COMSTOCK RESOURCES, INC. REPORTS FOURTH QUARTER 2024 FINANCIAL AND OPERATING RESULTS
Comstock Resources (NYSE: CRK) reported its Q4 2024 financial results with natural gas and oil sales of $336 million, including realized hedging gains. The company's operating cash flow was $223 million ($0.76 per share), with adjusted EBITDAX of $252 million and adjusted net income of $46.3 million ($0.16 per share).
Q4 production was 124.2 Bcfe, down from 140.6 Bcfe in Q4 2023, due to reduced rig count and deferred completion activity. The realized natural gas price averaged $2.32 per Mcf before hedging and $2.70 after hedging. The company reported a net loss of $55.3 million, primarily due to a $126.9 million unrealized loss on hedging contracts.
Proved reserves as of December 31, 2024, were 3.8 Tcfe, down from 4.9 Tcfe in 2023, mainly due to lower natural gas prices. For 2025, Comstock plans to increase its drilling rigs from five to seven, with a budget of $1.0-1.1 billion for development and exploration projects.
Comstock Resources (NYSE: CRK) ha riportato i risultati finanziari per il quarto trimestre del 2024, con vendite di gas naturale e petrolio pari a 336 milioni di dollari, inclusi i guadagni realizzati dalla copertura. Il flusso di cassa operativo dell'azienda è stato di 223 milioni di dollari (0,76 dollari per azione), con un EBITDAX rettificato di 252 milioni di dollari e un reddito netto rettificato di 46,3 milioni di dollari (0,16 dollari per azione).
La produzione del quarto trimestre è stata di 124,2 Bcfe, in calo rispetto ai 140,6 Bcfe del quarto trimestre del 2023, a causa della riduzione del numero di trivelle e delle attività di completamento rinviate. Il prezzo medio realizzato del gas naturale è stato di 2,32 dollari per Mcf prima della copertura e di 2,70 dollari dopo la copertura. L'azienda ha riportato una perdita netta di 55,3 milioni di dollari, principalmente a causa di una perdita non realizzata di 126,9 milioni di dollari sui contratti di copertura.
Le riserve accertate al 31 dicembre 2024 erano di 3,8 Tcfe, in calo rispetto ai 4,9 Tcfe del 2023, principalmente a causa dei prezzi più bassi del gas naturale. Per il 2025, Comstock prevede di aumentare il numero di trivelle da cinque a sette, con un budget di 1,0-1,1 miliardi di dollari per progetti di sviluppo ed esplorazione.
Comstock Resources (NYSE: CRK) informó sus resultados financieros del cuarto trimestre de 2024, con ventas de gas natural y petróleo de 336 millones de dólares, incluidos los beneficios de cobertura realizados. El flujo de caja operativo de la empresa fue de 223 millones de dólares (0,76 dólares por acción), con un EBITDAX ajustado de 252 millones de dólares y un ingreso neto ajustado de 46,3 millones de dólares (0,16 dólares por acción).
La producción del cuarto trimestre fue de 124,2 Bcfe, por debajo de los 140,6 Bcfe del cuarto trimestre de 2023, debido a la reducción en el número de plataformas y a la actividad de finalización diferida. El precio promedio realizado del gas natural fue de 2,32 dólares por Mcf antes de la cobertura y de 2,70 dólares después de la cobertura. La empresa reportó una pérdida neta de 55,3 millones de dólares, principalmente debido a una pérdida no realizada de 126,9 millones de dólares en contratos de cobertura.
Las reservas comprobadas al 31 de diciembre de 2024 eran de 3,8 Tcfe, en comparación con los 4,9 Tcfe de 2023, principalmente debido a los precios más bajos del gas natural. Para el 2025, Comstock planea aumentar su número de plataformas de cinco a siete, con un presupuesto de 1,0-1,1 mil millones de dólares para proyectos de desarrollo y exploración.
Comstock Resources (NYSE: CRK)는 2024년 4분기 재무 결과를 발표했으며, 천연 가스 및 석유 판매가 3억 3천6백만 달러에 달하고, 여기에는 실현된 헤지 이익이 포함됩니다. 회사의 운영 현금 흐름은 2억 2천3백만 달러(주당 0.76달러)였으며, 조정된 EBITDAX는 2억 5천2백만 달러, 조정된 순이익은 4천6백30만 달러(주당 0.16달러)였습니다.
