Comstock Resources Reports 90.5% Revenue Increase to $470.3 Million in Q2 2025

Comstock Resources, Inc. reported significant financial improvements in its latest quarterly results, with total revenues reaching $470.3 million for the three months ended June 30, 2025, a substantial increase of 90.5% compared to $246.8 million in the same period last year. The surge in revenue was primarily driven by a 56% increase in natural gas and oil sales, which totaled $340.0 million, up from $217.6 million in the second quarter of 2024. The company also reported a net income of $130.7 million, or $0.44 per diluted share, reversing a net loss of $123.2 million, or $0.43 per share, from the previous year.

In the first half of 2025, Comstock's revenues totaled $983.1 million, a 68.5% increase from $582.6 million in the first half of 2024. The company attributed this growth to higher natural gas prices, which rose by 78% year-over-year, despite a 16% decrease in production volumes. The average realized price for natural gas was $3.31 per thousand cubic feet (Mcf) in the first half of 2025, compared to $1.86 per Mcf in the same period of 2024. Additionally, gas services revenue surged to $230.2 million, up 199% from $77.0 million, reflecting increased demand for gathering and treating services.

Operationally, Comstock's production for the second quarter of 2025 was 112.2 billion cubic feet (Bcf) of natural gas, down from 130.9 Bcf in the same quarter of 2024. The company drilled 19 wells and completed 24 operated wells in the first half of 2025, with plans to invest an additional $550 million to $650 million in drilling and infrastructure for the remainder of the year. As of June 30, 2025, Comstock had $1.05 billion in liquidity, including $25.9 million in cash and cash equivalents, and $1.02 billion in unused borrowing capacity under its bank credit facility.

The company’s total liabilities increased to $4.26 billion as of June 30, 2025, up from $4.05 billion at the end of 2024, primarily due to an increase in long-term debt, which stood at $3.02 billion. Comstock's stockholders' equity also rose to $2.43 billion, compared to $2.33 billion at the end of the previous year. The company continues to manage its financial risks through derivative financial instruments, reporting a net gain of $235.8 million from these instruments in the second quarter of 2025, compared to a loss of $25.3 million in the same quarter of 2024.

Looking ahead, Comstock Resources anticipates continued growth driven by favorable market conditions for natural gas and oil prices. The company plans to leverage its operational flexibility to adjust capital expenditures as needed, ensuring sufficient liquidity to meet its development and exploration needs. The management remains optimistic about the potential for further revenue growth and profitability, contingent on market dynamics and operational performance.