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NEWS RELEASE
APA Corporation announces Third-Quarter 2025
financial and operational results

Key takeaways
•Reported production of 464,000 barrels of oil equivalent (BOE) per day; adjusted production, which excludes Egypt noncontrolling interest and tax barrels, was 387,000 BOE per day;
•Exceeded third-quarter reported production guidance in all three operating regions while delivering upstream capital and operating costs below guidance;
•Increased fourth-quarter Egypt natural gas production guidance on continued well outperformance and infrastructure utilization; increased fourth-quarter Permian oil production guidance on strong operational execution;
•Expect to achieve $350 million in run-rate controllable spend savings by year-end 2025, two years sooner than initially anticipated; established target for additional run-rate savings by year-end 2026; and
•Reduced net debt by $431 million during the quarter while returning $154 million to shareholders through dividends and share repurchases.

HOUSTON, Nov. 5, 2025 – APA Corporation (Nasdaq: APA) today announced its financial and operating results for the third quarter of 2025.
APA reported net income attributable to common stock of $205 million, or $0.57 per diluted share. When adjusted for items that impact the comparability of results, APA’s adjusted earnings were $332 million, or $0.93 per diluted share. Net cash provided by operating activities was $1.5 billion, and adjusted EBITDAX was $1.3 billion.
“Our strong third-quarter results demonstrate our continued focus on operational execution, disciplined cost management, and the delivery of our strategic priorities,” said John J. Christmann IV, APA’s chief executive officer. “Once again, we exceeded production guidance across all operating areas, continued to deliver cost savings initiatives ahead of schedule and further strengthened our balance sheet. We believe the progress we have achieved in 2025 is sustainable and provides great momentum for the future.”

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APA CORPORATION ANNOUNCES THIRD-QUARTER 2025
FINANCIAL AND OPERATIONAL RESULTS — PAGE 2 of 5
Third-quarter summary
Third-quarter reported production was 464,000 BOE per day and adjusted production, which excludes Egypt noncontrolling interest and tax barrels, was 387,000 BOE per day. U.S. oil production was 121,000 barrels per day, exceeding guidance on strong operational execution. Egypt production was also ahead of guidance, driven by the continued outperformance of natural gas well productivity and the optimization of existing infrastructure.
Upstream capital investment and lease operating expense (LOE) were below guidance, while G&A expense was in line with guidance. The company generated $339 million of free cash flow, returning $154 million to shareholders through dividends and share repurchases.
During the third quarter, APA reduced its net debt by approximately $430 million, driven by a combination of free cash flow generation and payments from Egypt. The company has reduced its net debt by nearly $2.3 billion since the third quarter of 2024, with a current net debt balance of roughly $4.0 billion.
Accelerated delivery of cost reduction initiatives and increased targets
With the continued momentum from its cost reduction initiatives, APA is once again accelerating and increasing its cost savings targets. The company now expects to achieve run-rate savings of $350 million by the end of 2025, two years sooner than originally anticipated. APA expects to recognize an additional $50 million to $100 million of run-rate savings by the end of 2026, spanning across development capital, LOE, and G&A.
The company is also increasing its anticipated realized savings target in 2025 to $300 million, compared to $200 million previously, driven by additional progress made on reducing drilling and completion (D&C) costs in the Permian and LOE in the North Sea.
“The accelerated delivery of our cost reduction initiatives reflects our organization’s commitment to continuous improvement,” Christmann said. “We have now established a sustainably lower cost structure, improving the quality of our investment opportunities while strengthening the resiliency of our portfolio.”


APA CORPORATION ANNOUNCES THIRD-QUARTER 2025
FINANCIAL AND OPERATIONAL RESULTS — PAGE 3 of 5
Fourth-quarter outlook

U.S. oil production guidance has been raised to 123,000 barrels-per-day following another quarter of strong execution. In Egypt, gross gas production is also expected to grow at a higher rate than previously anticipated. APA’s upstream capital investment in the fourth quarter is expected to be approximately $440 million, consistent with the company’s prior guidance issued in the second quarter.

