Crescent Energy Co (CRGY): Results of Operations and Financial Condition
Crescent Energy Co (CRGY) filed an SEC Form 8-K — Results of Operations and Financial Condition. Exhibit 99.1 Crescent Energy Reports Second Quarter 2026 Results Houston, August 3, 2026 – Crescent Energy Company (NYSE: CRGY) ("Crescent" or the "Company"), today announced financial and operating results for the second quarter of 2026. A supplemental slide deck can be found at
How this was made
The 30-second read
Why it matters
Key trading inputs are the record cash flow metrics, the raised production and oil guidance, reduced adjusted opex and production tax guidance, the Permian synergy target increase, and the redemption of 2029 notes plus a declared quarterly dividend.
Market read
A company-specific earnings and guidance update with multiple quantified changes, plus a near-term catalyst in the Aug 4 conference call.
What to watch
The filing highlights synergy capture and opex reductions, but traders should scrutinize assumptions behind the enhanced guidance and how much of the improvement is already embedded versus incremental.
Crescent Energy Reports Second Quarter 2026 Results
Record Operating Cash Flow of $707 million, record Levered Free Cash Flow of $418 million and record Adjusted EBITDAX of $798 million accompanied higher 2026 production guidance, lower adjusted operating expense guidance and redemption of the remaining $259 million of senior notes due 2029.
Key metrics
as reported| Metric | Value | q/q | y/y |
|---|---|---|---|
| Total productionother | 335 MBoe/d | – | – |
| Oil productionother | 140 MBo/d | – | – |
| Oil as percentage of productionother | approximately 42% | – | – |
| Liquids as percentage of productionother | 64% | – | – |
| Operating expenseother | $13.38/Boe | – | – |
| Adjusted operating expense, excluding production and other taxesnon-GAAP | $10.95/Boe | approximately 9% below the prior 2026 guidance midpoint | – |
| Capital expenditures, excluding acquisitionsother | $284 million | – | – |
| Net incomeGAAP | $494 million | – | – |
| Adjusted Net Incomenon-GAAP | $263 million | – | – |
| Adjusted EBITDAXnon-GAAP | $798 million | – | – |
| Operating Cash Flowother | $707 million | – | – |
| Levered Free Cash Flownon-GAAP | $418 million | – | – |
| Gross operated wells drilledother | 43 gross operated wells | – | – |
| Gross operated wells brought onlineother | 32 gross operated wells | – | – |
2026 Outlook outlook
- Operating expensesAdj. Opex: $11.00 - $12.00/Boe
- NoteTotal Production (MBoe/d): 327 - 335
- NoteOil Production (% of Total): 40% - 42%
- NoteProduction Taxes (% of Commodity Revenue): 5.0% - 6.0%
- NoteDevelopment Capital ($ MM): $1,325 - $1,425
Capital returns
- The Board approved a cash dividend of $0.12 per share for the second quarter of 2026.
- The second quarter dividend is payable on August 31, 2026, to shareholders of record as of the close of business on August 17, 2026.
- As of June 30, 2026, the Share Repurchase Program has approximately $336 million of availability remaining.
What drove it
- Second quarter production averaged 335 MBoe/d, including 140 MBo/d of oil production.
- The Company drilled 43 gross operated wells, including 26 in the Eagle Ford, 9 in the Permian and 8 in the Uinta.
- The Company brought online 32 gross operated wells, including 16 in the Eagle Ford, 12 in the Permian and 4 in the Uinta.
- Management cited disciplined capital investment and strong operational execution as support for Operating Cash Flow and Levered Free Cash Flow.
- Crescent increased its Permian synergy target to approximately $250 million to $300 million, with approximately $190 million captured to date.
- The Company cited lower development costs across the Eagle Ford, Permian and Uinta as improving capital efficiency and returns.
Concerns
- All outlook amounts are approximations based on currently available information and estimates and are subject to change based on events and circumstances after the date of the release.
- The Company said future dividends are subject to Board approval and other factors.
- The Share Repurchase Program may be extended, modified, suspended or discontinued at any time and does not obligate the Company to repurchase any dollar amount or number of shares.
- The Company identified risks to realizing anticipated operational or corporate synergies and other benefits of acquisitions, including the Permian Acquisition.
What to watch
- Delivery against 2026 total production guidance of 327 - 335 MBoe/d and oil production guidance of 40% - 42% of total production.
- Delivery against adjusted operating expense guidance of $11.00 - $12.00/Boe and production-tax guidance of 5.0% - 6.0% of commodity revenue.
- Progress toward the approximately $250 million to $300 million Permian synergy target after approximately $190 million captured to date.
- Maintenance of development capital guidance of $1,325 - $1,425 while production guidance has increased.
