EQT Corp. (NYSE:EQT)

The data shows the values of current assets and adjusted current assets of the company over a five-year period from the end of 2017 through the end of 2021. Both financial items are measured in thousands of US dollars.

Current assets

Current assets exhibited a general upward trend across the five-year period, beginning at approximately $1.16 billion in 2017 and rising to around $2.29 billion by the end of 2021. The most notable increase occurred between 2020 and 2021, where the value rose sharply from about $1.22 billion to nearly $2.29 billion, showing a significant liquidity enhancement. However, there was a decline in 2020 compared to 2019, where current assets decreased from approximately $1.75 billion to $1.22 billion, reflecting a contraction during that year.

Adjusted current assets

Adjusted current assets closely mirrored the trend of current assets, maintaining slightly higher values in each year. Starting at approximately $1.17 billion in 2017, adjusted current assets increased steadily over the period, reaching roughly $2.29 billion by the end of 2021. Similar to current assets, the adjusted version saw a decrease in 2020 compared to 2019, then a pronounced increase in 2021. The adjustment appears to have added a marginal amount to the reported current assets, with the adjustment difference remaining relatively consistent across the years.

Overall, the data indicates that the company's liquidity position, as measured by current and adjusted current assets, improved notably in the most recent year after a dip in 2020. The adjusted figures suggest slight refinements to the reported current assets but follow the same general trend pattern. This upward trend in 2021 may reflect improved operational efficiency, asset management, or other positive developments impacting the company's short-term financial resources.

The analysis of the annual financial data reveals notable trends in the total and adjusted total assets of the company over the five-year period from 2017 to 2021.

Total Assets

The total assets experienced a significant decline from 29,522,604 thousand US dollars in 2017 to 18,109,469 thousand US dollars in 2020. This represents a reduction of approximately 38.6% over three years. However, in 2021, there was a reversal of this downward trend, with total assets increasing to 21,607,388 thousand US dollars, indicating a partial recovery.

Adjusted Total Assets

The adjusted total assets followed a pattern nearly identical to that of total assets. Starting at 29,726,314 thousand US dollars in 2017, they decreased steadily to 18,119,708 thousand US dollars in 2020. Like total assets, there was an increase in 2021, with adjusted total assets rising to 21,607,709 thousand US dollars.

Overall, the data indicates a period of contraction in asset base from 2017 through 2020, followed by a resurgence in 2021. The close alignment between total assets and adjusted total assets throughout the period suggests consistency in the accounting or adjustment methodologies applied. The increase in assets in 2021 after several years of decline may reflect strategic asset acquisitions, valuation changes, or improved operational conditions. Further investigation into underlying causes would be necessary to confirm these hypotheses.

Total liabilities

The total liabilities exhibit a decreasing trend from the end of 2017 through 2020, reducing from approximately 11.1 billion US dollars to about 8.85 billion US dollars. However, in 2021, there is a notable increase, with total liabilities rising sharply to approximately 11.56 billion US dollars, surpassing the 2017 level.

Adjusted total liabilities

Adjusted total liabilities follow a similar pattern, decreasing steadily from about 9.41 billion US dollars in 2017 to approximately 7.48 billion US dollars in 2020. Thereafter, a significant increase occurs in 2021, reaching approximately 10.62 billion US dollars, which exceeds the figures recorded in previous years within the period observed.

Overall trend and insights

Both total and adjusted total liabilities demonstrate a consistent downward trajectory over the four-year period ending in 2020, indicating effective management efforts to reduce liabilities during these years. The sharp rise in 2021 suggests a reversal of this trend, which may reflect increased borrowing, investment, or other liabilities arising in that year. This significant uptick warrants further investigation to understand the underlying factors contributing to the increase in liabilities at the end of the most recent fiscal year.

The financial data reveals a downward trend in common shareholders’ equity over the initial four-year period, with values declining from approximately $13.3 billion at the end of 2017 to around $9.3 billion by the end of 2020. This represents a significant reduction in equity value, indicating potential challenges or strategic decisions impacting shareholder equity during these years. In 2021, a reversal in this trend occurred, with common shareholders’ equity increasing to about $10.0 billion, suggesting a partial recovery or positive developments in that fiscal year.

Adjusted total equity exhibits a more pronounced decrease from the end of 2017 to 2019, dropping from roughly $20.3 billion to nearly $11.3 billion. This sharp decline may reflect adjustments for items not captured in common shareholders’ equity or other comprehensive income components. The adjusted total equity continues to decrease into 2020, albeit at a slower rate, reaching approximately $10.6 billion. In 2021, this figure shows a slight improvement to around $11.0 billion, aligning with the observed recovery in common shareholders’ equity.

