Vital Energy Reports Fourth-Quarter and Full-Year 2024 Financial and Operating Results
Vital Energy (NYSE: VTLE) reported its Q4 and full-year 2024 results, marking record total and oil production. The company posted a Q4 net loss of $359.4 million but achieved Adjusted Net Income of $86.5 million and operating cash flows of $257.2 million. Q4 production reached record levels of 147.8 MBOE/d and 69.8 MBO/d.
For full-year 2024, VTLE reported a net loss of $173.5 million, with Adjusted Net Income of $270.0 million and operating cash flows of $1.0 billion. The company increased its oil-weighted inventory to ~925 locations and reported year-end proved reserves of 455.3 million BOE, up 12% year-over-year.
Looking ahead to 2025, VTLE plans capital investments of $825-925 million, targeting total production of 134.0-140.0 MBOE/d and oil production of 62.5-66.5 MBO/d. The company expects to generate approximately $330 million in Adjusted Free Cash Flow at $70 per barrel WTI.
Vital Energy (NYSE: VTLE) ha riportato i risultati del quarto trimestre e dell'intero anno 2024, segnando record nella produzione totale e di petrolio. L'azienda ha registrato una perdita netta di $359,4 milioni nel quarto trimestre, ma ha ottenuto un reddito netto rettificato di $86,5 milioni e flussi di cassa operativi di $257,2 milioni. La produzione del quarto trimestre ha raggiunto livelli record di 147,8 MBOE/giorno e 69,8 MBO/giorno.
Per l'intero anno 2024, VTLE ha riportato una perdita netta di $173,5 milioni, con un reddito netto rettificato di $270,0 milioni e flussi di cassa operativi di $1,0 miliardo. L'azienda ha aumentato il suo inventario pesato sul petrolio a circa 925 posizioni e ha riportato riserve provate a fine anno di 455,3 milioni BOE, in aumento del 12% rispetto all'anno precedente.
Guardando al 2025, VTLE prevede investimenti in capitale tra $825 e $925 milioni, puntando a una produzione totale di 134,0-140,0 MBOE/giorno e produzione di petrolio di 62,5-66,5 MBO/giorno. L'azienda si aspetta di generare circa $330 milioni in flusso di cassa libero rettificato a $70 per barile WTI.
Vital Energy (NYSE: VTLE) reportó sus resultados del cuarto trimestre y del año completo 2024, marcando récords en producción total y de petróleo. La compañía registró una pérdida neta de $359.4 millones en el cuarto trimestre, pero logró un ingreso neto ajustado de $86.5 millones y flujos de efectivo operativos de $257.2 millones. La producción del cuarto trimestre alcanzó niveles récord de 147.8 MBOE/día y 69.8 MBO/día.
Para el año completo 2024, VTLE reportó una pérdida neta de $173.5 millones, con un ingreso neto ajustado de $270.0 millones y flujos de efectivo operativos de $1.0 mil millones. La compañía aumentó su inventario ponderado por petróleo a aproximadamente 925 ubicaciones y reportó reservas probadas al final del año de 455.3 millones BOE, un aumento del 12% en comparación con el año anterior.
De cara a 2025, VTLE planea inversiones de capital de $825 a $925 millones, con un objetivo de producción total de 134.0 a 140.0 MBOE/día y producción de petróleo de 62.5 a 66.5 MBO/día. La compañía espera generar aproximadamente $330 millones en flujo de caja libre ajustado a $70 por barril WTI.
Vital Energy (NYSE: VTLE)는 2024년 4분기 및 연간 실적을 보고하며 총 생산량 및 석유 생산량에서 기록을 세웠습니다. 이 회사는 4분기에 $359.4백만의 순손실을 기록했지만, 조정된 순이익은 $86.5백만, 운영 현금 흐름은 $257.2백만에 달했습니다. 4분기 생산량은 147.8 MBOE/일 및 69.8 MBO/일의 기록적인 수준에 도달했습니다.
2024년 전체 연도에 대해 VTLE는 $173.5백만의 순손실을 보고했으며, 조정된 순이익은 $270.0백만, 운영 현금 흐름은 $10억에 달했습니다. 이 회사는 석유 중심의 재고를 약 925개 위치로 늘렸고, 연말에 확인된 매장량은 455.3백만 BOE로, 전년 대비 12% 증가했습니다.
2025년을 바라보며 VTLE는 $825-925백만의 자본 투자를 계획하고 있으며, 총 생산량은 134.0-140.0 MBOE/일, 석유 생산량은 62.5-66.5 MBO/일을 목표로 하고 있습니다. 이 회사는 배럴당 $70 WTI에서 약 $330백만의 조정된 자유 현금 흐름을 생성할 것으로 예상하고 있습니다.
Vital Energy (NYSE: VTLE) a publié ses résultats du quatrième trimestre et de l'année complète 2024, marquant des records en production totale et en production de pétrole. L'entreprise a enregistré une perte nette de 359,4 millions de dollars au quatrième trimestre, mais a réalisé un revenu net ajusté de 86,5 millions de dollars et des flux de trésorerie d'exploitation de 257,2 millions de dollars. La production du quatrième trimestre a atteint des niveaux records de 147,8 MBOE/jour et 69,8 MBO/jour.
Pour l'année complète 2024, VTLE a signalé une perte nette de 173,5 millions de dollars, avec un revenu net ajusté de 270,0 millions de dollars et des flux de trésorerie d'exploitation de 1,0 milliard de dollars. L'entreprise a augmenté son inventaire pondéré en pétrole à environ 925 emplacements et a déclaré des réserves prouvées à la fin de l'année de 455,3 millions de BOE, en hausse de 12 % par rapport à l'année précédente.
En regardant vers 2025, VTLE prévoit des investissements en capital de 825 à 925 millions de dollars, visant une production totale de 134,0 à 140,0 MBOE/jour et une production de pétrole de 62,5 à 66,5 MBO/jour. L'entreprise s'attend à générer environ 330 millions de dollars de flux de trésorerie libre ajusté à 70 dollars le baril WTI.
Vital Energy (NYSE: VTLE) hat seine Ergebnisse für das 4. Quartal und das gesamte Jahr 2024 veröffentlicht und dabei Rekorde in der Gesamt- und Ölproduktion erzielt. Das Unternehmen verzeichnete im 4. Quartal einen Nettoverlust von 359,4 Millionen USD, erzielte jedoch ein bereinigtes Nettoergebnis von 86,5 Millionen USD und operative Cashflows von 257,2 Millionen USD. Die Produktion im 4. Quartal erreichte Rekordwerte von 147,8 MBOE/Tag und 69,8 MBO/Tag.