4분기 생산량은 124.2 Bcfe로, 2023년 4분기의 140.6 Bcfe에서 감소했으며, 이는 시추 수 감소와 완료 활동 연기로 인한 것입니다. 실현된 천연 가스 가격은 헤지 전 1Mcf당 2.32달러, 헤지 후 2.70달러였습니다. 회사는 헤지 계약에서 1억 2천6백90만 달러의 실현되지 않은 손실로 인해 5천5백30만 달러의 순손실을 보고했습니다.
2024년 12월 31일 기준으로 확인된 매장량은 3.8 Tcfe로, 2023년의 4.9 Tcfe에서 감소했으며, 이는 주로 낮은 천연 가스 가격 때문입니다. 2025년에는 Comstock이 시추 기계를 5대에서 7대로 늘릴 계획이며, 개발 및 탐사 프로젝트를 위한 예산은 10억~11억 달러입니다.
Comstock Resources (NYSE: CRK) a annoncé ses résultats financiers pour le quatrième trimestre 2024, avec des ventes de gaz naturel et de pétrole s'élevant à 336 millions de dollars, y compris les gains de couverture réalisés. Le flux de trésorerie opérationnel de l'entreprise s'élevait à 223 millions de dollars (0,76 dollar par action), avec un EBITDAX ajusté de 252 millions de dollars et un bénéfice net ajusté de 46,3 millions de dollars (0,16 dollar par action).
La production du quatrième trimestre était de 124,2 Bcfe, en baisse par rapport à 140,6 Bcfe au quatrième trimestre 2023, en raison de la réduction du nombre de plateformes et des activités de finalisation reportées. Le prix moyen du gaz naturel réalisé était de 2,32 dollars par Mcf avant couverture et de 2,70 dollars après couverture. L'entreprise a enregistré une perte nette de 55,3 millions de dollars, principalement en raison d'une perte non réalisée de 126,9 millions de dollars sur des contrats de couverture.
Les réserves prouvées au 31 décembre 2024 étaient de 3,8 Tcfe, en baisse par rapport à 4,9 Tcfe en 2023, principalement en raison de la baisse des prix du gaz naturel. Pour 2025, Comstock prévoit d'augmenter son nombre de plateformes de cinq à sept, avec un budget de 1,0 à 1,1 milliard de dollars pour des projets de développement et d'exploration.
Comstock Resources (NYSE: CRK) hat seine Finanzzahlen für das 4. Quartal 2024 veröffentlicht, mit einem Umsatz aus Erdgas- und Ölverkäufen von 336 Millionen Dollar, einschließlich realisierter Hedging-Gewinne. Der operative Cashflow des Unternehmens betrug 223 Millionen Dollar (0,76 Dollar pro Aktie), mit einem bereinigten EBITDAX von 252 Millionen Dollar und einem bereinigten Nettogewinn von 46,3 Millionen Dollar (0,16 Dollar pro Aktie).
Die Produktion im 4. Quartal betrug 124,2 Bcfe, was einem Rückgang von 140,6 Bcfe im 4. Quartal 2023 entspricht, bedingt durch eine reduzierte Anzahl von Bohranlagen und verschobene Abschlussaktivitäten. Der realisierte Erdgaspreis lag vor Hedging bei durchschnittlich 2,32 Dollar pro Mcf und nach Hedging bei 2,70 Dollar. Das Unternehmen berichtete von einem Nettoverlust von 55,3 Millionen Dollar, hauptsächlich aufgrund eines nicht realisierten Verlusts von 126,9 Millionen Dollar aus Hedging-Verträgen.
Die nachgewiesenen Reserven zum 31. Dezember 2024 betrugen 3,8 Tcfe, ein Rückgang von 4,9 Tcfe im Jahr 2023, hauptsächlich aufgrund niedrigerer Erdgaspreise. Für 2025 plant Comstock, die Anzahl der Bohranlagen von fünf auf sieben zu erhöhen, mit einem Budget von 1,0-1,1 Milliarden Dollar für Entwicklungs- und Explorationsprojekte.
