Coterra Energy (CTRA) investor relations material

Executive summary

• Announced a transformative all-stock merger with Devon Energy, creating a large-cap shale operator with a $61 billion combined enterprise value and significant operational synergies, expected to close in Q2 2026.

• Fourth-quarter and full-year 2025 results exceeded production guidance, with strong operational execution and capital efficiency.

• Delivered $2.0 billion in free cash flow for 2025, with a reinvestment rate of 54% and $820 million returned to shareholders.

• Maintained a strong balance sheet, exiting 2025 with net debt to Adjusted EBITDAX of 0.8x.

• Integration of Delaware Basin acquisitions completed, driving lower costs and operational upside.

Financial highlights

• 4Q25 oil production reached 176 mbod, above guidance; gas production was 2,964 mmcfd, also above guidance.

• Full-year 2025 capex was $2.32 billion, slightly above guidance due to incremental Marcellus spending.

• Free cash flow for 2025 totaled $2.03 billion, with discretionary cash flow of $4.32 billion.

• Net income for 2025 was $1.72 billion, with adjusted net income of $1.58 billion.

• Ended 2025 with $114 million in cash and $2.1 billion in liquidity.

Outlook and guidance

• 2026 standalone capex guidance is $2.25 billion, down 3% YoY, with a reinvestment rate around 50%.

• 2026 free cash flow expected at $2.35 billion, up 16% YoY, with relatively flat total production and 4-5% annual oil growth.

• 2026 production guidance: total 750–810 MBoepd, natural gas 2,775–2,975 MMcfpd, oil 162–172 MBopd.

• Guidance includes impacts from winter storm Fern, lowering Q1 production below annual average; combined company guidance to be provided post-merger.