Für das gesamte Jahr 2024 meldete VTLE einen Nettoverlust von 173,5 Millionen USD, mit einem bereinigten Nettoergebnis von 270,0 Millionen USD und operativen Cashflows von 1,0 Milliarden USD. Das Unternehmen erhöhte sein ölgewichtetes Inventar auf etwa 925 Standorte und meldete zum Jahresende nachgewiesene Reserven von 455,3 Millionen BOE, was einem Anstieg von 12 % im Vergleich zum Vorjahr entspricht.
Für 2025 plant VTLE Investitionen in Höhe von 825 bis 925 Millionen USD und strebt eine Gesamtproduktion von 134,0 bis 140,0 MBOE/Tag sowie eine Ölproduktion von 62,5 bis 66,5 MBO/Tag an. Das Unternehmen erwartet, bei einem Preis von 70 USD pro Barrel WTI etwa 330 Millionen USD an bereinigtem freien Cashflow zu generieren.
- Record Q4 production: 147.8 MBOE/d total and 69.8 MBO/d oil
- Generated $1.3 billion in Consolidated EBITDAX for 2024
- Proved reserves increased 12% to 455.3 million BOE
- Achieved $11 million annualized interest expense savings through debt refinancing
- Operating costs below guidance at $8.89 per BOE in Q4
- Q4 net loss of $359.4 million, including $481.3 million impairment loss
- Full-year 2024 net loss of $173.5 million
- 2025 production guidance shows decline from 2024 levels
- Underperformance reported in Upton County seven-well development package
Insights
Vital Energy's Q4 and FY2024 results reveal a company executing well operationally while managing significant financial challenges. The $359.4M Q4 net loss requires context - it's primarily driven by a $481.3M non-cash impairment charge, while core operations remain robust with $383.5M in Q4 EBITDAX and $110.8M in Adjusted Free Cash Flow.
The operational metrics are particularly impressive. Record production of 147.8 MBOE/d and oil production of 69.8 MBO/d in Q4, combined with better-than-expected LOE of $8.89 per BOE, demonstrate strong execution and successful integration of the Point Energy assets. The company's inventory position has strengthened significantly, with ~925 locations, including ~400 locations breaking even below $50/barrel WTI, providing substantial runway for future development.
Looking ahead to 2025, the company's planned $825-925M capital investment program and projected $330M in Adjusted Free Cash Flow (at $70 WTI) reflect a balanced approach between development and debt reduction. The 3% reduction in both capital investment and production guidance, while maintaining similar net lateral feet development, suggests improved operational efficiency despite challenges in Upton County.
The debt refinancing initiative, resulting in $11M annual interest savings, demonstrates proactive liability management. The year-end proved reserves of 455.3 MMBOE with a PV-10 value of $4.51B provides solid asset backing, though the 40% oil content indicates significant gas exposure that could impact realized prices in the current commodity price environment.
Reports record total and oil production for 4Q-24 and FY-24
Updates development inventory to >11 years of oil-weighted locations
TULSA, OK, Feb. 19, 2025 (GLOBE NEWSWIRE) -- Vital Energy, Inc. (NYSE: VTLE) ("Vital Energy" or the "Company") today reported fourth-quarter and full-year 2024 financial and operating results and provided its 2025 outlook. Supplemental slides have been posted to the Company's website and can be found at www.vitalenergy.com. A conference call to discuss results is planned for 7:30 a.m. CT, Thursday, February 20, 2025. A webcast will be available on the Company's website.
Fourth-Quarter 2024 Highlights
- Successfully integrated Point Energy assets; acquired production exceeding expectations and operating cost reductions in-line with expectations
- Reported a net loss of
$359.4 million , Adjusted Net Income1 of$86.5 million and cash flows from operating activities of$257.2 million - Generated Consolidated EBITDAX1 of
$383.5 million and Adjusted Free Cash Flow1 of$110.8 million - Produced Company-record 147.8 thousand barrels of oil equivalent per day ("MBOE/d") and oil production of 69.8 thousand barrels of oil per day ("MBO/d")
- Reported lease operating expense ("LOE") of
$8.89 per BOE, below guidance of$9.35 per BOE - Reported capital investments of
$226.1 million , excluding non-budgeted acquisitions and leasehold expenditures
Full-Year 2024 Highlights
- Increased oil-weighted inventory to ~925 locations, ~400 of which breakeven below
$50 per barrel WTI - Issued an aggregate
$1 billion of senior unsecured notes due 2032 at7.875% and utilized the proceeds to repurchase higher coupon notes, resulting in annualized interest expense savings of$11 million - Reported a net loss of
$173.5 million , Adjusted Net Income1 of$270.0 million and cash flows from operating activities of$1.0 billion - Generated Consolidated EBITDAX1 of
$1.3 billion and Adjusted Free Cash Flow1 of$232.8 million - Reported year-end 2024 proved reserves of 455.3 million BOE, an increase of
12% versus prior year
1Non-GAAP financial measure; please see supplemental reconciliations of GAAP to non-GAAP financial measures at the end of this release.
"We strengthened our business in 2024 through enhanced scale, optimized assets and a lengthened runway of high-quality inventory," said Jason Pigott, President and Chief Executive Officer. "We successfully integrated our largest ever asset purchase in the Delaware Basin and early results positively impacted our operating and financial performance. Vital Energy continues to show that our talented people can capture important synergies from acquisitions while expanding inventory."
"In 2025, our primary goals are reducing costs, maximizing Adjusted Free Cash Flow generation, absolute debt reduction, and extending and enhancing our existing inventory," continued Pigott. "Our inventory provides us with ample high-return development opportunities and a strong outlook for Adjusted Free Cash Flow generation. Recent operational achievements, like horseshoe wells, are creating new efficiencies and allowing us to develop highly productive, stranded leasehold. We will continue to focus on optimizing our asset base to achieve our cash flow and debt repayment targets."
Fourth-Quarter 2024 Financial and Operations Summary
Financial Results. The Company reported a net loss of
Production. Vital Energy's total and oil production exceeded the high end of guidance, averaging 147,819 BOE/d and 69,827 BO/d, respectively. Volumes were driven by better-than-expected production from the Point Energy assets.
