Evolution Petroleum Reports Fiscal Second Quarter 2025 Results and Declares Quarterly Cash Dividend for Fiscal Third Quarter
Evolution Petroleum (EPM) reported fiscal Q2 2025 results with production increasing 10% year-over-year to 6,935 BOEPD, despite operational issues at Chaveroo and Williston. The company declared its 46th consecutive quarterly dividend of $0.12 per share.
Financial highlights include: revenues decreased 4% to $20.3 million due to lower commodity prices; reported net loss of $1.8 million ($(0.06) per share) compared to net income of $1.1 million in Q2 2024; Adjusted EBITDA was $5.7 million, down from $6.8 million year-over-year.
Operational updates include three new SCOOP/STACK wells brought online during Q2, with 8 wells in progress or permitted. At Chaveroo, two of four planned wells have been drilled, with completion expected in fiscal Q4. The company maintains $22.2 million in total liquidity with $39.5 million in outstanding borrowings.
Evolution Petroleum (EPM) ha riportato i risultati fiscali del secondo trimestre 2025 con una produzione aumentata del 10% rispetto all'anno precedente, raggiungendo 6.935 BOEPD, nonostante le problematiche operative a Chaveroo e Williston. L'azienda ha dichiarato il suo 46° dividendo trimestrale consecutivo di $0,12 per azione.
I punti salienti finanziari includono: i ricavi sono diminuiti del 4% a $20,3 milioni a causa dei prezzi delle materie prime più bassi; una perdita netta riportata di $1,8 milioni ($(0,06) per azione) rispetto a un reddito netto di $1,1 milioni nel secondo trimestre del 2024; l'EBITDA rettificato è stato di $5,7 milioni, in calo rispetto ai $6,8 milioni dell'anno precedente.
Aggiornamenti operativi includono tre nuovi pozzi SCOOP/STACK messi in funzione durante il secondo trimestre, con 8 pozzi in fase di sviluppo o autorizzati. A Chaveroo, due dei quattro pozzi pianificati sono stati perforati, con conclusione prevista nel quarto trimestre fiscale. L'azienda mantiene una liquidità totale di $22,2 milioni con $39,5 milioni in prestiti in sospeso.
Evolution Petroleum (EPM) reportó los resultados fiscales del segundo trimestre de 2025, con una producción que aumentó un 10% interanual hasta alcanzar 6,935 BOEPD, a pesar de los problemas operativos en Chaveroo y Williston. La compañía declaró su 46º dividendo trimestral consecutivo de $0.12 por acción.
Los aspectos financieros destacados incluyen: los ingresos disminuyeron un 4% a $20.3 millones debido a los precios más bajos de las materias primas; se reportó una pérdida neta de $1.8 millones ($(0.06) por acción) en comparación con una ganancia neta de $1.1 millones en el segundo trimestre de 2024; el EBITDA ajustado fue de $5.7 millones, en comparación con $6.8 millones del año anterior.
Las actualizaciones operativas incluyen la puesta en marcha de tres nuevos pozos SCOOP/STACK durante el segundo trimestre, con 8 pozos en progreso o autorizados. En Chaveroo, se han perforado dos de los cuatro pozos planeados, con finalización esperada en el cuarto trimestre fiscal. La compañía tiene $22.2 millones en liquidez total con $39.5 millones en préstamos pendientes.
Evolution Petroleum (EPM)는 2025 회계연도 2분기 결과를 발표하였으며, Chaveroo와 Williston에서 운영 문제에도 불구하고 생산량이 전년 대비 10% 증가하여 6,935 BOEPD에 도달했습니다. 회사는 주당 $0.12의 46번째 연속 분기 배당금을 선언했습니다.
재정 하이라이트에는 원자재 가격 하락으로 인해 수익이 4% 감소하여 $20.3백만에 달했으며, 2024년 2분기 $1.1백만의 순이익에 비해 $1.8백만의 순손실 ($(0.06) 주당)를 기록하였습니다. 조정된 EBITDA는 전년 대비 감소하여 $5.7백만이 되었습니다.
운영 업데이트에는 2분기 동안 가동된 3개의 새로운 SCOOP/STACK 유정이 포함되며, 현재 진행 중이거나 허가된 8개의 유정이 있습니다. Chaveroo에서는 계획된 4개의 유정 중 2개가 시추되었으며, 회계 4분기에 완료될 것으로 예상됩니다. 회사는 총 유동성이 $22.2백만이며, 미지급 차입금은 $39.5백만입니다.
Evolution Petroleum (EPM) a présenté les résultats fiscaux du deuxième trimestre 2025, avec une production augmentant de 10% par rapport à l'année précédente pour atteindre 6 935 BOEPD, malgré des problèmes opérationnels à Chaveroo et Williston. La société a déclaré son 46ème dividende trimestriel consécutif de 0,12 $ par action.
Les points forts financiers comprennent : des revenus en baisse de 4 % à 20,3 millions de dollars en raison de la baisse des prix des matières premières ; une perte nette déclarée de 1,8 million de dollars ($(0,06) par action) par rapport à un revenu net de 1,1 million de dollars au 2ème trimestre 2024 ; l'EBITDA ajusté était de 5,7 millions de dollars, en baisse par rapport à 6,8 millions de dollars d'une année sur l'autre.
Les mises à jour opérationnelles incluent trois nouveaux puits SCOOP/STACK mis en service au cours du 2ème trimestre, avec 8 puits en cours de développement ou autorisés. À Chaveroo, deux des quatre puits prévus ont été forés, avec un achèvement prévu au 4ème trimestre fiscal. L'entreprise maintient une liquidité totale de 22,2 millions de dollars avec 39,5 millions de dollars de prêts en cours.
