Baytex Announces Fourth Quarter and Full Year 2024 Financial and Operating Results and Year End Reserves

Core Viewpoint - Baytex Energy Corp. reported strong financial and operational results for 2024, highlighting a disciplined capital allocation strategy that led to increased production and shareholder returns. The company generated significant free cash flow and prioritized returning capital to shareholders through buybacks and dividends [2][22][24]. Financial Performance - In Q4 2024, Baytex reported cash flows from operating activities of CAD 469 million (CAD 0.60 per basic share) and total cash flows for 2024 of CAD 1,908 million (CAD 2.38 per basic share) [5][9]. - The company achieved a 10% increase in production per basic share in 2024, with average production of 153,048 boe/d compared to 122,154 boe/d in 2023 [5][23]. - Free cash flow for Q4 2024 was CAD 255 million (CAD 0.33 per basic share) and CAD 656 million (CAD 0.82 per basic share) for the full year [5][24]. - Baytex returned CAD 290 million to shareholders in 2024 through share buybacks and dividends, repurchasing 48.4 million shares for CAD 218 million [5][24]. Operational Highlights - The company improved its cash cost structure by 5% on a boe basis compared to 2023 [5][22]. - Baytex reduced net debt by 5% in 2024, maintaining a total debt to EBITDA ratio of 1.1x [5][27]. - The company replaced 102% of production on a 1P basis and 101% on a 2P basis, achieving a strong PDP recycle ratio of 1.9x [10][37]. Reserves and Asset Valuation - Year-end 2024 reserves were evaluated at 187 MMboe for PDP, 408 MMboe for 1P, and 660 MMboe for 2P, with increases of 8% and 6% in reserves per share for PDP and 1P/2P, respectively [5][37]. - The net asset value at year-end 2024 increased by 13% to CAD 7.27 per share, based on estimated 2P reserves value [10][37]. - Finding and development costs were CAD 21.32/boe for PDP, CAD 15.06/boe for 1P, and CAD 14.81/boe for 2P [37]. 2025 Outlook - For 2025, Baytex anticipates production of approximately 144,000 boe/d in Q1, with full-year guidance unchanged at 148,000 to 152,000 boe/d [19][20]. - The company expects to generate approximately CAD 400 million of free cash flow in 2025 at a WTI price of USD 70/bbl, with the majority expected in the second half of the year [20][19]. - Baytex will continue to focus on disciplined capital allocation, targeting a balanced approach between free cash flow generation and shareholder returns [18][19].