Production and Operations - Total equivalent production averaged 32.3 MBoe/d, with oil production at 18.4 MBbls/d, representing a 21% increase in daily oil volumes and a 33% increase in total equivalent volumes quarter-over-quarter [4] - Net production for Q4 2025 is projected to be between 32.9 MBoe/d and 33.9 MBoe/d, with oil production between 18.7 MBbls/d and 19.7 MBbls/d [26] - The company expects to complete between 3.0 and 5.0 wells in Q4 2025 and between 16.3 and 18.3 wells for the full year [26] Financial Performance - Revenues for the third quarter totaled $107 million, with net income of $16 million, or $0.77 per diluted share [9] - Total revenues for Q3 2025 were $106,852,000, an increase of 4.9% compared to $102,339,000 in Q3 2024 [37] - Net income for Q3 2025 was $16,340,000, a decrease of 36.1% from $25,663,000 in Q3 2024 [37] - Basic net income per share for Q3 2025 was $0.77, down from $1.22 in Q3 2024 [37] Cash Flow and Expenditures - The company generated $64 million in operating cash flow and $25 million in total free cash flow during the quarter [4] - Total capital expenditures for the quarter were $29 million, with $18 million in total accrued capital expenditures [10] - Total capital expenditures for full-year 2025 are estimated to be between $119 million and $140 million, with upstream capital expenditures ranging from $89 million to $95 million [26] - Cash provided by operating activities for the nine months ended September 30, 2025, was $147,671,000, down 17.9% from $179,896,000 in the same period of 2024 [39] - Net cash used in investing activities for Q3 2025 was $142,372,000, compared to $25,669,000 in Q3 2024 [39] Debt and Equity - As of September 30, 2025, total debt increased to $375 million, primarily due to the acquisition financing [11] - The company reported a current portion of long-term debt of $20,000 thousand, unchanged from December 31, 2024 [35] - Shareholders' equity rose to $566,497 thousand as of September 30, 2025, compared to $510,615 thousand at the end of 2024 [35] Costs and Expenses - Total costs and expenses for Q3 2025 were $77,990,000, a decrease of 9.1% from $84,861,000 in Q3 2024 [37] - Lease operating expenses increased to $26,874,000 in Q3 2025, up 45.0% from $18,532,000 in Q3 2024 [37] - Operating costs for Q4 2025 include lease operating expenses projected at $8.50 to $9.50 per Boe and administrative costs at $2.75 to $3.25 per Boe [26] Acquisitions and Investments - The acquisition of Silverback Exploration II, LLC was completed for $120 million in cash, contributing to increased production and reduced costs [3] - The company plans to invest $1 million in Power JV for the full year 2025 [26] Derivatives and Risk Management - The company reported a $2 million gain on derivatives, with average realized prices of $63.94 per barrel of oil [9] - As of October 31, 2025, the company has 679,947 Bbl of WTI Oil Swaps for Q4 2025 at a weighted average price of $66.93/Bbl [40] - The company holds 480,000 Bbl of WTI Oil Collars for Q4 2025 with a floor price of $63.10/Bbl and a ceiling price of $77.07/Bbl [40] - The company has 965,000 MMBtu of NYMEX Natural Gas Swaps for Q4 2025 at a weighted average price of $3.74/MMBtu [40] - The company maintains 400,000 MMBtu of NYMEX Natural Gas Collars for Q4 2025 with a floor price of $3.30/MMBtu and a ceiling price of $4.00/MMBtu [40] - The company has open interest rate derivative positions totaling $30,000,000 at a fixed rate of 3.18% for the period October 2025 - April 2026 [42] - The company also holds $50,000,000 in interest rate derivatives at a fixed rate of 3.04% for the same period [42] - For the period October 2026 - April 2027, the company has a long position of $45,000,000 at a fixed rate of 3.90% [42] Infrastructure Development - The company is advancing its midstream infrastructure in New Mexico, with a planned 2026 in-service date for a new pipeline [14] - RPC Power served approximately 70% of the company's load for its Champions field, with plans for increased capacity in 2026 [17]

