Stock Analysis on Net
Stock Analysis on Net

EQT Corp. (NYSE:EQT)

This company has been moved to the archive! The financial data has not been updated since October 27, 2022.

Analysis of Income Taxes

Microsoft Excel

Income Tax Expense (Benefit)

EQT Corp., income tax expense (benefit), continuing operations

US$ in thousands

Microsoft Excel
12 months ended: Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
Federal 911 (132,625) (106,487) (513,293) (89,149)
State (1,478) (10,393) 5,774 (46,218) (5,184)
Current (567) (143,018) (100,713) (559,511) (94,333)
Federal (319,823) (131,355) (213,397) 20,496 (1,039,769)
State (113,785) (24,485) (61,666) (157,496) (54,314)
Deferred (433,608) (155,840) (275,063) (137,000) (1,094,083)
Income tax benefit (434,175) (298,858) (375,776) (696,511) (1,188,416)

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

Item Description The company
Current Amount of current income tax expense (benefit) pertaining to taxable income (loss) from continuing operations. EQT Corp. current decreased from 2019 to 2020 but then increased from 2020 to 2021 exceeding 2019 level.
Deferred Amount of deferred income tax expense (benefit) pertaining to income (loss) from continuing operations. EQT Corp. deferred increased from 2019 to 2020 but then decreased significantly from 2020 to 2021.
Income tax benefit Amount of current income tax expense (benefit) and deferred income tax expense (benefit) pertaining to continuing operations. EQT Corp. income tax benefit increased from 2019 to 2020 but then decreased significantly from 2020 to 2021.

Effective Income Tax Rate (EITR)

EQT Corp., effective income tax rate (EITR) reconciliation

Microsoft Excel
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
Federal statutory tax rate 21.00% 21.00% 21.00% 21.00% 35.00%
Effective tax rate, before federal tax law change 27.30% 23.60% 23.50% 22.80% 8.40%
Effective tax rate 27.30% 23.60% 23.50% 22.60% -598.40%

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

Item Description The company
Effective tax rate, before federal tax law change Percentage of current income tax expense (benefit) and deferred income tax expense (benefit) pertaining to continuing operations. EQT Corp. effective tax rate, before federal tax law change increased from 2019 to 2020 and from 2020 to 2021.

Components of Deferred Tax Assets and Liabilities

EQT Corp., components of deferred tax assets and liabilities

US$ in thousands

Microsoft Excel
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
NOL carryforwards 948,707 789,544 635,446 429,983 564,180
Net unrealized losses 456,751 43,475 — 28,096 —
Federal tax credits 83,244 79,846 59,854 37,710 50,341
Alternative minimum tax credit carryforward 81,237 81,237 190,992 308,727 435,190
Investment in Equitrans Midstream 69,159 94,689 109,883 10,359 —
Federal and state capital loss carryforward 32,706 28,317 — — —
Incentive compensation and deferred compensation plans 20,409 22,419 16,923 24,682 43,822
Other 2,544 1,286 53,573 61,820 18,981
Deferred tax assets 1,694,757 1,140,813 1,066,671 901,377 1,112,514
Valuation allowances (550,967) (529,992) (423,444) (351,408) (262,392)
Net deferred tax asset 1,143,790 610,821 643,227 549,969 850,122
Property, plant and equipment (2,051,051) (1,945,299) (2,074,581) (2,373,350) (2,718,681)
Net unrealized gains — — (54,460) — (21,403)
Convertible debt (31,351) (37,489) — — —
Deferred tax liabilities (2,082,402) (1,982,788) (2,129,041) (2,373,350) (2,740,084)
Net deferred tax asset (liability) (938,612) (1,371,967) (1,485,814) (1,823,381) (1,889,962)

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

Item Description The company
Deferred tax assets Amount before allocation of valuation allowances of deferred tax asset attributable to deductible temporary differences and carryforwards. EQT Corp. deferred tax assets increased from 2019 to 2020 and from 2020 to 2021.
Net deferred tax asset Amount after allocation of valuation allowances of deferred tax asset attributable to deductible temporary differences and carryforwards. EQT Corp. net deferred tax asset decreased from 2019 to 2020 but then increased from 2020 to 2021 exceeding 2019 level.
Net deferred tax asset (liability) Amount, after allocation of valuation allowances and deferred tax liability, of deferred tax asset attributable to deductible differences and carryforwards, without jurisdictional netting. EQT Corp. net deferred tax asset (liability) increased from 2019 to 2020 and from 2020 to 2021.

Deferred Tax Assets and Liabilities, Classification

EQT Corp., deferred tax assets and liabilities, classification

US$ in thousands

Microsoft Excel
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
Deferred tax liabilities 938,612 1,371,967 1,485,814 1,823,381 1,889,962

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

Item Description The company
Deferred tax liabilities Amount, after deferred tax asset, of deferred tax liability attributable to taxable differences, with jurisdictional netting and classified as noncurrent. EQT Corp. deferred tax liabilities decreased from 2019 to 2020 and from 2020 to 2021.

