Financial Performance - Vital Energy reported Adjusted Free Cash Flow of $64 million in 1Q-25[9], exceeding guidance[9] - Consolidated EBITDAX for 1Q-25 was $360 million[9] - Cash Flows from Operating Activities reached $351 million in 1Q-25[13] Production and Costs - Total production in 1Q-25 was 1402 MBOE/d[9], surpassing the midpoint of guidance[10] - Oil production in 1Q-25 was 649 MBO/d[12], also above the midpoint of guidance[10] - Lease Operating Expense was $103 million in 1Q-25[12], below guidance[11] Capital Program and Debt Reduction - The company is targeting ~$300 million in debt repayment for FY-25[26] - Vital Energy anticipates ~$265 million of Adjusted Free Cash Flow at $70 WTI oil[20] - Vital Energy anticipates ~$240 million of Adjusted Free Cash Flow at current strip prices[20] - Vital Energy anticipates ~$50 million of Adjusted Free Cash Flow at $50 WTI oil[20] Hedging and Inventory - Approximately 90% of the company's expected remaining 2025 oil production is hedged at an average WTI price of ~$71 per barrel[62] - The company has ~925 inventory locations with an average WTI breakeven oil price of ~$53[34]

Core Viewpoint - Berry Corporation reported its financial and operational results for Q4 and full year 2024, highlighting a focus on sustainable free cash flow and capital efficiency, alongside a fixed cash dividend of $0.03 per share [1][6][16]. Full Year 2024 Highlights - Total production for 2024 was 25.4 MBoe/d, with oil production comprising 93% of total output [11]. - Revenues from oil, natural gas, and NGLs were $647 million, a decrease from $669 million in 2023 [11]. - Net income for the year was $19 million, down from $37 million in 2023, while adjusted net income increased to $52 million from $39 million [11]. - Adjusted EBITDA rose to $292 million from $268 million in the previous year [11]. - Free cash flow for the year was $108 million, compared to $126 million in 2023 [11]. Fourth Quarter 2024 Highlights - Q4 production was 26.1 MBoe/d, a 5% increase from Q3 2024 and a 1% increase year-over-year [9]. - Oil, natural gas, and NGL revenues for Q4 were $158 million, slightly up from $154 million in Q3 2024 but down from $172 million in Q4 2023 [9]. - The company reported a net loss of $2 million for Q4, contrasting with a net income of $70 million in Q3 2024 [9]. - Adjusted net income for Q4 was $17 million, up from $11 million in Q3 2024 [9]. - Operating cash flow for Q4 was $41 million, down from $71 million in Q3 2024 [9]. 2025 Outlook - Berry expects average daily production in 2025 to range from 24,800 to 26,000 boe/d, with oil production anticipated to be between 91% and 95% [17]. - The capital expenditure program for 2025 is projected to be between $110 million and $120 million, with approximately 40% allocated to Utah [17][21]. - The company plans to continue its fixed dividend policy while prioritizing debt reduction [16]. Management Comments - The CEO emphasized the company's strategy of generating sustainable free cash flow and improving capital efficiency, with successful drilling results unlocking further potential [6][8]. - The company has a disciplined plan for 2025 aimed at ensuring capital for development and creating shareholder value [8]. Capital Structure - As of December 31, 2024, Berry had $450 million outstanding on its term loan and no borrowings under its revolver, with $110 million in liquidity [13]. - The leverage ratio stood at 1.49x, indicating a manageable level of debt relative to cash flow [13]. Proved Reserves - Berry's year-end 2024 proved reserves totaled 107 MMBoe, a 4% increase from the previous year, with a reserve replacement ratio of 147% [23]. - The SEC PV-10 value of the reserves was estimated at $2.3 billion [23].