Gulfport Energy Corp.: Q1 FY2026 earnings call

What management said about Q1 FY2026, from the documents filed with the SEC on 5 May 2026: press release. Guidance figures: 15 kept. The quarter’s numbers.

Read the filing

Key takeaways

• Production rose 7% year over year: Total net production averaged 996.8 MMcfe per day, up 7% from the first quarter of 2025, with natural gas at 905,770 Mcf per day and liquids at 15,170 barrels per day. Source
• Operating cash flow and adjusted free cash flow: The company generated $292.9 million of net cash from operating activities and $118.9 million of adjusted free cash flow, a non-GAAP measure. Net income was $165.8 million. Source
• Drilling efficiency improved in both areas: Marcellus drilling footage per day improved 50%, and SCOOP cycle times ran 25% better than internal expectations. Management described the efficiencies as significant across both operating areas. Source
• Gas price rose before derivatives: Natural gas averaged $4.90 per Mcf before derivatives, up from $3.73. Settled derivatives reduced it by $0.68 per Mcf, to $4.22 per Mcf including derivatives. Source
• Discretionary acreage purchases of $39.5 million: Discretionary acreage acquisitions in the quarter totaled $39.5 million. Management said the program added more than two years of inventory. Source
• Liquidity of $772.2 million: Liquidity at March 31, 2026 was $772.2 million, or $872.2 million pro forma for the increase in elected commitments. Cash was $2.9 million. Source
• Record quarterly share buyback: The company repurchased about 866.3 thousand shares at a weighted-average price of $199.45, totaling $172.8 million. Management described it as the highest quarterly level in company history. Source

“Gulfport’s first quarter financial results reflect a strong start to the year and position the Company to successfully deliver on the 2026 development plan outlined in our guidance earlier this year.”

Michael Hodges, Executive Vice President and Chief Financial Officer

Guidance

What changed from last quarter

• Guidance kept: Full year 2026 guidance was reaffirmed in the first quarter release, with no change to the February figures. Source
• New: Elected revolver commitments were increased 10% to $1.1 billion, after the May 1, 2026 borrowing base redetermination. Source
• Ended: The previously announced discretionary acreage program was completed in the quarter. Source

Production and cash flow

• Production rose 7% year over year: Total net production averaged 996.8 MMcfe per day, up 7% from the first quarter of 2025, with natural gas at 905,770 Mcf per day and liquids at 15,170 barrels per day. Source
• Operating cash flow and adjusted free cash flow: The company generated $292.9 million of net cash from operating activities and $118.9 million of adjusted free cash flow, a non-GAAP measure. Net income was $165.8 million. Source
• Adjusted EBITDA reported at $264.2 million: The company reported $165.8 million of net income and $264.2 million of adjusted EBITDA, a non-GAAP measure, for the quarter. Source

Segments and drilling activity

• Utica and Marcellus carried most volume: Utica and Marcellus averaged 833.0 MMcfe per day and SCOOP averaged 163.8 MMcfe per day. Production mix was about 91% natural gas, 7% NGL and 2% oil and condensate. Source
• Quarter well activity by area: Utica and Marcellus had 9 wells spud, 6 drilled, 3 completed and 5 turned to sales. SCOOP had 2 wells spud and 2 drilled, with none completed or turned to sales. Source
• Drilling efficiency improved in both areas: Marcellus drilling footage per day improved 50%, and SCOOP cycle times ran 25% better than internal expectations. Management described the efficiencies as significant across both operating areas. Source

“These low-breakeven additions enhance the durability of our asset base, reinforcing the significant value uplift we are capturing through our organic leasing efforts”

Michael Hodges, Executive Vice President and Chief Financial Officer

Prices and unit costs

• Gas price rose before derivatives: Natural gas averaged $4.90 per Mcf before derivatives, up from $3.73. Settled derivatives reduced it by $0.68 per Mcf, to $4.22 per Mcf including derivatives. Source
• Settled derivatives lowered total realized price: Total realized price before derivatives was $5.05 per Mcfe, and settled derivatives reduced it by $0.63 per Mcfe to $4.42 per Mcfe, compared with $3.99 a year earlier. Source
• Unit costs per Mcfe shown: Lease operating expense was $0.27 per Mcfe, against $0.24 a year earlier. Taxes other than income were $0.10 per Mcfe, against $0.08. Source

Capital spending and acreage

• Quarter capital of $121.7 million: Incurred capital was $121.7 million, including $117.9 million of operated D&C spending and $3.9 million of maintenance land and seismic investment. Non-operated D&C was $0.2 million. Source
• Discretionary acreage purchases of $39.5 million: Discretionary acreage acquisitions in the quarter totaled $39.5 million. Management said the program added more than two years of inventory. Source

“we plan to continue an active program throughout the remainder of the year”

Michael Hodges, Executive Vice President and Chief Financial Officer

Liquidity and borrowing base

• Liquidity of $772.2 million: Liquidity at March 31, 2026 was $772.2 million, or $872.2 million pro forma for the increase in elected commitments. Cash was $2.9 million. Source
• Revolver borrowings rose in the quarter: Outstanding revolver borrowings were $182.0 million at March 31, 2026, up from $147.0 million at December 31, 2025, with $48.7 million of letters of credit outstanding. Source
• Senior notes unchanged at $650 million: Outstanding 2029 senior notes remained at $650.0 million at the end of the quarter. Source

Share repurchases and returns

• Record quarterly share buyback: The company repurchased about 866.3 thousand shares at a weighted-average price of $199.45, totaling $172.8 million. Management described it as the highest quarterly level in company history. Source
• Remaining buyback capacity of $406.8 million: Since March 2022 the company has repurchased about 8.2 million shares, totaling about $1.1 billion. Remaining capacity under the program was $406.8 million at March 31, 2026. Source

Inventory and strategy

• Acreage adds low-breakeven inventory: Management described the acreage additions as low-breakeven, enhancing the durability of the asset base. It compared the values with larger inorganic transactions in the immediate area. Source
• Year-end 2025 proved reserves of 4.3 Tcfe: Total proved reserves at December 31, 2025 were 4.3 Tcfe, up about 7% from 2024. Proved developed reserves were about 57% of the total.

Coming up, as management said on 5 May 2026

• Active buybacks through year-end: Management plans to continue an active share repurchase program for the rest of 2026. Source

Figures management reported

Risks management discussed

• External: The company uses commodity derivative contracts on part of expected production to limit exposure to price movements. Source

Earlier plans management reported on

• Met: The company completed the acreage program, with $102.4 million invested over four quarters. Source
• Ahead: Repurchases in the quarter were $172.8 million, which management said exceeded its previously announced plans in February. Source
• Ahead: SCOOP drilling cycle times were 25% better than the company's internal expectations. Source
• Not stated: Management said the first quarter results position the company to deliver on the 2026 development plan in its guidance. Source

Other quarters

• Q2 FY2026 earnings call
• Q4 FY2025 earnings call
• Q3 FY2025 earnings call
• Q2 FY2025 results

Summarised with AI from the documents the company filed with the SEC. Every point is checked against the filing before it is shown: management’s own words word for word, figures against the line or table row they come from. A point that fails the check is left out. Source opens the filing at that line.