Financial Performance - Third quarter revenue reached $112.1 million, representing a 15% year-over-year increase[7] - Annual Recurring Revenue (ARR) increased by $20 million, totaling $455.4 million as of September 30, 2025, up 14% year-over-year[6][7] - Non-GAAP income from operations for the third quarter was $14.1 million, resulting in a non-GAAP operating margin of 12.6%[7] - Revenue for Q3 2025 reached $112,075,000, a 15% increase from $97,410,000 in Q3 2024[28] - Gross profit for Q3 2025 was $89,855,000, compared to $80,347,000 in Q3 2024, reflecting an increase of 11%[28] - Net loss attributable to Semrush Holdings, Inc. for Q3 2025 was $2,141,000, compared to a net income of $1,094,000 in Q3 2024[28] - Non-GAAP income from operations for Q3 2025 was $14,141,000, representing a 12.6% operating margin, compared to 12.4% in Q3 2024[29] - Free cash flow for Q3 2025 was $17,042,000, which is 15.2% of revenue, up from 6.3% in Q3 2024[29] - Semrush Holdings, Inc. reported a net loss of $8,517,000 for the nine months ended September 30, 2025, compared to a net income of $4,082,000 in the same period of 2024[32] Cash Flow and Assets - Cash flow from operations was $21.9 million, with a margin of 19.5%[6][7] - Operating cash flow increased to $44,687,000 in 2025 from $35,063,000 in 2024, representing a growth of approximately 27%[32] - Cash, cash equivalents, and restricted cash at the end of the period totaled $80,965,000, up from $45,268,000 in 2024, indicating a year-over-year increase of approximately 79%[32] - Cash and cash equivalents rose to $80,780,000 as of September 30, 2025, compared to $48,875,000 at the end of 2024[31] - Total current assets increased to $323,874,000 as of September 30, 2025, from $276,184,000 at the end of 2024[31] Liabilities and Equity - Total liabilities increased to $151,864,000 as of September 30, 2025, from $124,591,000 at the end of 2024[31] - The accumulated deficit as of September 30, 2025, was $71,621,000, compared to $63,762,000 at the end of 2024[31] - Total stockholders' equity attributable to Semrush Holdings, Inc. increased to $289,683,000 as of September 30, 2025, from $256,604,000 at the end of 2024[31] Customer Growth and Retention - Dollar-based net revenue retention stood at 105% as of September 30, 2025[7] - Customers paying more than $10,000 annually grew by 30% year-over-year, while those paying over $50,000 grew by over 72%[8] Future Guidance - For Q4 2025, the company expects revenue between $117.5 million and $119.5 million, indicating approximately 15.5% year-over-year growth at the midpoint[11] - Full-year 2025 revenue guidance is set between $443.5 million and $445.5 million, reflecting an expected growth of approximately 18% year-over-year[11] Strategic Initiatives - The company launched the Semrush Enterprise Partner Program to expand its enterprise footprint and create new growth opportunities[10] - Investments in Generative AI were advanced, including the release of Semrush One and the Semrush Enterprise AI Visibility Index[10] Investment Activities - Net cash used in investing activities decreased to $12,158,000 in 2025 from $51,076,000 in 2024, reflecting a reduction of about 76%[32] - The company reported a decrease in purchases of short-term investments to $71,331,000 in 2025 from $136,768,000 in 2024, a decline of approximately 48%[32] - Proceeds from sales and maturities of short-term investments were $66,000,000 in 2025, compared to $132,500,000 in 2024, a decrease of about 50%[32] Expenses - The company experienced a significant increase in stock-based compensation expense, rising to $35,522,000 in 2025 from $19,856,000 in 2024, an increase of about 79%[32] - The company reported a significant increase in accounts payable, which rose to $10,252,000 in 2025 from $1,939,000 in 2024, an increase of about 429%[32]

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2025 Commission File No. 001-42493 FG MERGER II CORP. (Exact name of registrant as specified in its charter) | Nevada | 86-2579471 | | --- | --- | | (State or other jurisdiction of | (I.R.S. Employer | | incorporation or organization) | Identification No.) | | 104 S ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2025 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File No. 001-42493 FG MERGER II CORP. (Exact name of registrant as specified in its charter) | Nevada | 86-2579471 | | --- | --- | | (State or other jurisdicti ...

