Fourth Quarter 2025 Highlights:
Low pressure gathering and compression volumes increased by 5% compared to the prior year quarter
Net Income was $52 million, or $0.11 per diluted share, a 52% per share decrease compared to the prior year quarter
Adjusted Net Income was $133 million, or $0.28 per diluted share, an 8% per share increase compared to the prior year quarter (non-GAAP measure)
Adjusted EBITDA was $285 million, a 4% increase compared to the prior year quarter (non-GAAP measure)
Capital expenditures were $45 million and Adjusted Free Cash Flow after dividends was $86 million (non-GAAP measure)
Leverage was 2.7x as of December 31, 2025 (non-GAAP measure)
Repurchased 2.7 million shares for $48 million
2026 Guidance Highlights:
Closed acquisition of HG Midstream in early February
Net Income of $485 to $535 million, a 23% increase compared to 2025 at the midpoint of guidance
Adjusted EBITDA of $1.19 to $1.24 billion, an 8% increase compared to 2025 at the midpoint (non-GAAP measure)
Capital expenditures of $190 to $220 million
Adjusted Free Cash Flow after dividends of $330 to $390 million assuming an annualized dividend of $0.90 per share, an 11% increase compared to 2025 at the midpoint (non-GAAP measure)
Michael Kennedy, CEO said, "Antero Midstream reported another year of gathering and compression, Adjusted EBITDA, and Adjusted Free Cash Flow growth in 2025. This consistent strategy of organic growth, supplemented by attractive bolt-on acquisitions, positions us well for continued capital efficient growth in 2026 and beyond."
Mr. Kennedy continued, "The capital budget in 2026 is focused on high rate of return infrastructure projects in the core of the Marcellus Shale. These include the buildout of our rich gas gathering system, integration of recently acquired assets, and new expansion projects to support additional dry gas growth on Antero Midstream dedicated acreage. These projects will provide incremental outlet market opportunities and further unlock development optionality across Antero Midstream's diverse portfolio of rich and dry gas assets."
Justin Agnew, CFO of Antero Midstream, said, "Antero Midstream's cash flow growth, driven by operational and capital efficiencies, allowed us to reduce net debt and leverage to 2.7x at year-end 2025. Looking ahead to 2026, we expect to maintain a strong balance sheet with leverage near 3-times and a balanced approach of debt reduction and opportunistic share repurchases. This return of capital approach, enhanced by the recently announced transactions, positions us well to deliver additional shareholder value."
For a discussion of the non-GAAP financial measures, including Adjusted EBITDA, Adjusted Net Income, Leverage, and Adjusted Free Cash Flow after dividends please see "Non-GAAP Financial Measures."
Share Repurchases
During the fourth quarter of 2025, Antero Midstream repurchased 2.7 million shares for $48 million. Antero Midstream had approximately $336 million of remaining capacity under its share repurchase program as of December 31, 2025. Total shares purchased under the share repurchase program and for tax withholding obligations in 2025 were 9.4 million shares at a weighted average price of $17.28 per share.
Fourth Quarter 2025 Operating and Strategic Updates
During the fourth quarter of 2025, Antero Midstream connected 18 wells to its gathering system and serviced 19 wells with its fresh water delivery system. Capital expenditures were $45 million during the fourth quarter of 2025. The Company invested $21 million in gathering and compression and $24 million in water infrastructure. Capital during the fourth quarter included well connect capital, capital to relocate and expand compression in the dry gas area, and the completion of the Patriot Water Blending Facility. This facility expands the water blending capabilities on the southern portion of the liquids-rich midstream corridor, allowing nearly the entire field to be connected via water pipelines.
2026 Guidance
Antero Midstream's 2026 guidance includes the impact of the previously announced HG Midstream acquisition and Ohio Utica Shale divestiture based on closing dates in early and late February of 2026, respectively, and contributions to guidance after closing.
