W&T Offshore(US:WTI)2025-11-05 22:01Production and Revenue - Production for Q3 2025 was 35.6 MBoe/d, a 6% increase from 33.5 MBoe/d in Q2 2025 and a 15% increase from 31.0 MBoe/d in Q3 2024[3][4] - Revenues for Q3 2025 were $127.5 million, a 4% increase from $122.4 million in Q2 2025 and a 5% increase from $121.4 million in Q3 2024[7] - Total revenues for Q3 2025 were $127.5 million, a 5.5% increase from $121.4 million in Q3 2024[34] - Oil revenues reached $84.1 million, up from $90.9 million in Q3 2024, while natural gas revenues increased to $37.4 million from $23.1 million[34] - Average daily equivalent sales increased to 35.6 MBoe/d in Q3 2025 from 31.0 MBoe/d in Q3 2024[36] Financial Performance - Adjusted EBITDA grew by 11% quarter-over-quarter to $39.0 million[3] - Operating loss for Q3 2025 was $12.6 million, compared to a loss of $19.0 million in Q3 2024[34] - Net loss reported was $71.5 million, or $(0.48) per diluted share, significantly impacted by a non-cash valuation allowance of $59.9 million against deferred tax assets[3] - Net loss for Q3 2025 was $71.5 million, significantly higher than the $36.9 million loss in Q3 2024[34] - Net loss for the three months ended September 30, 2025, was $71,474 thousand, compared to a net loss of $20,884 thousand for the previous quarter, representing a significant increase in losses[39] - For the nine months ended September 30, 2025, the net loss was $(122,935,000), compared to $(63,783,000) for the same period in 2024[50] Cash and Debt Management - Unrestricted cash and cash equivalents increased to $124.8 million, with total debt at $350.4 million and Net Debt at $225.6 million, down $58.6 million from year-end 2024[17] - Net Debt to trailing twelve months Adjusted EBITDA ratio was 1.6x as of September 30, 2025[17] - Cash and cash equivalents increased to $126,347 thousand at the end of September 2025, up from $122,275 thousand at the end of June 2025[40] - Total current liabilities decreased from $246,084 thousand in December 2024 to $208,471 thousand in September 2025, a reduction of approximately 15.3%[38] Capital Expenditures - Capital expenditures for Q3 2025 were $22.5 million, driven by work to increase production from fields related to the 2024 Cox acquisition[18] - Full year 2025 capital expenditures guidance is revised to between $57 million and $63 million, excluding potential acquisitions[19] - Investment in oil and natural gas properties and equipment for the three months ended September 30, 2025, was $21,794 thousand, compared to $10,422 thousand in the previous quarter[39] Shareholder Returns - The company declared a fourth quarter 2025 dividend of $0.01 per share, payable on November 26, 2025[20] Operational Challenges - The company anticipates continued challenges due to regulatory and market conditions affecting future operations[30] Other Financial Metrics - Average realized price for oil was $64.62 per barrel in Q3 2025, compared to $75.09 per barrel in Q3 2024[36] - Total operating expenses for Q3 2025 were $140.1 million, slightly down from $140.3 million in Q3 2024[34] - The company reported a derivative gain of $4.1 million in Q3 2025, compared to a loss of $3.2 million in Q3 2024[34] - The allowance for credit losses was $156,000 for the three months ended September 30, 2025, compared to $197,000 in the previous quarter[51] - The Company reported a total of $26,537,000 in net cash provided by operating activities for the three months ended September 30, 2025[51] - Adjusted net loss for the nine months ended September 30, 2025, was $34,591 thousand, compared to $35,626 thousand for the same period in 2024, indicating a slight improvement year-over-year[46] - The Company incurred interest expense of $8,998,000 for the three months ended September 30, 2025, slightly down from $9,005,000 in the previous quarter[50] - The Company reported a depreciation, depletion, amortization, and accretion expense of $36,582 thousand for the three months ended September 30, 2025[39] - The Company’s depreciation, depletion, and amortization expenses were $28,580,000 for the three months ended September 30, 2025, up from $26,446,000 in the prior quarter[50] - The unrealized commodity derivative gain for the three months ended September 30, 2025, was $5,583,000, compared to a loss of $(2,554,000) in the previous quarter[50]