--- title: "Mach Natural Resources LP | 10-Q: FY2026 Q1 Revenue: USD 285.93 M" type: "News" locale: "en" url: "https://longbridge.com/en/news/285608900.md" datetime: "2026-05-07T20:11:12.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/285608900.md) - [en](https://longbridge.com/en/news/285608900.md) - [zh-HK](https://longbridge.com/zh-HK/news/285608900.md) --- # Mach Natural Resources LP | 10-Q: FY2026 Q1 Revenue: USD 285.93 M Revenue: As of FY2026 Q1, the actual value is USD 285.93 M. EPS: As of FY2026 Q1, the actual value is USD -0.21, missing the estimate of USD 0.4733. EBIT: As of FY2026 Q1, the actual value is USD 14.71 M. Mach Natural Resources LP operates as a single reportable segment focused on the exploration and production (E&P) of oil, natural gas, and natural gas liquids (NGLs), with all financial and operational metrics reported for this segment . #### Revenue and Production Volumes (Three Months Ended March 31) - **Total Revenues**: Increased by $59,157 thousand, or 26%, from $226,768 thousand in 2025 to $285,925 thousand in 2026 . - **Oil, Natural Gas, and NGL Sales**: Increased by $112,820 thousand, or 45%, from $252,726 thousand in 2025 to $365,546 thousand in 2026, primarily due to a 95% production increase, partially offset by a $26.9 million decrease from lower average selling prices . - **Loss on Oil and Natural Gas Derivatives, net**: Increased by -$56,206 thousand, or 138%, from -$40,693 thousand in 2025 to -$96,899 thousand in 2026, mainly due to an increase in unrealized losses from higher oil prices . - **Midstream Revenue**: Grew by $3,479 thousand, or 57%, from $6,130 thousand in 2025 to $9,609 thousand in 2026, driven by the acquisition of additional midstream facilities . - **Product Sales**: Decreased by -$936 thousand, or -11%, from $8,605 thousand in 2025 to $7,669 thousand in 2026, mainly due to lower average selling prices for natural gas and NGLs . - **Net Production Volumes**: Total production increased by 6,896 MBoe, or 95%, from 7,283 MBoe in 2025 to 14,179 MBoe in 2026, primarily due to the IKAV and Sabinal Acquisitions . Average daily total volumes rose from 80.93 MBoe/d in 2025 to 157.54 MBoe/d in 2026 . #### Operating Expenses (Three Months Ended March 31) - **Gathering and Processing Expense**: Increased by $31,110 thousand, or 110%, from $28,161 thousand in 2025 to $59,271 thousand in 2026, driven by a 159% increase in natural gas production and an 18% increase in NGL production . Per Boe, it increased by $0.31, or 8%, from $3.87 in 2025 to $4.18 in 2026 . - **Lease Operating Expense**: Increased by $52,180 thousand, or 107%, from $48,752 thousand in 2025 to $100,932 thousand in 2026, primarily due to the IKAV and Sabinal Acquisitions . Per Boe, it increased by $0.43, or 6%, from $6.69 in 2025 to $7.12 in 2026, mainly due to oil-heavy production from the Sabinal Acquisition . - **Production Taxes**: Increased by $3,793 thousand, or 30%, from $12,774 thousand in 2025 to $16,567 thousand in 2026, in line with increased oil, natural gas, and NGL sales . As a percentage of sales, production taxes decreased from 5.1% in 2025 to 4.5% in 2026 . - **Midstream Operating Expense**: Increased by $2,186 thousand, or 74%, from $2,970 thousand in 2025 to $5,156 thousand in 2026, due to additional midstream facilities from the IKAV Acquisition . - **Cost of Product Sales**: Decreased by -$1,203 thousand, or -15%, from $7,987 thousand in 2025 to $6,784 thousand in 2026, consistent with lower average selling prices for natural gas and NGLs . - **Depreciation, Depletion, Amortization, and Accretion Expense (Oil and Natural Gas)**: Increased by $32,819 thousand, or 54%, from $61,185 thousand in 2025 to $94,004 thousand in 2026, mainly due