Coterra Energy Inc. · NYSE:CTRA
Coterra Energy — Q2 2025 Earnings Presentation
27 slides from Coterra Energy's earnings presentation, Aug 5, 2025
Slide 1: 2Q25 Earnings Presentation
2Q25 Earnings Presentation August 2025
Slide 2: Disclaimer
Disclaimer Cautionary Statement Regarding Forward-Looking Information This presentation contains certain forward-looking statements within the meaning of federal securities laws. Forward-looking statements are not statements of historical fact and reflect Coterra's current views about future events.
Slide 3: Differentiated by Asset Quality, Duration, and Commodity Mix
Differentiated by Asset Quality, Duration, and Commodity Mix Defensively positioned and resilient through commodity cycles Coterra’s Business Strategy Compelling Investment Thesis • Culture of Excellence • Consistent, Profitable Growth & Low Reinvestment Open, non-siloed organization drives internal
Slide 4: Durable Free Cash Flow Through the Cycles
Durable Free Cash Flow Through the Cycles Oil-to-gas price ratios can, and have historically decoupled, especially during periods of extreme volatility Uniquely positioned to weather volatility Resilient Free Cash Flow & disciplined Diversified commodity portfolio with demonstrated capital flexibili
Slide 5: Disciplined Approach to Capital Investment
Disciplined Approach to Capital Investment Differentiated reinvestment rate through the commodity cycles Conservative historical reinvestment rate Low reinvestment among peers in 2025 oil-weighted peers CTRA gas peer average oil peer average 70% gas-weighted peers 85% 80% 81% 60% 75% 50% 65% 63% 40%
Slide 6: Key Takeaways
Key Takeaways 2Q25 Production Beat, FY25 Raise | Beat the mid-point of oil production guidance, and the high-end of gas and BOE production guidance; Raising FY25 BOE guidance 4% at the midpoint vs. Feb guide Consistent 2H25 Activity | Expect 9 Permian rigs in 2H25; Added $100mm of activity to Marcel
Slide 7: Beat 2Q25 Gas Volumes & Raised for the Year
Beat 2Q25 Gas Volumes & Raised for the Year Higher production & lower capex driving improved capital efficiency 2Q25 actuals vs. guide 2025e guidance update Oil guidance 147.0 157.0 February guid. 152.0 168.0 mbod actual 155.4 updated guid. 157.0 163.0 Gas guidance 2,700 2,850 February guid. 2,675 2
Slide 8: 2025e Development Program Key Highlights
2025e Development Program Key Highlights Disciplined Capital Program 2025 Program Key Highlights Currently expect to be near the high end of the $2.1 to $2.3 Permian billion 2025e capex guidance range, given increased gas activity • Maintaining 9 rigs into 2H25 ~52% reinvestment rate1 • Roughly half
Slide 9: Returning Value to Shareholders
Returning Value to Shareholders 2025e FCF +73% YoY driven by greater oil volumes from Lea County acquisition, higher gas price, and Top SP500 2025e Free Cash Flow Yield disciplined reinvestment $ millions 11.0% FCF annual dividends share repurchases to date debt repayments to date 8.4% 7.5% incremen
Slide 10: Long Runway of High-Quality Inventory
Long Runway of High-Quality Inventory Benchmark price assumptions of $75/bbl and $3.75/mmbtu ~$31 billion of Economic Capex Opportunities Implied Inventory Duration1 estimated capex by PVI10 bucket: estimated total footage by asset area: estimates can fluctuate based on assumptions around well spaci
Slide 11: Prioritizing Financial Flexibility
Prioritizing Financial Flexibility History of Conservative Net Leverage Liquidity & Debt Maturity Profile WTI HH $mm and average rates $8.00 senior notes term loans (variable rate interest) interest rates for senior notes $94 $7.00 2500 0.07 $6.64 $78 $76 $6.00 $65 $68 $66 $5.00 $57 0.06 5.9% $3.91
Slide 12: Permian Asset Overview – 2025 Operational Outlook
Permian Asset Overview – 2025 Operational Outlook Coterra Acreage $1,520 million Midpoint D&C CapEx 10,600' $940 150-165 Avg. Lateral Avg. Well Cost Net Wells Length1 per Foot1 Online2 -12% cost reduction YoY 1) Based on 2025e completed, operated wells. 2) Includes non-op. Note: Spend for a well is
Slide 13: Top-Tier Delaware Producer with Competitive D&C Well Costs
Top-Tier Delaware Producer with Competitive D&C Well Costs Delaware Productivity1 Recent Delaware D&C Well Costs per Foot2 cumulative 2-stream at 20:1 conversion ratio, boe per lateral foot Facilities & post-completion major peer operator 2022-2024 CTRA 2022-2024 Drilling & completion cost, unless o
Slide 14: Marcellus Asset Overview – 2025 Operational Outlook
