Equity issued as consideration for acquisition (Note 9)

[Table of Contents](#ib44c212f2b9b4d609af803980a71c2da_7)EQT CORPORATION AND SUBSIDIARIESNotes to the Condensed Consolidated Financial Statements (Unaudited)  
  
  
Supplemental Cash Flow Information. The following table summarizes net cash paid for interest and income taxes and non-cash activity included in the Statements of Condensed Consolidated Cash Flows.

|  |  |  |  |  |  |  |  |  |  |  |  |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
|  |  |  |  |  |  |  |  |  |  |  |  |
|  | Nine Months Ended September 30, |
|  | 2022 |  | 2021 |
|  |  |  |  |
|  | (Thousands) |
| Cash paid during the period for: |  |  |  |
| Interest, net of amount capitalized | $ | 208,239  |  |  | $ | 220,430  |  |
| Income taxes, net | 10,529  |  |  | 22,263  |  |
|  |  |  |  |
| Non-cash activity during the period for: |  |  |  |
| Increase in asset retirement costs and obligations | $ | 14,102  |  |  | $ | 2,709  |  |
| Capitalization of non-cash equity share-based compensation | 3,923  |  |  | 3,728  |  |
| Increase in right-of-use assets and lease liabilities, net | 1,651  |  |  | 1,091  |  |
| Issuance of common stock for Convertible Notes settlements (Note 6) | 48  |  |  | —  |  |
| Equity issued as consideration for acquisition (Note 9) | —  |  |  | 1,925,405  |  |

  
2.    Revenue from Contracts with Customers  
Under the Company's natural gas, natural gas liquids (NGLs) and oil sales contracts, the Company generally considers the delivery of each unit (MMBtu or Bbl) to be a separate performance obligation that is satisfied upon delivery. These contracts typically require payment within 25 days of the end of the calendar month in which the commodity is delivered. A significant number of these contracts contain variable consideration because the payment terms refer to market prices at future delivery dates. In these situations, the Company has not identified a standalone selling price because the terms of the variable payments relate specifically to the Company's efforts to satisfy the performance obligations. Other contracts, such as fixed price contracts or contracts with a fixed differential to New York Mercantile Exchange (NYMEX) or index prices, contain fixed consideration. The fixed consideration is allocated to each performance obligation on a relative standalone selling price basis, which requires judgment from management. For these contracts, the Company generally concludes that the fixed price or fixed differentials in the contracts are representative of the standalone selling price.  
Based on management's judgment, the performance obligations for the sale of natural gas, NGLs and oil are satisfied at a point in time because the customer obtains control and legal title of the asset when the natural gas, NGLs or oil is delivered to the designated sales point.  
The sales of natural gas, NGLs and oil presented in the Statements of Condensed Consolidated Operations represent the Company's share of revenues net of royalties and exclude revenue interests owned by others. When selling natural gas, NGLs and oil on behalf of royalty or working interest owners, the Company acts as an agent and, thus, reports the revenue on a net basis.  
For contracts with customers where the Company's performance obligations had been satisfied and an unconditional right to consideration existed as of the balance sheet date, the Company recorded amounts due from contracts with customers of $1,486.8 million and $1,093.9 million in accounts receivable in the Condensed Consolidated Balance Sheets as of September 30, 2022 and December 31, 2021, respectively.  
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