Capital Investments. Total capital investments, excluding non-budgeted acquisitions and leasehold expenditures, were
Investments included
Operating Expenses. LOE during the period was
General and Administrative Expenses. General and administrative expenses totaled
Liquidity. At December 31, 2024, the Company had
2025 Outlook
Vital Energy's 2025 development plan is designed to maximize cash flow to facilitate debt repayment, supported by its robust hedge position. In comparison to the Company's earlier projections, the finalized 2025 outlook has lower capital investment levels and slightly lower oil production. In 2025, the Company expects to generate approximately
Capital Investments. Vital Energy plans to invest
Production. The Company expects total production of 134.0 - 140.0 MBOE/d and oil production of 62.5 - 66.5 MBO/d. Production is approximately
Operating Expenses. The Company has made significant progress reducing operating expenses through integration of its Point Energy assets. Some workover expense was deferred from fourth-quarter 2024 into the first quarter of 2025. Average LOE for the two quarters is expected to be around
Oil-Weighted Inventory
The Company has continued to extend and enhance its inventory of high-return development locations. At year-end 2024, Vital Energy had approximately 925 locations with an average breakeven WTI oil price of around
2024 Proved Reserves
Vital Energy's total proved reserves at year-end 2024 were 455.3 MMBOE (
First-Quarter 2025 Guidance
The table below reflects the Company's guidance for production and capital investments.
| 1Q-25E | ||
| Total production (MBOE/d) | 135.0 - 141.0 | |
| Oil production (MBO/d) | 62.0 - 66.0 | |
| Capital investments, excluding non-budgeted acquisitions ($ MM) | ||
The table below reflects the Company's guidance for select revenue and expense items.
| 1Q-25E | ||
| Average sales price realizations (excluding derivatives): | ||
| Oil (% of WTI) | ||
| NGL (% of WTI) | ||
| Natural gas (% of Henry Hub) | ||
| Net settlements received (paid) for matured commodity derivatives ($ MM): | ||
| Oil | ||
| NGL | ( | |
| Natural gas | ||
| Selected average costs & expenses: | ||
| Lease operating expenses ($ MM) | ||
| Production and ad valorem taxes (% of oil, NGL and natural gas sales revenues) | ||
| Oil transportation and marketing expenses ($ MM) | ||
| Gas gathering, processing and transportation expenses ($ MM) | ||
| General and administrative expenses (excluding LTIP and transaction expenses, $ MM) | ||
| General and administrative expenses (LTIP cash, $ MM) | ||
| General and administrative expenses (LTIP non-cash, $ MM) | ||
| Depletion, depreciation and amortization ($ MM) | ||
Conference Call Details
Vital Energy plans to host a conference call at 7:30 a.m. CT on Thursday, February 20, 2025, to discuss its fourth-quarter and full-year 2024 financial and operating results and its 2025 outlook. Supplemental slides will be posted to the Company's website. Interested parties are invited to listen to the call via the Company's website at www.vitalenergy.com, under the tab for "Investor Relations | News & Presentations | Upcoming Events."
About Vital Energy
Vital Energy, Inc. is an independent energy company with headquarters in Tulsa, Oklahoma. Vital Energy's business strategy is focused on the acquisition, exploration and development of oil and natural gas properties in the Permian Basin of West Texas.
Additional information about Vital Energy may be found on its website at www.vitalenergy.com.
Forward-Looking Statements
This press release and any oral statements made regarding the contents of this release, including in the conference call referenced herein, contain forward-looking statements as defined under Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements, other than statements of historical facts, that address activities that Vital Energy assumes, plans, expects, believes, intends, projects, indicates, enables, transforms, estimates or anticipates (and other similar expressions) will, should or may occur in the future are forward-looking statements. The forward-looking statements are based on management’s current belief, based on currently available information, as to the outcome and timing of future events. Such statements are not guarantees of future performance and involve risks, assumptions and uncertainties. General risks relating to Vital Energy include, but are not limited to, continuing and worsening inflationary pressures and associated changes in monetary policy that may cause costs to rise; changes in domestic and global production, supply and demand for commodities, including as a result of actions by the Organization of Petroleum Exporting Countries and other producing countries ("OPEC+") and the Russian-Ukrainian or Israeli-Hamas military conflicts, the decline in prices of oil, natural gas liquids and natural gas and the related impact to financial statements as a result of asset impairments and revisions to reserve estimates, reduced demand due to shifting market perception towards the oil and gas industry; competition in the oil and gas industry; the ability of the Company to execute its strategies, including its ability to successfully identify and consummate strategic acquisitions at purchase prices that are accretive to its financial results and to successfully integrate acquired businesses, assets and properties and its ability to successfully execute on its strategy to enhance well productivity, including by drilling long-lateral horseshoe wells, pipeline transportation and storage constraints in the Permian Basin, the effects and duration of the outbreak of disease, and any related government policies and actions, long-term performance of wells, drilling and operating risks, the possibility of production curtailment, the impact of new laws and regulations, including those regarding the use of hydraulic fracturing, and under the Inflation Reduction Act (the "IRA"), including those related to climate change, the impact of legislation or regulatory initiatives intended to address induced seismicity on our ability to conduct our operations; uncertainties in estimating reserves and production results; hedging activities, tariffs on steel, the impacts of severe weather, including the freezing of wells and pipelines in the Permian Basin due to cold weather, technological innovations and scientific developments, physical and transition risks associated with climate change, to ESG and sustainability-related matters, risks related to our public statements with respect to such matters that may be subject to heightened scrutiny from public and governmental authorities related to the risk of potential "greenwashing," i.e., misleading information or false claims overstating potential sustainability-related benefits, risks regarding potentially conflicting anti-ESG initiatives from certain U.S. state or other governments, possible impacts of litigation and regulations, the impact of the Company's transactions, if any, with its securities from time to time, the impact of new environmental, health and safety requirements applicable to the Company's business activities, the possibility of the elimination of federal income tax deductions for oil and gas exploration and development and imposition of any additional taxes under the IRA or otherwise, and other factors, including those and other risks described in its Annual Report on Form 10-K for the year ended December 31, 2023 (the "2023 Annual Report"), subsequent Quarterly Reports on Form 10-Q and those set forth from time to time in other filings with the Securities and Exchange Commission ("SEC"). These documents are available through Vital Energy's website at www.vitalenergy.com under the tab "Investor Relations" or through the SEC's Electronic Data Gathering and Analysis Retrieval System at www.sec.gov. Any of these factors could cause Vital Energy's actual results and plans to differ materially from those in the forward-looking statements. Therefore, Vital Energy can give no assurance that its future results will be as estimated. Any forward-looking statement speaks only as of the date on which such statement is made. Vital Energy does not intend to, and disclaims any obligation to, correct, update or revise any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by applicable law.