- Liquidity following the July 2026 redemption of the remaining $259 million of 7.75% senior notes due 2029.
Balance sheet and cash flow
- Record Operating Cash Flow was $707 million.
- Record Levered Free Cash Flow was $418 million.
- In July 2026, Crescent redeemed the remaining $259 million of 7.75% senior notes due 2029 at par.
- As of June 30, 2026, the Company had approximately $2.2 billion of liquidity and expects to maintain approximately $2.0 billion of liquidity following the redemption.
Analysis
Crescent reported strong second-quarter operating and cash-flow performance. Production averaged 335 MBoe/d, including 140 MBo/d of oil, while operating expense was $13.38/Boe and adjusted operating expense, excluding production and other taxes, was $10.95/Boe. The adjusted operating-expense result was approximately 9% below the prior 2026 guidance midpoint. The company drilled 43 gross operated wells and brought online 32 gross operated wells across the Eagle Ford, Permian and Uinta.
Financial results included $494 million of net income, $263 million of Adjusted Net Income and record Adjusted EBITDAX of $798 million. Record Operating Cash Flow of $707 million and record Levered Free Cash Flow of $418 million were supported by disciplined capital investment and operational execution. Capital expenditures, excluding acquisitions, were $284 million during the second quarter.
Management enhanced its 2026 outlook after stronger-than-expected first-half performance. Total production guidance is now 327 - 335 MBoe/d, while oil production remains guided at 40% - 42% of total production. The company lowered adjusted operating expense guidance to $11.00 - $12.00/Boe and production-tax guidance to 5.0% - 6.0% of commodity revenue, while maintaining development capital guidance at $1,325 - $1,425. Management expects the combination of higher production and lower operating costs to support incremental free cash flow generation in 2026.
Capital allocation combined debt reduction with an ongoing shareholder-return framework. Crescent redeemed the remaining $259 million of 7.75% senior notes due 2029 at par in July 2026, eliminating its nearest maturity, and reported approximately $2.2 billion of liquidity as of June 30, 2026. The Board approved a $0.12 per-share quarterly cash dividend, while approximately $336 million remained available under the share repurchase program. Permian optimization is a central execution item, with the synergy target increased to approximately $250 million to $300 million and approximately $190 million captured to date.
Management, verbatim
Across the portfolio, consistent execution is translating into higher production, structurally lower costs and stronger free cash flow.
David Rockecharlie, CEO
That operating momentum supports an enhanced outlook, both in 2026 and beyond, and gives us a greater opportunity to create value through free cash flow and disciplined capital allocation.
David Rockecharlie, CEO
Not in the filing
stated, not guessed- Total revenue
- Revenue by operating segment
- Gross profit or gross margin
- Operating income
- GAAP diluted EPS
- Non-GAAP diluted EPS
- Income-tax expense or effective tax rate
- Cash balance
- Total debt balance
- Net debt
- Repurchase activity during the second quarter of 2026
- Prior-year comparisons for reported financial and operating metrics
- Prior-quarter comparisons for reported financial and operating metrics
- Previous-release outlook for purposes of vs_prior_guidance comparison
- Guidance for revenue, gross margin and tax rate
AlphaAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
This is Crescent Energy’s SEC Form 8-K (Item 2.02) reporting Q2 2026 results and an enhanced 2026 outlook, including balance-sheet and shareholder return updates.
Ticker impact
Crescent reported Q2 2026 record operating cash flow of $707M and levered free cash flow of $418M, plus raised 2026 guidance.
Near-term upside bias as the guidance raise and cost reduction support higher 2026 free cash flow expectations; watch for market reaction to the magnitude of the guidance changes.
The filing includes multiple concrete, decision-relevant datapoints: record cash flow metrics, reduced adjusted opex and production tax guidance, higher total and oil production guidance, and a balance-sheet action (redeeming $259M notes) plus a declared dividend.
Market effects
Reinforces the narrative that disciplined cost control and Permian optimization can translate into higher free cash flow for US E&P operators.
Potential read-through to Permian/Eagle Ford peers via perceived execution and synergy capture, though impact is company-specific.
Limited direct global relevance; primarily affects US oil and gas equity sentiment around capital efficiency and deleveraging.
Counterpoint
Record cash flow may be partially commodity-price and timing-driven; traders may discount sustainability if production growth or cost reductions do not persist into later quarters.
Key entities
- issuerCrescent Energy Company
NYSE-listed E&P company reporting Q2 2026 results, enhanced 2026 guidance, and capital return actions.
- executiveCrescent CEO David Rockecharlie
Quoted on execution translating into higher production, lower costs, and stronger free cash flow.