Financial Performance - Revenue for Q3 2025 was $988 million, at the high end of guidance, representing a year-over-year increase from $896 million in Q3 2024[4] - GAAP net income for Q3 2025 was $74 million, with net income per diluted share of $1.10, compared to $62 million and $0.92 per share in Q3 2024[4] - Adjusted EBITDA for Q3 2025 was $240 million, with Non-GAAP net earnings per diluted share of $1.93, up from $1.72 in Q3 2024[4] - Total net revenues for the three months ended September 30, 2025, were $988 million, a 10.3% increase from $896 million in the same period last year[19] - Gross profit for the three months ended September 30, 2025, was $461 million, compared to $432 million for the same period in 2024, reflecting a 6.7% increase[19] - Net income for the three months ended September 30, 2025, was $74 million, up 19.4% from $62 million in the same period last year[19] - Basic net income per share for the three months ended September 30, 2025, was $1.10, up from $0.92 in the same period last year[19] - Free cash flow for the nine months ended September 30, 2025, was $405 million, significantly higher than $285 million for the same period in 2024, marking a 42.1% increase[25] - Non-GAAP net earnings for Q3 2025 reached $130 million, compared to $119 million in Q2 2025, reflecting an increase of 9.2%[25] Revenue Breakdown - Semiconductor revenue reached $415 million in Q3 2025, up from $378 million in Q3 2024, while Electronics & Packaging revenue increased to $289 million from $231 million[5] Cash Flow and Leverage - Operating cash flow for Q3 2025 was $197 million, contributing to a free cash flow of $147 million, which supports ongoing debt reduction efforts[4] - The net leverage ratio improved to 3.9x at the end of Q3 2025, following a voluntary prepayment of $100 million in October 2025[4][7] - The company reported cash flows from operating activities of $197 million for the three months ended September 30, 2025, compared to $165 million in the previous quarter[23] - The company reported a net leverage ratio of 3.9x as of September 30, 2025, indicating a stable debt position[26] Guidance and Projections - The guidance for Q4 2025 anticipates revenue of $990 million, plus or minus $40 million, with a gross margin of 46.0%, plus or minus 1.0%[10] - GAAP net income guidance for Q4 2025 is projected at $96 million, plus or minus $29 million, with Non-GAAP net earnings expected to be $154 million, plus or minus $23 million[10] - Guidance for Q4 2025 projects GAAP net income of $96 million, with non-GAAP net earnings expected to be $154 million[30] Expenses and Costs - Research and development expenses for the three months ended September 30, 2025, were $76 million, consistent with the previous quarter and up from $70 million in the same period last year[19] - Operating expenses for Q3 2025 totaled $323 million, up from $318 million in Q2 2025, reflecting a 1.6% increase[25] - The company plans to continue focusing on restructuring and integration costs, which were $4 million in Q3 2025[25] Asset and Liability Management - Cash and cash equivalents at the end of the period were $697 million, a decrease from $714 million at the beginning of the period[21] - Total assets increased to $8,777 million as of September 30, 2025, compared to $8,590 million as of December 31, 2024[21] - Total liabilities decreased to $6,177 million as of September 30, 2025, from $6,268 million as of December 31, 2024[21] Non-GAAP Measures and Adjustments - MKS management emphasizes the usefulness of Non-GAAP financial measures for comparing prior periods and analyzing ongoing business trends[32] - Tax effects of Non-GAAP adjustments result in differences between GAAP and Non-GAAP tax rates[37] - Amortization of intangible assets reflects non-cash expenses from acquired intangible assets[35] - Loss on extinguishment of debt includes non-cash write-offs from voluntary prepayments of term loan facilities[35] - Amortization of debt issuance costs pertains to non-cash interest expenses related to the term loan facility[36] - Fees related to amendments to the Term Loan Facility involve direct third-party costs from refinancing activities[36] - Acquisition and integration costs related to the Atotech Acquisition include advisory, legal, tax, and other professional fees[33] - Restructuring expenses are associated with strategic initiatives and may include third-party services and one-time termination benefits[34]

