Earnings Highlights EXE & NBR

Expand Energy (EXE)

The company’s full year 2025 production guidance for Haynesville is revised up by 0.86% from the prior reporting quarter from 2,900 Bcfe/d to 2,925 Bcfe/d. Full year 2025 production guidance for Northeast Appalachia is revised up by 0.96% from the prior reporting quarter from 2,600 Bcfe/d to 2,625 Bcfe/d. Full year 2025 production guidance for Southwest Appalachia is revised down by 3.13% from the prior reporting quarter from 1,600 Bcfe/d to 1,550 Bcfe/d. Q3 2025 and Q4 2025 production are expected to remain flat to each other sequentially. 

Expand Energy’s full year 2025 total production guidance is unchanged from the prior reporting quarter. The company also reduced its full year 2025 drilling and completion capital expenditures guidance by $100 million. 2025 CapEx is now expected to be $2.9 billion. Expand Energy operated an average of 11 rigs during the second quarter, drilling 49 wells and turning 59 wells in line.

The Company intends to build incremental productive capacity for an additional $275 million by exiting 2025 with approximately 12 rigs. Should market conditions warrant, this incremental capital investment positions the Company to efficiently grow production from a year-end 2025 exit rate of approximately 7.2 Bcfe/d to average approximately 7.5 Bcfe/d in 2026. This would be a 5.6% YOY increase in production for 2026.

Q2 2025 production was slightly higher than the upper end of the company’s guidance range. Haynesville production came in above expectations for guidance. Northeast Appalachia came in above expectations and Southwest Appalachia came in below expectations.

The company continues to see record drilling performance and increased capital efficiencies. This will allow the company to maintain their production guidance while simultaneously lowering capital expenditure expectations.

Nabors Industries (NBR)

Nabors Industries is encouraged by their relatively stable Lower 48 rig count as they enter the second half of 2025. The company expects their rig count to continue at its current level through year end 2025. This outlook assumes some continued weakness in oil-focused activity, offset by anticipated strength in natural gas drilling.