Evolution Petroleum (EPM) berichtete über die Ergebnisse des Geschäftsjahres Q2 2025, bei denen die Produktion um 10% im Vergleich zum Vorjahr auf 6.935 BOEPD gestiegen ist, trotz operationaler Probleme in Chaveroo und Williston. Das Unternehmen erklärte die 46. aufeinanderfolgende vierteljährliche Dividende von $0,12 pro Aktie.
Zu den finanziellen Höhepunkten gehören: die Einnahmen sanken um 4% auf $20,3 Millionen aufgrund niedrigerer Rohstoffpreise; ein ausgewiesener Nettoverlust von $1,8 Millionen ($(0,06) pro Aktie) im Vergleich zu einem Nettogewinn von $1,1 Millionen im Q2 2024; das bereinigte EBITDA betrug $5,7 Millionen, ein Rückgang von $6,8 Millionen im Jahresvergleich.
Zu den operationellen Updates gehören drei neue SCOOP/STACK-Brunnen, die im Q2 in Betrieb genommen wurden, mit 8 Brunnen, die in Bearbeitung oder genehmigt sind. In Chaveroo wurden zwei der vier geplanten Brunnen gebohrt, mit einer Fertigstellung, die im Geschäftsjahr Q4 erwartet wird. Das Unternehmen hat eine Gesamtl Liquidität von $22,2 Millionen und ausstehende Kredite in Höhe von $39,5 Millionen.
- Production increased 10% year-over-year to 6,935 BOEPD
- Maintained 46th consecutive quarterly dividend at $0.12 per share
- Lower operating costs per unit (LOE decreased 6% to $20.05 per BOE)
- Strong drilling activity with multiple wells in progress
- Net loss of $1.8 million compared to $1.1 million profit year-over-year
- Revenues decreased 4% to $20.3 million
- Adjusted EBITDA declined 17% to $5.7 million
- 12% decrease in average realized commodity prices
- $39.5 million in outstanding borrowings
Insights
Evolution Petroleum's Q2 FY2025 results reveal a complex narrative of operational growth amidst commodity price headwinds. The 10% year-over-year production growth to 6,935 BOEPD demonstrates successful execution of the company's acquisition and development strategy, particularly in the SCOOP/STACK region. However, the 12% decline in realized commodity prices has pressured margins, resulting in a 17% decrease in Adjusted EBITDA to
The company's financial management deserves scrutiny. While maintaining the
Strategic positioning remains solid with several catalysts ahead:
- Eight wells in progress/permitted in SCOOP/STACK suggest continued production growth potential
- Resolution of Chaveroo and Williston operational issues removes near-term headwinds
- Recent natural gas price recovery should support improved realizations in coming quarters
- Four-well development program at Chaveroo could provide meaningful production uplift in Q4
However, investors should monitor several risk factors:
- Leverage position with
$39.5 million in borrowings against$22.2 million total liquidity - Operating cost management, as LOE remains elevated despite per-unit improvements
- Execution risk in drilling program and potential acquisition strategy
The company's diversified asset base and focus on low-decline properties provides defensive characteristics, while active development programs offer organic growth potential. The strategic emphasis on acquiring mature, cash-flowing assets at attractive valuations could create additional value, provided capital discipline is maintained.
– Fiscal Q2 Production Up
– Declares Quarterly Dividend of
HOUSTON, Feb. 11, 2025 (GLOBE NEWSWIRE) -- Evolution Petroleum Corporation (NYSE American: EPM) ("Evolution" or the "Company") today announced its financial and operating results for its fiscal second quarter ended December 31, 2024. The Company’s diversified portfolio continues to deliver production growth, with fiscal Q2 volumes increasing
Financial & Operational Highlights
| ($ in thousands) | Q2 2025 | Q2 2024 | Q1 2025 | % Change vs Q2/Q2 | % Change vs Q2/Q1 | 2025 YTD | 2024 YTD | % Change vs YTD'24 | |||||||||||||||||
| Average BOEPD | 6,935 | 6,304 | 7,478 | 10 | % | (7 | )% | 7,212 | 6,380 | 13 | % | ||||||||||||||
| Revenues | $ | 20,275 | $ | 21,024 | $ | 21,896 | (4 | )% | (7 | )% | $ | 42,171 | $ | 41,625 | 1 | % | |||||||||
| Net Income(1) | $ | (1,825 | ) | $ | 1,082 | $ | 2,065 | NM | NM | $ | 240 | $ | 2,556 | (91 | )% | ||||||||||
| Adjusted Net Income(1)(2) | $ | (841 | ) | $ | 1,082 | $ | 728 | NM | NM | $ | (103 | ) | $ | 2,556 | NM | ||||||||||
| Adjusted EBITDA(3) | $ | 5,688 | $ | 6,832 | $ | 8,125 | (17 | )% | (30 | )% | $ | 13,813 | $ | 13,535 | 2 | % | |||||||||
| (1) "NM" means "Not Meaningful." | |||||||||||||||||||||||||
| (2) Adjusted Net Income is a non-GAAP financial measure; see the non-GAAP reconciliation schedules to the most comparable GAAP measures at the end of this release for more information. | |||||||||||||||||||||||||
| (3) Adjusted EBITDA is Adjusted Earnings Before Interest, Taxes, Depreciation, and Amortization and is a non-GAAP financial measure; see the non-GAAP reconciliation schedules to the most comparable GAAP measures at the end of this release for more information. | |||||||||||||||||||||||||
- Fiscal Q2 production increased
10% year-over-year to 6,935 average barrels of oil equivalent per day ("BOEPD"), with oil increasing13% , natural gas increasing9% , and natural gas liquids ("NGLs") increasing9% . $4.1 million returned to shareholders in the form of cash dividends during the fiscal second quarter of 2025.- Three gross SCOOP/STACK wells brought online during the quarter — currently, 8 wells in progress or permitted.
- Subsequent to quarter end, completed drilling two of four gross wells in the 2nd Chaveroo Field development block and expect to finish drilling the remaining 2 wells in the block by early March.
