SandRidge Energy(SD) - 2025 Q3 - Quarterly Results

Financial Performance - For Q3 2025, SandRidge reported a net income of $16.0 million, or $0.44 per basic share, with adjusted net income of $15.5 million, or $0.42 per basic share[6]. - Total revenues for Q3 2025 increased by 32% year-over-year, driven by production from the Cherokee acquisition and development program[5]. - Net income for the nine months ended September 30, 2025, was $48.56 million, a 7% increase from $45.40 million in the same period of 2024[29]. - Total revenues for the nine months ended September 30, 2025, rose to $116.96 million, up 35.6% from $86.32 million in 2024[29]. - Net income available to common stockholders for Q3 2025 was $15,953,000, a decrease of 37.4% from $25,484,000 in Q3 2024[47]. - Adjusted net income available to common stockholders for the nine months ended September 30, 2025, was $42,248,000, representing a 93.5% increase from $21,804,000 in the same period of 2024[47]. - The company reported a total adjusted net income per share of $1.15 for the nine months ended September 30, 2025, compared to $0.59 for the same period in 2024[47]. Production and Operations - Production averaged 19.0 MBoe per day in Q3 2025, a 12% increase compared to Q3 2024, with oil production rising by 49%[5]. - Total oil production increased by 49% year-over-year to 344 MBbl for the three months ended September 30, 2025, compared to 231 MBbl in 2024[24]. - Daily production increased to 19.0 MBoed in Q3 2025, compared to 17.0 MBoed in Q3 2024, representing a 11.8% growth[24]. - Four wells from the ongoing one-rig Cherokee development program achieved average peak 30-day initial production rates of approximately 2,000 gross Boe per day, with around 43% being oil[10]. - The company is focused on the Mid-Continent region for its oil and gas production and development activities[51]. Financial Position - The company had $102.6 million in cash and cash equivalents as of September 30, 2025, with no outstanding debt obligations[12]. - The company's cash and cash equivalents increased to $102.59 million as of September 30, 2025, from $99.51 million at the end of 2024[27]. - The total stockholders' equity increased to $492.45 million as of September 30, 2025, from $460.53 million at the end of 2024[27]. - The company reported a net increase in cash and cash equivalents of $3,076,000 for the nine months ended September 30, 2025, contrasting with a decrease of $159,863,000 in 2024[34]. Costs and Expenses - Lease operating expenses for Q3 2025 totaled $10.9 million, or $6.25 per Boe, reflecting increased operational activity and costs[11]. - The average cost per Boe for lease operating expenses rose to $6.25 in Q3 2025, compared to $5.82 in Q3 2024, indicating a 7.4% increase[24]. - General and administrative expenses for the nine months ended September 30, 2025, totaled $9,618,000, with an adjusted G&A of $7,449,000[49]. - Adjusted G&A per Boe for Q3 2025 was $1.23, up from $1.02 in Q3 2024, indicating improved cost management[49]. Cash Flow and Investments - Net cash provided by operating activities for the nine months ended September 30, 2025, was $68,450,000, compared to $47,940,000 in 2024, reflecting a significant increase of about 42.8%[38]. - Adjusted operating cash flow for the nine months ended September 30, 2025, reached $79,840,000, up from $51,912,000 in 2024, indicating a growth of approximately 53.8%[38]. - Free cash flow for the nine months ended September 30, 2025, was $29,327,000, compared to $34,367,000 in 2024, showing a decrease of about 14.4%[40]. - Capital expenditures for the nine months ended September 30, 2025, totaled $50.64 million, with drilling and completion accounting for $46.25 million[25]. - Capital expenditures for property, plant, and equipment for the nine months ended September 30, 2025, totaled $41,361,000, significantly higher than $13,572,000 in 2024, marking an increase of approximately 205.5%[34]. - Net cash used in investing activities for the nine months ended September 30, 2025, was $46,128,000, a decrease from $138,662,000 in 2024, indicating a reduction of about 66.7%[34]. Future Outlook - Future projects include one-rig development in the Cherokee Shale Play and evaluation of merger and acquisition opportunities[18]. - The company anticipates future operational improvements and cost reductions as part of its corporate strategies[50]. - Forward-looking statements indicate potential risks including oil price volatility and regulatory changes affecting operations[50]. Shareholder Returns - The company declared a dividend of $0.12 per share, payable on November 28, 2025, to stockholders of record on November 14, 2025[15]. - The company repurchased 0.6 million shares for $6.4 million at an average price of $10.72 per share during the nine months ended September 30, 2025[17]. Derivative Contracts - The company experienced a loss on derivative contracts of $5,936,000 for the nine months ended September 30, 2025, compared to a loss of $1,866,000 in the same period of 2024[47].