Diamondback Energy ( (FANG) ) has released its Q3 earnings. Here is a breakdown of the information Diamondback Energy presented to its investors.
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Diamondback Energy, Inc. is an independent oil and natural gas company based in Midland, Texas, specializing in the acquisition, development, exploration, and exploitation of unconventional, onshore oil and natural gas reserves primarily in the Permian Basin.
In its third quarter of 2025, Diamondback Energy reported strong financial and operational performance, highlighted by significant oil production and robust cash flow generation. The company also made strategic divestitures and acquisitions, enhancing its portfolio and financial flexibility.
Key financial metrics for the quarter included an average oil production of 503.8 thousand barrels per day and net cash provided by operating activities totaling $2.4 billion. The company generated $1.8 billion in free cash flow and declared a base cash dividend of $1.00 per share. Notably, Diamondback repurchased over 4 million shares, returning $892 million to shareholders, representing 50% of its adjusted free cash flow.
Strategically, Diamondback completed the acquisition of Sitio Royalties Corp. through its subsidiary Viper Energy and divested interests in Environmental Disposal Systems and EPIC Crude Holdings, receiving substantial cash proceeds and potential future considerations. The company also updated its 2025 guidance, increasing its full-year oil production forecast and narrowing its capital expenditure range.
Looking ahead, Diamondback Energy remains focused on optimizing its operations and capital allocation, with a commitment to returning capital to shareholders and maintaining a strong balance sheet. The company continues to leverage its position in the Permian Basin to drive growth and shareholder value.