For full year 2026, Antero Midstream is forecasting Net Income of $485 to $535 million. The Company is forecasting Adjusted EBITDA of $1.19 to $1.24 billion, which represents an 8% increase compared to 2025 at the midpoint. Antero Midstream expects to service 65 to 75 wells with its fresh water delivery system, with the wells having an average lateral length of approximately 13,700 feet. Antero Midstream's water system will service Antero Resources legacy acreage completions in 2026 before integrating the water systems and providing incremental water services in 2027 and beyond on the acreage acquired in Antero Resources' acquisition of HG Energy II.
Antero Midstream is forecasting a capital budget of $190 to $220 million. The midpoint of the 2026 capital budget includes approximately $145 million of investment in gathering and compression infrastructure for both the legacy Antero Midstream and acquired HG Midstream assets. The 2026 capital budget also includes expansion capital on the dry gas portion of Antero Midstream's assets to enhance the downstream deliverability to various dry gas outlets. The Company has budgeted an investment of $60 million for water infrastructure in 2026.
Antero Midstream is forecasting Adjusted Free Cash Flow before dividends of $755 to $815 million and Adjusted Free Cash Flow after dividends of $330 to $390 million for 2026, assuming an annualized dividend of $0.90 per share. This represents an 11% increase in Adjusted Free Cash Flow after dividends at the midpoint of guidance compared to 2025.
The following is a summary of Antero Midstream's 2026 guidance ($ in millions, except per share amounts):
Year Ended
December 31, 2026
Low
High
Net Income
$
485
535
Adjusted Net Income
540
590
Adjusted EBITDA
1,185
1,235
Capital Expenditures
190
220
Interest Expense
210
230
Current Income Tax Expense
—
—
Adjusted Free Cash Flow Before Dividends
755
815
Dividend Per Share
$0.90 Per Share
Adjusted Free Cash Flow After Dividends
330
390
Fourth Quarter 2025 Financial Results
Low pressure gathering, compression, and high pressure gathering volumes increased by 5% compared to the prior year quarter. Fresh water delivery volumes averaged 93 MBbl/d during the quarter, an 18% decrease compared to the fourth quarter of 2024. Gross processing volumes from the processing and fractionation joint venture (the "Joint Venture") also increased by 5% compared to the prior year quarter. Gross Joint Venture fractionation volumes averaged 40 MBbl/d, in line with the prior year quarter.
Three Months Ended
December 31,
Average Daily Volumes:
2024
2025
% Change
Low Pressure Gathering (MMcf/d)
3,276
3,435
5 %
Compression (MMcf/d)
3,266
3,424
5 %
High Pressure Gathering (MMcf/d)
3,045
3,193
5 %
Fresh Water Delivery (MBbl/d)
114
93
(18) %
Gross Joint Venture Processing (MMcf/d)
1,622
1,695
5 %
Gross Joint Venture Fractionation (MBbl/d)
40
40
-
For the three months ended December 31, 2025, revenues were $297 million, comprised of $241 million from the Gathering and Processing segment and $56 million from the Water Handling segment, net of $18 million of amortization of customer relationships. Water Handling revenues include $27 million from wastewater handling and high rate water transfer services.
Direct operating expenses for the Gathering and Processing and Water Handling segments were both $27 million for a total of $54 million. Water Handling operating expenses include $22 million from wastewater handling and high rate water transfer services. General and administrative expenses excluding equity-based compensation were $10 million during the fourth quarter of 2025. Total operating expenses during the fourth quarter of 2025 included $11 million of equity-based compensation expense and $34 million of depreciation expense. Transaction expense was $5 million related to the HG Midstream acquisition.
Net Income was $52 million, or $0.11 per diluted share, a 52% per share decrease compared to the prior year quarter. Net Income adjusted for amortization of customer relationships, loss on long-lived assets, transaction expense and other, net of tax effects of reconciling items, or Adjusted Net Income, was $133 million. Adjusted Net Income was $0.28 per diluted share, an 8% per share increase compared to the prior year quarter.