The patterns suggest that the company underwent a period of equity contraction over four years, potentially due to operational, financial, or market pressures. The partial equity restoration in 2021 signals a stabilization or improvement in the company's financial position. The disparity between common shareholders’ equity and adjusted total equity across the years highlights the impact of adjustments made for comprehensive income or other equity-related factors.

The financial data over the five-year period reveals notable trends in the company's debt, equity, and capital structure. Both reported and adjusted figures are considered to provide a comprehensive assessment.

Debt Trends

Total reported debt shows an overall decline from 5,997,329 thousand US dollars at the end of 2017 to 4,925,466 thousand in 2020, followed by an increase in 2021 to 5,485,002 thousand. Similarly, adjusted total debt decreases from 6,193,259 thousand in 2017 to 4,975,379 thousand in 2020 but rises again in 2021 to 5,537,714 thousand. This pattern suggests a strategic reduction in debt until 2020, with a renewed increase in the last year observed. The slight divergence between reported and adjusted debt values remains consistent, with adjusted debt always slightly higher, indicating adjustments for financial considerations beyond the reported figures.

Equity Trends

Common shareholders’ equity consistently declines from 13,319,618 thousand in 2017 to its lowest point of 9,255,240 thousand at the end of 2020, but recovers somewhat in 2021 to 10,029,527 thousand. The adjusted total equity displays a more pronounced decline from 20,312,355 thousand in 2017 to 10,640,936 thousand in 2020, followed by a modest increase to 10,984,696 thousand in 2021. The sharper decrease in adjusted equity compared to common shareholders’ equity could reflect adjustments for comprehensive income or other equity components not included in the common equity measure. Overall, both measures indicate a weakening equity base through 2020, with signs of stabilization and modest recovery in 2021.

Capital Structure Trends

Total reported capital, representing the sum of shareholders’ equity and debt, steadily declines from 19,316,947 thousand in 2017 to 14,180,706 thousand in 2020, with a rebound to 15,514,529 thousand in 2021. Adjusted total capital follows a similar pattern, decreasing from 26,505,614 thousand in 2017 to 15,616,315 thousand in 2020 and rising to 16,522,410 thousand in 2021. This trend points to an overall contraction in capital employed during the first four years with a subsequent increase in the final year, potentially reflecting changes in asset base, financing strategies, or market conditions.

Overall Insights

From 2017 through 2020, there is a clear pattern of reduction across debt, equity, and total capital, indicating a period of deleveraging, contraction, or capital restructuring. The partial reversal of these trends in 2021 suggests a strategic shift or response to external factors, leading to increased borrowing and a strengthening or repositioning of the equity base. Adjusted figures consistently exceed reported ones in debt and capital, highlighting the presence of financial adjustments that impact the total assessed financial position. This comprehensive view emphasizes dynamic capital management reflective of evolving corporate strategy or market conditions during the period reviewed.

The financial data reveals significant volatility and persistent negative performance in net income and adjusted net income over the analyzed period.

Net Income (Loss) Attributable to EQT Corporation

An initial positive net income of approximately 1.5 billion US dollars was recorded at the end of 2017. However, the following years saw substantial losses, with negative figures reported consecutively from 2018 through 2021. The losses peaked in 2018 with a deficit of approximately 2.24 billion US dollars, followed by somewhat smaller but still significant losses in subsequent years, with values around -1.22 billion in 2019, -967 million in 2020, and -1.16 billion in 2021.

This trend indicates a marked deterioration in profitability beginning in 2018, with no signs of recovery through 2021. The scale of losses suggests persistent operational or market challenges impacting overall earnings.

Adjusted Net Income (Loss)

The adjusted net income figures parallel the trends observed in net income, starting at approximately 288 million US dollars in 2017 before plunging into negative territory in 2018 and remaining negative thereafter. Similar to net income, the most severe loss occurs in 2018, with an adjusted net loss around 2.52 billion US dollars. The subsequent years show continued losses: approximately -1.50 billion in 2019, -1.12 billion in 2020, and -1.59 billion in 2021.

Adjusted net income losses consistently exceed net income losses during this period, particularly in 2018 and 2021, suggesting that certain adjustments made for non-recurring or non-cash items may exacerbate the underlying profitability challenges. The lack of a positive adjusted net income after 2017 points toward ongoing fundamental difficulties.

In summary, both net income and adjusted net income demonstrate a downward trend from profitability in 2017 to sustained heavy losses thereafter. The financial data indicates fundamental issues affecting earnings capacity, with no evident recovery or improvement in profitability up to the end of 2021.