This press release and any accompanying disclosures include financial measures that are not in accordance with generally accepted accounting principles ("GAAP"), such as Adjusted Free Cash Flow, Adjusted Net Income, Net Debt and Consolidated EBITDAX. While management believes that such measures are useful for investors, they should not be used as a replacement for financial measures that are in accordance with GAAP. For a reconciliation of such non-GAAP financial measures to the nearest comparable measure in accordance with GAAP, please see the supplemental financial information at the end of this press release.
Unless otherwise specified, references to "average sales price" refer to average sales price excluding the effects of the Company's derivative transactions.
All amounts, dollars and percentages presented in this press release are rounded and therefore approximate.
Vital Energy, Inc.
Selected operating data
| Three months ended December 31, | Year ended December 31, | ||||||||||||
| 2024 | 2023 | 2024 | 2023 | ||||||||||
| (unaudited) | (unaudited) | ||||||||||||
| Sales volumes: | |||||||||||||
| Oil (MBbl) | 6,424 | 4,881 | 22,585 | 16,894 | |||||||||
| NGL (MBbl) | 3,703 | 2,808 | 13,270 | 9,128 | |||||||||
| Natural gas (MMcf) | 20,836 | 16,644 | 78,794 | 55,404 | |||||||||
| Oil equivalent (MBOE)(1) | 13,599 | 10,465 | 48,987 | 35,256 | |||||||||
| Average daily oil equivalent sales volumes (BOE/d)(1) | 147,819 | 113,747 | 133,845 | 96,591 | |||||||||
| Average daily oil sales volumes (Bbl/d)(1) | 69,827 | 53,070 | 61,708 | 46,284 | |||||||||
| Average sales prices(1): | |||||||||||||
| Oil ($/Bbl)(2) | $ | 70.80 | $ | 79.37 | $ | 76.55 | $ | 78.64 | |||||
| NGL ($/Bbl)(2) | $ | 16.75 | $ | 14.14 | $ | 14.38 | $ | 15.00 | |||||
| Natural gas ($/Mcf)(2) | $ | 0.59 | $ | 0.90 | $ | 0.20 | $ | 1.14 | |||||
| Average sales price ($/BOE)(2) | $ | 38.92 | $ | 42.26 | $ | 39.51 | $ | 43.36 | |||||
| Oil, with commodity derivatives ($/Bbl)(3) | $ | 76.08 | $ | 77.73 | $ | 76.56 | $ | 76.99 | |||||
| NGL, with commodity derivatives ($/Bbl)(3) | $ | 16.75 | $ | 14.14 | $ | 14.29 | $ | 15.00 | |||||
| Natural gas, with commodity derivatives ($/Mcf)(3) | $ | 1.25 | $ | 1.18 | $ | 0.95 | $ | 1.34 | |||||
| Average sales price, with commodity derivatives ($/BOE)(3) | $ | 42.42 | $ | 41.94 | $ | 40.70 | $ | 42.87 | |||||
| Selected average costs and expenses per BOE sold(1): | |||||||||||||
| Lease operating expenses | $ | 8.89 | $ | 8.33 | $ | 9.15 | $ | 7.41 | |||||
| Production and ad valorem taxes | 2.43 | 2.27 | 2.41 | 2.64 | |||||||||
| Oil transportation and marketing expenses | 0.76 | 0.85 | 0.92 | 1.17 | |||||||||
| Gas gathering, processing and transportation expenses | 0.42 | 0.16 | 0.36 | 0.06 | |||||||||
| General and administrative (excluding LTIP and transaction expenses) | 1.71 | 2.12 | 1.75 | 2.26 | |||||||||
| Total selected operating expenses | $ | 14.21 | $ | 13.73 | $ | 14.59 | $ | 13.54 | |||||
| General and administrative (LTIP): | |||||||||||||
| LTIP cash | $ | 0.02 | $ | (0.09 | ) | $ | 0.05 | $ | 0.11 | ||||
| LTIP non-cash | $ | 0.22 | $ | 0.22 | $ | 0.27 | $ | 0.28 | |||||
| General and administrative (transaction expenses) | $ | — | $ | 0.79 | $ | 0.01 | $ | 0.32 | |||||
| Depletion, depreciation and amortization | $ | 15.77 | $ | 14.58 | $ | 15.15 | $ | 13.14 | |||||
_______________________________________________________________________________
| (1) | The numbers presented are calculated based on actual amounts and may not recalculate using the rounded numbers presented in the table above. |
| (2) | Price reflects the average of actual sales prices received when control passes to the purchaser/customer adjusted for quality, certain transportation fees, geographical differentials, marketing bonuses or deductions and other factors affecting the price received at the delivery point. |
| (3) | Price reflects the after-effects of the Company's commodity derivative transactions on its average sales prices. The Company's calculation of such after-effects includes settlements of matured commodity derivatives during the respective periods. |
Vital Energy, Inc.
Consolidated balance sheets
| (in thousands, except share data) | December 31, 2024 | December 31, 2023 | ||||||
| (unaudited) | ||||||||
| Assets | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 40,179 | $ | 14,061 | ||||
| Accounts receivable, net | 299,698 | 238,773 | ||||||
| Derivatives | 101,474 | 99,336 | ||||||
| Other current assets | 25,205 | 18,749 | ||||||
| Total current assets | 466,556 | 370,919 | ||||||
| Property and equipment: | ||||||||
| Oil and natural gas properties, full cost method: | ||||||||
| Evaluated properties | 13,587,040 | 11,799,155 | ||||||
| Unevaluated properties not being depleted | 242,792 | 195,457 | ||||||
| Less: accumulated depletion and impairment | (8,966,200 | ) | (7,764,697 | ) | ||||
| Oil and natural gas properties, net | 4,863,632 | 4,229,915 | ||||||
| Midstream and other fixed assets, net | 134,265 | 130,293 | ||||||
| Property and equipment, net | 4,997,897 | 4,360,208 | ||||||
| Derivatives | 34,564 | 51,071 | ||||||
| Operating lease right-of-use assets | 104,329 | 144,900 | ||||||
| Deferred income taxes | 239,685 | 188,836 | ||||||
| Other noncurrent assets, net | 35,915 | 33,647 | ||||||
| Total assets | $ | 5,878,946 | $ | 5,149,581 | ||||
| Liabilities and stockholders' equity | ||||||||
| Current liabilities: | ||||||||
| Accounts payable and accrued liabilities | $ | 185,115 | $ | 159,892 | ||||
| Accrued capital expenditures | 95,593 | 91,937 | ||||||
| Undistributed revenue and royalties | 187,563 | 194,307 | ||||||
| Operating lease liabilities | 73,143 | 70,651 | ||||||
| Other current liabilities | 59,725 | 78,802 | ||||||
| Total current liabilities | 601,139 | 595,589 | ||||||
| Long-term debt, net | 2,454,242 | 1,609,424 | ||||||
| Derivatives | 5,814 | — | ||||||
| Asset retirement obligations | 82,941 | 81,680 | ||||||
| Operating lease liabilities | 26,733 | 71,343 | ||||||
| Other noncurrent liabilities | 7,506 | 6,288 | ||||||
| Total liabilities | 3,178,375 | 2,364,324 | ||||||
| Commitments and contingencies | ||||||||
| Stockholders' equity: | ||||||||
| Preferred stock, | — | 6 | ||||||
| Common stock, | 381 | 354 | ||||||
| Additional paid-in capital | 3,823,241 | 3,733,775 | ||||||
| Accumulated deficit | (1,123,051 | ) | (948,878 | ) | ||||
| Total stockholders' equity | 2,700,571 | 2,785,257 | ||||||
| Total liabilities and stockholders' equity | $ | 5,878,946 | $ | 5,149,581 | ||||
Vital Energy, Inc.