The following table reconciles Net Income to Adjusted Net Income (in thousands):
Three Months Ended
December 31,
2024
2025
Net Income
$
111,189
51,929
Amortization of customer relationships
17,668
17,668
Loss on long-lived assets(1)
—
86,626
Transaction expense
—
5,195
Other
(183)
—
Tax effect of reconciling items(2)
(4,574)
(28,363)
Adjusted Net Income
$
124,100
133,055
(1)
Related to non-cash write-down of Utica Shale net assets held for sale relative to cash consideration expected to be received.
(2)
The statutory tax rate for each of the three months ended December 31, 2024 and 2025 was approximately 26%.
Adjusted EBITDA was $285 million, a 4% increase compared to the prior year quarter. Interest expense was $47 million, a 6% decrease compared to the prior year quarter. Capital expenditures were $45 million during the fourth quarter of 2025. Adjusted Free Cash Flow before dividends was $192 million and Adjusted Free Cash Flow after dividends was $86 million.
The following table reconciles Net Income to Adjusted EBITDA and Adjusted Free Cash Flow before and after dividends (in thousands):
Three Months Ended
December 31,
2024
2025
Net Income
$
111,189
51,929
Interest expense, net
49,721
46,836
Income tax expense
44,603
25,264
Depreciation expense
32,795
33,733
Amortization of customer relationships
17,668
17,668
Equity-based compensation
11,461
11,123
Equity in earnings of unconsolidated affiliates
(27,778)
(28,715)
Distributions from unconsolidated affiliates
34,749
35,175
Loss on long-lived assets(1)
—
86,626
Transaction expense
—
5,195
Other operating expense (income), net(2)
(134)
49
Adjusted EBITDA
$
274,274
284,883
Interest expense, net
(49,721)
(46,836)
Capital expenditures (accrual-based)
(24,011)
(45,234)
Current income tax expense
—
(348)
Adjusted Free Cash Flow before dividends
$
200,542
192,465
Dividends declared (accrual-based)
(107,735)
(106,485)
Adjusted Free Cash Flow after dividends
$
92,807
85,980
(1)
Related to non-cash write-down of Utica Shale net assets held for sale relative to cash consideration expected to be received.
(2)
Other operating expense represents accretion of asset retirement obligations and loss on asset sale.
The following table reconciles net cash provided by operating activities to Adjusted Free Cash Flow before and after dividends (in thousands):
Three Months Ended
December 31,
2024
2025
Net cash provided by operating activities
$
232,691
255,503
Amortization of deferred financing costs
(1,283)
(1,317)
Settlement of asset retirement obligations
282
150
Transaction expense
—
5,195
Changes in working capital
(7,137)
(21,832)
Capital expenditures (accrual-based)
(24,011)
(45,234)
Adjusted Free Cash Flow before dividends
$
200,542
192,465
Dividends declared (accrual-based)
(107,735)
(106,485)
Adjusted Free Cash Flow after dividends
$
92,807
85,980
Conference Call
A conference call is scheduled on Thursday, February 12, 2026 at 10:00 am MT to discuss the financial and operational results. A brief Q&A session for security analysts will immediately follow the discussion of the results. To participate in the call, dial in at 877-407-9126 (U.S.), or 201-493-6751 (International) and reference "Antero Midstream." A telephone replay of the call will be available until Thursday, February 19, 2026 at 10:00 am MT at 877-660-6853 (U.S.) or 201-612-7415 (International) using the conference ID: 13758129. To access the live webcast and view the related earnings conference call presentation, visit Antero Midstream's website at www.anteromidstream.com. The webcast will be archived for replay until Thursday, February 19, 2026 at 10:00 am MT.
Presentation
An updated presentation will be posted to the Company's website before the conference call. The presentation can be found at www.anteromidstream.com on the homepage. Information on the Company's website does not constitute a portion of, and is not incorporated by reference into, this press release.
Non-GAAP Financial Measures and Definitions
Antero Midstream uses certain non-GAAP financial measures. Antero Midstream defines Adjusted Net Income as Net Income adjusted for certain items. Antero Midstream uses Adjusted Net Income to assess the operating performance of its assets. Antero Midstream defines Adjusted EBITDA as Net Income adjusted for certain items.
