Diamondback Energy (FANG) FY2025 results: revenue $15.0 billion, up 35.8% on the year

Diamondback Energy is an independent oil and natural gas company that acquires, develops, explores and exploits unconventional onshore oil and natural gas reserves, almost all of it in the Permian Basin of West Texas and New Mexico. It reports a single segment, upstream. The work is horizontal development of the Spraberry and Wolfcamp formations of the Midland Basin and the Wolfcamp and Bone Spring formations of the Delaware Basin. At the end of 2025 estimated proved reserves were 3,617,856 MBOE, about 70 percent of it classified as proved developed producing and split about 49 percent oil, 24 percent natural gas and 27 percent natural gas liquids. The company ended 2025 with 1,762 full-time employees.

The acreage and the wells

Total acreage in the Permian Basin at the end of 2025 was about 1,097,846 gross acres, 869,036 of them net, of which 982,692 gross acres sit in the Midland Basin and 115,154 in the Delaware Basin. Horizontal producing wells in which the company holds a working interest numbered 6,677: 6,105 in the Midland Basin, 528 in the Delaware and 44 elsewhere. It is the operator of 5,342 of those and holds a non-operated working interest in 1,335. Counting wells of every kind, it held working interests in 11,750 gross producing wells, 9,642 net, and royalty interests only in a further 43,912. Proved undeveloped reserves come from 1,351 gross horizontal well locations, 1,244 net.

Viper, the minerals arm

The publicly traded subsidiary Viper owns mineral interests, mostly in the Permian Basin, and Diamondback owned about 42 percent of Viper's shares on a fully diluted basis at the end of 2025. Viper's royalty position covered about 1,986,216 gross acres, 36,004 net, in the Delaware Basin and about 1,891,742 gross acres, 50,595 net, in the Midland Basin, roughly 35 percent of which Diamondback operates itself. Of the group's proved reserves, 406,035 MBOE is attributable to Viper's mineral interests. Viper acquired Sitio Royalties on 19 August 2025 in an all-equity transaction valued at about $4.0 billion, adding roughly 34,300 net royalty acres. In February 2026 Viper sold all of its non-Permian assets, about 9,400 net royalty acres in the Denver-Julesburg, Eagle Ford and Williston basins with production of about 4,750 BO/d, for net cash proceeds of about $617 million.

What changed in 2025

On 1 April 2025 Diamondback completed the Double Eagle acquisition for $3.1 billion in cash and about 6.84 million of its own shares, adding about 67,700 gross acres, 40,000 net, primarily in the Midland Basin, together with about 407 gross horizontal locations in primary development targets. On 1 May 2025 a wholly owned subsidiary sold two royalty entities to Viper for $873 million in cash plus 69.63 million Viper LLC units and an equal number of shares of Viper's Class B common stock. Across the year the company also sold about $1.7 billion of non-core assets, including a 27.5 percent equity interest in EPIC Crude Holdings and the subsidiary that ran water assets acquired with Endeavor.

Drilling and who buys it

In 2025 the company drilled 463 gross operated horizontal wells, 430 net, and completed 503 gross, 476 net, spending $3.5 billion on drilling, completing and equipping wells and on infrastructure and midstream additions. It was running 15 drilling rigs and four completion crews at the end of the year, and it states that it estimates 2026 cash capital expenditure of between $3.60 billion and $3.90 billion. Production is sold to a relatively small number of customers, and in each of 2023, 2024 and 2025 four purchasers each took more than a tenth of what the company sold. Some firm sales agreements commit it to deliver fixed and determinable quantities of oil, with the option of delivering third-party volumes or paying a monetary shortfall penalty, and it has bought third-party volumes for that purpose since 2023.

From Diamondback Energy's annual report on Form 10-K for the year ended 31 December 2025. The filing

Written from the 10-K filed 25 February 2026: read the full 10-K.