FIRST QUARTER 2026 FINANCIAL AND OPERATING RESULTS
FRISCO, TEXAS, May 5, 2026 – Comstock Resources, Inc. ("Comstock" or the "Company") (NYSE; NYSE Texas: CRK) today reported financial and operating results for the quarter ended March 31, 2026.
Highlights of 2026's First Quarter
•
First quarter 2026 financial results:
•
Natural gas and oil sales, including realized hedging losses, were $339 million for the quarter.
•
Operating cash flow was $192 million or $0.66 per share.
•
Adjusted EBITDAX for the quarter was $251 million.
•
Adjusted net income was $44 million or $0.15 per share for the quarter.
•
Turned six Western Haynesville wells to sales in the first quarter with an average lateral length of 10,874 feet and an average per well initial production rate of 29 MMcf per day.
•
Turned ten Legacy Haynesville wells to sales during the first quarter with an average lateral length of 12,312 feet and an average per well initial production rate of 31 MMcf per day.
Financial Results for the Three Months Ended March 31, 2026
Comstock's natural gas and oil sales in the first quarter of 2026 were $338.6 million (including realized hedging losses of $80.4 million). Operating cash flow (excluding changes in working capital) generated in the first quarter of 2026 was $191.9 million, and net income for the first quarter was $112.5 million or $0.38 per diluted share. The net income in the quarter included a pre-tax $82.8 million unrealized gain on hedging contracts held for price risk management resulting from the change in future natural gas prices since the fourth quarter of 2025. Excluding this item, exploration expense and gain from sale of assets, adjusted net income for the first quarter of 2026 was $44.5 million, or $0.15 per diluted share.
Comstock's production cost per Mcfe in the first quarter averaged $0.93 per Mcfe, which was comprised of $0.43 for gathering and transportation costs, $0.29 for lease operating costs, $0.10 for production and other taxes and $0.11 for cash general and administrative expenses. Comstock's unhedged operating margin was 78% in the first quarter of 2026 and 73% after hedging.
Drilling Results
Comstock drilled 17 (15.3 net) operated horizontal Haynesville/Bossier shale wells in the first quarter of 2026, which had an average lateral length of 10,714 feet. Comstock turned 13 (11.7 net) operated wells to sales in the first quarter of 2026.
Since its last operational update in February 2026, Comstock has turned 16 (14.6 net) operated Haynesville/Bossier shale wells to sales. These wells had initial production rates that averaged 30 MMcf per day. The completed lateral length of these wells averaged 11,773 feet.
Included in the wells turned to sales were six more successful Western Haynesville wells:
Well
Vertical
Depth
(feet)
Completed
Lateral (feet)
Initial
Production
Rate (MMcf
per day)
Hutto Rodell #1
17,408
8,261
20
Bumpurs BHGJ #1
16,074
12,341
32
Bumpurs NMH #1
14,272
11,325
32
Pollard MBK #1
15,850
11,249
25
Pollard TFG #1
14,427
12,710
31
Kiker BK #1
17,956
9,355
35
Earnings Call Information
Comstock has planned a conference call for 10:00 a.m. Central Time on May 6, 2026, to discuss the first quarter 2026 operational and financial results. Investors wishing to listen should visit the Company's website at www.comstockresources.com for a live webcast. Investors wishing to participate in the conference call telephonically will need to register at:
Upon registering to participate in the conference call, participants will receive the dial-in number and a personal PIN number to access the conference call. On the day of the call, please dial in at least 15 minutes in advance to ensure a timely connection to the call. The conference call will also be broadcast live in listen-only mode and can be accessed via the website URL: https://edge.media-server.com/mmc/p/p77w7mi4.
If you are unable to participate in the original conference call, a web replay will be available for twelve months beginning at 1:00 p.m. CT on May 6, 2026. The replay of the conference can be accessed using the webcast link: https://edge.media-server.com/mmc/p/p77w7mi4.
This press release may contain "forward-looking statements" as that term is defined in the Private Securities Litigation Reform Act of 1995. Such statements are based on management's current expectations and are subject to a number of factors and uncertainties which could cause actual results to differ materially from those described herein. Although the Company believes the expectations in such statements to be reasonable, there can be no assurance that such expectations will prove to be correct. Information concerning the assumptions, uncertainties and risks that may affect the actual results can be found in the Company's filings with the Securities and Exchange Commission ("SEC") available on the Company's website or the SEC's website at sec.gov.
Comstock Resources, Inc. is a leading independent natural gas producer with operations focused on the development of the Haynesville shale in North Louisiana and East Texas. The Company's stock is traded on the NYSE and the NYSE Texas under the symbol CRK.