- Six successful Western Haynesville wells with average initial production rate of 40 MMcf per well
- Added 64,000 net acres in Western Haynesville, increasing total to 518,000 net acres
- Strong operating margins: 69% unhedged and 73% after hedging in Q4 2024
- Plans to increase drilling rigs from five to seven in 2025
- 101% production replacement rate (excluding revisions) under SEC pricing
- Q4 production decreased to 124.2 Bcfe from 140.6 Bcfe YoY
- Net loss of $55.3 million in Q4 2024
- Proved reserves declined to 3.8 Tcfe from 4.9 Tcfe YoY
- Full-year 2024 adjusted net loss of $69.0 million
- Free cash deficit of $359.2 million after acquisition activity
Insights
The Q4 2024 results reveal Comstock's strategic positioning amid challenging natural gas prices, with several key developments warranting attention:
Production & Operational Strategy
The 12% YoY production decline to 124.2 Bcfe was a calculated move rather than an operational weakness, reflecting management's prudent decision to reduce drilling activity in response to lower gas prices. The company's operational excellence is evident in its industry-leading cost structure, maintaining a remarkably low production cost of $0.72/Mcfe and achieving impressive operating margins of 69% unhedged.
Western Haynesville Expansion
The addition of 64,000 net acres in the Western Haynesville play, bringing total acreage to 518,000, represents a significant strategic expansion. The six new wells' average initial production rate of 40 MMcf per day demonstrates the play's exceptional productivity, substantially above the company-wide average of 26 MMcf per day.
Reserves & Valuation Dynamics
While SEC-calculated proved reserves declined to 3.8 Tcfe from 4.9 Tcfe, this primarily reflects the technical impact of lower mandated pricing ($1.84/Mcf) rather than asset quality deterioration. Using current NYMEX pricing ($3.26/Mcf), reserves would be 7.0 Tcfe with a PV-10 value of $5.7 billion - a more realistic reflection of the asset base's true value in today's market.
2025 Strategic Pivot
The planned increase to seven drilling rigs and $1.0-1.1 billion capital program signals confidence in improving natural gas fundamentals. Notably, four rigs dedicated to Western Haynesville indicate a strategic focus on this highly productive area, while the $130-150 million midstream investment through partnership funding demonstrates infrastructure optimization without balance sheet strain.
Financial Position
Despite reporting a net loss, the company generated substantial operating cash flow of $223 million ($0.76/share) and adjusted EBITDAX of $252 million. The hedging program, while creating mark-to-market losses, effectively protected margins with realized gains of $47.8 million, demonstrating prudent risk management.
FRISCO, TX, Feb. 18, 2025 (GLOBE NEWSWIRE) -- Comstock Resources, Inc. ("Comstock" or the "Company") (NYSE: CRK) today reported financial and operating results for the quarter and year ended December 31, 2024.
Highlights of 2024's Fourth Quarter
- Natural gas and oil sales, including realized hedging gains, were
$336 million . - Operating cash flow was
$223 million or$0.76 per share. - Adjusted EBITDAX for the quarter was
$252 million . - Adjusted net income was
$46.3 million or$0.16 per share for the quarter. - Six successful wells were turned to sales in the Western Haynesville with an average daily initial production rate of 40 MMcf per well.
- Added over 64,000 net acres in the Western Haynesville, increasing total acreage in the play to 518,000 net acres.
Financial Results for the Three Months Ended December 31, 2024
Comstock produced 124.2 Bcfe in the fourth quarter as compared to 140.6 Bcfe in the fourth quarter of 2023. The lower production in the quarter was related to the decision to drop two operated rigs in early 2024 and to defer completion activity in the third quarter of 2024. Comstock's realized natural gas price for the fourth quarter of 2024 averaged
Comstock's production cost per Mcfe in the fourth quarter averaged
Financial Results for the Year Ended December 31, 2024
Production in 2024 was 527.8 Bcfe as compared to 524.9 Bcfe in 2023. Natural gas and oil sales for the year ended December 31, 2024 totaled
Comstock's production cost per Mcfe during the year ended December 31, 2024 averaged
2024 Drilling Results
Comstock drilled 50 (42.9 net) operated horizontal Haynesville/Bossier shale wells in 2024, which had an average lateral length of 10,759 feet. Comstock also turned 48 (42.9 net) operated wells to sales in 2024, which had an average initial production rate of 26 MMcf per day.