Consolidated statements of operations
| Three months ended December 31, | Year ended December 31, | |||||||||||||||
| (in thousands, except per share data) | 2024 | 2023 | 2024 | 2023 | ||||||||||||
| (unaudited) | (unaudited) | |||||||||||||||
| Revenues: | ||||||||||||||||
| Oil sales | $ | 454,852 | $ | 387,536 | $ | 1,728,971 | $ | 1,328,518 | ||||||||
| NGL sales | 62,023 | 39,705 | 190,775 | 136,901 | ||||||||||||
| Natural gas sales | 12,394 | 14,954 | 15,544 | 63,214 | ||||||||||||
| Sales of purchased oil | 3,759 | 121 | 12,745 | 14,313 | ||||||||||||
| Other operating revenues | 1,342 | 2,205 | 4,279 | 4,658 | ||||||||||||
| Total revenues | 534,370 | 444,521 | 1,952,314 | 1,547,604 | ||||||||||||
| Costs and expenses: | ||||||||||||||||
| Lease operating expenses | 120,922 | 87,190 | 448,078 | 261,129 | ||||||||||||
| Production and ad valorem taxes | 33,010 | 23,726 | 117,947 | 93,224 | ||||||||||||
| Oil transportation and marketing expenses | 10,366 | 8,893 | 44,843 | 41,284 | ||||||||||||
| Gas gathering, processing and transportation expenses | 5,759 | 1,642 | 17,825 | 2,013 | ||||||||||||
| Costs of purchased oil | 3,912 | 209 | 13,243 | 15,065 | ||||||||||||
| General and administrative | 26,644 | 31,766 | 101,578 | 104,819 | ||||||||||||
| Organizational restructuring expenses | 795 | 1,654 | 795 | 1,654 | ||||||||||||
| Depletion, depreciation and amortization | 214,498 | 152,626 | 741,966 | 463,244 | ||||||||||||
| Impairment expense | 481,305 | — | 481,305 | — | ||||||||||||
| Other operating expenses, net | 3,434 | 1,685 | 8,799 | 6,223 | ||||||||||||
| Total costs and expenses | 900,645 | 309,391 | 1,976,379 | 988,655 | ||||||||||||
| Gain on disposal of assets, net | 508 | 132 | 1,513 | 672 | ||||||||||||
| Operating income (loss) | (365,767 | ) | 135,262 | (22,552 | ) | 559,621 | ||||||||||
| Non-operating income (expense): | ||||||||||||||||
| Gain (loss) on derivatives, net | (43,924 | ) | 229,105 | 38,140 | 96,230 | |||||||||||
| Interest expense | (53,564 | ) | (50,431 | ) | (177,794 | ) | (149,819 | ) | ||||||||
| Loss on extinguishment of debt, net | — | (4,039 | ) | (66,115 | ) | (4,039 | ) | |||||||||
| Other income, net | 1,139 | 6,051 | 7,060 | 9,748 | ||||||||||||
| Total non-operating income (expense), net | (96,349 | ) | 180,686 | (198,709 | ) | (47,880 | ) | |||||||||
| Income (loss) before income taxes | (462,116 | ) | 315,948 | (221,261 | ) | 511,741 | ||||||||||
| Income tax benefit (expense) | 102,724 | (34,514 | ) | 47,740 | 183,337 | |||||||||||
| Net income (loss) | (359,392 | ) | 281,434 | (173,521 | ) | 695,078 | ||||||||||
| Preferred stock dividends | — | (449 | ) | (652 | ) | (449 | ) | |||||||||
| Net income (loss) available to common stockholders | $ | (359,392 | ) | $ | 280,985 | $ | (174,173 | ) | $ | 694,629 | ||||||
| Net income (loss) per common share: | ||||||||||||||||
| Basic | $ | (9.59 | ) | $ | 10.04 | $ | (4.74 | ) | $ | 34.30 | ||||||
| Diluted | $ | (9.59 | ) | $ | 9.44 | $ | (4.74 | ) | $ | 33.44 | ||||||
| Weighted-average common shares outstanding: | ||||||||||||||||
| Basic | 37,477 | 27,991 | 36,725 | 20,254 | ||||||||||||
| Diluted | 37,477 | 29,813 | 36,725 | 20,783 | ||||||||||||
Vital Energy, Inc.