Kelly Loyd, President and Chief Executive Officer, commented: “Driven by our favorable near and long-term outlook for sustainable cash flow generation from our diversified asset base, we are pleased to announce our 11th straight dividend at the rate of
We continue to see above-average results from new wells in the SCOOP/STACK area and are excited about new well proposals from several operators within our acreage. We remain very excited about the upcoming four gross wells (two net) in the second development block at Chaveroo. As of today, two of these new wells have been drilled, the third is underway and the fourth will follow immediately thereafter. We expect all four wells to be completed and turned in line during our fiscal fourth quarter.”
Mr. Loyd concluded, “Looking ahead, we remain committed to driving long-term shareholder value with pursuing high-quality, low-decline assets at attractive valuations, expanding our drilling inventory, and maintaining our strong financial foundation. We are evaluating multiple acquisition opportunities that have the potential to enhance our long-term growth strategy and further improve our cash flow generation — all at very compelling valuations that would be materially accretive to earnings. Given our track record of executing disciplined investments, we are confident in our ability to deliver sustainable growth, create value through accretive M&A, and continue supporting our dividend program for years to come.”
Fiscal Second Quarter 2025 Financial Results
Total revenues decreased
Lease operating costs ("LOE") increased to
Depletion, depreciation, and accretion expense was
General and administrative ("G&A") expenses, excluding stock-based compensation, increased slightly to
The Company reported a net loss of
Adjusted EBITDA was
Production & Pricing
| Average price per unit: | Q2 2025 | Q2 2024 | % Change vs Q2/Q2 | |||||
| Crude oil (BBL) | $ | 65.72 | $ | 73.96 | (11)% | |||
| Natural gas (MCF) | 2.73 | 3.35 | (19)% | |||||
| Natural Gas Liquids (BBL) | 25.90 | 28.48 | (9)% | |||||
| Equivalent (BOE) | 31.78 | 36.25 | (12)% | |||||
Total production for the second quarter of fiscal 2025 increased
The Company's average realized commodity price (excluding the impact of derivative contracts) decreased
Operations Update
At SCOOP/STACK, the Company's operators brought three gross wells online during fiscal Q2 2025, which is in addition to the seven gross wells brought online during fiscal Q1 2025. Additionally, Evolution has agreed to participate in eight gross new horizontal wells across the acreage. Since the effective date of the acquisitions, a total of 32 gross wells (or 0.5 net wells) have commenced first production.
Chaveroo production for fiscal Q2 was down due to gas interference in the downhole pumps. However, these issues have since been resolved, and production rebounded back to expected rates in January 2025. The Company has preliminarily agreed to six additional horizontal wells in Drilling Block Three, which are anticipated to begin operations in early fiscal 2026. Drilling activities began in January 2025 on the four new gross wells in the Company's second development block. As of today, Evolution has finished drilling two of the four gross wells and expects to finish drilling the remaining wells by early March.
In the Williston Basin, a compressor failure on a third-party-operated gathering system caused temporary downtime for 30 days at the beginning of fiscal Q2, resulting in reduced natural gas sales for the period. Correspondingly, NGL production saw a decline during this period as well. Oil sales volumes were also negatively impacted during the quarter due to delays in sales of oil at the end of December. Those volumes were subsequently sold in January.
At Delhi, CO2 injections resumed during fiscal Q2 2025, which has positively impacted production. Following the quarter end, one new well has been drilled at Test Site V and the Company is awaiting results.
Balance Sheet, Liquidity, and Capital Spending
On December 31, 2024, cash and cash equivalents totaled
Cash Dividend on Common Stock
On February 10, 2025, Evolution's Board of Directors declared a cash dividend of
Conference Call
As previously announced, Evolution Petroleum will host a conference call on Wednesday, February 12, 2025, at 10:00 a.m. CT to review its fiscal second quarter 2025 financial and operating results. Participants can join online at https://event.choruscall.com/mediaframe/webcast.html?webcastid=HS7VesBT or by dialing (844) 481-2813. Dial-in participants should ask to join the Evolution Petroleum Corporation call. A replay will be available through February 12, 2026, via the provided webcast link and on Evolution's Investor Relations website at www.ir.evolutionpetroleum.com.
About Evolution Petroleum
Evolution Petroleum Corporation is an independent energy company focused on maximizing total shareholder returns through the ownership of and investment in onshore oil and natural gas properties in the U.S. The Company aims to build and maintain a diversified portfolio of long-life oil and natural gas properties through acquisitions, selective development opportunities, production enhancements, and other exploitation efforts. Properties include non-operated interests in the following areas: the SCOOP/STACK plays of the Anadarko Basin in Oklahoma; the Chaveroo Oilfield located in Chaves and Roosevelt Counties, New Mexico; the Jonah Field in Sublette County, Wyoming; the Williston Basin in North Dakota; the Barnett Shale located in North Texas; the Hamilton Dome Field located in Hot Springs County, Wyoming; the Delhi Holt-Bryant Unit in the Delhi Field in Northeast Louisiana; as well as small overriding royalty interests in four onshore Texas wells. Visit www.evolutionpetroleum.com for more information.
Cautionary Statement
All forward-looking statements contained in this press release regarding the Company's current and future expectations, potential results, and plans and objectives involve a wide range of risks and uncertainties. Statements herein using words such as "believe," "expect," "may," "plans," "outlook," "should," "will," and words of similar meaning are forward-looking statements. Although the Company's expectations are based on business, engineering, geological, financial, and operating assumptions that it believes to be reasonable, many factors could cause actual results to differ materially from its expectations. The Company gives no assurance that its goals will be achieved. These factors and others are detailed under the heading "Risk Factors" and elsewhere in our periodic reports filed with the Securities and Exchange Commission ("SEC"). The Company undertakes no obligation to update any forward-looking statement.