Since its last operational update in October, Comstock turned an additional six (6.0 net) operated Western Haynesville/Bossier shale wells to sales as follows:
| Well | Vertical Depth (feet) | Completed Lateral (feet) | Initial Production Rate (MMcf per day) | |||
| Hodges #1 | 16,705 | 11,405 | 39 | |||
| Powell #1 | 18,081 | 9,758 | 42 | |||
| Hogue #1 | 18,872 | 12,055 | 44 | |||
| Deornellas A #1 | 18,975 | 10,884 | 42 | |||
| Deornellas B #2 | 17,552 | 9,473 | 40 | |||
| Miles #1 | 15,921 | 10,584 | 34 |
These wells had average initial daily production rates of 40 MMcf per day and average completed lateral lengths of 10,693 feet.
2024 Proved Oil and Gas Reserves
Comstock also announced that proved natural gas and oil reserves as of December 31, 2024 were estimated at 3.8 trillion cubic feet equivalent ("Tcfe") as compared to 4.9 Tcfe as of December 31, 2023. The reserve estimates were determined under SEC guidelines and were audited by the Company's independent reserve engineering firm. The 3.8 Tcfe of proved reserves at December 31, 2024 were substantially all natural gas,
The very low natural gas prices used to determine proved reserves resulted in many of the Company's proved undeveloped locations being excluded from the year-end proved reserve estimates as they did not generate an adequate return at that natural gas price. Using NYMEX future market prices as of December 31, 2024 of
The following table reflects the changes in the SEC and NYMEX proved reserve estimates since the end of 2023:
| SEC | NYMEX | ||||||
| (Bcfe) | |||||||
| Proved Reserves: | |||||||
| Proved Reserves at December 31, 2023 | 4,943.5 | 6,654.4 | |||||
| Production | (527.8 | ) | (528.0 | ) | |||
| Extensions and discoveries | 531.3 | 899.4 | |||||
| Divestitures | (2.4 | ) | (3.0 | ) | |||
| Revisions | (1,180.5 | ) | (0.3 | ) | |||
| Proved Reserves at December 31, 2024 | 3,764.1 | 7,022.5 | |||||
Comstock replaced
2025 Budget
In response to improved natural gas prices, the Company plans to increase the number of operating drilling rigs it is running from five to seven during 2025. Four of the rigs will be devoted to the Western Haynesville to continue to delineate the new play. As a result, Comstock plans to spend approximately
Earnings Call Information
Comstock has planned a conference call for 10:00 a.m. Central Time on February 19, 2025, to discuss the fourth quarter 2024 operational and financial results. Investors wishing to listen should visit the Company's website at www.comstockresources.com for a live webcast. Investors wishing to participate in the conference call telephonically will need to register at:
https://register.vevent.com/register/BI6e0b4d6ba76e49049b0b8093ff4a87a6
Upon registering to participate in the conference call, participants will receive the dial-in number and a personal PIN number to access the conference call. On the day of the call, please dial in at least 15 minutes in advance to ensure a timely connection to the call. The conference call will also be broadcast live in listen-only mode and can be accessed via the website URL: https://edge.media-server.com/mmc/p/siuhk9j5.
If you are unable to participate in the original conference call, a web replay will be available for twelve months beginning at 1:00 p.m. CT on February 19, 2025. The replay of the conference can be accessed using the webcast link: https://edge.media-server.com/mmc/p/siuhk9j5.
This press release may contain "forward-looking statements" as that term is defined in the Private Securities Litigation Reform Act of 1995. Such statements are based on management's current expectations and are subject to a number of factors and uncertainties which could cause actual results to differ materially from those described herein. Although the Company believes the expectations in such statements to be reasonable, there can be no assurance that such expectations will prove to be correct. Information concerning the assumptions, uncertainties and risks that may affect the actual results can be found in the Company's filings with the Securities and Exchange Commission ("SEC") available on the Company's website or the SEC's website at sec.gov.
Comstock Resources, Inc. is a leading independent natural gas producer with operations focused on the development of the Haynesville shale in North Louisiana and East Texas. The Company's stock is traded on the New York Stock Exchange under the symbol CRK.
