Key Highlights

• Oil volumes of 165.5 MBopd exceeded the top end of Q3 guidance, with FY26 oil volumes raised ~1% to 162.5 MBopd

• Adjusted Free Cash Flow reached $442 million, with FY26 estimates increased by approximately $200 million since August

• The company returned Capital through a $1.30/share base Dividend and $205 million in share repurchases during Q3

• Announced divestiture of non-operated Marcellus Assets for gross consideration of $550.0 million

Chord Energy Corporation(NASDAQ:CHRD), a Houston-based exploration and production company focused primarily on the Williston Basin, reported its third quarter 2026 financial and operating results on November 4, 2026, delivering production volumes above guidance, generating significant cash flow, and advancing a series of capital allocation and operational optimization initiatives.

Production Beats Expectations

Oil volumes for Q3 2026 reached 165.5 thousand barrels of oil per day (MBopd), coming in above the top end of the company's guidance range. Natural Gas and NGL volumes also exceeded the high end of guidance. The outperformance led Chord Energy to raise its full-year 2026 oil Volume estimate by approximately 1% to 162.5 MBopd.

Capital expenditures for the quarter were $371 million, after excluding $4.5 million in reimbursable non-operated CapEx and $6.0 million in reimbursable Marcellus CapEx, which placed spending slightly below the midpoint of guidance. Oil differentials were more favorable than expected, as were natural gas and NGL price realizations.

The company successfully executed and brought online 24 additional four-mile lateral wells across five pads during the quarter, and management noted continuing benefits from base production optimization that has driven volumes above the initial 2026 plan.

Cash Flow and Financial Performance

Net cash provided by Operating Activities was $781.4 million. Adjusted EBITDA reached $871.3 million, while Adjusted Free Cash Flow totaled $442 million. Net Income was $181.6 million, or $3.29 per diluted share, and Adjusted Net Income was $332.9 million, or $6.08 per diluted share.

The company's FY26 Adjusted Free Cash Flow expectations increased by approximately $200 million since the August outlook, driven by the operational outperformance, favorable realizations, and cost optimization efforts.

Shareholder Returns and Asset Optimization

Chord Energy returned capital through its $1.30 per share base dividend and $205 million of share repurchases at an average price of $135.74 per share during Q3. An additional $78 million in shares were repurchased in Q4 2026 as of October 30, at an average price of $146.84 per share.

The company also announced the divestiture of its non-operated Marcellus assets for total gross consideration of $550.0 million, including a $55.0 million deposit received during Q3. Closing is expected in Q4 2026. This divestiture reflects the company's strategy of concentrating its capital and operational focus on its core Williston Basin position.

On the Marketing side, Chord executed numerous third-party marketing agreements year-to-date, which are expected to deliver $35 million to $55 million in annualized Adjusted Free Cash Flow savings over time. Expected annual run-rate savings now total $225 million, more than double the amount anticipated in the initial 2025 update.

The Road Ahead

Chord Energy's Q3 results underscore the company's focus on capital discipline, base production performance, and efficiency gains. With rising free cash flow estimates, an active share repurchase program, and the pending Marcellus divestiture, the company is positioning its Balance Sheet and asset portfolio for a more concentrated, Williston-centric operating model heading into 2027. The sustainability of the base production improvements and the ultimate realization of marketing optimization savings will be among the key factors to monitor.