Consolidated statements of cash flows
| Three months ended December 31, | Year ended December 31, | |||||||||||||||
| (in thousands) | 2024 | 2023 | 2024 | 2023 | ||||||||||||
| (unaudited) | (unaudited) | |||||||||||||||
| Cash flows from operating activities: | ||||||||||||||||
| Net income (loss) | $ | (359,392 | ) | $ | 281,434 | $ | (173,521 | ) | $ | 695,078 | ||||||
| Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||||||||||||||||
| Share-settled equity-based compensation, net | 3,398 | 2,592 | 14,646 | 10,994 | ||||||||||||
| Depletion, depreciation and amortization | 214,498 | 152,626 | 741,966 | 463,244 | ||||||||||||
| Impairment expense | 481,305 | — | 481,305 | — | ||||||||||||
| Mark-to-market on derivatives: | ||||||||||||||||
| (Gain) loss on derivatives, net | 43,924 | (229,105 | ) | (38,140 | ) | (96,230 | ) | |||||||||
| Settlements received (paid) for matured derivatives, net | 47,571 | (3,328 | ) | 58,322 | (17,648 | ) | ||||||||||
| Loss on extinguishment of debt, net | — | 4,039 | 66,115 | 4,039 | ||||||||||||
| Deferred income tax (benefit) expense | (102,474 | ) | 31,089 | (50,196 | ) | (189,060 | ) | |||||||||
| Other, net | 8,055 | 5,672 | 27,663 | 13,983 | ||||||||||||
| Changes in operating assets and liabilities: | ||||||||||||||||
| Accounts receivable, net | (74,978 | ) | (38,935 | ) | (61,163 | ) | (77,742 | ) | ||||||||
| Other current assets | 1,211 | 6,835 | (6,456 | ) | (2,754 | ) | ||||||||||
| Other noncurrent assets, net | (315 | ) | (782 | ) | (1,151 | ) | 484 | |||||||||
| Accounts payable and accrued liabilities | 34,084 | 48,520 | 12,803 | 52,763 | ||||||||||||
| Undistributed revenue and royalties | (10,169 | ) | (32,106 | ) | (29,762 | ) | (31,907 | ) | ||||||||
| Other current liabilities | (23,572 | ) | 7,190 | (25,004 | ) | (5,656 | ) | |||||||||
| Other noncurrent liabilities | (5,972 | ) | (2,007 | ) | (17,097 | ) | (6,632 | ) | ||||||||
| Net cash provided by operating activities | 257,174 | 233,734 | 1,000,330 | 812,956 | ||||||||||||
| Cash flows from investing activities: | ||||||||||||||||
| Acquisitions of oil and natural gas properties, net | (19,686 | ) | (309,379 | ) | (850,911 | ) | (849,508 | ) | ||||||||
| Capital expenditures: | ||||||||||||||||
| Oil and natural gas properties | (231,158 | ) | (162,351 | ) | (864,437 | ) | (617,397 | ) | ||||||||
| Midstream and other fixed assets | (6,711 | ) | (3,329 | ) | (23,341 | ) | (14,021 | ) | ||||||||
| Proceeds from dispositions of capital assets, net of selling costs | 133 | 60 | 2,874 | 2,403 | ||||||||||||
| Other investing activities | — | 311 | (1,776 | ) | 2,393 | |||||||||||
| Net cash used in investing activities | (257,422 | ) | (474,688 | ) | (1,737,591 | ) | (1,476,130 | ) | ||||||||
| Cash flows from financing activities: | ||||||||||||||||
| Borrowings on Senior Secured Credit Facility | 310,000 | 135,000 | 1,750,000 | 765,000 | ||||||||||||
| Payments on Senior Secured Credit Facility | (290,000 | ) | — | (1,005,000 | ) | (700,000 | ) | |||||||||
| Issuance of senior unsecured notes | — | — | 1,001,500 | 897,710 | ||||||||||||
| Extinguishment of debt | — | (457,792 | ) | (952,214 | ) | (457,792 | ) | |||||||||
| Proceeds from issuance of common stock, net of offering costs | — | 220 | — | 161,223 | ||||||||||||
| Stock exchanged for tax withholding | (36 | ) | (21 | ) | (3,569 | ) | (3,077 | ) | ||||||||
| Payments for debt issuance costs | (340 | ) | (10,680 | ) | (22,078 | ) | (27,011 | ) | ||||||||
| Other, net | (1,389 | ) | (1,407 | ) | (5,260 | ) | (3,253 | ) | ||||||||
| Net cash provided by (used in) financing activities | 18,235 | (334,680 | ) | 763,379 | 632,800 | |||||||||||
| Net increase (decrease) in cash and cash equivalents | 17,987 | (575,634 | ) | 26,118 | (30,374 | ) | ||||||||||
| Cash and cash equivalents, beginning of period | 22,192 | 589,695 | 14,061 | 44,435 | ||||||||||||
| Cash and cash equivalents, end of period | $ | 40,179 | $ | 14,061 | $ | 40,179 | $ | 14,061 | ||||||||
Vital Energy, Inc.
Supplemental reconciliations of GAAP to non-GAAP financial measures
Non-GAAP financial measures
The non-GAAP financial measures of Adjusted Free Cash Flow, Adjusted Net Income, Consolidated EBITDAX, Net Debt and Net Debt to Consolidated EBITDAX, as defined by the Company, may not be comparable to similarly titled measures used by other companies. Furthermore, these non-GAAP financial measures should not be considered in isolation or as a substitute for GAAP measures of liquidity or financial performance, but rather should be considered in conjunction with GAAP measures, such as net income or loss, operating income or loss or cash flows from operating activities.
Adjusted Free Cash Flow
Adjusted Free Cash Flow is a non-GAAP financial measure that the Company defines as net cash provided by operating activities (GAAP) before net changes in operating assets and liabilities and transaction expenses related to non-budgeted acquisitions, less capital investments, excluding non-budgeted acquisition costs. Management believes Adjusted Free Cash Flow is useful to management and investors in evaluating operating trends in its business that are affected by production, commodity prices, operating costs and other related factors. There are significant limitations to the use of Adjusted Free Cash Flow as a measure of performance, including the lack of comparability due to the different methods of calculating Adjusted Free Cash Flow reported by different companies.
