INR · Infinity Natural Resources, Inc.

Infinity Natural Resources delivered strong Q1 2026 results fueled by transformative acquisitions, including the $1.2 billion purchase of upstream and midstream assets from Antero Resources and Antero Midstream in Ohio, plus increased working interest from Chase Oil Corp in Pennsylvania. These deals drove 88% year-over-year growth in total net daily production to 299.3 MMcfe/d, with natural gas output surging 169%. Four new oil-weighted wells in the Ohio Utica added 53,000 lateral feet to sales. Revenues climbed to $154.9 million from $85.2 million, reflecting higher volumes despite mixed realized prices post-derivatives. Operating costs per Mcfe improved sharply to $3.32 from $12.08, primarily due to a one-time $126.1 million share-based compensation in Q1 2025 tied to the IPO; recurring controllable cash costs fell to $1.43/Mcfe. Adjusted EBITDAX rose 70% to $97.3 million, yielding a leading $3.61/Mcfe margin among Appalachian peers, underscoring operational efficiency. Net loss narrowed significantly to $6.3 million or $0.28 per share. Balance sheet strengthened with $928.8 million liquidity, no revolver borrowings, and net debt at $477 million. Financing included a $550 million 7.625% senior notes due 2031 and $350 million equity from Quantum Capital Group and Carnelian Energy Capital. Management, led by CEO Zack Arnold, emphasized integration, synergies from 75% owned midstream utilization, and disciplined capital allocation across Utica and Marcellus assets. The company reaffirmed 2026 guidance for $450-500 million development capex and 345-375 MMcfe/d production, signaling confidence. A $75 million share repurchase program has $73.8 million remaining, enhancing shareholder returns.