Adjustments to Financial Statements: Removal of Deferred Taxes

EQT Corp., adjustments to financial statements

US$ in thousands

Microsoft Excel
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
Adjustment to Total Liabilities
Total liabilities (as reported) 11,561,625 8,850,739 9,005,639 9,763,115 11,107,991
Less: Noncurrent deferred tax liabilities, net 938,612 1,371,967 1,485,814 1,823,381 1,889,962
Total liabilities (adjusted) 10,623,013 7,478,772 7,519,825 7,939,734 9,218,029
Adjustment to Common Shareholders’ Equity
Common shareholders’ equity (as reported) 10,029,527 9,255,240 9,803,588 10,958,229 13,319,618
Less: Net deferred tax assets (liabilities) (938,612) (1,371,967) (1,485,814) (1,823,381) (1,889,962)
Common shareholders’ equity (adjusted) 10,968,139 10,627,207 11,289,402 12,781,610 15,209,580
Adjustment to Net Income (loss) Attributable To EQT Corporation
Net income (loss) attributable to EQT Corporation (as reported) (1,155,759) (967,166) (1,221,695) (2,244,568) 1,508,529
Add: Deferred income tax expense (benefit) (433,608) (155,840) (275,063) (137,000) (1,094,083)
Net income (loss) attributable to EQT Corporation (adjusted) (1,589,367) (1,123,006) (1,496,758) (2,381,568) 414,446

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

EQT Corp., Financial Data: Reported vs. Adjusted

Adjusted Financial Ratios: Removal of Deferred Taxes (Summary)

EQT Corp., adjusted financial ratios

Microsoft Excel
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
Net Profit Margin
Reported net profit margin -16.99% -36.49% -32.22% -47.80% 56.90%
Adjusted net profit margin -23.36% -42.37% -39.48% -50.72% 15.63%
Financial Leverage
Reported financial leverage 2.15 1.96 1.92 1.89 2.22
Adjusted financial leverage 1.97 1.70 1.67 1.62 1.94
Return on Equity (ROE)
Reported ROE -11.52% -10.45% -12.46% -20.48% 11.33%
Adjusted ROE -14.49% -10.57% -13.26% -18.63% 2.72%
Return on Assets (ROA)
Reported ROA -5.35% -5.34% -6.50% -10.83% 5.11%
Adjusted ROA -7.36% -6.20% -7.96% -11.49% 1.40%

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

Financial ratio Description The company
Adjusted net profit margin An indicator of profitability, calculated as adjusted net income divided by total revenue. EQT Corp. adjusted net profit margin ratio deteriorated from 2019 to 2020 but then improved from 2020 to 2021 exceeding 2019 level.
Adjusted financial leverage A measure of financial leverage calculated as adjusted total assets divided by adjusted total equity.
Financial leverage is the extent to which a company can effect, through the use of debt, a proportional change in the return on common equity that is greater than a given proportional change in operating income.		 EQT Corp. adjusted financial leverage ratio increased from 2019 to 2020 and from 2020 to 2021.
Adjusted ROE A profitability ratio calculated as adjusted net income divided by adjusted shareholders’ equity. EQT Corp. adjusted ROE improved from 2019 to 2020 but then deteriorated significantly from 2020 to 2021.
Adjusted ROA A profitability ratio calculated as adjusted net income divided by adjusted total assets. EQT Corp. adjusted ROA improved from 2019 to 2020 but then slightly deteriorated from 2020 to 2021 not reaching 2019 level.

EQT Corp., Financial Ratios: Reported vs. Adjusted

Adjusted Net Profit Margin

Microsoft Excel
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
As Reported
Selected Financial Data (US$ in thousands)
Net income (loss) attributable to EQT Corporation (1,155,759) (967,166) (1,221,695) (2,244,568) 1,508,529
Sales of natural gas, natural gas liquids and oil 6,804,020 2,650,299 3,791,414 4,695,519 2,651,318
Profitability Ratio
Net profit margin1 -16.99% -36.49% -32.22% -47.80% 56.90%
Adjusted for Deferred Taxes
Selected Financial Data (US$ in thousands)
Adjusted net income (loss) attributable to EQT Corporation (1,589,367) (1,123,006) (1,496,758) (2,381,568) 414,446
Sales of natural gas, natural gas liquids and oil 6,804,020 2,650,299 3,791,414 4,695,519 2,651,318
Profitability Ratio
Adjusted net profit margin2 -23.36% -42.37% -39.48% -50.72% 15.63%

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

2021 Calculations

1 Net profit margin = 100 × Net income (loss) attributable to EQT Corporation ÷ Sales of natural gas, natural gas liquids and oil
= 100 × -1,155,759 ÷ 6,804,020 = -16.99%

2 Adjusted net profit margin = 100 × Adjusted net income (loss) attributable to EQT Corporation ÷ Sales of natural gas, natural gas liquids and oil
= 100 × -1,589,367 ÷ 6,804,020 = -23.36%

Profitability ratio Description The company
Adjusted net profit margin An indicator of profitability, calculated as adjusted net income divided by total revenue. EQT Corp. adjusted net profit margin ratio deteriorated from 2019 to 2020 but then improved from 2020 to 2021 exceeding 2019 level.

