Infinity Natural Resources reported record production and Adjusted EBITDAX for the third quarter of 2026, alongside a small net loss that included substantial mark-to-market hedge losses. The West Virginia-based oil and gas producer also narrowed its full-year 2026 guidance and said it remains on track to achieve more than $25 million in synergies tied to its Antero acquisition.
Key details
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Production doubled year over year. Net output averaged a record 431.7 million cubic feet equivalent per day (MMcfe/d), up 100% from the third quarter of 2025. Natural gas production rose 104% to 282.6 million cubic feet per day, while oil production increased 79% to 14,000 barrels per day.
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Adjusted EBITDAX reached a record $137.7 million. The company reported an Adjusted EBITDAX margin of $3.47 per Mcfe, a measure of operating profitability per unit of production.
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Net loss was $0.4 million, including $63.2 million in mark-to-market hedge losses. The results announcement did not provide further detail here on how the hedge losses affected cash flow.
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Operating cash flow exceeded development spending. Infinity generated $137.2 million in cash from operating activities and spent $105.9 million on development capital expenditures. Management said operating cash flow funded nearly all of its capital program.
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The company narrowed its 2026 guidance. The revised guidance ranges are not included in the results details provided here.
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Acquired Ohio assets contributed to operating performance. Infinity cited strong well results from its acquired Ohio Utica assets. It also said greater gathering-system utilization lowered per-unit gathering, processing and transportation costs sequentially, while acquired REX Zone 3 capacity helped support stronger pricing realizations in Ohio.
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A first deep dry gas Utica well is expected to begin production by year-end. Infinity said the well remains on track to come online before the end of 2026.
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Antero-related synergies are expected to exceed $25 million in 2026. The company said it is moving from integration toward execution, with a focus on organic and strategic growth, operational efficiency and maximizing asset value.
Plain-English implications
Production growth and record Adjusted EBITDAX indicate that Infinity expanded output while improving operating scale. In the quarter, cash from operations was greater than development capital expenditures, though that comparison does not account for other cash needs. The reported net loss was close to break-even, but included large mark-to-market hedge losses. The company also pointed to lower per-unit transportation-related costs and stronger Ohio pricing as benefits from its acquired assets and infrastructure.