to a $1.3 billion increase in oil and gas properties from the IKAV and Sabinal Acquisitions . Per Boe, it decreased by -$1.77, or -21%, from $8.40 in 2025 to $6.63 in 2026 . - **General and Administrative Costs**: Decreased by -$2,116 thousand, or -19%, from $10,867 thousand in 2025 to $8,751 thousand in 2026, primarily due to additional cost recovery from joint operating agreements for acquired wells . #### Net Income / Loss and Operating Income / Loss (Three Months Ended March 31) - **Net (Loss) Income**: Mach Natural Resources LP reported a net loss of -$35,038 thousand in 2026, compared to a net income of $15,886 thousand in 2025 . - **(Loss) Income from Operations**: The company incurred an operating loss of -$9,709 thousand in 2026, compared to an operating income of $51,672 thousand in 2025 . #### Cash Flows (Three Months Ended March 31) - **Net Cash Provided by Operating Activities**: Increased by $27.8 million, from $142,519 thousand in 2025 to $170,313 thousand in 2026, primarily due to a $12.8 million increase in cash receipts on settlement of derivative contracts . - **Net Cash Used in Investing Activities**: Decreased by -$17.0 million, from -$78,010 thousand in 2025 to -$60,973 thousand in 2026, mainly due to a $26.9 million decrease in cash used for acquisitions, offset by increased capital expenditures . - **Net Cash Used in Financing Activities**: Decreased by -$63.2 million, from -$162,495 thousand in 2025 to -$99,284 thousand in 2026, primarily due to decreases in repayments of term loans, prepayment penalties, and new debt issuance costs . - **Cash and Cash Equivalents, End of Period**: Cash and cash equivalents were $52,689 thousand as of March 31, 2026, up from $7,790 thousand as of March 31, 2025 . #### Unique Metrics and Capital Resources - **Adjusted EBITDA**: Increased from $159,851 thousand in 2025 to $194,624 thousand in 2026 . - **Cash Available for Distribution**: Increased from $94,576 thousand in 2025 to $107,350 thousand in 2026 . - **Capital Expenditures**: The company spent approximately $75.2 million on development costs during the three months ended March 31, 2026, including $60.9 million on drilling and completion activities, $9.6 million on remedial workovers, and $4.7 million on midstream and other capital projects . - **Long-Term Debt**: As of March 31, 2026, outstanding borrowings under the New Credit Agreement totaled $1.14 billion, with $305.0 million remaining available, and an effective interest rate of 7.7% . - **Commodity Derivative Contracts (as of March 31, 2026)**: The company has oil fixed price swaps for 2,477 MBbl for remaining 2026 at $65.87, 2,153 MBbl for 2027 at $63.56, and 395 MBbl for 2028 at $65.82 . Natural gas fixed price swaps include 28,772 Bbtu for remaining 2026 at $3.51, 12,814 Bbtu for 2027 at $3.85, 6,440 Bbtu for 2028 at $3.54, and 4,544 Bbtu for 2029 at $3.43 . Additionally, there are oil costless collars and oil basis swaps in place . - **Future Firm Sales Commitments**: As of March 31, 2026, Mach Natural Resources LP has firm sales contracts to deliver and sell 282,163 Bbtu of natural gas at a fixed price of $1.72 per MMBtu through 2030, with specific commitments for each year . #### Future Outlook and Strategy Mach Natural Resources LP’s 2026 capital expenditures budget is set between $315.0 million and $360.0 million, with development efforts focusing on drilling Oswego, Woodford, Red Fork, and Mississippian wells . The company’s future financial results are dependent on commodity prices and its ability to economically develop and market production, anticipating continued and increased pricing volatility in crude oil and natural gas markets . 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