Adjusted Financial Leverage

Microsoft Excel
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
As Reported
Selected Financial Data (US$ in thousands)
Total assets 21,607,388 18,113,469 18,809,227 20,721,344 29,522,604
Common shareholders’ equity 10,029,527 9,255,240 9,803,588 10,958,229 13,319,618
Solvency Ratio
Financial leverage1 2.15 1.96 1.92 1.89 2.22
Adjusted for Deferred Taxes
Selected Financial Data (US$ in thousands)
Total assets 21,607,388 18,113,469 18,809,227 20,721,344 29,522,604
Adjusted common shareholders’ equity 10,968,139 10,627,207 11,289,402 12,781,610 15,209,580
Solvency Ratio
Adjusted financial leverage2 1.97 1.70 1.67 1.62 1.94

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

2021 Calculations

1 Financial leverage = Total assets ÷ Common shareholders’ equity
= 21,607,388 ÷ 10,029,527 = 2.15

2 Adjusted financial leverage = Total assets ÷ Adjusted common shareholders’ equity
= 21,607,388 ÷ 10,968,139 = 1.97

Solvency ratio Description The company
Adjusted financial leverage A measure of financial leverage calculated as adjusted total assets divided by adjusted total equity.
Financial leverage is the extent to which a company can effect, through the use of debt, a proportional change in the return on common equity that is greater than a given proportional change in operating income.		 EQT Corp. adjusted financial leverage ratio increased from 2019 to 2020 and from 2020 to 2021.

Adjusted Return on Equity (ROE)

Microsoft Excel
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
As Reported
Selected Financial Data (US$ in thousands)
Net income (loss) attributable to EQT Corporation (1,155,759) (967,166) (1,221,695) (2,244,568) 1,508,529
Common shareholders’ equity 10,029,527 9,255,240 9,803,588 10,958,229 13,319,618
Profitability Ratio
ROE1 -11.52% -10.45% -12.46% -20.48% 11.33%
Adjusted for Deferred Taxes
Selected Financial Data (US$ in thousands)
Adjusted net income (loss) attributable to EQT Corporation (1,589,367) (1,123,006) (1,496,758) (2,381,568) 414,446
Adjusted common shareholders’ equity 10,968,139 10,627,207 11,289,402 12,781,610 15,209,580
Profitability Ratio
Adjusted ROE2 -14.49% -10.57% -13.26% -18.63% 2.72%

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

2021 Calculations

1 ROE = 100 × Net income (loss) attributable to EQT Corporation ÷ Common shareholders’ equity
= 100 × -1,155,759 ÷ 10,029,527 = -11.52%

2 Adjusted ROE = 100 × Adjusted net income (loss) attributable to EQT Corporation ÷ Adjusted common shareholders’ equity
= 100 × -1,589,367 ÷ 10,968,139 = -14.49%

Profitability ratio Description The company
Adjusted ROE A profitability ratio calculated as adjusted net income divided by adjusted shareholders’ equity. EQT Corp. adjusted ROE improved from 2019 to 2020 but then deteriorated significantly from 2020 to 2021.

Adjusted Return on Assets (ROA)

Microsoft Excel
Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
As Reported
Selected Financial Data (US$ in thousands)
Net income (loss) attributable to EQT Corporation (1,155,759) (967,166) (1,221,695) (2,244,568) 1,508,529
Total assets 21,607,388 18,113,469 18,809,227 20,721,344 29,522,604
Profitability Ratio
ROA1 -5.35% -5.34% -6.50% -10.83% 5.11%
Adjusted for Deferred Taxes
Selected Financial Data (US$ in thousands)
Adjusted net income (loss) attributable to EQT Corporation (1,589,367) (1,123,006) (1,496,758) (2,381,568) 414,446
Total assets 21,607,388 18,113,469 18,809,227 20,721,344 29,522,604
Profitability Ratio
Adjusted ROA2 -7.36% -6.20% -7.96% -11.49% 1.40%

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

2021 Calculations

1 ROA = 100 × Net income (loss) attributable to EQT Corporation ÷ Total assets
= 100 × -1,155,759 ÷ 21,607,388 = -5.35%

2 Adjusted ROA = 100 × Adjusted net income (loss) attributable to EQT Corporation ÷ Total assets
= 100 × -1,589,367 ÷ 21,607,388 = -7.36%

Profitability ratio Description The company
Adjusted ROA A profitability ratio calculated as adjusted net income divided by adjusted total assets. EQT Corp. adjusted ROA improved from 2019 to 2020 but then slightly deteriorated from 2020 to 2021 not reaching 2019 level.