COMSTOCK RESOURCES, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share amounts)
Three Months Ended March 31,
2026
2025
Revenues:
Natural gas sales
$
418,275
$
412,286
Oil sales
758
702
Total natural gas and oil sales
419,033
412,988
Gas services
166,501
99,866
Gain on sale of assets
1,820
—
Total revenues and other operating income
587,354
512,854
Operating expenses:
Production and ad valorem taxes
10,425
11,179
Gathering and transportation
41,804
42,617
Lease operating
28,281
35,000
Exploration
9,343
2,150
Depreciation, depletion and amortization
141,532
167,891
Gas services
162,856
116,769
General and administrative
18,222
11,080
Total operating expenses
412,463
386,686
Operating income
174,891
126,168
Other Expenses:
Gain (loss) from derivative financial instruments
2,396
(330,339
)
Other income
263
339
Interest expense
(53,061
)
(54,837
)
Total other expenses
(50,402
)
(384,837
)
Income (loss) before income taxes
124,489
(258,669
)
(Provision for) benefit from income taxes
(11,990
)
143,276
Net income (loss)
112,499
(115,393
)
Net income attributable to noncontrolling interest
(5,049
)
(5,885
)
Net income (loss) available to the Company
$
107,450
$
(121,278
)
Net income (loss) per share:
Basic
$
0.38
$
(0.40
)
Diluted
$
0.38
$
(0.40
)
Weighted average shares outstanding:
Basic
291,317
290,303
Diluted
291,317
290,303
COMSTOCK RESOURCES, INC.
OPERATING RESULTS
(In thousands, except per unit amounts)
Three Months Ended March 31,
2026
2025
Natural gas production (MMcf)
97,855
115,029
Oil production (Mbbls)
11
10
Total production (MMcfe)
97,919
115,091
Natural gas sales
$
418,275
$
412,286
Natural gas hedging settlements (1)
(80,388
)
(7,959
)
Total natural gas including hedging
337,887
404,327
Oil sales
758
702
Total natural gas and oil sales including hedging
$
338,645
$
405,029
Average natural gas price (per Mcf)
$
4.27
$
3.58
Average natural gas price including hedging (per Mcf)
$
3.45
$
3.52
Average oil price (per barrel)
$
68.91
$
70.20
Average price (per Mcfe)
$
4.28
$
3.59
Average price including hedging (per Mcfe)
$
3.46
$
3.52
Production and ad valorem taxes
$
10,425
$
11,179
Gathering and transportation
41,804
42,617
Lease operating
28,281
35,000
Cash general and administrative (2)
10,778
6,640
Total production costs
$
91,288
$
95,436
Production and ad valorem taxes (per Mcfe)
$
0.10
$
0.10
Gathering and transportation (per Mcfe)
0.43
0.37
Lease operating (per Mcfe)
0.29
0.30
Cash general and administrative (per Mcfe)
0.11
0.06
Total production costs (per Mcfe)
$
0.93
$
0.83
Unhedged operating margin
78
%
77
%
Hedged operating margin
73
%
76
%
Gas services revenue
$
166,501
$
99,866
Gas services expenses
162,856
116,769
Gas services margin
$
3,645
$
(16,903
)
Natural Gas and Oil Capital Expenditures:
Unproved property acquisitions
$
19,040
$
9,684
Total natural gas and oil properties acquisitions
$
19,040
$
9,684
Exploration and Development:
Development leasehold
$
3,368
$
3,556
Exploratory drilling and completion
174,775
100,107
Development drilling and completion
158,559
145,578
Other development costs
6,570
515
Total exploration and development capital expenditures
$
343,272
$
249,756
(1)
Included in gain (loss) from derivative financial instruments in operating results.
(2)
Excludes stock-based compensation.
COMSTOCK RESOURCES, INC.
NON-GAAP FINANCIAL MEASURES
(In thousands, except per share amounts)
Three Months Ended March 31,
2026
2025
ADJUSTED NET INCOME:
Net income (loss)
$
112,499
$
(115,393
)
Unrealized (gain) loss from derivative financial instruments
(82,784
)
322,380
Exploration expense
9,343
2,150
Gain on sale of assets
(1,820
)
—
Adjustment to income taxes
7,249
(155,292
)
Adjusted net income (1)
$
44,487
$
53,845
Adjusted net income per share (2)
$
0.15
$
0.18
Diluted shares outstanding
291,317
293,633
ADJUSTED EBITDAX:
Net income (loss)
$
112,499
$
(115,393
)
Interest expense
53,061
54,837
Income taxes
11,990
(143,276
)
Depreciation, depletion, and amortization
141,532
167,891
Exploration
9,343
2,150
Unrealized (gain) loss from derivative financial instruments
(82,784
)
322,380
Stock-based compensation
7,444
4,442
Gain on sale of assets
(1,820
)
—
Total Adjusted EBITDAX (3)
$
251,265
$
293,031
(1)
Adjusted net income is presented because of its acceptance by investors and by Comstock management as an indicator of the Company's profitability excluding non-cash unrealized gains and losses on derivative financial instruments, exploration expense and other unusual items.