Conference call

APA will host a conference call to discuss third-quarter 2025 results at 10 a.m. Central time, Thursday, Nov. 6. The conference call will be webcast from APA’s website, www.apacorp.com and investor.apacorp.com. Following the conference call, a replay will be available for one year on the “Investors” page of the company’s website.

About APA

APA Corporation owns consolidated subsidiaries that explore for and produce oil and natural gas in the United States, Egypt and the United Kingdom and that explore for oil and natural gas offshore Suriname and elsewhere. APA posts announcements, operational updates, investor information and press releases on its website, www.apacorp.com.

Additional information

Additional information follows, including reconciliations of adjusted earnings, adjusted EBITDAX, upstream capital investment, net debt, cash flows from operations before changes in operating assets and liabilities and free cash flow (non-GAAP financial measures) to GAAP measures and information regarding adjusted production. APA’s quarterly supplement is available at http://www.apacorp.com/financialdata.

Non-GAAP financial measures

APA’s financial information includes information prepared in conformity with generally accepted accounting principles (GAAP) as well as non-GAAP financial information. It is management’s intent to provide non-GAAP financial information to enhance understanding of our consolidated financial information as prepared in accordance with GAAP. Adjusted earnings, adjusted EBITDAX, upstream capital investment, net debt, cash flows from operations before changes in operating assets and liabilities and free cash flow are non-GAAP measures. This non-GAAP information should be considered by the reader in addition to, but not instead of, the financial statements prepared in accordance with GAAP. Each non-GAAP financial measure is presented along with the corresponding GAAP measure so as not to imply that more emphasis should be placed on the non-GAAP measure.


APA CORPORATION ANNOUNCES THIRD-QUARTER 2025
FINANCIAL AND OPERATIONAL RESULTS — PAGE 4 of 5
Forward-Looking Statements

This news release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements can be identified by words such as “anticipates,” “intends,” “plans,” “seeks,” “believes,” “continues,” “could,” “estimates,” “expects,” “goals,” “guidance,” “may,” “might,” “outlook,” “possibly,” “potential,” “projects,” “prospects,” “schedule,” “should,” “will,” “would,” and similar references to future periods, but the absence of these words does not mean that a statement is not forward-looking. These statements include, but are not limited to, statements about future plans, expectations, and objectives for operations, including statements about our capital plans, drilling plans, maintenance plans, production expectations, and run-rate and realized savings. While forward-looking statements are based on assumptions and analyses made by us that we believe to be reasonable under the circumstances, whether actual results and developments will meet our expectations and predictions depend on a number of risks and uncertainties which could cause our actual results, performance, and financial condition to differ materially from our expectations. See “Risk Factors” in APA’s Form 10-K for the year ended December 31, 2024, and in our quarterly reports on Form 10-Q for a discussion of risk factors that affect our business. Any forward-looking statement made in this news release speaks only as of the date on which it is made. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. APA and its subsidiaries undertake no obligation to publicly update any forward-looking statement, whether as a result of new information, future development or otherwise, except as may be required by law.

APA CORPORATION ANNOUNCES THIRD-QUARTER 2025
FINANCIAL AND OPERATIONAL RESULTS — PAGE 5 of 5
Cautionary note to investors

The United States Securities and Exchange Commission permits oil and gas companies, in their filings with the SEC, to disclose only proved, probable, and possible reserves that meet the SEC’s definitions for such terms. APA may use certain terms in this news release, such as “resources,” “potential resources,” “resource potential,” “estimated net reserves,” “recoverable reserves,” and other similar terms that the SEC guidelines strictly prohibit APA from including in filings with the SEC. Such terms do not take into account the certainty of resource recovery, which is contingent on exploration success, technical improvements in drilling access, commerciality, and other factors, and are therefore not indicative of expected future resource recovery and should not be relied upon. Investors are urged to consider carefully the disclosure in APA’s Annual Report on Form 10-K for the fiscal year ended Dec. 31, 2024, available from APA at www.apacorp.com or by writing APA at: 2000 W. Sam Houston Pkwy S, Ste. 200, Houston, TX 77042 (Attn: Corporate Secretary). You can also obtain this report from the SEC by calling 1-800-SEC-0330 or from the SEC’s website at www.sec.gov.