The following table presents a reconciliation of net cash provided by operating activities (GAAP) to Adjusted Free Cash Flow (non-GAAP) for the periods presented:
| Three months ended December 31, | Year ended December 31, | |||||||||||||||
| (in thousands) | 2024 | 2023 | 2024 | 2023 | ||||||||||||
| (unaudited) | (unaudited) | |||||||||||||||
| Net cash provided by operating activities | $ | 257,174 | $ | 233,734 | $ | 1,000,330 | $ | 812,956 | ||||||||
| Less: | ||||||||||||||||
| Net changes in operating assets and liabilities | (79,711 | ) | (11,285 | ) | (127,830 | ) | (71,444 | ) | ||||||||
| General and administrative (transaction expenses) | 19 | (8,221 | ) | (548 | ) | (11,341 | ) | |||||||||
| Cash flows from operating activities before net changes in operating assets and liabilities and transaction expenses related to non-budgeted acquisitions | 336,866 | 253,240 | 1,128,708 | 895,741 | ||||||||||||
| Less capital investments, excluding non-budgeted acquisition costs: | ||||||||||||||||
| Oil and natural gas properties(1)(2) | 221,033 | 179,696 | 873,637 | 663,025 | ||||||||||||
| Midstream and other fixed assets(1) | 5,043 | 4,511 | 22,276 | 15,601 | ||||||||||||
| Total capital investments, excluding non-budgeted acquisition costs | 226,076 | 184,207 | 895,913 | 678,626 | ||||||||||||
| Adjusted Free Cash Flow (non-GAAP) | $ | 110,790 | $ | 69,033 | $ | 232,795 | $ | 217,115 | ||||||||
_______________________________________________________________________________
| (1) | Includes capitalized share-settled equity-based compensation and asset retirement costs. |
| (2) | For the three months and year ended December 31, 2024, capital investments for oil and natural gas properties, excluding non-budgeted acquisition costs, includes |
Adjusted Net Income
Adjusted Net Income is a non-GAAP financial measure that the Company defines as net income or loss (GAAP) plus adjustments for mark-to-market on derivatives, premiums paid or received for commodity derivatives that matured during the period, organizational restructuring expenses, impairment expense, gains or losses on disposal of assets, income taxes, other non-recurring income and expenses and adjusted income tax expense. Management believes Adjusted Net Income helps investors in the oil and natural gas industry to measure and compare the Company's performance to other oil and natural gas companies by excluding from the calculation items that can vary significantly from company to company depending upon accounting methods, the book value of assets and other non-operational factors.
The following table presents a reconciliation of net income (loss) (GAAP) to Adjusted Net Income (non-GAAP) for the periods presented:
| Three months ended December 31, | Year ended December 31, | |||||||||||||||
| (in thousands, except per share data) | 2024 | 2023 | 2024 | 2023 | ||||||||||||
| (unaudited) | (unaudited) | |||||||||||||||
| Net income (loss) | $ | (359,392 | ) | $ | 281,434 | $ | (173,521 | ) | $ | 695,078 | ||||||
| Plus: | ||||||||||||||||
| Mark-to-market on derivatives: | ||||||||||||||||
| (Gain) loss on derivatives, net | 43,924 | (229,105 | ) | (38,140 | ) | (96,230 | ) | |||||||||
| Settlements received (paid) for matured derivatives, net | 47,571 | (3,328 | ) | 58,322 | (17,068 | ) | ||||||||||
| Settlements received for contingent consideration | — | 311 | — | 1,813 | ||||||||||||
| Organizational restructuring expenses | 795 | 1,654 | 795 | 1,654 | ||||||||||||
| Impairment expense | 481,305 | — | 481,305 | — | ||||||||||||
| Gain on disposal of assets, net | (508 | ) | (132 | ) | (1,513 | ) | (672 | ) | ||||||||
| Loss on extinguishment of debt, net | — | 4,039 | 66,115 | 4,039 | ||||||||||||
| Income tax (benefit) expense | (102,724 | ) | 34,514 | (47,740 | ) | (183,337 | ) | |||||||||
| General and administrative (transaction expenses) | (19 | ) | 8,221 | 548 | 11,341 | |||||||||||
| Adjusted income before adjusted income tax expense | 110,952 | 97,608 | 346,171 | 416,618 | ||||||||||||
| Adjusted income tax expense(1) | (24,410 | ) | (21,474 | ) | (76,158 | ) | (91,656 | ) | ||||||||
| Adjusted Net Income (non-GAAP) | $ | 86,542 | $ | 76,134 | $ | 270,013 | $ | 324,962 | ||||||||
| Net income (loss) per common share: | ||||||||||||||||
| Basic | $ | (9.59 | ) | $ | 10.04 | $ | (4.74 | ) | $ | 34.30 | ||||||
| Diluted | $ | (9.59 | ) | $ | 9.44 | $ | (4.74 | ) | $ | 33.44 | ||||||
| Adjusted Net Income per common share: | ||||||||||||||||
| Basic | $ | 2.31 | $ | 2.72 | $ | 7.35 | $ | 16.04 | ||||||||
| Diluted | $ | 2.31 | $ | 2.55 | $ | 7.35 | $ | 15.64 | ||||||||
| Adjusted diluted | $ | 2.30 | $ | 2.55 | $ | 7.21 | $ | 15.64 | ||||||||
| Weighted-average common shares outstanding: | ||||||||||||||||
| Basic | 37,477 | 27,991 | 36,725 | 20,254 | ||||||||||||
| Diluted | 37,477 | 29,813 | 36,725 | 20,783 | ||||||||||||
| Adjusted diluted | 37,670 | 29,813 | 37,445 | 20,783 | ||||||||||||
_______________________________________________________________________________
| (1) | Adjusted income tax expense is calculated by applying a statutory tax rate of |
Consolidated EBITDAX
Consolidated EBITDAX is a non-GAAP financial measure defined in the Company's Senior Secured Credit Facility as net income or loss (GAAP) plus adjustments for share-settled equity-based compensation, depletion, depreciation and amortization, impairment expense, organizational restructuring expenses, gains or losses on disposal of assets, mark-to-market on derivatives, accretion expense, interest expense, income taxes and other non-recurring income and expenses. Consolidated EBITDAX provides no information regarding a company's capital structure, borrowings, interest costs, capital expenditures, working capital movement or tax position. Consolidated EBITDAX does not represent funds available for future discretionary use because it excludes funds required for debt service, capital expenditures, working capital, income taxes, franchise taxes and other commitments and obligations. However, management believes Consolidated EBITDAX is useful to an investor because this measure:
- is used by investors in the oil and natural gas industry to measure a company's operating performance without regard to items that can vary substantially from company to company depending upon accounting methods, the book value of assets, capital structure and the method by which assets were acquired, among other factors;
- helps investors to more meaningfully evaluate and compare the results of the Company's operations from period to period by removing the effect of the Company's capital structure from the Company's operating structure; and
- is used by management for various purposes, including (i) as a measure of operating performance, (ii) as a measure of compliance under the Senior Secured Credit Facility, (iii) in presentations to the board of directors and (iv) as a basis for strategic planning and forecasting.
There are significant limitations to the use of Consolidated EBITDAX as a measure of performance, including the inability to analyze the effect of certain recurring and non-recurring items that materially affect the Company's net income or loss and the lack of comparability of results of operations to different companies due to the different methods of calculating Consolidated EBITDAX, or similarly titled measures, reported by different companies. The Company is subject to financial covenants under the Senior Secured Credit Facility, one of which establishes a maximum permitted ratio of Net Debt, as defined in the Senior Secured Credit Facility, to Consolidated EBITDAX. See Note 7 in the 2024 Annual Report, to be filed with the SEC, for additional discussion of the financial covenants under the Senior Secured Credit Facility. Additional information on Consolidated EBITDAX can be found in the Company's Eleventh Amendment to the Senior Secured Credit Facility, as filed with the SEC on September 13, 2023.
