Northern Oil and Gas Inc
Q3 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: +2.47%.
Did NOG Beat Earnings? Q3 2025 Results
Northern Oil and Gas delivered a strong operational beat in Q3 2025, posting adjusted earnings of $1.03 per diluted share against a consensus estimate of $0.87, an 18.39% beat, even as a $318.70 million non-cash ceiling test impairment on its oil and gas assets swung GAAP results to a net loss of $1.33 per share. Revenue climbed 8.0% year over year to $556.64 million, underpinned by production growth of 8% to 131,054 Boe per day, with record Appalachian volumes of 135.9 MMcf per day helping offset softer oil realizations of $61.08 per barrel. The impairment, tied to lower average oil prices, obscured what was otherwise a disciplined quarter, with normalized well costs falling to roughly $806 per lateral foot from $932 on average in 2024. Management raised its full-year production guidance to 132,500 to 134,000 Boepd and tightened capital expenditure guidance to $950 million to $1.03 billion, citing better-than-expected well performance, while a $98.30 million Uinta Basin royalty acquisition signaled continued appetite for accretive ground-game deals heading into 2026.
- Total production up 8% YoY to 131,054 Boe per day
- Record Appalachian volumes of 135.9 MMcf per day
- Natural gas production up 15% YoY
- Normalized well costs declined to $806 per lateral foot from $932 average in 2024
- Oil differential to WTI improved 27% from Q2 2025
- Cash received on settled derivatives of $55.4 million, up from $29.7 million YoY
- Lease operating costs improved 1.4% per unit sequentially to $9.81 per Boe
- Adjusted cash G&A costs of $0.82 per Boe, down $0.07 from Q2
“Our portfolio and strategy remain resilient amid volatile market conditions. NOG is well positioned to navigate such markets to find opportunities for our investors. We seek and evaluate value-creating, accretive transactions that can position NOG for countercyclical upside convexity for the long-term. At the same time, our existing assets are delivering better than expected, capital efficient performance. The Company continues to generate solid cash flow, remains well protected with strong hedges, and continues to see robust, low breakeven activity on our assets as we head into 2026.”
Northern Oil & Gas CEO, on the earnings call
Forward Guidance & Outlook
NOG raised 2025 annual production guidance to 132,500-134,000 Boepd (from 130,000-133,000), with oil production increased to 75,000-76,500 Boepd (from 74,000-76,000). Capital expenditure guidance was tightened to $950-$1,025 million (from $925-$1,050 million). Net oil wells TIL guidance was revised to 71.0-74.0 (from 73.0-76.0), and net total wells TIL to 80.0-83.0 (from 83.0-85.0). Production expenses guidance was revised to $9.40-$9.75 per Boe. Production taxes guidance was tightened to 7.0%-8.0% of oil and gas sales. Management expects Q4 TIL acceleration and sees robust, low breakeven activity heading into 2026. The company is well positioned with strong hedges and $1.2 billion of total liquidity.
NOG YoY Financials
Figures from SEC filings and company reports. Not investment advice.