Financial Performance - Net sales for Q3 2025 were $1.3 billion, with a 6% year-over-year volume growth driven by 8% growth in both Energy Storage and Ketjen segments [146]. - Net sales for Q3 2025 were $1,307.8 million, a decrease of $46.9 million or 3% compared to Q3 2024, primarily due to lower lithium carbonate and hydroxide market pricing in Energy Storage [163]. - Total net sales for Q3 2025 were $1,307,829, a decrease of 3% compared to $1,354,692 in Q3 2024 [176]. - Energy Storage segment net sales decreased by 8% to $708,755 from $767,291 year-over-year [180]. - Total net sales for the company decreased by 10% to $3,714,702 thousand in YTD 2025 from $4,145,813 thousand in YTD 2024 [196]. - Net sales for Energy Storage segment declined by 19% to $1,950,976 thousand in YTD 2025 from $2,398,299 thousand in YTD 2024, primarily due to unfavorable pricing impacts [200]. - Net sales for the nine months ended September 30, 2025, were $550.8 million, compared to $861.9 million for the year ended December 31, 2024 [255]. - Net sales for the nine months ended September 30, 2025, were $398,339 thousand, compared to $639,866 thousand for the year ended December 31, 2024, indicating a decline in sales [267]. Profitability and Expenses - Gross profit for Q3 2025 was $117.6 million, an increase of $221.6 million from a loss of $104.0 million in Q3 2024, with a gross profit margin of 9.0% compared to (7.7)% in the prior year [163]. - Selling, general and administrative expenses decreased by $15.7 million or 10% to $138.6 million in Q3 2025, representing 10.6% of net sales [164]. - Research and development expenses decreased by $9.7 million or 43% to $12.7 million in Q3 2025, representing 1.0% of net sales [166]. - Adjusted EBITDA for the total segments was $225,630, reflecting a 7% increase from $211,498 in Q3 2024 [176]. - Specialties segment adjusted EBITDA increased by 34% to $75,544, up from $56,273 in the previous year [181]. - Total adjusted EBITDA margin for the segments was 17.3% in Q3 2025, down from 17.6% in Q3 2024 [176]. - Corporate adjusted EBITDA showed a significant decline to $(8,816) thousand in YTD 2025 from $14,315 thousand in YTD 2024, primarily due to unfavorable currency exchange impacts [203]. Cash Flow and Capital Expenditures - Cash flows from operations for Q3 2025 were $355.6 million, up 57% from the prior-year period; cash flows from operations during the first nine months of 2025 reached $893.8 million, a 29% increase from the prior year [146]. - Cash flows from operations increased to $893.8 million in the first nine months of 2025, up from $692.3 million in the same period of 2024, primarily due to a $350 million prepayment from an Energy Storage customer [208]. - Capital expenditures for the nine-month period ended September 30, 2025, were $434.4 million, with expectations of approximately $600 million for the full year 2025 [209]. - The Company expects capital expenditures to be approximately $600 million in 2025, significantly down from $1.7 billion in 2024 [239]. Divestitures and Strategic Changes - The company signed a definitive agreement to divest its controlling ownership interest in the Refining Solutions business, retaining a 49% ownership interest upon completion of the transaction [159]. - The company signed a definitive agreement to divest its Refining Solutions business for approximately $536 million in cash, expected to close in the first half of 2026 [210]. - The company also agreed to divest its 50% ownership interest in Eurecat S.A. for approximately $122 million, with completion expected in the first half of 2026 [211]. - Total expected cash proceeds from both divestitures amount to approximately $660 million, which will be used for debt reduction and general corporate purposes [212]. - A non-cash goodwill impairment charge of $181.1 million was recorded in Q3 2025 due to the divestiture agreements [212]. Financial Position and Assets - Net current assets increased to $2.6 billion as of September 30, 2025, compared to $1.9 billion at December 31, 2024, driven by cash inflows from customer prepayments and preferred stock redemption [216]. - Cash and cash equivalents totaled $1.9 billion at September 30, 2025, with $1.0 billion held by foreign subsidiaries [247]. - Current assets increased to $1,456,463 thousand as of September 30, 2025, up from $921,221 thousand at December 31, 2024, representing a significant growth [257]. - Current liabilities rose to $2,887,961 thousand as of September 30, 2025, compared to $2,190,646 thousand at December 31, 2024, reflecting increased financial obligations [257]. - Long-term debt remained relatively stable at $2,254,238 thousand as of September 30, 2025, compared to $2,253,328 thousand at December 31, 2024 [257]. Tax and Other Financial Matters - The effective income tax rate for Q3 2025 was 12.8%, compared to (9.4)% in Q3 2024, driven by the geographic mix of earnings [169]. - The liability for uncertain tax positions totaled $254.7 million at September 30, 2025, down from $259.6 million at December 31, 2024 [235]. - The Company received a $300 million interest-free loan, to be repaid in five equal annual installments starting December 31, 2026 [229].

