, including litigation and regulatory and governmental investigations and inquiries, on a regular basis and accrues a loss for such matters when the Company believes that it is probable a liability has been incurred and the amount of the loss can be reasonably estimated.

In such cases, if some amount within a range of loss appears to be a better estimate than any other amount within the range, that amount is accrued;

however, when no amount within the range is a better estimate than any other amount, the minimum amount in the range is accrued.

Any such accruals are adjusted thereafter as appropriate to reflect changed circumstances.

In the event the Company determines that (i) it is probable that a liability has been incurred but the amount of the loss cannot be reasonably estimated, or (ii) it is less than probable but reasonably possible that a liability has been incurred, then the Company may be required to disclose the matter in its Annual Report on Form 10-K with any update thereto in an applicable Quarterly Report on Form 10-Q, although the Company is not permitted to accrue for such loss.

EQT CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements (Unaudited)

When able, the Company determines an estimate of reasonably possible losses or ranges of reasonably possible losses, whether in excess of any related accrued loss or where there is no accrued loss, for legal proceedings.

In instances where such estimates can be made, any such estimates are based on the Company's 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.

The ultimate outcome of the matters described or referenced below is inherently uncertain.

Furthermore, due to the inherent subjectivity of the assessments and unpredictability of outcomes of legal proceedings, any amounts accrued or estimated as possible losses may not represent the ultimate loss to the Company from the legal proceedings in question and the Company's exposure and ultimate losses may be higher, and possibly significantly so, than the amounts accrued or estimated.

Securities Class Action Litigation .

On December 6, 2019, an amended putative class action complaint was filed in the United States District Court for the Western District of Pennsylvania by Cambridge Retirement System, Government of Guam Retirement Fund, Northeast Carpenters Annuity Fund, and Northeast Carpenters Pension Fund, on behalf of themselves and all those similarly situated, against EQT and certain former executives and current and former board members of EQT (the Securities Class Action).

The complaint alleges that certain statements made by EQT regarding its merger with Rice Energy Inc.

in 2017 were materially false and violated various federal securities laws.

Pursuant to the complaint, the plaintiffs seek compensatory or rescissory damages in an unspecified amount for all damages allegedly sustained by the class as a result of alleged negative impacts to EQT's common stock price in 2018 and 2019.

Additionally, following the filing of the Securities Class Action complaint, several other lawsuits were filed in the United States District Court for the Western District of Pennsylvania and the Court of Common Pleas of Allegheny County, Pennsylvania by certain shareholders of EQT against EQT and certain former executives and current and former board members of EQT asserting substantially the same allegations as those raised in the Securities Class Action.

These matters are currently pending, and the majority of them have been stayed pending a ruling on dispositive motions in the Securities Class Action.

The settlement of the Securities Class Action referred to below does not resolve these matters.

Following the commencement of the Securities Class Action, the parties engaged in fact and expert discovery.

In June 2024, the discovery phase of the Securities Class Action was completed.

On June 27, 2024, the parties to the Securities Class Action participated in a mediation (the June 2024 Mediation), which did not result in resolution.

In the second quarter of 2024, the Company recorded an accrual for estimated loss contingencies related to the Securities Class Action in an amount equal to the settlement offer the Company tendered at the June 2024 Mediation of $ 17.5 million.

Following the June 2024 Mediation, the parties filed various motions, including motions for summary judgement and motions to exclude expert testimony.

While these motions remained pending, on May 12, 2025, the parties to the Securities Class Action participated in a second mediation, at which it was agreed that the Company would pay $ 167.5 million to the plaintiffs to settle the Securities Class Action.

The settlement does not constitute an admission of wrongdoing or liability by the Company or the other defendants, who have agreed to the settlement to avoid further protracted and expensive litigation.

As a result of such settlement, which remains subject to court approval, in the second quarter of 2025, the Company recorded an increase to its accrual for estimated loss contingencies related to the Securities Class Action of $ 150 million, resulting in a total reserve of $ 167.5 million, which reflects the settlement agreed upon at the May 12, 2025 mediation and is presented in other current liabilities in the Condensed Consolidated Balance Sheet as of June 30, 2025.

The Company expects to recover approximately $ 16 million of the estimated loss amount through insurance.

See Note 15 to the Consolidated Financial Statements in the Company's Annual Report on Form 10-K for the year ended December 31, 2024 for additional discussion of the Company's commitments and contingencies, including certain other pending legal and regulatory proceedings and other contingent matters.

As of June 30, 2025, except as disclosed herein, there have been no material changes to such matters disclose therein.

EQT CORPORATION AND SUBSIDIARIES

Management's Discussion and Analysis of Financial Condition and Results of Operations

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What changed 10-Q

Item 1. Financial Statements