Contact
Investor Relations
(713) 935-0122
ir@evolutionpetroleum.com
| Evolution Petroleum Corporation | |||||||||||||||||||
| Condensed Consolidated Statements of Operations (Unaudited) | |||||||||||||||||||
| (In thousands, except per share amounts) | |||||||||||||||||||
| Three Months Ended | Six Months Ended | ||||||||||||||||||
| December 31, | September 30, | December 31, | |||||||||||||||||
| 2024 | 2023 | 2024 | 2024 | 2023 | |||||||||||||||
| Revenues | |||||||||||||||||||
| Crude oil | $ | 11,763 | $ | 11,759 | $ | 14,737 | $ | 26,500 | $ | 24,375 | |||||||||
| Natural gas | 5,793 | 6,531 | 4,285 | 10,078 | 12,083 | ||||||||||||||
| Natural gas liquids | 2,719 | 2,734 | 2,874 | 5,593 | 5,167 | ||||||||||||||
| Total revenues | 20,275 | 21,024 | 21,896 | 42,171 | 41,625 | ||||||||||||||
| Operating costs | |||||||||||||||||||
| Lease operating costs | 12,793 | 12,358 | 11,790 | 24,583 | 24,241 | ||||||||||||||
| Depletion, depreciation, and accretion | 5,433 | 4,598 | 5,725 | 11,158 | 8,860 | ||||||||||||||
| General and administrative expenses | 2,654 | 2,502 | 2,527 | 5,181 | 5,105 | ||||||||||||||
| Total operating costs | 20,880 | 19,458 | 20,042 | 40,922 | 38,206 | ||||||||||||||
| Income (loss) from operations | (605 | ) | 1,566 | 1,854 | 1,249 | 3,419 | |||||||||||||
| Other income (expense) | |||||||||||||||||||
| Net gain (loss) on derivative contracts | (1,219 | ) | — | 1,798 | 579 | — | |||||||||||||
| Interest and other income | 52 | 104 | 57 | 109 | 220 | ||||||||||||||
| Interest expense | (764 | ) | (34 | ) | (823 | ) | (1,587 | ) | (66 | ) | |||||||||
| Income (loss) before income taxes | (2,536 | ) | 1,636 | 2,886 | 350 | 3,573 | |||||||||||||
| Income tax (expense) benefit | 711 | (554 | ) | (821 | ) | (110 | ) | (1,017 | ) | ||||||||||
| Net income (loss) | $ | (1,825 | ) | $ | 1,082 | $ | 2,065 | $ | 240 | $ | 2,556 | ||||||||
| Net income (loss) per common share: | |||||||||||||||||||
| Basic | $ | (0.06 | ) | $ | 0.03 | $ | 0.06 | $ | — | $ | 0.08 | ||||||||
| Diluted | $ | (0.06 | ) | $ | 0.03 | $ | 0.06 | $ | — | $ | 0.08 | ||||||||
| Weighted average number of common shares outstanding: | |||||||||||||||||||
| Basic | 32,934 | 32,693 | 32,722 | 32,828 | 32,676 | ||||||||||||||
| Diluted | 32,934 | 32,900 | 32,868 | 32,994 | 32,940 | ||||||||||||||
| Evolution Petroleum Corporation | |||||
| Condensed Consolidated Balance Sheets (Unaudited) | |||||
| (In thousands, except share and per share amounts) | |||||
| December 31, 2024 | June 30, 2024 | ||||
| Assets | |||||
| Current assets | |||||
| Cash and cash equivalents | $ | 11,667 | $ | 6,446 | |
| Receivables from crude oil, natural gas, and natural gas liquids revenues | 10,675 | 10,826 | |||
| Derivative contract assets | 1,073 | 596 | |||
| Prepaid expenses and other current assets | 3,572 | 3,855 | |||
| Total current assets | 26,987 | 21,723 | |||
| Property and equipment, net of depletion, depreciation, and impairment | |||||
| Oil and natural gas properties, net—full-cost method of accounting, of which none were excluded from amortization | 131,722 | 139,685 | |||
| Other noncurrent assets | |||||
| Derivative contract assets | 250 | 171 | |||
| Other assets | 1,258 | 1,298 | |||
| Total assets | $ | 160,217 | $ | 162,877 | |
| Liabilities and Stockholders' Equity | |||||
| Current liabilities | |||||
| Accounts payable | $ | 10,771 | $ | 8,308 | |
| Accrued liabilities and other | 5,249 | 6,239 | |||
| Derivative contract liabilities | 439 | 1,192 | |||
| State and federal taxes payable | — | 74 | |||
| Total current liabilities | 16,459 | 15,813 | |||
| Long term liabilities | |||||
| Senior secured credit facility | 39,500 | 39,500 | |||
| Deferred income taxes | 6,673 | 6,702 | |||
| Asset retirement obligations | 19,993 | 19,209 | |||
| Derivative contract liabilities | 1,277 | 468 | |||
| Operating lease liability | 13 | 58 | |||
| Total liabilities | 83,915 | 81,750 | |||
| Commitments and contingencies | |||||
| Stockholders' equity | |||||
| Common stock; par value | |||||
| outstanding 34,076,846 and 33,339,535 shares as of December 31, 2024 | |||||
| and June 30, 2024, respectively | 34 | 33 | |||
| Additional paid-in capital | 44,140 | 41,091 | |||
| Retained earnings | 32,128 | 40,003 | |||
| Total stockholders' equity | 76,302 | 81,127 | |||
| Total liabilities and stockholders' equity | $ | 160,217 | $ | 162,877 | |
| Evolution Petroleum Corporation | |||||||||||||||||||
| Condensed Consolidated Statements of Cash Flows (Unaudited) | |||||||||||||||||||
| (In thousands) | |||||||||||||||||||