Coty Reports In Line Q1 Results, with Q2 Sales Tracking Toward the More Favorable End of Prior Guidance; Expects a Return to Growth in 2H FY26 BOSS Bottled Beyond Success and Fragrance Mist Expansion Reinforce Global Fragrance & Scenting Leadership Executional Improvements Driving Q1 U.S. Prestige Fragrance Sell-Out In Line with Market "All In to Win" Program Continues to Deliver Efficiency, Agility and Cost Discipline Building Performance Improvement Plan for Consumer Beauty While Progressing with Strategi ...

Real Estate Properties - As of September 30, 2025, the company owned 140 real estate properties, an increase from 136 properties in 2024, with a leased square footage of 5,273,000, up from 5,033,000[118][126] - The occupancy rate of the properties was 99.1% as of September 30, 2025, compared to 95.5% in 2024[125][126] - The company acquired 4 real estate properties in the three months ended September 30, 2025, with an aggregate purchase price of $89,415,000[127] - The company disposed of 2 real estate properties in the three months ended September 30, 2024, with a net book value of $15,424,000[127] Rental Revenue - Total rental revenue for the three months ended September 30, 2025, was $49,421,000, representing a 7.2% increase from $46,118,000 in the same period of 2024[133] - Same store rental revenue increased by $1,590,000, or 3.8%, primarily due to new and renewal leasing activity and CPI-based rent escalations[135] - Total revenues for the three months ended September 30, 2025, were $49,848,000, an 8.1% increase from $46,118,000 in 2024[133] - Total rental revenue for the nine months ended September 30, 2025, was $146,221,000, an increase of $5,910,000 or 4.2% compared to the same period in 2024[141] - Same store rental revenue increased by $4,678,000 due to new and renewal leasing activity, resulting in a total of $121,616,000 for the nine months ended September 30, 2025, representing a 3.8% increase[141] - Non-same store rental revenue surged by 147.2% to $2,405,000, largely due to properties acquired since July 1, 2024[133] Rental Expenses - Same store rental expenses increased by 5.6% to $5,466,000, primarily due to higher operating costs[134] Financial Performance - Interest expense rose to $23,624,000 for the nine months ended September 30, 2025, reflecting an increase of $7,669,000 or 48.1% compared to the prior year[144] - General and administrative expenses decreased by $2,953,000 to $15,368,000, primarily due to a reduction in personnel costs and transfer agent fees[142] - Impairment and disposition losses increased significantly to $6,792,000 for the nine months ended September 30, 2025, compared to $1,210,000 in the same period of 2024, marking a 461.3% increase[142] - Total other (expense) income for the nine months ended September 30, 2025, was $(22,847,000), a decrease of $10,857,000 or 90.6% from $(11,990,000) in 2024[144] - For the three months ended September 30, 2025, net income attributable to common stockholders was $11,609,000, a decrease from $11,935,000 in the same period of 2024[180] - FFO for the three months ended September 30, 2025, was $30,976,000, compared to $30,568,000 for the same period in 2024, reflecting a year-over-year increase of 1.3%[180] - Core FFO for the nine months ended September 30, 2025, was $90,867,000, down from $97,027,000 in 2024, indicating a decline of 6.4%[180] - AFFO for the three months ended September 30, 2025, was $31,081,000, compared to $31,714,000 in the same period of 2024, representing a decrease of 2.0%[180] Debt and Liquidity - The