Berry (bry)(US:BRY)2025-11-05 15:20Production and Revenue - Berry Corporation reported production of 23.9 MBoe/d, consistent with the previous quarter but down 3.6% from 24.8 MBoe/d in Q3 2024[4] - Oil, natural gas, and NGL revenues for Q3 2025 were $128 million, a 1.6% increase from $126 million in Q2 2025 but a 16.9% decrease from $154 million in Q3 2024[4] - Total revenues for the three months ended September 30, 2025, were $151,142, a decrease of 42.4% compared to $261,708 for the same period in 2024[24] - The company reported a net loss of $26 million, or $0.34 per diluted share, compared to a net income of $34 million, or $0.43 per diluted share in Q2 2025[4] - Net loss for the three months ended September 30, 2025, was $26,017, compared to a net income of $69,863 for the same period in 2024[24] Financial Performance - Adjusted EBITDA for Q3 2025 was $49 million, down 7.5% from $53 million in Q2 2025 and down 26.9% from $67 million in Q3 2024[4] - Adjusted EBITDA for the three months ended September 30, 2025, was $49,404, down from $67,121 in the same period last year, representing a decline of 26.4%[25] - The leverage ratio as of September 30, 2025, was 1.60x, with net debt of $402,886,000 and trailing twelve-month Adjusted EBITDA of $252,549,000[57] - Adjusted Net Loss Income for Q3 2025 was $(5,867,000), translating to a diluted EPS of $(0.08), compared to $(364,000) and $0.00 in Q2 2025 and $10,839,000 and $0.14 in Q3 2024[59] Cash Flow and Debt Management - Berry generated operating cash flow of $55 million and free cash flow of $38 million during the quarter[5] - The company paid down approximately $11 million of total debt in Q3 2025, contributing to a year-to-date total debt reduction of approximately $34 million[5] - Free Cash Flow for Q3 2025 was $38,390,000, compared to a negative $25,611,000 in Q2 2025 and $44,821,000 in Q3 2024[55] Capital Expenditures and Assets - Capital expenditures for the three months ended September 30, 2025, totaled $17,021, compared to $25,874 for the same period in 2024, reflecting a decrease of 34.1%[27] - Total current assets as of September 30, 2025, were $143,780, a decrease from $149,643 as of December 31, 2024[25] - Long-term debt as of September 30, 2025, was $354,469, down from $384,633 as of December 31, 2024[25] Operational Metrics - The company reported a total of 77,602 weighted-average shares of common stock outstanding for the three months ended September 30, 2025[25] - The company has hedged 18.2 MBbls/d of oil production for the remainder of 2025 at an average price of $74.15/Bbl of Brent[10] - The average price of Brent oil for the three months ended September 30, 2025, was $68.17 per bbl, while Henry Hub natural gas averaged $3.03 per mmbtu[38] Expenses - General and administrative expenses for Q3 2025 were $20,242,000, slightly up from $20,270,000 in Q2 2025 and $19,111,000 in Q3 2024[62] - Lease operating expenses (LOE) for Q3 2025 were $58,137,000, an increase from $53,193,000 in Q2 2025 and $54,900,000 in Q3 2024[66] - Energy LOE - unhedged for Q3 2025 was $26,119,000, compared to $22,476,000 in Q2 2025 and $24,548,000 in Q3 2024[66] Mergers and Agreements - Berry signed an agreement to merge with California Resources Corporation, with a special shareholder meeting scheduled for December 15, 2025, to approve the merger[5] Hedging Activities - The company hedged 3,680,000 mmbtu of natural gas purchases at a weighted-average price of $4.15 per mmbtu for FY 2026[34] - The company reported realized losses on natural gas purchase derivatives of $6,200,000 for Q3 2025[35] - Total realized gains on derivatives for the three months ended September 30, 2025, amounted to $4,082,000, while total unrealized losses were $24,797,000[35]