Contacts

Investor: (281) 302-2286
Media:  (713) 296-7276
Website: www.apacorp.com

APA-F

-end-



APA CORPORATION
STATEMENT OF CONSOLIDATED OPERATIONS
(Unaudited)
(In millions, except per share data)

For the Quarter EndedFor the Nine Months Ended
September 30,September 30,
2025202420252024
REVENUES AND OTHER:
Oil, natural gas, and natural gas liquids production revenues
Oil revenues$1,470 $1,797 $4,451 $5,136 
Natural gas revenues192 103 609 414 
Natural gas liquids revenues142 158 501 457 
1,804 2,058 5,561 6,007 
Purchased oil and gas sales311 473 1,368 1,018 
Total revenues2,115 2,531 6,929 7,025 
Derivative instrument gains (losses), net(97)(10)13 (17)
Gain on divestitures, net5 1 285 284 
Loss on previously sold Gulf of America properties— — — (83)
Other, net(5)18 15 26 
2,018 2,540 7,242 7,235 
OPERATING EXPENSES:
Lease operating expenses376 418 1,150 1,216 
Gathering, processing, and transmission110 123 318 328 
Purchased oil and gas costs184 292 962 665 
Taxes other than income51 70 179 205 
Exploration22 29 95 248 
General and administrative95 92 259 270 
Transaction, reorganization, and separation18 14 66 156 
Depreciation, depletion, and amortization:
Oil and gas property and equipment557 588 1,716 1,589 
Other assets8 7 22 24 
Asset retirement obligation accretion40 36 118 112 
Impairments— 1,111 — 1,111 
Financing costs, net46 100 55 276 
1,507 2,880 4,940 6,200 
NET INCOME (LOSS) BEFORE INCOME TAXES511 (340)2,302 1,035 
Current income tax provision100 260 638 845 
Deferred income tax provision (benefit)133 (461)303 (503)
NET INCOME (LOSS) INCLUDING NONCONTROLLING INTERESTS278 (139)1,361 693 
Net income attributable to noncontrolling interest73 84 206 243 
NET INCOME (LOSS) ATTRIBUTABLE TO COMMON STOCK$205 $(223)$1,155 $450 
NET INCOME (LOSS) PER COMMON SHARE:
Basic$0.57$(0.60)$3.20$1.30
Diluted$0.57$(0.60)$3.20$1.29
WEIGHTED-AVERAGE NUMBER OF COMMON SHARES OUTSTANDING:
Basic357370361348
Diluted358370361348
DIVIDENDS DECLARED PER COMMON SHARE$0.25$0.25$0.75$0.75
Page 1

APA CORPORATION
PRODUCTION INFORMATION

For the Quarter Ended% ChangeFor the Nine Months Ended
September 30,June 30,September 30,3Q25 to 2Q253Q25 to 3Q24September 30,September 30,
20252025202420252024
OIL VOLUME - Barrels per day
United States121,225 123,725 143,299 (2)%(15)%123,343 122,138 
Egypt (1,2)
89,493 86,210 91,673 4%(2)%87,304 88,725 
North Sea23,518 25,309 21,334 (7)%10%24,672 25,888 
Total (1)
234,236 235,244 256,306 —%(9)%235,319 236,751 
NATURAL GAS VOLUME - Mcf per day
United States523,271 519,276 467,615 1%12%538,906 473,997 
Egypt (1, 2)
374,236 345,649 300,418 8%25%345,907 287,953 
North Sea34,712 29,174 18,911 19%84%31,842 41,042 
Total (1)
932,219 894,099 786,944 4%18%916,655 802,992 
NGL VOLUME - Barrels per day
United States72,709 79,632 79,474 (9)%(9)%76,565 71,690 
North Sea1,501 1,186 543 27%176%1,278 1,164 
Total (1)
74,210 80,818 80,017 (8)%(7)%77,843 72,854 
BOE per day
United States281,145 289,902 300,709 (3)%(7)%289,726 272,827 
Egypt (1, 2)
151,866 143,818 141,742 6%7%144,955 136,718 
North Sea30,804 31,358 25,029 (2)%23%31,257 33,892 
Total (1)
463,815 465,078 467,480 —%(1)%465,938 443,437 














