Equity Method Investments

6 Months Ended

Jun. 30, 2022

Equity Method Investments.

Equity Method Investments

(5) Equity Method Investment

(a) Summary of Equity Method Investment

As of June 30, 2022, Antero owned approximately 29.1% of Antero Midstream Corporation’s (“Antero Midstream”) common stock, which is reflected in Antero’s unaudited condensed consolidated financial statements using the equity method of accounting.

The following table sets forth a reconciliation of Antero’s investment in unconsolidated affiliate (in thousands):

Balance as of December 31, 2021 (1)	$	232,399
Equity in earnings of unconsolidated affiliate		39,891
Dividends from unconsolidated affiliate		(62,569)
Elimination of intercompany profit		19,374
Balance as of June 30, 2022 (1)	$	229,095

(1) The fair value of the Company’s investment in Antero Midstream as of December 31, 2021 and June 30, 2022 was $1.3 billion based on the quoted market share price of Antero Midstream.

(b) Summarized Financial Information of Antero Midstream

The tables set forth below present summarized financial information of Antero Midstream (in thousands):

Balance Sheet

			(Unaudited)
	December 31,		June 30,
	2021		2022
Current assets	$	83,804		77,057
Noncurrent assets		5,460,197		5,508,444
Total assets	$	5,544,001		5,585,501
Current liabilities	$	114,009		123,772
Noncurrent liabilities		3,143,294		3,231,610
Stockholders' equity		2,286,698		2,230,119
Total liabilities and stockholders' equity	$	5,544,001		5,585,501

Statement of Operations

	Six Months Ended June 30,
	2021		2022
Revenues	$	456,908		447,398
Operating expenses		171,922		189,848
Income from operations		284,986		257,550
Net income	$	163,664		159,435