| Three Months Ended | Six Months Ended | ||||||||||||||||||
| December 31, | September 30, | December 31, | |||||||||||||||||
| 2024 | 2023 | 2024 | 2024 | 2023 | |||||||||||||||
| Cash flows from operating activities: | |||||||||||||||||||
| Net income (loss) | $ | (1,825 | ) | $ | 1,082 | $ | 2,065 | $ | 240 | $ | 2,556 | ||||||||
| Adjustments to reconcile net income (loss) to net cash provided by operating activities: | |||||||||||||||||||
| Depletion, depreciation, and accretion | 5,433 | 4,598 | 5,725 | 11,158 | 8,860 | ||||||||||||||
| Stock-based compensation | 659 | 564 | 559 | 1,218 | 1,036 | ||||||||||||||
| Settlement of asset retirement obligations | (182 | ) | — | (98 | ) | (280 | ) | — | |||||||||||
| Deferred income taxes | 252 | (567 | ) | (281 | ) | (29 | ) | (642 | ) | ||||||||||
| Unrealized (gain) loss on derivative contracts | 1,368 | — | (1,868 | ) | (500 | ) | — | ||||||||||||
| Accrued settlements on derivative contracts | 9 | — | (66 | ) | (57 | ) | — | ||||||||||||
| Other | (1 | ) | 3 | (2 | ) | (3 | ) | 3 | |||||||||||
| Changes in operating assets and liabilities: | |||||||||||||||||||
| Receivables from crude oil, natural gas, and natural gas liquids revenues | 29 | 447 | (37 | ) | (8 | ) | (2,239 | ) | |||||||||||
| Prepaid expenses and other current assets | (1,494 | ) | (443 | ) | 1,929 | 435 | (274 | ) | |||||||||||
| Accounts payable, accrued liabilities and other | 3,471 | 2,123 | (238 | ) | 3,233 | 2,443 | |||||||||||||
| State and federal taxes payable | — | (753 | ) | (74 | ) | (74 | ) | (365 | ) | ||||||||||
| Net cash provided by operating activities | 7,719 | 7,054 | 7,614 | 15,333 | 11,378 | ||||||||||||||
| Cash flows from investing activities: | |||||||||||||||||||
| Acquisition of oil and natural gas properties | (69 | ) | — | (262 | ) | (331 | ) | — | |||||||||||
| Capital expenditures for oil and natural gas properties | (758 | ) | (3,878 | ) | (2,740 | ) | (3,498 | ) | (5,705 | ) | |||||||||
| Net cash used in investing activities | (827 | ) | (3,878 | ) | (3,002 | ) | (3,829 | ) | (5,705 | ) | |||||||||
| Cash flows from financing activities: | |||||||||||||||||||
| Common stock dividends paid | (4,082 | ) | (4,021 | ) | (4,033 | ) | (8,115 | ) | (8,034 | ) | |||||||||
| Common stock repurchases, including stock surrendered for tax withholding | (103 | ) | (108 | ) | (88 | ) | (191 | ) | (213 | ) | |||||||||
| Issuance of common stock | 2,259 | — | — | 2,259 | — | ||||||||||||||
| Offering costs | (236 | ) | — | — | (236 | ) | — | ||||||||||||
| Net cash used in financing activities | (2,162 | ) | (4,129 | ) | (4,121 | ) | (6,283 | ) | (8,247 | ) | |||||||||
| Net increase (decrease) in cash and cash equivalents | 4,730 | (953 | ) | 491 | 5,221 | (2,574 | ) | ||||||||||||
| Cash and cash equivalents, beginning of period | 6,937 | 9,413 | 6,446 | 6,446 | 11,034 | ||||||||||||||
| Cash and cash equivalents, end of period | $ | 11,667 | $ | 8,460 | $ | 6,937 | $ | 11,667 | $ | 8,460 | |||||||||
Evolution Petroleum Corporation
Non-GAAP Reconciliation – Adjusted EBITDA (Unaudited)
(In thousands)
Adjusted EBITDA and Net income (loss) and earnings per share excluding selected items are non-GAAP financial measures that are used as supplemental financial measures by our management and by external users of our financial statements, such as investors, commercial banks, and others, to assess our operating performance as compared to that of other companies in our industry, without regard to financing methods, capital structure, or historical costs basis. We use these measures to assess our ability to incur and service debt and fund capital expenditures. Our Adjusted EBITDA and Net income (loss) and earnings per share, excluding selected items, should not be considered alternatives to net income (loss), operating income (loss), cash flows provided by (used in) operating activities, or any other measure of financial performance or liquidity presented in accordance with U.S. GAAP. Our Adjusted EBITDA and Net income (loss) and earnings per share excluding selected items may not be comparable to similarly titled measures of another company because all companies may not calculate Adjusted EBITDA and Net income (loss) and earnings per share excluding selected items in the same manner.
We define Adjusted EBITDA as net income (loss) plus interest expense, income tax expense (benefit), depreciation, depletion, and accretion (DD&A), stock-based compensation, ceiling test impairment, and other impairments, unrealized loss (gain) on change in fair value of derivatives, and other non-recurring or non-cash expense (income) items.