Total excluding noncontrolling interests413,144 417,096 420,199 (1)%(2)%417,577 397,832 

(1) Includes net production volumes attributed to our noncontrolling partner in Egypt below:

Oil (b/d)29,860 28,762 30,579 29,127 29,596 
Gas (Mcf/d)124,867 115,319 100,210 115,405 96,054 
BOE per day50,671 47,982 47,281 48,361 45,605 

(2) Egypt Gross Production:

Oil (b/d)124,944 123,852 136,670 125,595 138,039 
Gas (Mcf/d)508,346 479,235 447,173 481,700 445,397 
BOE per day209,668 203,725 211,199 205,878 212,272 
Page 2


APA CORPORATION
ADJUSTED PRODUCTION INFORMATION

Adjusted production excludes certain items that management believes affect the comparability of operating results for the periods presented. Adjusted production excludes production attributable to 1) noncontrolling interest in Egypt and 2) Egypt tax barrels. Management uses adjusted production to evaluate the company’s operational trends and performance and believes it is useful to investors and other third parties.

For the Quarter Ended% ChangeFor the Nine Months Ended
September 30,June 30,September 30,3Q25 to 2Q253Q25 to 3Q24September 30,September 30,
20252025202420252024
OIL VOLUME - Barrels per day
United States121,225 123,725 143,299 (2)%(15)%123,343 122,138 
Egypt44,269 43,593 44,627 2%(1)%43,468 43,414 
North Sea23,518 25,309 21,334 (7)%10%24,672 25,888 
Total189,012 192,627 209,260 (2)%(10)%191,483 191,440 














NATURAL GAS VOLUME - Mcf per day
United States523,271 519,276 467,615 1%12%538,906 473,997 
Egypt184,642 175,126 145,190 5%27%171,881 139,860 
North Sea34,712 29,174 18,911 19%84%31,842 41,042 
Total742,625 723,576 631,716 3%18%742,629 654,899 














NGL VOLUME - Barrels per day
United States72,709 79,632 79,474 (9)%(9)%76,565 71,690 
North Sea1,501 1,186 543 27%176%1,278 1,164 
Total74,210 80,818 80,017 (8)%(7)%77,843 72,854 














BOE per day
United States281,145 289,902 300,709 (3)%(7)%289,726 272,827 
Egypt75,043 72,781 68,825 3%9%72,114 66,724 
North Sea30,804 31,358 25,029 (2)%23%31,257 33,892 
Total386,992 394,041 394,563 (2)%(2)%393,097 373,443 
Page 3

APA CORPORATION
PRICE INFORMATION

For the Quarter EndedFor the Nine Months Ended
September 30,June 30,September 30,September 30,September 30,
20252025202420252024
AVERAGE OIL PRICE PER BARREL
United States$66.03$64.84$76.34$67.78$78.16
Egypt68.6366.3979.8869.9982.41
North Sea69.7866.5683.3670.9983.67
Total67.4365.5878.0668.9480.31
AVERAGE NATURAL GAS PRICE PER MCF
United States$0.71$1.03$0.16$1.27$0.61
Egypt3.753.482.933.492.93
North Sea11.0611.699.7612.599.89
Total2.252.281.432.451.89
AVERAGE NGL PRICE PER BARREL
United States$20.11$19.87$20.91$22.69$22.20
North Sea40.4241.6245.9344.4946.47
Total20.6520.4921.2923.3022.73
Page 4

APA CORPORATION
SUPPLEMENTAL FINANCIAL INFORMATION
(Unaudited)
(In millions)

SUMMARY EXPLORATION EXPENSE INFORMATION
For the Quarter EndedFor the Nine Months Ended
September 30,September 30,
2025202420252024
Unproved leasehold impairments$— $1 $— $11 
Dry hole expense4 8 47 172 
Geological and geophysical expense3 6 7 22 
Exploration overhead and other15 14 41 43 
$22 $29 $95 $248 









