Antero Midstream Corporation Q4 FY2025 earnings call

• Recently closed acquisition of HG Mid for $1,100,000,000, adding over 400 undeveloped locations in the Marcellus Shale. • 2025 saw 7% year-over-year EBITDA growth and 30% increase in free cash flow after dividends. • 2026 expected 8% year-over-year EBITDA growth and 11% year-over-year free cash flow growth. • 2027 expects high single-digit EBITDA growth, benefiting from acquisition synergies and Antero Resources' three-rig, two-completion-crew program. • 2026 capital budget of $190,000,000 to $220,000,000 for projects like well connects, water capital, compression asset construction, and gathering trunk lines.

In the fourth quarter, adjusted EBITDA was $285,000,000, a 4% year-over-year increase driven by higher gathering and compression volumes. For the full year, a company record free cash flow after dividends of $325,000,000 was generated, which was a 30% increase compared to 2024. The fourth quarter also saw $85,000,000 of free cash flow after dividends, used to reduce leverage to 2.7x and repurchase approximately $48,000,000 of shares.

• 2026 adjusted EBITDA expected to be over $1,200,000,000, an 8% year-over-year increase. • 2026 free cash flow after dividends forecasted at $360,000,000, an 11% year-over-year increase. • 2027 expects high single-digit EBITDA growth, with continued free cash flow growth as acquisition benefits are realized.

Q: Good morning. Thank you for the time. I want to start on the growth outlook. I understand 2026 and 2027 have some tailwinds from M&A in the headline numbers. What does the longer-term growth look like once the assets are fully up and running, if you are running a three-rig and two-crew program?

A: John, good question. That three-rig, two-crew program does provide continued growth even past 2027, about a couple hundred million a day of growth on throughput volume. So expect that to continue. I think it would still be in the mid- to high-single-digit EBITDA growth like we have experienced over our last eleven years, and we will have in 2025 and 2026. I think that is pretty fair to generate those types of growth in 2027 and beyond.

Q: That is clear. I appreciate it. And then on the Antero Resources Corporation side, you were talking about some growth upside plans. You gave the color on the Antero Resources Corporation call, but maybe walk us through the thought process there and what that means both from an EBITDA growth standpoint and a capital standpoint if you move to that higher potential target?

A: Yes, that is the great thing about it. There is really no capital for Antero Midstream Corporation outside of what Justin outlined. It is right in the heart of our field. We already have all the big trunk lines. We have whatever pipelines are necessary. We have the water. A lot of this is dry gas, so it does not need further processing. So really nothing different than these capital budgets that we have experienced over the past couple of years for Antero Midstream Corporation. For Antero Resources Corporation, Antero Resources Corporation is well-positioned partly because of Antero Midstream Corporation, but also because of firm transport optionality around dry gas, being in the right part of the country, and having the ability to transport our gas to the Gulf Coast for LNG. So a lot of different demand centers are coming Antero Resources Corporation’s way. So Antero Resources Corporation is the likely company and most well-positioned to meet the growing demand over the next five to ten years.