EQT Corp. (NYSE:EQT)

Sales of natural gas, natural gas liquids and oil

The company's sales exhibited a generally increasing trend between 2005 and 2014, rising from approximately 1.25 billion USD in 2005 to a peak of over 2.13 billion USD in 2014. Following this peak, sales declined to around 1.59 billion USD in 2016 before experiencing a significant surge thereafter, reaching 4.70 billion USD in 2018. This was followed by a decrease in 2019 and 2020, with sales declining to about 2.65 billion USD in 2020. A substantial increase was observed again in 2021, where sales recorded a high of approximately 6.80 billion USD. This indicates volatility with periods of rapid growth interspersed with notable declines.

Operating income (loss)

Operating income displayed an upward trend from 2005 through 2011, increasing from approximately 343 million USD to a peak of over 861 million USD in 2011. Post-2011, operating income became more volatile with a sharp decline in 2016 resulting in an operating loss of 278 million USD. Another peak occurred in 2017, with operating income reaching roughly 933 million USD. However, this was followed by negative operating results in 2018 through 2021, reflecting operating losses of varying magnitudes, including a significant loss exceeding 2.78 billion USD in 2018. The negative trend in operating income from 2018 onwards suggests challenges with profitability at the operational level during this period.

Net income (loss) attributable to EQT Corporation

Net income demonstrated fluctuation throughout the years, with positive earnings in the early period from 2005 to 2014, including a peak of approximately 479 million USD in 2011. In 2015, net income sharply declined into a net loss of approximately 453 million USD. A recovery was apparent in 2017, with net income rising to about 1.51 billion USD, the highest recorded in the period. Nonetheless, the following years from 2018 to 2021 witnessed consistent net losses, with significant negative values peaking at -2.24 billion USD in 2018. This volatility, particularly the steep swings from profit to loss, reflects substantial financial instability and exposure to factors adversely affecting profitability.

The analysis of the annual financial data reveals several notable trends in both current assets and total assets over the period from 2005 to 2021.

Current Assets

Current assets exhibit considerable volatility, with peaks and troughs across the years. Starting at approximately 1,097 million in 2005, current assets dropped sharply in 2006 to around 701 million and then experienced modest fluctuations until 2010.

A significant increase occurred in 2011, reaching about 1,690 million, followed by a decline and irregular movements in the subsequent years. The data shows another peak in 2014 at approximately 1,904 million, after which a general downward trend is observed until 2020.

In 2021, current assets reversed the prior downward trend, surging to roughly 2,287 million, marking the highest value in the reported period. This indicates a strong accumulation of liquid or near-liquid assets towards the end of the timeframe.

Total Assets

Total assets demonstrate a more consistent growth trend with some fluctuations. Values commenced at about 3,342 million in 2005, followed by a slight decrease in 2006 and a steady increase through 2008 to 2011, peaking at approximately 8,772 million in 2011.

The upward momentum continued, reaching around 15,473 million in 2016. A substantial jump is evident in 2017 with total assets more than doubling to nearly 29,523 million, an anomaly that suggests significant asset acquisition or revaluation.

From 2018 onwards, total assets declined to approximately 18,109 million by 2020, but rebounded in 2021 to about 21,607 million, indicating some recovery or asset base expansion following the decrease.

Overall, current assets appear more variable and sensitive to short-term operational changes, while total assets reflect long-term growth punctuated by a major increase in 2017 and subsequent adjustments. The 2017 spike in total assets, coupled with relatively stable or declining current assets in some subsequent years, could suggest strategic shifts such as acquisitions, capital investments, or accounting reclassifications affecting the asset base.

The analysis of the financial data reveals several notable trends in the company's liabilities, debt, and equity over the period examined.

Current Liabilities

Current liabilities exhibit considerable fluctuation throughout the years. Initially, there is a significant decrease from approximately 2,092,496 thousand USD at the end of 2005 to around 612,674 thousand USD by the end of 2009. This downward trend reverses subsequently, with current liabilities increasing to a peak of about 2,355,001 thousand USD in 2018, before falling again to approximately 508,017 thousand USD at the end of 2021. The fluctuations suggest variability in the company’s short-term obligations, potentially indicating changes in working capital management or operational financing strategies.

Total Liabilities

Total liabilities data begins from 2007, showing a steady increase from roughly 2,839,499 thousand USD in 2007 to a notably high level of approximately 11,107,991 thousand USD by the end of 2017. This peak is followed by a slight decrease and stabilization near 9,005,639 to 11,561,625 thousand USD in the years after 2017, indicating a period of expansion in overall obligations followed by stabilization. The growth pattern may reflect increasing financial leverage or investments funded through liabilities.