(2)
Adjusted net income per share is calculated to include the dilutive effects of unvested restricted stock pursuant to the two-class method and performance stock units pursuant to the treasury stock method.
(3)
Adjusted EBITDAX is presented in the earnings release because management believes that adjusted EBITDAX, which represents Comstock's results from operations before interest, income taxes, and certain non-cash items, including depreciation, depletion and amortization, unrealized gains and losses on derivative financial instruments and exploration expense, is a common alternative measure of operating performance used by certain investors and financial analysts.
COMSTOCK RESOURCES, INC.
NON-GAAP FINANCIAL MEASURES
(In thousands)
Three Months Ended March 31,
2026
2025
OPERATING CASH FLOW (1):
Net income (loss)
$
112,499
$
(115,393
)
Reconciling items:
Unrealized (gain) loss from derivative financial instruments
(82,784
)
322,380
Deferred income taxes
11,990
(143,276
)
Depreciation, depletion and amortization
141,532
167,891
Amortization of debt discount and issuance costs
3,037
2,944
Stock-based compensation
7,444
4,442
Gain on sale of assets
(1,820
)
—
Operating cash flow
$
191,898
$
238,988
(Increase) decrease in accounts receivable
73,494
(33,660
)
Decrease in other current assets
9,199
559
Decrease in accounts payable and accrued expenses
(2,626
)
(31,141
)
Net cash provided by operating activities
$
271,965
$
174,746
Three Months Ended March 31,
2026
2025
FREE CASH FLOW (DEFICIT)(2):
Operating cash flow
$
191,898
$
238,988
Less:
Exploration and development capital expenditures
(343,272
)
(249,756
)
Midstream capital expenditures
(54,692
)
(48,668
)
Other capital expenditures
(60
)
(86
)
Contributions from midstream partner
—
59,500
Free cash deficit from operations
$
(206,126
)
$
(22
)
Acquisitions
(19,040
)
(9,684
)
Proceeds from divestitures
1,820
—
Free cash deficit after acquisition and divestiture activities
$
(223,346
)
$
(9,706
)
(1)
Operating cash flow is presented in the earnings release because management believes it to be useful to investors as a common alternative measure of cash flows which excludes changes to other working capital accounts.
(2)
Free cash deficit from operations and free cash deficit after acquisitions are presented in the earnings release because management believes them to be useful indicators of the Company's ability to internally fund acquisitions and debt maturities after exploration and development capital expenditures, midstream and other capital expenditures, contributions from its midstream partner, proved and unproved property acquisitions, and proceeds from divestitures of natural gas and oil properties.
COMSTOCK RESOURCES, INC.
CONSOLIDATED BALANCE SHEETS
(In thousands)
March 31, 2026
December 31, 2025
ASSETS
Cash and cash equivalents
$
14,785
$
23,930
Accounts receivable
169,051
242,545
Derivative financial instruments
50,178
19,206
Other current assets
56,050
75,257
Total current assets
290,064
360,938
Property and equipment, net
6,491,565
6,215,494
Goodwill
335,897
335,897
Operating lease right-of-use assets
83,112
94,733
Derivative financial instruments
39,058
—
$
7,239,696
$
7,007,062
LIABILITIES AND STOCKHOLDERS' EQUITY
Accounts payable
$
552,967
$
501,695
Accrued costs
100,810
153,248
Operating leases
43,263
46,937
Derivative financial instruments
14,882
27,636
Total current liabilities
711,922
729,516
Long-term debt
2,947,607
2,809,066
Deferred income taxes
449,088
437,098
Long-term operating leases
39,538
47,692
Asset retirement obligation
21,125
20,787
Total liabilities
4,169,280
4,044,159
Stockholders' Equity:
Common stock
146,848
146,527
Additional paid-in capital
1,378,963
1,376,053
Accumulated earnings
1,231,680
1,124,230
Total stockholders' equity attributable to Comstock
