REPX(US:REPX)2024-03-06 22:04Financial Performance - For the full year 2023, the company reported total revenues of $375 million, net income of $112 million, and Free Cash Flow of $70 million, reflecting a 26% year-over-year increase[15][16] - Total revenues for Q4 2023 reached $99,829,000, a 27.7% increase from $78,046,000 in Q4 2022[42] - Net income for Q4 2023 was $38,025,000, up 41.5% from $26,807,000 in Q4 2022[42] - Cash flow from operations increased to $65,823,000 in Q4 2023, compared to $52,652,000 in Q3 2023, marking a 25% increase[24] - Net cash provided by operating activities for the year was $207,195,000, compared to $170,288,000 in 2022[44] Production and Reserves - In Q4 2023, the company averaged 19.9 MBoe/d of total equivalent production, including 13.6 MBbls/d of oil production, and generated $66 million of operating cash flow[6] - The company achieved a 49% growth in oil production and a 62% increase in total production year-over-year, largely due to the New Mexico Acquisition[7] - Proved reserves as of December 31, 2023, were 108 MMBoe, a 39% increase from the previous year, with oil comprising 62% of total proved reserves[21] - The company plans to drill 21-23 gross operated wells in 2024, with 7 wells expected to be drilled in Q1 2024[29] - Net production guidance for Q1 2024 is set at 19.5-20.5 MBoe/d, with full-year guidance of 21.0-22.5 MBoe/d[29] Financial Guidance and Expenditures - The company provided 2024 guidance for oil production of 14.0 – 15.0 MBbls/d, indicating approximately 10% year-over-year growth at the midpoint[6] - Total production guidance for 2024 is set at 21.0 – 22.5 MBoe/d, corresponding to approximately 17% year-over-year growth at the midpoint[6] - The company plans to reduce capital expenditures by approximately 10% year-over-year, with guidance set at $115 - 130 million for 2024[6] - The company anticipates investing $115-130 million in total expenditures for 2024, with $28.0-31.0 million allocated for drilling and completions[29] Debt and Cash Management - The company reduced total debt by $30 million in Q4 2023, with total debt standing at $356 million as of December 31, 2023[19] - Cash and cash equivalents increased to $15,319,000 as of December 31, 2023, compared to $13,301,000 a year earlier[44] - Long-term debt rose to $335,959,000 from $56,000,000 in the previous year[40] Dividends - The company paid dividends of $0.36 per share in Q4 2023, totaling $7 million, and $1.38 per share for the full year, amounting to $28 million[20] Pricing and Market Conditions - Average realized oil prices for Q4 2023 were $76.85 per Bbl, down from $80.87 in Q3 2023[24] - The average price used for oil in reserve estimates was $78.22 per Bbl for the 12-month period ended December 31, 2023[45] - NYMEX pricing for oil is projected to be $78.22 per Bbl and for natural gas $2.64 per Mcf from 2024 onwards[47] Risk Management - The company has entered into oil swaps for 1,215,000 Bbls at a fixed price of $73.44 per Bbl for 2024[56] - Natural gas swaps for 2,400,000 MMBtu are set at a fixed price of $3.38 per MMBtu for 2024[56] - The company has also established oil collars for 1,666,000 Bbls with a fixed price range of $61.36 to $84.19 for 2024[56] - Interest rate swaps were entered into for a notional amount of $80 million at an average fixed rate of 3.09% for the period from April 2024 to April 2026[57]