The following table presents a reconciliation of net income (loss) (GAAP) to Consolidated EBITDAX (non-GAAP) for the periods presented:
| Three months ended December 31, | Year ended December 31, | |||||||||||||||
| (in thousands) | 2024 | 2023 | 2024 | 2023 | ||||||||||||
| (unaudited) | (unaudited) | |||||||||||||||
| Net income (loss) | $ | (359,392 | ) | $ | 281,434 | $ | (173,521 | ) | $ | 695,078 | ||||||
| Plus: | ||||||||||||||||
| Share-settled equity-based compensation, net | 3,398 | 2,592 | 14,646 | 10,994 | ||||||||||||
| Depletion, depreciation and amortization | 214,498 | 152,626 | 741,966 | 463,244 | ||||||||||||
| Impairment expense | 481,305 | — | 481,305 | — | ||||||||||||
| Organizational restructuring expenses | 795 | 1,654 | 795 | 1,654 | ||||||||||||
| Gain on disposal of assets, net | (508 | ) | (132 | ) | (1,513 | ) | (672 | ) | ||||||||
| Mark-to-market on derivatives: | ||||||||||||||||
| (Gain) loss on derivatives, net | 43,924 | (229,105 | ) | (38,140 | ) | (96,230 | ) | |||||||||
| Settlements received (paid) for matured derivatives, net | 47,571 | (3,328 | ) | 58,322 | (17,068 | ) | ||||||||||
| Settlements received for contingent consideration | — | 311 | — | 1,813 | ||||||||||||
| Accretion expense | 1,107 | 988 | 4,209 | 3,703 | ||||||||||||
| Interest expense | 53,564 | 50,431 | 177,794 | 149,819 | ||||||||||||
| Loss extinguishment of debt, net | — | 4,039 | 66,115 | 4,039 | ||||||||||||
| Income tax (benefit) expense | (102,724 | ) | 34,514 | (47,740 | ) | (183,337 | ) | |||||||||
| General and administrative (transaction expenses) | (19 | ) | 8,221 | 548 | 11,341 | |||||||||||
| Consolidated EBITDAX (non-GAAP) | $ | 383,519 | $ | 304,245 | $ | 1,284,786 | $ | 1,044,378 | ||||||||
The following table presents a reconciliation of net cash provided by operating activities (GAAP) to Consolidated EBITDAX (non-GAAP) for the periods presented:
| Three months ended December 31, | Year ended December 31, | |||||||||||||||
| (in thousands) | 2024 | 2023 | 2024 | 2023 | ||||||||||||
| (unaudited) | (unaudited) | |||||||||||||||
| Net cash provided by operating activities | $ | 257,174 | $ | 233,734 | $ | 1,000,330 | $ | 812,956 | ||||||||
| Plus: | ||||||||||||||||
| Interest expense | 53,564 | 50,431 | 177,794 | 149,819 | ||||||||||||
| Organizational restructuring expenses | 795 | 1,654 | 795 | 1,654 | ||||||||||||
| Current income tax (benefit) expense | (250 | ) | 3,425 | 2,456 | 5,723 | |||||||||||
| Net changes in operating assets and liabilities | 79,711 | 11,285 | 127,830 | 71,444 | ||||||||||||
| General and administrative (transaction expenses) | (19 | ) | 8,221 | 548 | 11,341 | |||||||||||
| Settlements received for contingent consideration | — | 311 | — | 1,813 | ||||||||||||
| Other, net | (7,456 | ) | (4,816 | ) | (24,967 | ) | (10,372 | ) | ||||||||
| Consolidated EBITDAX (non-GAAP) | $ | 383,519 | $ | 304,245 | $ | 1,284,786 | $ | 1,044,378 | ||||||||
Net Debt
Net Debt is a non-GAAP financial measure defined in the Company's Senior Secured Credit Facility as the face value of long-term debt plus any outstanding letters of credit, less cash and cash equivalents, where cash and cash equivalents are capped at
Net Debt to Consolidated EBITDAX
Net Debt to Consolidated EBITDAX is a non-GAAP financial measure defined in the Company's Senior Secured Credit Facility as Net Debt divided by Consolidated EBITDAX for the previous four quarters, which requires various treatment of asset transaction impacts. Net Debt to Consolidated EBITDAX is used by the Company’s management for various purposes, including as a measure of operating performance, in presentations to its board of directors and as a basis for strategic planning and forecasting.
PV-10
PV-10 is a non-GAAP financial measure that is derived from the standardized measure of discounted future net cash flows, which is the most directly comparable GAAP financial measure. PV-10 is a computation of the standardized measure of discounted future net cash flows on a pre-tax basis. PV-10 is equal to the standardized measure of discounted future net cash flows at the applicable date, before deducting future income taxes, discounted at 10 percent. Management believes that the presentation of PV-10 is relevant and useful to investors because it presents the discounted future net cash flows attributable to the Company's estimated proved reserves prior to taking into account future corporate income taxes, and it is a useful measure for evaluating the relative monetary significance of the Company's proved oil, NGL and natural gas assets. Further, investors may utilize the measure as a basis for comparison of the relative size and value of proved reserves to other companies. The Company uses this measure when assessing the potential return on investment related to proved oil, NGL and natural gas assets. However, PV-10 is not a substitute for the standardized measure of discounted future net cash flows. The PV-10 measure and the standardized measure of discounted future net cash flows do not purport to present the fair value of the Company's oil, NGL and natural gas reserves of the property.
| (in millions) | December 31, 2024 | |||
| (unaudited) | ||||
| Standardized measure of discounted future net cash flows | $ | 4,215 | ||
| Less: present value of future income taxes discounted at | (295 | ) | ||
| PV-10 (non-GAAP) | $ | 4,510 | ||
Investor Contact:
Ron Hagood
918.858.5504
ir@vitalenergy.com
FAQ
What were Vital Energy's (VTLE) Q4 2024 production numbers?
How much Adjusted Free Cash Flow does VTLE expect to generate in 2025?
What is VTLE's capital investment plan for 2025?
What was Vital Energy's year-end 2024 proved reserves value?
How many oil-weighted drilling locations does VTLE have in inventory?
