Slide 1: First Quarter 2023 Earnings Presentation
First Quarter 2023 Earnings Presentation April 27, 2023 Antero Midstream (NYSE: AM)
Slide 2: Legal Disclaimer
Legal Disclaimer Forward-Looking Statements: This presentation includes "forward-looking statements" within the meaning of federal securities laws. Such forward-looking statements are subject to a number of risks and uncertainties, many of which are beyond Antero Midstream Corporation’s (“Antero Mid
Slide 3: Increasing Lateral Lengths Enhancing AM Economics
Increasing Lateral Lengths Enhancing AM Economics AR Average Completed Lateral Length AM Economic Improvement For (Feet) Each Additional 1,000 Feet of Lateral 16,000 Fresh Water Additional Lateral Feet 1,000 14,000 ~ 13,500 x Water Per Foot Used in Completions (Bbl) 36 Additional Barrels of Water 36
Slide 4: Operational Performance at AR
Operational Performance at AR Completion Stages Per Day (Average per completion crew) 18 16 16 Company 14 Records 12 11 10 8 6 4 2 - 2017 2018 2019 2020 2021 2022 1Q23 Daily Record Antero Midstream (NYSE: AM) 4
Slide 5: AR's Differentiated Strategy = Lowest Development Risk
AR’s Differentiated Strategy = Lowest Development Risk Most Likely to be Developed Least Likely to be Developed % of Natural Gas Sold Out of Basin (2023E) ~100% 75% to LNG Fairway AR Peer 1 Peer 2 Peer 5 Peer 3 Peer 4 2023E Liquids % of Total Revenue 46% AR Peer 1 Peer 3 Peer 2 Peer 5 Peer 4 Source:
Slide 6: Strong Start to 2023
Strong Start to 2023 1Q23 Financial Achievements 1Q 23 Operational Achievements +16% Increase + 8% / +11% Increase In Adjusted EBITDA Y-o-Y In Gathering / Compression +$33MM Y-o-Y Volumes Y-o-Y (64)% Decrease >99% Asset Uptime In Capital Expenditures Y-o-Y $(61)MM Y-o-Y Availability Delivered by AM
Slide 7: Operational Performance Drives Increased Guidance for 2023
Operational Performance Drives Increased Guidance for 2023 Adjusted EBITDA Capital Expenditures $MM $MM $1,000 $970 $990 $250 $215 $200 $900 $950 $200 $930 $195 $150 $180 $800 $100 $700 $50 $600 $0 2023 Prior Guidance 2023 Updated Guidance 2023 Prior Guidance 2023 Updated Guidance Free Cash Flow Bef
Slide 8: Appendix
Slide 9: Antero Midstream Non-GAAP Measures
Antero Midstream Non-GAAP Measures Non-GAAP Financial Measures and Definitions Antero Midstream uses certain non-GAAP financial measures. Antero Midstream defines Adjusted Net Income as Net Income plus amortization of customer relationships and loss on asset retirement obligations, excluding (gain)
Slide 10: Antero Midstream Non-GAAP Measures
Antero Midstream Non-GAAP Measures The following table reconciles Net Income to Adjusted EBITDA and Free Cash Flow before and after dividends (in thousands): Three Months Ended March 31, 2022 2023 Net Income $ 80,040 86,507 Interest expense, net 44,279 54,624 Income tax expense 28,067 31,670 Amortiz
Slide 11: Antero Midstream Non-GAAP Measures
Antero Midstream Non-GAAP Measures Antero Midstream has not included a reconciliation of Adjusted EBITDA and Free Cash Flow before and after dividends to the nearest GAAP financial measure for 2023 because it cannot do so without unreasonable effort and any attempt to do so would be inherently impre