Vista Energy(US:VIST)2024-10-23 20:06Revenue and Profitability - Revenue from contracts with customers for the nine-month period ended September 30, 2024, was $1,176,450 thousand, representing a 37% increase compared to $859,578 thousand in the same period of 2023[8]. - Gross profit for the nine-month period ended September 30, 2024, was $601,103 thousand, up 38% from $436,156 thousand in the same period of 2023[8]. - Operating profit for the nine-month period ended September 30, 2024, reached $495,976 thousand, a 9% increase from $454,966 thousand in the same period of 2023[8]. - Profit for the period, net, for the nine-month period ended September 30, 2024, was $383,750 thousand, compared to $264,017 thousand in the same period of 2023, marking a 45% increase[8]. - Basic earnings per share for the nine months ended September 30, 2024, was $3.992, up from $2.834 in the same period of 2023, representing a 40.7% increase[77]. - Diluted earnings per share for the same period was $3.843, compared to $2.664 in 2023, indicating a 44.0% increase[82]. Assets and Equity - Total assets as of September 30, 2024, amounted to $3,481,681 thousand, an increase from $2,598,003 thousand as of December 31, 2023[12]. - Total equity as of September 30, 2024, was $1,520,309 thousand, up from $1,247,015 thousand as of December 31, 2023[12]. - Noncurrent assets in Argentina increased to $2,827,885,000 as of September 30, 2024, up from $2,122,735,000 as of December 31, 2023, reflecting a growth of approximately 33.3%[61]. - As of September 30, 2024, total property, plant, and equipment increased to $3,715,576, up from $2,759,419 as of December 31, 2023, reflecting a growth of approximately 34.7%[86]. Borrowings and Financial Liabilities - Borrowings increased to $975,230 thousand as of September 30, 2024, compared to $616,055 thousand as of December 31, 2023[12]. - Current borrowings rose significantly to $249,991 thousand from $61,223 thousand, marking a 309.5% increase[16]. - Noncurrent borrowings also saw an increase, reaching $725,239 thousand compared to $554,832 thousand, which is a 30.8% rise[16]. - The total carrying amount of bonds (ON) issued by Vista Argentina as of September 30, 2024, is $714,382 thousand, up from $590,030 thousand[106]. - The company reported proceeds from borrowings of $485,017 thousand for the nine-month period ended September 30, 2024, compared to $358,954 thousand for the same period in 2023, indicating a year-over-year increase of 35.1%[109]. Cash Flow and Investments - Net cash flows provided by operating activities rose to $589,541 thousand for the nine-month period ended September 30, 2024, up from $365,328 thousand in 2023, an increase of 61.6%[25]. - Cash and cash equivalents at the end of the period were $249,062 thousand as of September 30, 2024, compared to $170,846 thousand at the end of the same period in 2023, showing a growth of 45.5%[25]. - The company experienced a net increase in cash and cash equivalents of $43,597 thousand for the nine-month period ended September 30, 2024, compared to a decrease of $4,403 thousand in 2023[25]. - The company’s cash, bank balances, and other short-term investments increased to $256,027 thousand as of September 30, 2024, from $213,253 thousand as of December 31, 2023[12]. Expenses and Costs - Current income tax expense for the nine-month period ended September 30, 2024, was $319,391 thousand, significantly higher than $55,963 thousand in the same period of 2023[8]. - Total operating costs for the nine-month period ended September 30, 2024, were $79,970,000, compared to $72,415,000 for the same period in 2023, representing an increase of about 10.5%[64]. - Selling expenses for the first nine months of 2024 totaled $77,807,000, up 56.7% from $49,622,000 in the same period of 2023[67]. - General and administrative expenses increased to $73,747,000 in the nine months ended September 30, 2024, compared to $51,818,000 in the same period of 2023, reflecting a 42.3% rise[69]. Financial Performance and Other Income - The company reported total other financial income of $4,142,000 for the nine months ended September 30, 2024, a significant recovery from a loss of $61,657,000 in the same period of 2023[75]. - Other operating income for the nine months ended September 30, 2024, was $47,660,000, down from $120,173,000 in the same period of 2023[70]. - Total royalties and other income for the period from January 1 to September 30, 2024, reached $170,054,000, a 30.6% increase from $130,220,000 in the same period of 2023[66]. Taxation and Regulatory Environment - The effective tax rate for the nine-month period ended September 30, 2024, was 18%, influenced by inflation adjustments and currency depreciation in Argentina[94]. - The Bases Law enacted in Argentina includes an Incentive Regime for Large Investments, providing stability and tax benefits for energy sector projects, which may positively impact future operations[48]. Receivables and Credit Losses - Current trade and other receivables rose to $349,674 as of September 30, 2024, up from $205,102 as of December 31, 2023, reflecting a growth of 70.2%[95]. - The allowance for expected credit losses recorded in trade and other receivables was 43 as of September 30, 2024, compared to 52 as of December 31, 2023[100]. - The company recognized an allowance for expected credit losses of 100% against all trade receivables that are 90 days past due, based on historical recovery rates[99]. Market Conditions and Currency Impact - The average market interest rate in Argentina for the nine-month period ended September 30, 2024, was 62%, down from 95% in the same period of 2023[132]. - The company reported a profit or loss sensitivity of $9,686,000 for a +/- 10% change in the exchange rate of ARS to USD as of September 30, 2024[131]. - The net changes in foreign exchange rate for the nine-month period ended September 30, 2024, resulted in a loss of $2,305 thousand, compared to a gain of $10,531 thousand in the same period of 2023[112].