| Three Months Ended | Six Months Ended | ||||||||||||||||
| December 31, | September 30, | December 31, | |||||||||||||||
| 2024 | 2023 | 2024 | 2024 | 2023 | |||||||||||||
| Net income (loss) | $ | (1,825 | ) | $ | 1,082 | $ | 2,065 | $ | 240 | $ | 2,556 | ||||||
| Adjusted by: | |||||||||||||||||
| Interest expense | 764 | 34 | 823 | 1,587 | 66 | ||||||||||||
| Income tax expense (benefit) | (711 | ) | 554 | 821 | 110 | 1,017 | |||||||||||
| Depletion, depreciation, and accretion | 5,433 | 4,598 | 5,725 | 11,158 | 8,860 | ||||||||||||
| Stock-based compensation | 659 | 564 | 559 | 1,218 | 1,036 | ||||||||||||
| Unrealized loss (gain) on derivative contracts | 1,368 | — | (1,868 | ) | (500 | ) | — | ||||||||||
| Adjusted EBITDA | $ | 5,688 | $ | 6,832 | $ | 8,125 | $ | 13,813 | $ | 13,535 | |||||||
| Evolution Petroleum Corporation | |||||||||||||||||||
| Non-GAAP Reconciliation – Adjusted Net Income (Unaudited) | |||||||||||||||||||
| (In thousands, except per share amounts) | |||||||||||||||||||
| Three Months Ended | Six Months Ended | ||||||||||||||||||
| December 31, | September 30, | December 31, | |||||||||||||||||
| 2024 | 2023 | 2024 | 2024 | 2023 | |||||||||||||||
| As Reported: | |||||||||||||||||||
| Net income (loss), as reported | $ | (1,825 | ) | $ | 1,082 | $ | 2,065 | $ | 240 | $ | 2,556 | ||||||||
| Impact of Selected Items: | |||||||||||||||||||
| Unrealized loss (gain) on commodity contracts | 1,368 | — | (1,868 | ) | (500 | ) | — | ||||||||||||
| Selected items, before income taxes | $ | 1,368 | $ | — | $ | (1,868 | ) | $ | (500 | ) | $ | — | |||||||
| Income tax effect of selected items(1) | 384 | — | (531 | ) | (157 | ) | — | ||||||||||||
| Selected items, net of tax | $ | 984 | $ | — | $ | (1,337 | ) | $ | (343 | ) | $ | — | |||||||
| As Adjusted: | |||||||||||||||||||
| Net income (loss), excluding selected items(2) | $ | (841 | ) | $ | 1,082 | $ | 728 | $ | (103 | ) | $ | 2,556 | |||||||
| Undistributed earnings allocated to unvested restricted stock | (100 | ) | (24 | ) | (14 | ) | (178 | ) | (51 | ) | |||||||||
| Net income (loss), excluding selected items for earnings per share calculation | $ | (941 | ) | $ | 1,058 | $ | 714 | $ | (281 | ) | $ | 2,505 | |||||||
| Net income (loss) per common share — Basic, as reported | $ | (0.06 | ) | $ | 0.03 | $ | 0.06 | $ | — | $ | 0.08 | ||||||||
| Impact of selected items | 0.03 | — | (0.04 | ) | (0.01 | ) | — | ||||||||||||
| Net income (loss) per common share — Basic, excluding selected items(2) | $ | (0.03 | ) | $ | 0.03 | $ | 0.02 | $ | (0.01 | ) | $ | 0.08 | |||||||
| Net income (loss) per common share — Diluted, as reported | $ | (0.06 | ) | $ | 0.03 | $ | 0.06 | $ | — | $ | 0.08 | ||||||||
| Impact of selected items | 0.03 | — | (0.04 | ) | (0.01 | ) | — | ||||||||||||
| Net income (loss) per common share — Diluted, excluding selected items(2)(3) | $ | (0.03 | ) | $ | 0.03 | $ | 0.02 | $ | (0.01 | ) | $ | 0.08 | |||||||
| ________________________________ | |||||||||||||||||||
| (1) The tax impact for the three months ended December 31, 2024 and September 30, 2024, is represented using estimated tax rates of | |||||||||||||||||||
| (2) Net income (loss) and earnings per share excluding selected items are non-GAAP financial measures presented as supplemental financial measures to enable a user of the financial information to understand the impact of these items on reported results. These financial measures should not be considered an alternative to net income (loss), operating income (loss), cash flows provided by (used in) operating activities, or any other measure of financial performance or liquidity presented in accordance with U.S. GAAP. Our Adjusted Net Income (Loss) and earnings per share may not be comparable to similarly titled measures of another company because all companies may not calculate Adjusted Net Income (Loss) and earnings per share in the same manner. | |||||||||||||||||||
| (3) The impact of selected items for the three months ended December 31, 2024, and 2023, were each calculated based upon weighted average diluted shares of 32.9 million, due to the net income (loss), excluding selected items. The impact of selected items for the three months ended September 30, 2024, was calculated based upon weighted average diluted shares of 32.9 million due to the net income (loss), excluding selected items. The impact of selected items for the six months ended December 31, 2024, and 2023, was each calculated based upon weighted average diluted shares of 32.8 million and 32.9 million, respectively, due to the net income (loss), excluding selected items. | |||||||||||||||||||
| Evolution Petroleum Corporation | ||||||||||||||
| Supplemental Information on Oil and Natural Gas Operations (Unaudited) | ||||||||||||||