COMSTOCK RESOURCES, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share amounts)
| Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||
| 2024 | 2023 | 2024 | 2023 | |||||||||||||
| Revenues: | ||||||||||||||||
| Natural gas sales | $ | 287,626 | $ | 348,385 | $ | 1,043,886 | $ | 1,259,450 | ||||||||
| Oil sales | 672 | 1,050 | 3,597 | 5,161 | ||||||||||||
| Total natural gas and oil sales | 288,298 | 349,435 | 1,047,483 | 1,264,611 | ||||||||||||
| Gas services | 78,208 | 61,148 | 206,097 | 300,498 | ||||||||||||
| Total revenues | 366,506 | 410,583 | 1,253,580 | 1,565,109 | ||||||||||||
| Operating expenses: | ||||||||||||||||
| Production and ad valorem taxes | 7,707 | 31,912 | 57,437 | 91,803 | ||||||||||||
| Gathering and transportation | 44,434 | 46,925 | 194,890 | 184,906 | ||||||||||||
| Lease operating | 31,379 | 31,678 | 130,504 | 132,203 | ||||||||||||
| Exploration | — | — | — | 1,775 | ||||||||||||
| Depreciation, depletion and amortization | 202,116 | 185,558 | 795,397 | 607,908 | ||||||||||||
| Gas services | 72,611 | 57,733 | 205,407 | 282,050 | ||||||||||||
| General and administrative | 10,164 | 6,000 | 39,435 | 37,992 | ||||||||||||
| Loss (gain) on sale of assets | 35 | — | (875 | ) | (125 | ) | ||||||||||
| Total operating expenses | 368,446 | 359,806 | 1,422,195 | 1,338,512 | ||||||||||||
| Operating income (loss) | (1,940 | ) | 50,777 | (168,615 | ) | 226,597 | ||||||||||
| Other income (expenses): | ||||||||||||||||
| Gain (loss) from derivative financial instruments | (79,022 | ) | 111,449 | 10,196 | 187,639 | |||||||||||
| Other income | 284 | 304 | 1,211 | 1,771 | ||||||||||||
| Interest expense | (54,616 | ) | (47,936 | ) | (210,621 | ) | (169,018 | ) | ||||||||
| Total other income (expenses) | (133,354 | ) | 63,817 | (199,214 | ) | 20,392 | ||||||||||
| Income (loss) before income taxes | (135,294 | ) | 114,594 | (367,829 | ) | 246,989 | ||||||||||
| (Provision for) benefit from income taxes | 79,981 | (6,217 | ) | 149,075 | (35,095 | ) | ||||||||||
| Net income (loss) | (55,313 | ) | 108,377 | (218,754 | ) | 211,894 | ||||||||||
| Net income attributable to noncontrolling interest | (2,816 | ) | (777 | ) | (10,897 | ) | (777 | ) | ||||||||
| Net income (loss) attributable to Comstock | $ | (58,129 | ) | $ | 107,600 | $ | (229,651 | ) | $ | 211,117 | ||||||
| Net income (loss) per share: | ||||||||||||||||
| Basic | $ | (0.19 | ) | $ | 0.39 | $ | (0.76 | ) | $ | 0.76 | ||||||
| Diluted | $ | (0.19 | ) | $ | 0.39 | $ | (0.76 | ) | $ | 0.76 | ||||||
| Weighted average shares outstanding: | ||||||||||||||||
| Basic | 290,170 | 276,999 | 287,010 | 276,806 | ||||||||||||
| Diluted | 290,170 | 276,999 | 287,010 | 276,806 | ||||||||||||
| Dividends per share | $ | — | $ | 0.125 | $ | — | $ | 0.500 | ||||||||
COMSTOCK RESOURCES, INC.