Marcellus Asset Overview – 2025 Operational Outlook Coterra Acreage $350 million Midpoint D&C CapEx 19,000' $800 10-15 Avg. Lateral Avg. Well Cost Net Wells Length1 per Foot1 Online -23% ~30% Upper & cost reduction YoY ~70% Lower 1) Based on 2025e completed, operated wells. Note: Spend for a well is
Slide 15: Anadarko Asset Overview – 2025 Operational Outlook
Anadarko Asset Overview – 2025 Operational Outlook Coterra Acreage $230 million Midpoint D&C CapEx 11,060' $1,070 15-25 Avg. Lateral Avg. Well Cost Net Wells Length1 per Foot1 Online2 -18% cost reduction YoY 1) Based on 2025e completed, operated wells. Note: Spend for a well is incurred over a perio
Slide 16: Appendix
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Slide 17: High-Quality, Long-Life, Diversified Asset Portfolio
High-Quality, Long-Life, Diversified Asset Portfolio 2Q25 Commodity Splits natural gas oil NGL Multi-Basin Portfolio provides commodity 16% diversification and capital ANADARKO allocation optionality ~181,000 net acres 2Q25 Production: 81 MBoe/d, 45% Liquids MARCELLUS 20% Production 6:1 2025e D&C Ca
Slide 18: Diversified Gas Marketing Portfolio
Diversified Gas Marketing Portfolio 2025 Estimated Natural Gas Sales Markets 2021-2025e Natural Gas Price Realization Range1 % of Henry Hub1 2021-2024 range for total company 2025e total company 2025e Marcellus Zone 6 NNY (premium to in-basin) 21% 100% Gas price realizations differ quarter-to-quarte
Slide 19: 2025 Hedge Summary
2025 Hedge Summary Remaining 2025e gas volumes ~50% hedged Remaining 2025e oil volumes >40% hedged $3.08/MMBtu & $5.27/MMBtu ~$61/bbl & ~$79/bbl weighted average floor & ceiling price on NYMEX weighted average floor & collars ceiling price on collars ~$69/bbl weighted average on swaps financial hedg
Slide 20: 2025 Permian Development Program
2025 Permian Development Program 2025e mid-point D&C capex in $ millions 2025e net wells online $1,520 150-165 Total Permian Lea County Culberson County Reeves County Eddy County Total Permian Lea County Culberson County Reeves County Eddy County Leading edge Primary target Upper Upper Upper Lower $
Slide 21: Expected 2025 Operational Cadence
Expected 2025 Operational Cadence Rig Activity spot work / not full-time in the quarter Crew Activity spot work / not full-time in the quarter 1Q25 2Q25 3Q25 4Q25 1Q25 2Q25 3Q25 4Q25 Permian 9 full-year rigs Permian 3 full-year crews Anadarko 1 partial-year crew Marcellus 1 partial-year crew 4 parti
Slide 22: Guidance & Actuals
Guidance & Actuals 2025 Guidance (February) Updated 2025 Guidance 2Q25 Guidance 2Q25 Actual 3Q25 Guidance Low Mid High Low Mid High Low Mid High Low Mid High Total Production (mboed) 710 - 740 - 770 755 - 768 - 780 710 - 735 - 760 784 740 - 765 - 790 Gas (mmcfd) 2,675 - 2,775 - 2,875 2,875 - 2,913 -
Slide 23: Expense Guidance & Actuals
Expense Guidance & Actuals Expense guidance provided for annual 2025 2024 Actual 2025 Guidance 1Q25 Actual 2Q25 Actual $ per boe, unless noted: Lease operating expense + workovers + region office $2.66 $2.50 - $3.05 - $3.60 $3.21 $3.32 Gathering, processing, & transportation $3.94 $3.25 - $3.75 - $4
Slide 24: Published Sustainability Report on August 4, 2025
Published Sustainability Report on August 4, 2025 Figures listed above include only Scope 1 Subpart W reportable emissions. 2019 to 2021 figures are based on combined results for Cabot & Cimarex. Subsequent figures, including 2025, are Legacy Coterra only and exclude the assets acquired in January 2
Slide 25: Non-GAAP Reconciliations & Definitions
Non-GAAP Reconciliations & Definitions Supplemental Non-GAAP Financial Measures (Unaudited): We report our financial results in accordance with accounting Three Months Ended: 30-Jun Twelve Months Ended: Dec 31 principles generally accepted in the United States (GAAP). However, we believe certain non
Slide 26: Non-GAAP Reconciliations & Definitions
Non-GAAP Reconciliations & Definitions EBITDAX Twelve Months Ended: ($ in millions) June 30 2025 2024 2023 December 31 2022 2021 2020 2019 2018 EBITDAX is defined as net income plus interest expense, other expense, income tax expense and benefit, Coterra Combined Cabot + Cimarex depreciation, deplet
Slide 27: Non-GAAP Reconciliations & Definitions
Non-GAAP Reconciliations & Definitions Adjusted Pro Forma EBITDAX (trailing twelve months) Trailing Twelve Months Ended: June 30 December 31 Adjusted Pro Forma EBITDAX is defined as pro forma net income plus pro forma interest expense, pro forma ($ in millions) 2025 2024 interest income, pro forma i