company has effectively fixed 78% of its outstanding debt as of September 30, 2025, through its hedging strategy, allowing for reasonable projections of liquidity needs[145] - As of September 30, 2025, the company had $27,709,000 in cash and cash equivalents and expects to require up to $45,011,000 in cash over the next twelve months[155] - The company had material obligations beyond twelve months amounting to $829,267,000, including $716,634,000 related to principal and estimated interest payments on outstanding debt[156] - For the nine months ended September 30, 2025, net cash provided by operating activities was $86,101,000, a decrease of $11,166,000 compared to $97,267,000 for the same period in 2024[165] - The company invested $148,866,000 to purchase six properties during the nine months ended September 30, 2025, compared to $164,044,000 for eight properties in the same period of 2024[167] - Cash flows provided by operations covered 100% of ordinary distributions paid, totaling approximately $66,739,000 for the nine months ended September 30, 2025[168] - The company repurchased $8,634,000 of common stock during the nine months ended September 30, 2025, compared to $59,966,000 in the same period of 2024[172] - The maximum commitments available under the Unsecured Credit Facility were $1,125,000,000 as of September 30, 2025, with an aggregate outstanding principal balance of $676,000,000[163] - The company drew $156,000,000 on the 2029 Revolving Credit Agreement to fund acquisitions and mezzanine loan fundings during the nine months ended September 30, 2025[172] - The company expects to meet long-term liquidity requirements through cash flows from operations and potential equity offerings[153] - The company was in compliance with all covenants and requirements related to its Unsecured Credit Facility as of September 30, 2025[157] Interest Rate Risk - As of September 30, 2025, total principal debt outstanding was $676,000,000, with $525,000,000 fixed through interest rate swap agreements[185] - The weighted average interest rate on total principal debt outstanding as of September 30, 2025, was 4.79%[186] - An increase of 50 basis points in market interest rates would result in an increase in the settlement value of interest rate swaps to an asset value of $6,445,000[185] - As of September 30, 2025, $151,000,000 of total principal debt was subject to variable interest rates, with an interest rate of 5.37% per annum[187] - The company is exposed to interest rate risk due to variable rate debt financing indexed to SOFR[183] Future Investments - Future investments will be subject to fluctuations based on local and regional economic conditions and tenant creditworthiness[188] Regulatory Impact - The company continues to evaluate the impacts of the One Big Beautiful Bill Act (OBBBA) on its tenants' financial positions[123] Credit Losses - The current expected credit loss reserve increased by $180,000 due to expected credit losses associated with mezzanine loans entered into in November 2024[149] Listing Expenses - The company recorded listing-related expenses of $32,000 during the three months ended September 30, 2024, associated with its listing on the New York Stock Exchange[139]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 Form 10-Q ☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2025 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _______________ to ________________ Commission File Number 001-38066 Table of Contents SELECT WATER SOLUTIONS, INC. (Exact name of registrant as specified in its cha ...