OPERATING RESULTS
(In thousands, except per unit amounts)
| Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||
| 2024 | 2023 | 2024 | 2023 | |||||||||||||
| Natural gas production (MMcf) | 124,128 | 140,565 | 527,548 | 524,467 | ||||||||||||
| Oil production (Mbbls) | 10 | 13 | 50 | 70 | ||||||||||||
| Total production (MMcfe) | 124,185 | 140,649 | 527,847 | 524,890 | ||||||||||||
| Natural gas sales | $ | 287,626 | $ | 348,385 | $ | 1,043,886 | $ | 1,259,450 | ||||||||
| Natural gas hedging settlements (1) | 47,847 | 4,107 | 207,803 | 80,328 | ||||||||||||
| Total natural gas including hedging | 335,473 | 352,492 | 1,251,689 | 1,339,778 | ||||||||||||
| Oil sales | 672 | 1,050 | 3,597 | 5,161 | ||||||||||||
| Total natural gas and oil sales including hedging | $ | 336,145 | $ | 353,542 | $ | 1,255,286 | $ | 1,344,939 | ||||||||
| Average natural gas price (per Mcf) | $ | 2.32 | $ | 2.48 | $ | 1.98 | $ | 2.40 | ||||||||
| Average natural gas price including hedging (per Mcf) | $ | 2.70 | $ | 2.51 | $ | 2.37 | $ | 2.55 | ||||||||
| Average oil price (per barrel) | $ | 67.20 | $ | 80.77 | $ | 71.94 | $ | 73.73 | ||||||||
| Average price (per Mcfe) | $ | 2.32 | $ | 2.48 | $ | 1.98 | $ | 2.41 | ||||||||
| Average price including hedging (per Mcfe) | $ | 2.71 | $ | 2.51 | $ | 2.38 | $ | 2.56 | ||||||||
| Production and ad valorem taxes | $ | 7,707 | $ | 31,912 | $ | 57,437 | $ | 91,803 | ||||||||
| Gathering and transportation | 44,434 | 46,925 | 194,890 | 184,906 | ||||||||||||
| Lease operating | 31,379 | 31,678 | 130,504 | 132,203 | ||||||||||||
| Cash general and administrative (2) | 6,282 | 3,141 | 24,174 | 28,125 | ||||||||||||
| Total production costs | $ | 89,802 | $ | 113,656 | $ | 407,005 | $ | 437,037 | ||||||||
| Production and ad valorem taxes (per Mcfe) | $ | 0.06 | $ | 0.23 | $ | 0.11 | $ | 0.18 | ||||||||
| Gathering and transportation (per Mcfe) | 0.36 | 0.33 | 0.37 | 0.35 | ||||||||||||
| Lease operating (per Mcfe) | 0.25 | 0.23 | 0.25 | 0.25 | ||||||||||||
| Cash general and administrative (per Mcfe) | 0.05 | 0.02 | 0.05 | 0.05 | ||||||||||||
| Total production costs (per Mcfe) | $ | 0.72 | $ | 0.81 | $ | 0.78 | $ | 0.83 | ||||||||
| Unhedged operating margin | 69 | % | 67 | % | 61 | % | 65 | % | ||||||||
| Hedged operating margin | 73 | % | 68 | % | 68 | % | 68 | % | ||||||||
| Gas services revenues | $ | 78,208 | $ | 61,148 | $ | 206,097 | $ | 300,498 | ||||||||
| Gas services expenses | 72,611 | 57,733 | 205,407 | 282,050 | ||||||||||||
| Gas services margin | $ | 5,597 | $ | 3,415 | $ | 690 | $ | 18,448 | ||||||||
| Natural Gas and Oil Capital Expenditures: | ||||||||||||||||
| Unproved property acquisitions | $ | 18,448 | $ | 21,907 | $ | 106,386 | $ | 98,553 | ||||||||
| Total natural gas and oil properties acquisitions | $ | 18,448 | $ | 21,907 | $ | 106,386 | $ | 98,553 | ||||||||
| Exploration and Development: | ||||||||||||||||
| Development leasehold | $ | 1,308 | $ | 8,818 | $ | 13,461 | $ | 27,905 | ||||||||
| Exploratory drilling and completion | 134,779 | 65,079 | 354,557 | 244,129 | ||||||||||||
| Development drilling and completion | 96,021 | 233,856 | 503,550 | 974,664 | ||||||||||||
| Other development costs | 8,325 | 6,262 | 30,500 | 25,130 | ||||||||||||
| Total exploration and development capital expenditures | $ | 240,433 | $ | 314,015 | $ | 902,068 | $ | 1,271,828 | ||||||||
(1) Included in gain (loss) from derivative financial instruments in operating results.
(2) Excludes stock-based compensation.
COMSTOCK RESOURCES, INC.