SUMMARY STOCK-SETTLED AND CASH-SETTLED EQUITY COMPENSATION INFORMATION
For the Quarter EndedFor the Nine Months Ended
September 30,June 30,September 30,September 30,
20252025202420252024
Stock-settled and cash-settled compensation expensed:
Lease operating expenses$11 $3 $5 $21 $15 
Exploration3 2 1 6 3 
General and administrative37 8 8 62 18 
Total stock-settled and cash-settled compensation expensed51 13 14 89 36 
Stock-settled and cash-settled compensation capitalized6 2 2 12 8 
Total stock-settled and cash-settled compensation costs$57 $15 $16 $101 $44 










Page 5

APA CORPORATION
SUPPLEMENTAL FINANCIAL INFORMATION
(Unaudited)
(In millions)








SUMMARY CASH FLOW INFORMATION
For the Quarter EndedFor the Nine Months Ended
September 30,September 30,
2025202420252024
Net cash provided by operating activities$1,460 $1,339 $3,737 $2,584 
Additions to upstream oil and gas property(719)(930)(2,156)(2,153)
Leasehold and property acquisitions— (1)(20)(64)
Proceeds from asset divestitures19 (5)590 724 
Proceeds from sale of Kinetik shares— — — 428 
Other, net— 81 5 58 
Net cash used in investing activities$(700)$(855)$(1,581)$(1,007)
Proceeds from (payments on) commercial paper and revolving credit facilities, net— 127 (333)190 
Proceeds from term loan facility— — — 1,500 
Payments on term loan facility— (500)(900)(500)
Payment on Callon Credit Agreement— — — (472)
Fixed-rate debt borrowings— — 846 — 
Payments on fixed-rate debt(62)— (1,016)(1,641)
Distributions to noncontrolling interest(173)(110)(390)(233)
Treasury stock activity, net(65)(2)(215)(146)
Dividends paid to APA common stockholders(90)(92)(271)(260)
Other, net(2)(3)(27)(38)
Net cash used in financing activities$(392)$(580)$(2,306)$(1,600)

SUMMARY BALANCE SHEET INFORMATION
September 30,December 31,
20252024
Cash and cash equivalents$475 $625 
Other current assets1,498 2,779 
Property and equipment, net12,719 12,646 
Decommissioning security for sold Gulf of America properties21 21 
Other assets2,986 3,319 
Total assets$17,699 $19,390 




Current debt$213 $53 
Current liabilities2,332 2,902 
Long-term debt4,275 5,991 
Decommissioning contingency for sold Gulf of America properties858 929 
Deferred credits and other noncurrent liabilities3,158 3,153 
APA shareholders’ equity5,965 5,280 
Noncontrolling interest898 1,082 
Total Liabilities and equity$17,699 $19,390 
Common shares outstanding at end of period356365
Page 6

APA CORPORATION
NON-GAAP FINANCIAL MEASURES
(In millions)

Reconciliation of Costs incurred to Upstream capital investment

Management believes the presentation of upstream capital investments is useful for investors to assess APA’s expenditures related to our upstream capital activity. We define capital investments as costs incurred for oil and gas activities, adjusted to exclude property and leasehold acquisitions, asset retirement additions and revisions, capitalized interest, and certain exploration expenses. Upstream capital expenditures attributable to a one-third noncontrolling interest in Egypt are also excluded. Management believes this provides a more accurate reflection of APA’s cash expenditures related to upstream capital activity and is consistent with how we plan our capital budget.

For the Quarter EndedFor the Nine Months Ended
September 30,September 30,
2025202420252024
Costs incurred in oil and gas property:
Asset and leasehold acquisitions$9 $(2)$26 $4,554 
Exploration and development648 959 2,177 2,546 
Total Costs incurred in oil and gas property$657 $957 $2,203 $7,100 
Reconciliation of Costs incurred to Upstream capital investment:
Total Costs incurred in oil and gas property$657 $957 $2,203 $7,100 
Asset and leasehold acquisitions(9)2 (26)(4,554)
Asset retirement obligations incurred - oil and gas property(10)(201)(18)(210)
Capitalized interest(12)(8)(32)(22)
Exploration seismic and administration costs(18)(20)(48)(65)
Upstream capital investment including noncontrolling interest - Egypt$608 $730 $2,079 $2,249 
Less noncontrolling interest - Egypt(66)(60)(179)(194)
Total Upstream capital investment$542 $670 $1,900 $2,055 


