Key Highlights

  • Revenue was USD 1.96 billion against a USD 1.78 billion estimate, and diluted EPS was USD 0.49 against USD 0.61.
  • Total production was 457.5 MBoe/d, with oil production of 208.0 MBbls/d, and adjusted free Cash Flow was USD 846 million.
  • About 175 acquisitions totaling approximately USD 1.15 billion were completed, including Ridge Runner, which closed October 30.
  • The 2026 oil production guidance midpoint was raised to 202.5 MBbls/d, and the base Dividend is USD 0.16 per share.

Permian Resources Corporation (NYSE:PR) reported third quarter Revenue of USD 1.96 billion, against an estimate of USD 1.78 billion, and diluted EPS of USD 0.49, against an estimate of USD 0.61. Adjusted Net Income was USD 596.5 million, or USD 0.69 per adjusted diluted share.

Production, Prices and Costs

Total production was 457.5 MBoe/d, which the company said was 22% above the prior quarter. Oil was up 5%, NGLs up 37% at 118.3 MBbls/d and Natural Gas up 42% at 787.1 MMcf/d.

Realized prices were USD 85.73 per barrel of oil, USD 24.22 per barrel of NGL and USD 0.74 per Mcf of natural gas. Oil and gas sales were USD 1,957.7 million, against USD 1,321.8 million a year earlier. Net income was USD 420.2 million, against USD 81.5 million.

Lease Operating Expense was USD 5.11 per Boe, down 8% from the prior quarter, gathering, processing and transportation was USD 1.21 per Boe, and cash G&A was USD 0.73 per Boe, down 16%. The company said total controllable cash costs of USD 7.05 per Boe were its lowest.

Acquisitions, Cash Flow and Balance Sheet

Cash provided by Operating Activities was USD 1,255 million, cash capital expenditures were USD 518 million and adjusted free cash flow was USD 846 million. Since its last update, the company executed approximately 175 transactions adding approximately 24,000 net acres, 9,000 net Royalty acres and 13,000 Boe/d of production for upfront cash consideration of USD 1.15 billion.

The Ridge Runner acquisition, with initial cash consideration of approximately USD 1.025 billion, closed on October 30 and was funded with cash on hand and commercial paper. It includes contingent cash payments of up to USD 125 million tied to quarterly WTI prices over the two years starting January 1, 2027. During the quarter the company redeemed USD 325 million of 9.875% senior notes due 2031, which together with USD 550 million redeemed in the second quarter it said reduces annual cash interest expense by approximately USD 75 million. Cash was USD 95.0 million, long-term debt, net, was USD 2,653.3 million, and Leverage was approximately 0.5x.

Guidance and Dividend

The company raised the midpoint of 2026 oil production guidance to 202.5 MBbls/d, an increase of 13.5 MBbls/d from its initial February guidance, and set the midpoint of cash capital expenditures guidance at USD 2.025 billion within a range of USD 1.975 billion to USD 2.075 billion. For the fourth quarter, the company cited oil production of over 210 MBbls/d with cash capital expenditures similar to the third quarter, and a year-end 2026 leverage level of less than 0.5x.

The Board declared a fourth quarter base dividend of USD 0.16 per share, payable December 31, 2026 to holders of record on December 17.

What Management Pointed To

Third quarter revenue of USD 1.96 billion sits alongside adjusted free cash flow of USD 846 million, cash capital expenditures of USD 518 million and leverage of approximately 0.5x.

The co-chief executives pointed to production growth with cost discipline, rapid payback initiatives such as higher working interest, more workovers and shorter cycle times, and a current plan they described as generating an incremental USD 300 million of free cash flow this year compared with the February plan, normalized for Commodity prices. Dated items include the WTI earnout periods starting January 1, 2027, and the December 31 dividend payment.