NON-GAAP FINANCIAL MEASURES
(In thousands, except per share amounts)
| Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||
| 2024 | 2023 | 2024 | 2023 | |||||||||||||
| ADJUSTED NET INCOME (LOSS): | ||||||||||||||||
| Net income (loss) | $ | (55,313 | ) | $ | 108,377 | $ | (218,754 | ) | $ | 211,894 | ||||||
| Unrealized loss (gain) from derivative financial instruments | 126,869 | (107,342 | ) | 197,607 | (107,311 | ) | ||||||||||
| Exploration expense | — | — | — | 1,775 | ||||||||||||
| Loss (gain) on sale of assets | 35 | — | (875 | ) | (125 | ) | ||||||||||
| Adjustment to income taxes | (25,333 | ) | 26,868 | (46,981 | ) | 26,450 | ||||||||||
| Adjusted net income (loss) (1) | $ | 46,258 | $ | 27,903 | $ | (69,003 | ) | $ | 132,683 | |||||||
| Adjusted net income (loss) per share (2) | $ | 0.16 | $ | 0.10 | $ | (0.24 | ) | $ | 0.47 | |||||||
| Diluted shares outstanding | 292,983 | 276,999 | 287,010 | 276,806 | ||||||||||||
| ADJUSTED EBITDAX: | ||||||||||||||||
| Net income (loss) | $ | (55,313 | ) | $ | 108,377 | $ | (218,754 | ) | $ | 211,894 | ||||||
| Interest expense | 54,616 | 47,936 | 210,621 | 169,018 | ||||||||||||
| Income taxes | (79,981 | ) | 6,217 | (149,075 | ) | 35,095 | ||||||||||
| Depreciation, depletion, and amortization | 202,116 | 185,558 | 795,397 | 607,908 | ||||||||||||
| Exploration | — | — | — | 1,775 | ||||||||||||
| Unrealized loss (gain) from derivative financial instruments | 126,869 | (107,342 | ) | 197,607 | (107,311 | ) | ||||||||||
| Stock-based compensation | 3,881 | 2,861 | 15,261 | 9,867 | ||||||||||||
| Loss (gain) on sale of assets | 35 | — | (875 | ) | (125 | ) | ||||||||||
| Total Adjusted EBITDAX (3) | $ | 252,223 | $ | 243,607 | $ | 850,182 | $ | 928,121 | ||||||||
(1) Adjusted net income (loss) is presented because of its acceptance by investors and by Comstock management as an indicator of the Company's profitability excluding, non-cash unrealized gains and losses on derivative financial instruments, gains and losses on sales of assets and other unusual items.
(2) Adjusted net income (loss) per share is calculated to include the dilutive effects of unvested restricted stock pursuant to the two-class method and performance stock units and preferred stock pursuant to the treasury stock method.
(3) Adjusted EBITDAX is presented in the earnings release because management believes that adjusted EBITDAX, which represents Comstock's results from operations before interest, income taxes, and certain non-cash items, including depreciation, depletion and amortization, unrealized (gain) loss from derivative financial instruments and exploration expense, is a common alternative measure of operating performance used by certain investors and financial analysts.
COMSTOCK RESOURCES, INC.
NON-GAAP FINANCIAL MEASURES
(In thousands)
| Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||
| 2024 | 2023 | 2024 | 2023 | |||||||||||||
| OPERATING CASH FLOW (1): | ||||||||||||||||
| Net income (loss) | $ | (55,313 | ) | $ | 108,377 | $ | (218,754 | ) | $ | 211,894 | ||||||
| Reconciling items: | ||||||||||||||||
| Unrealized loss (gain) from derivative financial instruments | 126,869 | (107,342 | ) | 197,607 | (107,311 | ) | ||||||||||
| Deferred income taxes | (57,754 | ) | 15,423 | (124,919 | ) | 44,301 | ||||||||||
| Depreciation, depletion and amortization | 202,116 | 185,558 | 795,397 | 607,908 | ||||||||||||
| Amortization of debt discount and issuance costs | 2,957 | 1,984 | 11,476 | 7,964 | ||||||||||||
| Stock-based compensation | 3,881 | 2,861 | 15,261 | 9,867 | ||||||||||||
| Loss (gain) on sale of assets | 35 | — | (875 | ) | (125 | ) | ||||||||||
| Operating cash flow | $ | 222,791 | $ | 206,861 | $ | 675,193 | $ | 774,498 | ||||||||
| (Increase) decrease in accounts receivable | (18,989 | ) | (16,626 | ) | 56,584 | 278,697 | ||||||||||
| (Increase) decrease in other current assets | (22,144 | ) | 1,369 | (22,893 | ) | 745 | ||||||||||