Total Debt

Total debt demonstrates an overall increasing trend with some periods of decline. Starting at about 1,131,734 thousand USD in 2005, it rises to a peak of 7,331,554 thousand USD in 2017. Thereafter, debt levels decrease to around 4,925,466 thousand USD in 2020, but show a moderate increase again by the end of 2021 to approximately 5,485,002 thousand USD. This pattern suggests the company expanded its indebtedness significantly up to 2017, then undertook some debt reduction or repayment activities before moderately increasing leverage again.

Common Shareholders’ Equity

Shareholders’ equity shows a general upward trend over the entire period. From 354,468 thousand USD in 2005, equity increases steadily to reach a peak of about 13,319,618 thousand USD in 2017. After this peak, there is a decline until 2020, followed by a slight recovery to about 10,029,527 thousand USD at the end of 2021. The considerable growth until 2017 suggests accumulation of retained earnings or capital increases, indicating enhanced net asset value. The subsequent decrease followed by partial recovery may reflect market conditions, dividend policies, or accounting events affecting equity.

Overall, the data reflect a company that underwent significant growth and expansion up to 2017, as indicated by rising liabilities, debt, and equity. Post-2017, the company appears to have focused on deleveraging and stabilizing its financial position, as evidenced by reductions in total liabilities and debt and some decline in shareholders' equity, followed by partial stabilization. The fluctuations in current liabilities and equity suggest dynamic adjustments in both short-term financial management and shareholder value during the entire period.

The analysis of cash flow activities over the examined period reveals several significant trends and shifts in the financial dynamics.

Operating Activities

Net cash provided by operating activities demonstrates a generally positive and upward trend, starting with a negative value in 2005 and turning positive from 2006 onward. Notably, the cash inflows from operating activities increased significantly over the years, peaking in 2018 at approximately 2.98 billion US dollars. Despite some fluctuations, the figures remain robust, indicating improving operational cash generation capacity over time. The years 2019 through 2021 maintain a strong level, with values above 1.5 billion US dollars, suggesting stability in core business cash flows.

Investing Activities

Cash flows from investing activities consistently show negative values from 2006 onwards, indicative of ongoing capital investments or asset acquisitions exceeding disposals. The initial year 2005 reported a positive inflow, but subsequent years reflect substantial cash outflows, with peaks in 2017 and 2018 at around -4.13 billion and -3.98 billion US dollars, respectively. These heavy investments appear to represent significant capital expenditures or strategic asset growth, though the outflows decrease somewhat in the last few years (2019–2021), yet remain substantial.

Financing Activities

Financing cash flows show considerable variability throughout the period. There is a period of negative cash flow from financing activities in 2006 and 2012, suggesting possible debt repayments or dividend distributions exceeding capital inflows. However, most years reflect positive cash inflows, indicating active financing through debt issuance or equity. The most substantial inflows are observed between 2013 and 2015, with a peak near 1.83 billion US dollars in 2015. The data from 2019 to 2021 show a recovery in financing cash flows after a negative dip in 2019, pointing toward renewed borrowing or capital raising activities.

Overall, the pattern exhibits a company generating increasing operational cash flows, undertaking substantial investing outlays typically financed by fluctuating but generally positive cash inflows from financing activities. This behavior aligns with a growth or capital-intensive phase supported by external financing and strong operational performance.

Earnings Per Share (Basic and Diluted)

The basic earnings per share exhibited fluctuations over the analyzed period from 2005 to 2021. Initially, the earnings remained relatively stable with moderate variations, peaking at 3.21 in 2011 before experiencing a noticeable decline. A significant drop was observed starting in 2014, where earnings fell sharply, even turning negative from 2016 onwards. The most pronounced negative value occurred in 2018 with a basic earnings per share of -8.6. This negative trend continued through 2021, with earnings per share figures remaining below zero. The diluted earnings per share followed a closely similar pattern, mirroring the basic earnings per share fluctuations almost identically.

Dividend Per Share

The dividend per share maintained a steady payout of 0.82 to 0.88 US dollars from 2005 through 2012. Starting in 2013, there was a substantial reduction in dividend payments to 0.12 US dollars per share, which remained constant until 2020. In 2021, a further reduction occurred, dropping to 0.03 US dollars per share, and ultimately the data shows no dividend payment for that year. This downward trend in dividends aligns with the decline in earnings observed during the latter years, indicating potential financial constraints or a strategic decision to preserve capital amid challenging earnings performance.