Reconciliation of Net cash provided by operating activities to Cash flows from operations before changes in operating assets and liabilities and Free cash flow

Cash flows from operations before changes in operating assets and liabilities and free cash flow are non-GAAP financial measures. APA uses these measures internally and provides this information because management believes it is useful in evaluating the company’s ability to generate cash to internally fund exploration and development activities, fund dividend programs, and service debt, as well as to compare our results from period to period. We believe these measures are also used by research analysts and investors to value and compare oil and gas exploration and production companies and are frequently included in published research reports when providing investment recommendations. Cash flows from operations before changes in operating assets and liabilities and free cash flow are additional measures of liquidity but are not measures of financial performance under GAAP and should not be considered as an alternative to cash flows from operating, investing, or financing activities. Additionally, this presentation of free cash flow may not be comparable to similar measures presented by other companies in our industry.

For the Quarter EndedFor the Nine Months Ended
September 30,September 30,
2025202420252024
Net cash provided by operating activities$1,460 $1,339 $3,737 $2,584 
Changes in operating assets and liabilities(271)(221)(516)428 
Cash flows from operations before changes in operating assets and liabilities$1,189 $1,118 $3,221 $3,012 
Adjustments to free cash flow:
Upstream capital investment including noncontrolling interest - Egypt(608)(730)(2,079)(2,249)
Abandonment and decommissioning spend(54)(37)(122)(86)
Leasehold acquisition and other(15)(22)(31)(23)
Distributions to Sinopec noncontrolling interest(173)(110)(390)(233)
Free cash flow$339 $219 $599 $421 
Page 7

APA CORPORATION
NON-GAAP FINANCIAL MEASURES
(In millions)

Reconciliation of Net cash provided by operating activities to Adjusted EBITDAX

Management believes EBITDAX, or earnings before income tax expense, interest expense, depreciation, amortization and exploration expense is a widely accepted financial indicator, and useful for investors, to assess a company’s ability to incur and service debt, fund capital expenditures, and make distributions to shareholders. We define adjusted EBITDAX, a non-GAAP financial measure, as EBITDAX adjusted for certain items presented in the accompanying reconciliation. Management uses adjusted EBITDAX to evaluate our ability to fund our capital expenditures, debt services and other operational requirements and to compare our results from period to period by eliminating the impact of certain items that management does not consider to be representative of the Company’s on-going operations. Management also believes adjusted EBITDAX facilitates investors and analysts in evaluating and comparing EBITDAX from period to period by eliminating differences caused by the existence and timing of certain operating expenses that would not otherwise be apparent on a GAAP basis. However, our presentation of adjusted EBITDAX may not be comparable to similar measures of other companies in our industry.

For the Quarter EndedFor the Nine Months Ended
September 30,June 30,September 30,September 30,
20252025202420252024
Net cash provided by operating activities$1,460 $1,181 $1,339 $3,737 $2,584 
Adjustments:
Exploration seismic and administrative costs18 11 20 48 65 
Current income tax provision100 232 260 638 845 
Other adjustments to reconcile net income to net cash provided by operating activities(28)(5)45 (46)14 
Changes in operating assets and liabilities(271)(200)(221)(516)428 
Financing costs, net (excludes gain on extinguishment of debt)48 69 100 202 276 
Transaction, reorganization & separation costs18 11 14 66 156 
Adjusted EBITDAX (Non-GAAP)$1,345 $1,299 $1,557 $4,129 $4,368 


Reconciliation of debt to net debt

Net debt, or outstanding debt obligations less cash and cash equivalents, is a non-GAAP financial measure. Management uses net debt as a measure of the Company’s outstanding debt obligations that would not be readily satisfied by its cash and cash equivalents on hand.

