Why Is Range Resources (RRC) Up 13.6% Since Last Earnings Report?

Core Viewpoint - Range Resources Corporation reported strong third-quarter earnings, beating consensus estimates, driven by higher production volumes, but faces a downward trend in estimates moving forward [2][3][10]. Financial Performance - Adjusted earnings for Q3 2024 were 48 cents per share, surpassing the Zacks Consensus Estimate of 35 cents and improving from 46 cents in the prior year [2]. - Total revenues reached $680 million, exceeding the Zacks Consensus Estimate of$627 million and up from $649 million year-over-year [2]. Operational Performance - Average production was 2,204.5 million cubic feet equivalent per day (Mcfe/d), an increase from 2,123 Mcfe/d in the prior year and above the projection of 2,118.3 Mcfe/d [4]. - Natural gas accounted for approximately 68$2.63 per Mcfe, down 3% year-over-year but higher than the estimate of $2.59 per Mcfe [5]. - Total costs and expenses rose by 1$549 million, exceeding the expectation of $528.2 million, with significant increases in transportation and processing costs [6]. Capital Expenditure and Debt - Drilling and completion expenditures were$146 million, with an additional $10 million spent on acreage leasehold and gathering systems [7]. - Total debt at the end of the quarter was$1,706.5 million [8]. Future Outlook - The company has raised its total production guidance for 2024 to 2.17 billion cubic feet equivalent per day, with over 30% attributed to liquids production, and estimated a capital budget of $645-$670 million for the year [9]. - However, there has been a downward trend in estimates, with a consensus estimate shift of -6.54% [10][11].