Matador Resources Company (MTDR) Q1 2026 earnings summary

Executive summary

• Q1 2026 production exceeded guidance, reaching 207,594 BOE/d, up 5% year-over-year, driven by strong well performance and operational resilience despite weather and market challenges.

• Adjusted free cash flow for 2026 is projected at $1.1–$1.2 billion, a significant increase from $437 million in 2025, reflecting higher commodity prices and operational efficiencies.

• Over $350 million of RBL debt was paid down since year-end, with full repayment expected in May, boosting liquidity to $2.2 billion.

• Net loss attributable to shareholders was $35.9 million for Q1 2026, primarily due to a $255.5 million unrealized derivative loss, compared to net income of $240.1 million in Q1 2025.

• Over 800 net engineered drilling locations added since 2023, extending inventory by 7–8 years.

Financial highlights

• Q1 2026 oil equivalent production was 207,594 BOE/d, 2% above guidance; oil production was 120,277 Bbl/d, 3% above guidance.

• Q1 2026 oil and natural gas revenues were $818.7 million; total revenues (including midstream and purchased gas) reached $909.9 million.

• Adjusted EBITDA was $577.2 million; adjusted free cash flow was $113.3 million, down from $141.9 million in Q1 2025.

• Q1 2026 CapEx totaled $428.1 million, in line with guidance.

• Market capitalization at $7.8 billion; proved reserves at 667 MMBOE as of December 31, 2025.

Outlook and guidance

• 2026 oil production guidance raised to 123,000–125,000 Bbl/d; total BOE production guidance increased to 210,500–216,000 BOE/d.

• 2026 full-year guidance: 125 gross (107.6 net) operated wells and 194 gross (12.0 net) non-operated wells to be turned to sales.

• Total capital expenditures for 2026 expected at $1.45–$1.55 billion, with D&C costs for operated horizontal wells averaging $785–$805/ft.

• Q2 2026 oil production expected to reach a record 124,000 Bbl/d, despite elective shut-ins and scheduled maintenance.

• Estimated full-year D/C/E and midstream CapEx reduction of 11% compared to 2025.