September 30,June 30,March 31,December 31,
2025202520252024
Current debt$213 $263 $131 $53 
Long-term debt4,275 4,288 5,237 5,991 
Total debt4,488 4,551 5,368 6,044 
Cash and cash equivalents475 107 67 625 
Net Debt$4,013 $4,444 $5,301 $5,419 
Page 8

APA CORPORATION
STATEMENT OF CONSOLIDATED OPERATIONS
(In millions, except per share data)

Reconciliation of Income attributable to common stock to Adjusted earnings

Our presentation of adjusted earnings and adjusted earnings per share are non-GAAP measures because they exclude the effect of certain items included in Income Attributable to Common Stock. Management believes that adjusted earnings and adjusted earnings per share provides relevant and useful information, which is widely used by analysts, investors and competitors in our industry as well as by our management in assessing the Company’s operational trends and comparability of results to our peers.

Management uses adjusted earnings and adjusted earnings per share to evaluate our operating and financial performance because it eliminates the impact of certain items that management does not consider to be representative of the Company’s on-going business operations. As a performance measure, adjusted earnings may be useful to investors in facilitating comparisons to others in the Company’s industry because certain items can vary substantially in the oil and gas industry from company to company depending upon accounting methods, book value of assets, capital structure and asset sales and other divestitures, among other factors. Management believes excluding these items facilitates investors and analysts in evaluating and comparing the underlying operating and financial performance of our business from period to period by eliminating differences caused by the existence and timing of certain expense and income items that would not otherwise be apparent on a GAAP basis. However, our presentation of adjusted earnings and adjusted earnings per share may not be comparable to similar measures of other companies in our industry.

For the Quarter EndedFor the Quarter Ended
September 30, 2025September 30, 2024
Before
Tax
AfterDilutedBefore
Tax
AfterDiluted
Tax
Impact
Tax
EPS
Tax
Impact
Tax
EPS
Net income (loss) including noncontrolling interests (GAAP)$511 $(233)$278 $0.77 $(340)$201 $(139)$(0.38)
Income attributable to noncontrolling interests133 (60)73 0.20 152 (68)84 0.22 
Net income (loss) attributable to common stock378 (173)205 0.57 (492)269 (223)(0.60)
Adjustments: *
Asset and unproved leasehold impairments— — — — 1,112 (540)572 1.53 
Valuation allowance and EPL revaluation— 3 3 0.01 — — — — 
Gain on extinguishment of debt(2)— (2)(0.01)— — — — 
Unrealized derivative instrument losses148 (33)115 0.33 13 (3)10 0.03 
Transaction, reorganization & separation costs18 (3)15 0.04 14 (2)12 0.04 
Gain on divestitures, net(5)1 (4)(0.01)(1)— (1)— 
Adjusted earnings (Non-GAAP)$537 $(205)$332$0.93 $646 $(276)$370 $1.00 
For the Nine Months EndedFor the Nine Months Ended
September 30, 2025September 30, 2024
Before
Tax
AfterDilutedBefore
Tax
AfterDiluted
Tax
Impact
Tax
EPS
Tax
Impact
Tax
EPS
Net income including noncontrolling interests (GAAP)$2,302 $(941)$1,361 $3.77 $1,035 $(342)$693 $1.99 
Income attributable to noncontrolling interests375 (169)206 0.57 441 (198)243 0.70 
Net income attributable to common stock1,927 (772)1,155 3.20 594 (144)450 1.29 
Adjustments: *
Asset and unproved leasehold impairments— — — — 1,122 (542)580 1.66 
Valuation allowance and EPL revaluation— 131 131 0.36 — 16 16 0.05 
Gain on extinguishment of debt(147)32 (115)(0.32)— — — — 
Unrealized derivative instrument losses40 (9)31 0.09 18 (4)14 0.04 
Loss on previously sold Gulf of America properties— — — — 83 (18)65 0.19 
Kinetik equity investment mark-to-market loss— — — — 9 — 9 0.03 
Transaction, reorganization & separation costs66 (16)50 0.14 156 (27)129 0.37 
Gain on divestitures, net(285)63 (222)(0.62)(284)62 (222)(0.64)
Adjusted Earnings (Non-GAAP)$1,601 $(571)$1,030 $2.85 $1,698 $(657)$1,041 $2.99 
*The income tax effect of the reconciling items are calculated based on the statutory rate of the jurisdiction in which the discrete item resides.
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