Northern Oil and Gas (NOG) Q2 2026 earnings summary

Executive summary

• Achieved 9% year-over-year production growth in Q2 2026, reaching 145,659 Boe/d with record natural gas output up 35% year-over-year and 3.5% sequentially.

• Adjusted EBITDA was $401.0 million, up 17% sequentially, and Free Cash Flow reached $159.0 million, up 424% sequentially and 26% year-over-year.

• Net income for Q2 2026 was $236.6 million, with Adjusted Net Income at $122.5 million.

• Strategic acquisitions in the Duvernay (Canada) and Utica (Ohio) basins expanded the footprint, adding 20 years of inventory and high-quality light oil exposure.

• Repurchased 2.95 million shares (~3% of outstanding) and increased the authorized share repurchase program to $243 million.

Financial highlights

• Q2 2026 total revenues were $745.2 million, with oil and gas sales at $670.8 million and net income per diluted share at $2.19.

• Lease operating costs were $127.1 million ($9.59/Boe), down 4% per unit year-over-year.

• Adjusted EBITDA margin was approximately 60%–68.3%; Free Cash Flow margin was approximately 24%.

• Net debt/Adjusted EBITDA improved to 1.31x; total liquidity exceeded $1 billion at quarter end.

• Q2 2026 EPS was $2.24 (basic), $2.19 (diluted); Adjusted ROCE reached 12.7%.

Outlook and guidance

• Full-year 2026 production guidance reiterated at 143,000–148,000 Boe/d and 71,500–73,500 Bbls/d oil.

• Capital expenditures guidance remains $850–$900 million, with 74.0–76.0 net wells expected to be turned in line.

• LOE guidance is $9.70–$9.80/Boe; oil differential to NYMEX WTI ($5.00–$5.40/Bbl); gas realization 70%–75% of Henry Hub.

• Management expects sufficient liquidity to fund capital expenditures and operations for at least the next 12 months.

• Continued robust hedging program, with ~80% of crude oil and ~60% of natural gas production hedged for H1 2026.