| (In thousands, except per unit and per BOE amounts) | ||||||||||||||
| Three Months Ended | Six Months Ended | |||||||||||||
| December 31, | September 30, | December 31, | ||||||||||||
| 2024 | 2023 | 2024 | 2024 | 2023 | ||||||||||
| Revenues: | ||||||||||||||
| Crude oil | $ | 11,763 | $ | 11,759 | $ | 14,737 | $ | 26,500 | $ | 24,375 | ||||
| Natural gas | 5,793 | 6,531 | 4,285 | 10,078 | 12,083 | |||||||||
| Natural gas liquids | 2,719 | 2,734 | 2,874 | 5,593 | 5,167 | |||||||||
| Total revenues | $ | 20,275 | $ | 21,024 | $ | 21,896 | $ | 42,171 | $ | 41,625 | ||||
| Lease operating costs: | ||||||||||||||
| Ad valorem and production taxes | $ | 1,441 | $ | 1,272 | $ | 1,414 | $ | 2,855 | $ | 2,550 | ||||
| Gathering, transportation, and other costs | 2,889 | 2,496 | 2,790 | 5,679 | 4,399 | |||||||||
| Other lease operating costs | 8,463 | 8,590 | 7,586 | 16,049 | 17,292 | |||||||||
| Total lease operating costs | $ | 12,793 | $ | 12,358 | $ | 11,790 | $ | 24,583 | $ | 24,241 | ||||
| Depletion of full cost proved oil and natural gas properties | $ | 5,024 | $ | 4,238 | $ | 5,325 | $ | 10,349 | $ | 8,148 | ||||
| Production: | ||||||||||||||
| Crude oil (MBBL) | 179 | 159 | 204 | 383 | 320 | |||||||||
| Natural gas (MMCF) | 2,125 | 1,951 | 2,228 | 4,353 | 3,976 | |||||||||
| Natural gas liquids (MBBL) | 105 | 96 | 113 | 218 | 191 | |||||||||
| Equivalent (MBOE)(1) | 638 | 580 | 688 | 1,327 | 1,174 | |||||||||
| Average daily production (BOEPD)(1) | 6,935 | 6,304 | 7,478 | 7,212 | 6,380 | |||||||||
| Average price per unit:(2) | ||||||||||||||
| Crude oil (BBL) | $ | 65.72 | $ | 73.96 | $ | 72.24 | $ | 69.19 | $ | 76.17 | ||||
| Natural gas (MCF) | 2.73 | 3.35 | 1.92 | 2.32 | 3.04 | |||||||||
| Natural Gas Liquids (BBL) | 25.90 | 28.48 | 25.43 | 25.66 | 27.05 | |||||||||
| Equivalent (BOE)(1) | $ | 31.78 | $ | 36.25 | $ | 31.83 | $ | 31.78 | $ | 35.46 | ||||
| Average cost per unit: | ||||||||||||||
| Ad valorem and production taxes | $ | 2.26 | $ | 2.19 | $ | 2.06 | $ | 2.15 | $ | 2.17 | ||||
| Gathering, transportation, and other costs | 4.53 | 4.30 | 4.06 | 4.28 | 3.75 | |||||||||
| Other lease operating costs | 13.26 | 14.81 | 11.03 | 12.09 | 14.73 | |||||||||
| Total lease operating costs | $ | 20.05 | $ | 21.30 | $ | 17.15 | $ | 18.52 | $ | 20.65 | ||||
| Depletion of full cost proved oil and natural gas properties | $ | 7.87 | $ | 7.31 | $ | 7.74 | $ | 7.80 | $ | 6.94 | ||||
| _______________________________ | ||||||||||||||
| (1) Equivalent oil reserves are defined as six MCF of natural gas and 42 gallons of NGLs to one barrel of oil conversion ratio, which reflects energy equivalence and not price equivalence. Natural gas prices per MCF and NGL prices per barrel often differ significantly from the equivalent amount of oil. | ||||||||||||||
| (2) Amounts exclude the impact of cash paid or received on the settlement of derivative contracts since we did not elect to apply hedge accounting. | ||||||||||||||
| Evolution Petroleum Corporation | |||||||||||||||||
| Summary of Production Volumes and Average Sales Price (Unaudited) | |||||||||||||||||
| Three Months Ended | |||||||||||||||||
| December 31, | September 30, | ||||||||||||||||
| 2024 | 2023 | 2024 | |||||||||||||||
| Volume | Price | Volume | Price | Volume | Price | ||||||||||||
| Production: | |||||||||||||||||
| Crude oil (MBBL) | |||||||||||||||||
| SCOOP/STACK | 35 | $ | 70.52 | — | $ | — | 49 | $ | 75.38 | ||||||||
| Chaveroo Field | 9 | 67.55 | — | — | 16 | 73.69 | |||||||||||
| Jonah Field | 7 | 64.54 | 8 | 80.25 | 7 | 65.77 | |||||||||||
| Williston Basin | 30 | 64.64 | 35 | 71.71 | 33 | 68.87 | |||||||||||
| Barnett Shale | 2 | 65.99 | 2 | 76.77 | 2 | 70.30 | |||||||||||
| Hamilton Dome Field | 35 | 57.53 | 36 | 62.03 | 35 | 62.37 | |||||||||||
| Delhi Field | 60 | 68.66 | 78 | 79.02 | 61 | 77.22 | |||||||||||
| Other | 1 | 71.61 | — | — | 1 | 78.32 | |||||||||||
| Total | 179 | $ | 65.72 | 159 | $ | 73.96 | 204 | $ | 72.24 | ||||||||
| Natural gas (MMCF) | |||||||||||||||||
| SCOOP/STACK | 314 | $ | 2.89 | — | $ | — | 354 | $ | 2.48 | ||||||||
| Chaveroo Field | — | — | — | — | — | — | |||||||||||
| Jonah Field | 803 | 3.21 | 883 | 4.87 | 830 | 2.08 | |||||||||||
| Williston Basin | 18 | 1.41 | 14 | 1.91 | 27 | 1.43 | |||||||||||
| Barnett Shale | 990 | 2.31 | 1,054 | 2.10 | 1,017 | 1.62 | |||||||||||
| Total | 2,125 | $ | 2.73 | 1,951 | $ | 3.35 | 2,228 | $ | 1.92 | ||||||||
| Natural gas liquids (MBBL) | |||||||||||||||||
| SCOOP/STACK | 18 | $ | 21.34 | — | $ | — | 19 | $ | 21.67 | ||||||||
| Chaveroo Field | — | — | — | — | — | — | |||||||||||
| Jonah Field | 9 | 30.08 | 10 | 25.88 | 9 | 28.15 | |||||||||||