Financial Performance - Total operating revenues for Q3 2025 were $855 million, a decrease of 36.8% compared to $1,353 million in Q3 2024[12]. - Net income for Q3 2025 was $64 million, down 81.5% from $345 million in Q3 2024[12]. - Operating income for Q3 2025 was $98 million, a significant decrease of 81.0% from $518 million in Q3 2024[12]. - The company reported a basic net income per share of $0.76 for Q3 2025, down from $3.86 in Q3 2024[12]. - Net income for the three months ended September 30, 2025, was $64 million, compared to $345 million for the same period in 2024, reflecting a decrease of approximately 81.5%[23]. - For the nine months ended September 30, 2025, net income was $351 million, slightly up from $343 million in 2024, indicating a growth of about 2.3%[23]. - Total operating revenues for the nine months ended September 30, 2025, were $2,272 million, compared to $2,321 million in the same period of 2024, showing a slight decrease of 2.1%[78][81]. - Basic earnings per share (EPS) for the nine months ended September 30, 2025, was $4.00, a decrease from $4.54 in the same period of 2024[93]. Revenue Breakdown - Oil, natural gas, and natural gas liquids sales decreased to $715 million in Q3 2025 from $870 million in Q3 2024, representing a decline of 17.8%[12]. - For the nine months ended September 30, 2025, oil, natural gas, and natural gas liquids sales totaled $2,265 million, down from $1,729 million in the same period of 2024, reflecting an increase of 31.0%[78][81]. - Revenue from marketing of purchased commodities for the three months ended September 30, 2025, was $58 million, an increase of 14% compared to $51 million in 2024[96]. - Electricity revenue surged by $43 million to $101 million in Q3 2025, attributed to higher resource adequacy revenues compared to Q2 2025[143]. - Electricity revenue increased by $61 million to $181 million for the nine months ended September 30, 2025, compared to $120 million for the same period in 2024, a rise of 50.8%[157]. Expenses and Costs - Total costs and other for the three months ended September 30, 2025, were $756 million, compared to $835 million in the same period of 2024, reflecting a decrease of about 9%[106][107]. - Operating expenses totaled $2,193 million for the nine months ended September 30, 2025, compared to $1,776 million for the same period in 2024, reflecting an increase of 23.4%[160]. - General and administrative expenses for the nine months ended September 30, 2025, were $40 million, compared to $21 million in the same period of 2024, indicating an increase of 90.5%[79][76]. - Interest expense for the nine months ended September 30, 2025, was $8 million, up from $3 million in the same period of 2024, reflecting a rise of 166.7%[79][76]. - Taxes other than income rose to $187 million for the nine months ended September 30, 2025, up from $162 million in the same period of 2024, an increase of 15.4%[166]. Assets and Liabilities - Total current assets decreased to $812 million as of September 30, 2025, down from $1,024 million at December 31, 2024, a reduction of 20.7%[11]. - Total assets decreased to $6,751 million as of September 30, 2025, compared to $7,135 million at December 31, 2024, a decline of 5.4%[11]. - Long-term debt, net, decreased to $889 million as of September 30, 2025, from $1,132 million at December 31, 2024, a reduction of 21.5%[11]. - The company’s total stockholders' equity as of September 30, 2025, was $3,443 million, a decrease from $3,538 million at December 31, 2024, a decline of 2.7%[11]. - Total current liabilities as of September 30, 2025, were $917 million, a decrease from $980 million as of December 31, 2024[103]. Mergers and Acquisitions - The Aera Merger, completed on July 1, 2024, involved the issuance of shares valued at $1,141 million and the settlement of Aera's debt amounting to $990 million[37]. - The company plans to merge with Berry Corporation in an all-stock transaction, expected to enhance its oil-weighted reserves and sustainable cash flows[32]. - The Berry Merger is expected to close in the first quarter of 2026, with existing stockholders anticipated to own approximately 94% of the combined company[121][123]. Cash Flow and Investments - The company reported cash flow from operating activities of $279 million for the three months ended September 30, 2025, compared to $220 million for the same period in 2024, representing an increase of approximately 26.8%[23]. - Capital investments for the three months ended September 30, 2025, totaled $91 million, up from $79 million in 2024, marking a rise of about 15.2%[23]. - Capital investment for the nine months ended September 30, 2025, totaled $202 million, compared to $167 million for the same period in 2024, reflecting a 20.9% increase[85]. - Cash flow used in financing activities was $589 million for the nine months ended September 30, 2025, compared to cash flow provided of $351 million in the same period in 2024[206]. Market and Commodity Prices - The average daily Brent oil price for the three months ended September 30, 2025, was $68.13 per barrel, compared to $81.79 per barrel for the same period in 2024, a decrease of approximately 17%[126]. - The average daily NYMEX Henry Hub price for the nine months ended September 30, 2025, was $3.39 per MMBtu, compared to $2.10 per MMBtu for the same period in 2024, reflecting an increase of approximately 61%[126]. Future Outlook - The company expects to generate operating cash flow to return cash to shareholders through dividends and share repurchases based on current commodity prices and planned capital programs for 2025[191]. - The company anticipates maintaining a four drilling rig capital program throughout 2026, contingent on obtaining new permits expected to be available post-SB 237 enactment[137]. - The company expects to retain flexibility in its 2026 capital plan to adjust for changes in commodity prices and market factors[199].