Antero Midstream uses Adjusted EBITDA to assess:
the financial performance of Antero Midstream's assets, without regard to financing methods, capital structure or historical cost basis;
its operating performance and return on capital as compared to other publicly traded companies in the midstream energy sector, without regard to financing or capital structure; and
the viability of acquisitions and other capital expenditure projects.
Antero Midstream defines Adjusted Free Cash Flow before dividends as Adjusted EBITDA less net interest expense, accrual-based capital expenditures, and current income tax expense. Capital expenditures include additions to gathering systems and facilities, additions to water handling systems, and investments in unconsolidated affiliates. Capital expenditures exclude acquisitions and Adjusted Free Cash Flow excludes transaction expense related to acquisitions. Adjusted Free Cash Flow after dividends is defined as Adjusted Free Cash Flow before dividends less accrual-based dividends declared for the quarter. Antero Midstream uses Adjusted Free Cash Flow before and after dividends as a performance metric to compare the cash generating performance of Antero Midstream from period to period.
Adjusted EBITDA, Adjusted Net Income, and Adjusted Free Cash Flow before and after dividends are non-GAAP financial measures. The GAAP measure most directly comparable to these measures is Net Income. Such non-GAAP financial measures should not be considered as alternatives to the GAAP measures of Net Income and cash flows provided by (used in) operating activities. The presentations of such measures are not made in accordance with GAAP and have important limitations as analytical tools because they include some, but not all, items that affect Net Income and cash flows provided by (used in) operating activities. You should not consider any or all such measures in isolation or as a substitute for analyses of results as reported under GAAP. Antero Midstream's definitions of such measures may not be comparable to similarly titled measures of other companies.
Antero Midstream has not included a reconciliation of Adjusted Net Income, Adjusted EBITDA and Adjusted Free Cash Flow before and after dividends to the nearest GAAP financial measures for 2026 because it cannot do so without unreasonable effort and any attempt to do so would be inherently imprecise. Antero Midstream is able to forecast the following reconciling items between such measures and Net Income (in millions):
Twelve Months Ended December 31, 2026
Low
High
Equity based compensation expense
45
55
Amortization of customer relationships
70
75
Distributions from unconsolidated affiliates
140
155
The following table reconciles cash paid for capital expenditures and accrued capital expenditures during the period (in thousands):
Three Months Ended
December 31,
2024
2025
Capital expenditures (as reported on a cash basis)
$
39,840
48,818
Change in accrued capital costs
(15,829)
(3,584)
Capital expenditures (accrual basis)
$
24,011
45,234
Antero Midstream defines Net Debt as consolidated total debt, excluding unamortized debt premiums and debt issuance costs, less cash, cash equivalents and restricted cash. Antero Midstream views Net Debt as an important indicator in evaluating Antero Midstream's financial leverage. Antero Midstream defines Leverage as Net Debt divided by Adjusted EBITDA for the last twelve months. The GAAP measure most directly comparable to Net Debt is total debt, excluding unamortized debt premiums and debt issuance costs.
The following table reconciles consolidated total debt to Net Debt as used in this release (in thousands):
December 31,
2024
2025
Bank credit facility
$
484,300
—
5.75% senior notes due 2027
650,000
—
5.75% senior notes due 2028
650,000
650,000
5.375% senior notes due 2029
750,000
750,000
6.625% senior notes due 2032
600,000
600,000
5.75% senior notes due 2033
—
650,000
5.75% senior notes due 2034
—
600,000
Consolidated total debt
3,134,300
3,250,000
Less: Cash, cash equivalents and restricted cash
—
(262,935)
Consolidated net debt
$
3,134,300
2,987,065
The following table reconciles Net Income to Adjusted EBITDA and Adjusted Free Cash Flow for the years ended December 31, 2024 and 2025 as used in this release (in thousands):