| Williston Basin | 2 | 17.86 | 4 | 20.41 | 7 | 17.93 | |||||||||||
| Barnett Shale | 57 | 25.86 | 60 | 30.07 | 56 | 26.03 | |||||||||||
| Delhi Field | 19 | 29.13 | 22 | 26.90 | 20 | 29.48 | |||||||||||
| Other | — | — | — | — | 2 | 13.06 | |||||||||||
| Total | 105 | $ | 25.90 | 96 | $ | 28.48 | 113 | $ | 25.43 | ||||||||
| Equivalent (MBOE)(1) | |||||||||||||||||
| SCOOP/STACK | 105 | $ | 35.48 | — | $ | — | 127 | $ | 39.20 | ||||||||
| Chaveroo Field | 9 | 67.55 | — | — | 16 | 73.69 | |||||||||||
| Jonah Field | 150 | 22.14 | 165 | 31.60 | 154 | 15.85 | |||||||||||
| Williston Basin | 35 | 57.00 | 41 | 63.22 | 45 | 54.62 | |||||||||||
| Barnett Shale | 224 | 17.29 | 238 | 17.61 | 227 | 14.21 | |||||||||||
| Hamilton Dome Field | 35 | 57.53 | 36 | 62.03 | 35 | 62.37 | |||||||||||
| Delhi Field | 79 | 59.37 | 100 | 67.63 | 81 | 65.28 | |||||||||||
| Other | 1 | 71.61 | — | — | 3 | 61.15 | |||||||||||
| Total | 638 | $ | 31.78 | 580 | $ | 36.25 | 688 | $ | 31.83 | ||||||||
| Average daily production (BOEPD)(1) | |||||||||||||||||
| SCOOP/STACK | 1,141 | — | 1,380 | ||||||||||||||
| Chaveroo Field | 98 | — | 174 | ||||||||||||||
| Jonah Field | 1,630 | 1,793 | 1,674 | ||||||||||||||
| Williston Basin | 380 | 446 | 489 | ||||||||||||||
| Barnett Shale | 2,435 | 2,587 | 2,467 | ||||||||||||||
| Hamilton Dome Field | 380 | 391 | 380 | ||||||||||||||
| Delhi Field | 859 | 1,087 | 880 | ||||||||||||||
| Other | 12 | — | 34 | ||||||||||||||
| Total | 6,935 | 6,304 | 7,478 | ||||||||||||||
| _____________________________ | |||||||||||||||||
| (1) Equivalent oil reserves are defined as six MCF of natural gas and 42 gallons of NGLs to one barrel of oil conversion ratio, which reflects energy equivalence and not price equivalence. Natural gas prices per MCF and NGL prices per barrel often differ significantly from the equivalent amount of oil. | |||||||||||||||||
| Evolution Petroleum Corporation | |||||||||||||||||
| Summary of Average Production Costs (Unaudited) | |||||||||||||||||
| Three Months Ended | |||||||||||||||||
| December 31, | September 30, | ||||||||||||||||
| 2024 | 2023 | 2024 | |||||||||||||||
| Amount | Price | Amount | Price | Amount | Price | ||||||||||||
| Production costs (in thousands, except per BOE): | |||||||||||||||||
| Lease operating costs | |||||||||||||||||
| SCOOP/STACK | $ | 1,050 | $ | 9.97 | $ | — | $ | — | $ | 1,156 | $ | 9.10 | |||||
| Chaveroo Field | 122 | 12.92 | — | — | 118 | 7.38 | |||||||||||
| Jonah Field | 2,196 | 14.62 | 2,392 | 14.45 | 2,162 | 13.95 | |||||||||||
| Williston Basin | 1,190 | 34.12 | 1,205 | 28.74 | 1,238 | 27.51 | |||||||||||
| Barnett Shale | 4,030 | 18.03 | 3,883 | 16.31 | 3,598 | 15.83 | |||||||||||
| Hamilton Dome Field | 1,188 | 34.18 | 1,404 | 39.43 | 1,531 | 43.48 | |||||||||||
| Delhi Field | 3,017 | 38.15 | 3,474 | 35.00 | 1,987 | 24.30 | |||||||||||
| Total | $ | 12,793 | $ | 20.05 | $ | 12,358 | $ | 21.30 | $ | 11,790 | $ | 17.15 | |||||
Evolution Petroleum Corporation
Summary of Open Derivative Contracts (Unaudited)
For more information on the Company's hedging practices, see Note 7 to its financial statements included on Form 10-Q filed with the SEC for the quarter ended December 31, 2024.
The Company had the following open crude oil and natural gas derivative contracts as of February 11, 2025:
| Volumes in | Swap Price per | Floor Price per | Ceiling Price per | ||||||||||||
| Period | Commodity | Instrument | MMBTU/BBL | MMBTU/BBL | MMBTU/BBL | MMBTU/BBL | |||||||||
| January 2025 - March 2025 | Crude Oil | Collar | 42,566 | $ | 68.00 | $ | 73.77 | ||||||||
| January 2025 - June 2025 | Crude Oil | Fixed-Price Swap | 51,992 | $ | 73.49 | ||||||||||
| February 2025 - March 2025 | Crude Oil | Put | 3,277 | 75.00 | |||||||||||
| February 2025 - March 2025 | Crude Oil | Fixed-Price Swap | 3,278 | 71.02 | |||||||||||
| April 2025 - June 2025 | Crude Oil | Collar | 41,601 | 65.00 | 84.00 | ||||||||||
| April 2025 - December 2025 | Crude Oil | Fixed-Price Swap | 32,229 | 72.00 | |||||||||||
| July 2025 - December 2025 | Crude Oil | Fixed-Price Swap | 81,335 | 71.40 | |||||||||||
| January 2026 - March 2026 | Crude Oil | Collar | 43,493 | 60.00 | 75.80 | ||||||||||
| January 2025 - February 2025 | Natural Gas | Fixed-Price Swap | 312,286 | 3.56 | |||||||||||
| January 2025 - March 2025 | Natural Gas | Basis Swap | 305,607 | 0.66 | |||||||||||
| March 2025 - December 2026 | Natural Gas | Fixed-Price Swap | 3,170,705 | 3.60 | |||||||||||
| January 2026 - March 2026 | Natural Gas | Collar | 375,481 | 3.60 | 5.00 | ||||||||||
| April 2025 - December 2027 | Natural Gas | Fixed-Price Swap | 3,729,540 | 3.57 | |||||||||||
This press release was published by a CLEAR® Verified individual.
FAQ
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