| Increase (decrease) in accounts payable and other accrued expenses | 85,395 | 36,603 | (88,547 | ) | (37,094 | ) | ||||||||||
| Net cash provided by operating activities | $ | 267,053 | $ | 228,207 | $ | 620,337 | $ | 1,016,846 | ||||||||
| Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||
| 2024 | 2023 | 2024 | 2023 | |||||||||||||
| FREE CASH FLOW (2): | ||||||||||||||||
| Operating cash flow | $ | 222,791 | $ | 206,861 | $ | 675,193 | $ | 774,498 | ||||||||
| Less: | ||||||||||||||||
| Exploration and development capital expenditures | (240,433 | ) | (314,015 | ) | (902,068 | ) | (1,271,828 | ) | ||||||||
| Midstream capital expenditures | (38,638 | ) | (14,098 | ) | (85,377 | ) | (35,694 | ) | ||||||||
| Other capital expenditures | (558 | ) | (11 | ) | (2,264 | ) | (491 | ) | ||||||||
| Contributions from midstream partnership | 24,500 | 24,000 | 60,500 | 24,000 | ||||||||||||
| Free cash deficit from operations | $ | (32,338 | ) | $ | (97,263 | ) | $ | (254,016 | ) | $ | (509,515 | ) | ||||
| Acquisitions | (18,448 | ) | (21,907 | ) | (106,386 | ) | (98,553 | ) | ||||||||
| Proceeds from divestitures | — | — | 1,214 | 41,295 | ||||||||||||
| Free cash deficit after acquisition and divestiture activity | $ | (50,786 | ) | $ | (119,170 | ) | $ | (359,188 | ) | $ | (566,773 | ) | ||||
(1) Operating cash flow is presented in the earnings release because management believes it to be useful to investors as a common alternative measure of cash flows which excludes changes to other working capital accounts.
(2) Free cash flow from operations and free cash flow after acquisition and divestiture activity are presented in the earnings release because management believes them to be useful indicators of the Company's ability to internally fund acquisitions and debt maturities after exploration and development capital expenditures, midstream and other capital expenditures, proved and unproved property acquisitions, and proceeds from divestitures of natural gas and oil properties.
COMSTOCK RESOURCES, INC.
CONSOLIDATED BALANCE SHEETS
(In thousands)
| December 31, 2024 | December 31, 2023 | |||||||
| ASSETS | ||||||||
| Cash and cash equivalents | $ | 6,799 | $ | 16,669 | ||||
| Accounts receivable | 174,846 | 231,430 | ||||||
| Derivative financial instruments | 4,865 | 126,775 | ||||||
| Other current assets | 97,524 | 86,619 | ||||||
| Total current assets | 284,034 | 461,493 | ||||||
| Property and equipment, net | 5,688,389 | 5,384,771 | ||||||
| Goodwill | 335,897 | 335,897 | ||||||
| Operating lease right-of-use assets | 73,777 | 71,462 | ||||||
| $ | 6,382,097 | $ | 6,253,623 | |||||
| LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||
| Accounts payable | $ | 421,814 | $ | 523,260 | ||||
| Accrued costs | 146,173 | 134,466 | ||||||
| Operating leases | 35,927 | 23,765 | ||||||
| Derivative financial instruments | 8,940 | — | ||||||
| Total current liabilities | 612,854 | 681,491 | ||||||
| Long-term debt | 2,952,090 | 2,640,391 | ||||||
| Deferred income taxes | 345,116 | 470,035 | ||||||
| Derivative financial instruments | 66,757 | — | ||||||
| Long-term operating leases | 37,740 | 47,742 | ||||||
| Asset retirement obligation | 33,996 | 30,773 | ||||||
| Total liabilities | 4,048,553 | 3,870,432 | ||||||
| Stockholders' Equity: | ||||||||
| Common stock | 146,130 | 139,214 | ||||||
| Additional paid-in capital | 1,366,274 | 1,260,930 | ||||||
| Accumulated earnings | 728,619 | 958,270 | ||||||
| Total stockholders' equity attributable to Comstock | 2,241,023 | 2,358,414 | ||||||
| Noncontrolling interest | 92,521 | 24,777 | ||||||
| Total stockholders' equity | 2,333,544 | 2,383,191 | ||||||
| $ | 6,382,097 | $ | 6,253,623 | |||||
FAQ
What was Comstock Resources' (CRK) Q4 2024 production volume?
What is CRK's planned capital expenditure budget for 2025?
How much did Comstock's (CRK) proved reserves change in 2024?
What was CRK's realized natural gas price in Q4 2024?
How many new wells did CRK complete in the Western Haynesville in Q4 2024?
