Ring Energy(US:REI) Globenewswire·2025-11-06 21:56Core Insights - Ring Energy, Inc. reported strong cash generation and operational discipline in Q3 2025 despite volatile commodity prices, achieving $13.9 million in Adjusted Free Cash Flow and reducing debt by $20 million [3][9][11] - The company reaffirmed its plan to reduce capital spending by 36% year-over-year while maintaining a production growth rate of 2% or more [3][4] Financial Performance - Average daily sales volumes were 20,789 Boe/d, a 2% decrease from Q2 2025 but a 3% increase year-over-year [5] - Crude oil production averaged 13,332 Bo/d, down 8% from Q2 2025 but up 1% from Q3 2024 [5] - Revenues for Q3 2025 were $78.6 million, a 5% decrease from Q2 2025 and a 12% decrease from Q3 2024 [5] - The company reported a net loss of $51.6 million, significantly impacted by a non-cash ceiling test impairment charge of $72.9 million [5][12] Operational Highlights - Lease Operating Expense (LOE) was $10.73 per Boe, 2% below the low end of guidance due to cost reduction efforts [9][10] - Capital expenditures for Q3 2025 were $24.6 million, below the mid-point of guidance [9] - The company drilled and completed five wells in Q3 2025, all in the Central Basin Platform [13][14] Liquidity and Debt Management - Total liquidity as of September 30, 2025, was approximately $157.3 million, with $428 million in borrowings outstanding on its credit facility [11] - The company aims for continued debt reduction, having reduced its debt by $20 million during the quarter [11] Future Guidance - For Q4 2025, the company expects total oil sales volumes between 12,700 and 13,600 Bo/d and total equivalent sales volumes between 19,100 and 20,700 Boe/d [16] - Capital spending guidance for FY 2025 is set at $92 to $102 million, with a midpoint of $97 million [17]