Vitesse Energy(US:VTS)2025-03-11 21:52Financial Performance - Vitesse reported a full year 2024 net income of $21.1 million and adjusted net income of $35.7 million, with adjusted EBITDA of $156.8 million[4]. - Total revenue for 2024 was $241.998 million, a 3% increase from 2023, driven by a 5% increase in oil revenue[21]. - Operating income for 2024 was $40.971 million, compared to $34.854 million in 2023[33]. - Net income for 2024 was $21.060 million, a recovery from a net loss of $19.744 million in 2023[33]. - Adjusted Net Income for the year ended December 31, 2024, was $35,653,000, while for the three months ended December 31, 2024, it was $6,115,000[45]. - Adjusted EBITDA for the year ended December 31, 2024, was $156,772,000, and for the three months ended December 31, 2024, it was $36,975,000[47]. - Free Cash Flow for the year ended December 31, 2024, was $51,239,000, after accounting for $94,116,000 in development of oil and gas properties[49]. Production and Reserves - Full year 2024 production averaged 13,003 barrels of oil equivalent (Boe) per day, with oil comprising 69% of total production[4][7]. - Vitesse's total proved reserves as of December 31, 2024, were 40.3 million Boe, with a Standardized Measure of $506.3 million and PV-10 value of $586.6 million[11][12]. - The company expects 2025 production to range between 17,000 - 18,000 Boe per day, a 35% increase at the midpoint from 2024 levels[18][19]. - Approximately 53% of Vitesse's 2025 oil production is hedged at a weighted average price of $71.16 per barrel, enhancing cash flow predictability[22]. Revenue Breakdown - Oil revenue increased to $230.164 million in 2024 from $218.396 million in 2023, while natural gas revenue decreased to $11.834 million from $15.509 million[33]. - Total revenue for 2024 was $241.998 million, a slight increase from $233.905 million in 2023[33]. Dividends and Shareholder Returns - The company declared a quarterly cash dividend of $0.5625 per share, representing a 7% increase from the prior quarter, and an annualized dividend rate of $2.25 per share[4][5]. Acquisition and Strategic Moves - Vitesse closed the acquisition of Lucero Energy Corp. on March 7, 2025, which is expected to be accretive to key financial metrics[4][16]. - General and administrative costs related to the Lucero acquisition amounted to $2,229,000 for both the three months and the year ended December 31, 2024[45]. Financial Position - The company had total liquidity of $121 million as of December 31, 2024, consisting of cash and available borrowing under its revolving credit facility[14]. - Net Debt as of December 31, 2024, was $114,033,000, with a Net Debt to Adjusted EBITDA ratio of 0.73[47]. - Total assets increased to $810.893 million in 2024 from $765.970 million in 2023[37]. - Current liabilities rose to $100.329 million in 2024 from $60.403 million in 2023[37]. Market Engagement - The company plans to participate in the Roth Conference in March 2025, indicating ongoing engagement with investors[27]. Derivative Instruments - Realized gain on commodity derivatives for 2024 was $5.065 million, up from $1.166 million in 2023, while unrealized loss was $7.413 million compared to a gain of $11.318 million in 2023[24]. - The company incurred $10,106,000 in unrealized losses on derivative instruments for the three months ended December 31, 2024[45]. - The average price for crude oil swaps in Q1 2025 is projected at $72.55 per barrel, with a total of 526,500 barrels[23]. Taxation - The company adjusted its income tax expense using a statutory tax rate of 23.3% for the calculation of Adjusted Net Income[45].