On November 2, 2023, Southwestern Energy Co (SWN, Financial) announced its financial and operating results for the third quarter ended September 30, 2023. The company reported a net income of $45 million, an adjusted net income of $106 million, and an adjusted EBITDA of $513 million. The net cash provided by operating activities amounted to $477 million, and the free cash flow was $23 million.
Financial Performance
For the third quarter of 2023, SWN recorded a net income of $45 million, or $0.04 per diluted share. Excluding one-time items, the adjusted net income was $106 million, or $0.10 per diluted share, and the adjusted EBITDA was $513 million. The net cash provided by operating activities and net cash flow were both $477 million, and the free cash flow was $23 million.
As of September 30, 2023, the company's total debt stood at $4.1 billion, down from $4.4 billion at the end of 2022. The net debt to adjusted EBITDA was 1.6x. At the end of the quarter, the company had $388 million of borrowings under its revolving credit facility and no outstanding letters of credit.
Operational Results
Total net production for the quarter ended September 30, 2023, was 425 Bcfe, of which 86% was natural gas, 12% NGLs, and 2% oil. Capital investments totaled $454 million for the third quarter of 2023 with 24 wells drilled, 25 wells completed, and 23 wells placed to sales.
Outlook
Based on current market conditions, Southwestern expects fourth quarter production and price differentials to be within certain ranges. Additionally, the company updates full year oil differential guidance to $10 to $13 per barrel discount to WTI.
Southwestern Energy will host a conference call and webcast on Friday, November 3, 2023, at 10:00 a.m. Central to discuss third quarter 2023 results.
Explore the complete 8-K earnings release (here) from Southwestern Energy Co for further details.
