Equity-Based Compensation and Cash Awards (Tables)
|
9 Months Ended |
Sep. 30, 2022 |
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| Equity-Based Compensation and Cash Awards |
|
| Schedule of equity-based compensation expense |
The Company’s equity-based compensation expense, by type of award, is as follows (in thousands):
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Three Months Ended September 30, |
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Nine Months Ended September 30, |
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|
|
2021 |
|
2022 |
|
2021 |
|
2022 |
|
RSU awards |
|
$ |
3,327 |
|
|
4,974 |
|
|
9,957 |
|
|
12,468 |
|
PSU awards |
|
|
1,452 |
|
|
5,070 |
|
|
3,211 |
|
|
9,501 |
|
Converted AM RSU Awards (1) |
|
|
186 |
|
|
8 |
|
|
988 |
|
|
203 |
|
Equity awards issued to directors |
|
|
333 |
|
|
350 |
|
|
1,033 |
|
|
1,050 |
|
Total expense |
|
$ |
5,298 |
|
|
10,402 |
|
|
15,189 |
|
|
23,222 |
|
| (1) |
Antero Resources recognized compensation expense for equity awards granted under both the 2013 Plan and the AMP Plan because the awards under the AMP Plan are accounted for as if they are distributed by Antero Midstream Partners to Antero Resources. Antero Resources allocates a portion of equity-based compensation expense related to grants prior to March 12, 2019 (date of deconsolidation) to Antero Midstream Partners based on its proportionate share of Antero Resources’ labor costs.
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| Summary of RSU award activity |
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|
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|
|
|
|
|
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Weighted |
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|
|
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Average |
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|
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Number of |
|
Grant Date |
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|
|
Shares |
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Fair Value |
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Total awarded and unvested—December 31, 2021 |
|
5,930,607 |
|
$ |
5.15 |
|
Granted |
|
992,843 |
|
|
35.02 |
|
Vested |
|
(2,564,930) |
|
|
4.80 |
|
Forfeited |
|
(158,102) |
|
|
10.63 |
|
Total awarded and unvested—September 30, 2022 |
|
4,200,418 |
|
$ |
12.22 |
|
|
| Schedule of weighted average fair value assumptions used for PSUs granted |
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|
|
|
|
|
Dividend yield |
|
|
— |
% |
|
Volatility |
|
|
88 |
% |
|
Risk-free interest rate |
|
|
2.65 |
% |
|
Weighted average fair value of awards granted—Absolute TSR |
|
$ |
47.53 |
|
|
|
| Summary of PSU award activity |
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|
|
|
|
|
|
|
|
|
|
Weighted |
|
|
|
Number of |
|
Average Grant |
|
|
|
Units |
|
Date Fair Value |
|
Total awarded and unvested—December 31, 2021 |
|
1,847,279 |
|
$ |
8.31 |
|
Granted |
|
436,537 |
|
|
29.98 |
|
Vested |
|
(1,210,712) |
|
|
9.26 |
|
Forfeited |
|
— |
|
|
— |
|
Cancelled (unearned) |
|
— |
|
|
— |
|
Total awarded and unvested—September 30, 2022 |
|
1,073,104 |
|
$ |
16.05 |
|
|
| Schedule of Converted AM RSU Awards |
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|
|
|
|
|
|
|
|
|
|
Weighted |
|
|
|
|
|
Average |
|
|
|
Number of |
|
Grant Date |
|
|
|
Units |
|
Fair Value |
|
Total awarded and unvested—December 31, 2021 |
|
81,707 |
|
$ |
13.46 |
|
Granted |
|
— |
|
|
— |
|
Vested |
|
(78,880) |
|
|
13.50 |
|
Forfeited |
|
— |
|
|
— |
|
Total awarded and unvested—September 30, 2022 |
|
2,827 |
|
$ |
12.38 |
|
|
| Summary of stock option activity |
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|
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|
Weighted |
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|
|
|
|
|
|
Weighted |
|
Average |
|
|
|
|
|
|
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Average |
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Remaining |
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Intrinsic |
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|
Stock |
|
Exercise |
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Contractual |
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Value |
|
|
|
Options |
|
Price |
|
Life |
|
(in thousands) (1) |
|
Outstanding—December 31, 2021 |
|
351,794 |
|
$ |
50.79 |
|
3.0 |
|
$ |
— |
|
Granted |
|
— |
|
|
— |
|
|
|
|
|
|
Exercised |
|
— |
|
|
— |
|
|
|
|
|
|
Forfeited |
|
— |
|
|
— |
|
|
|
|
|
|
Expired |
|
(3,417) |
|
|
50.00 |
|
|
|
|
|
|
Outstanding—September 30, 2022 |
|
348,377 |
|
$ |
50.80 |
|
2.1 |
|
$ |
— |
|
Vested—September 30, 2022 |
|
348,377 |
|
$ |
50.80 |
|
2.1 |
|
$ |
— |
|
Exercisable—September 30, 2022 |
|
348,377 |
|
$ |
50.80 |
|
2.1 |
|
$ |
— |
|
| (1) |
Intrinsic values are based on the exercise price of the options and the closing price of Antero Resources’ common stock on the referenced dates. |
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