Financial Data and Key Metrics Changes - Year-end reserves increased from 337 million BOE to 705 million BOE, more than doubling due to drilling and acquisitions in 2025 [19] - Production for the quarter was 154,000 BOE per day, with 17% oil, 68% natural gas, and 15% NGLs [19] - Average realized prices were $58.14 per barrel of oil, $2.54 per Mcf of gas, and $21.28 per barrel of NGLs [19] - Total revenues reached $388 million, including $331 million from oil and gas revenues and $42 million from hedges [20] - Adjusted EBITDA was $187 million, with operating cash flow of $169 million [20] Business Line Data and Key Metrics Changes - The company shifted focus from oil-dominated assets to dry gas locations in the Deep Anadarko and San Juan [10] - Development CapEx for the quarter was $77 million, representing 46% of operating cash flow [20] - The company plans to drill 7-8 dry gas Mancos wells in the San Juan, with projected costs of $15 million per well [14][15] Market Data and Key Metrics Changes - The Bloomberg fair value price for West Texas Intermediate crude oil decreased from $71.72 in 2024 to $57.42 in 2025, while the price for Henry Hub Natural Gas improved from $3.43 in 2024 to $4.42 in 2025 [10] - The company anticipates an estimated ultimate recovery of approximately 19.5 Bcf in the Deep Anadarko [14] Company Strategy and Development Direction - The company emphasizes delivering exceptional cash returns through distributions, having returned $1.3 billion to unitholders since 2018 [3] - The strategy includes disciplined execution, with a focus on acquiring assets below PDP PV-10 and maintaining a low debt-to-EBITDA ratio of 1x [4][16] - The company aims to maximize cash distributions while maintaining a reinvestment rate of no more than 50% [12] Management's Comments on Operating Environment and Future Outlook - Management believes that oil and natural gas will remain critical to the world, with prices expected to rise faster than inflation [9] - The company is cautious about M&A activities until debt levels are reduced, currently at 1.3x leverage [27] - Management expressed confidence in the long-term value of oil and natural gas, emphasizing patience in acquisition strategies [18] Other Important Information - The company has distributed $5.67 per unit from the beginning of 2024, yielding an annualized return of 15% [3] - The company has a corporate decline rate of 17%, allowing it to maintain production levels without acquisitions [17] Q&A Session Summary Question: Plans for additional rig to take advantage of higher oil prices - Management indicated that if cash flow increases, they would consider adding a second rig to drill more oil wells [24][25] Question: M&A market opportunities - Management is currently sidelined for M&A until debt is reduced, focusing on paying down debt before considering acquisitions [27] Question: Monetizing midstream assets - Management prefers to retain midstream assets for long-term cash flow rather than selling them off [29] Question: Performance of recent wells in the Deep Anadarko and Mancos - Initial wells in the Deep Anadarko performed better than expected, while Mancos wells are anticipated to yield high returns once costs are lowered [38][40] Question: Guidance on midstream profit improvement - The improvement in midstream profit guidance was due to accounting treatment adjustments related to throughput volumes [64]

Financial Data and Key Metrics Changes - Net income for Q4 2025 was $80.8 million or $1.59 per share, compared to $77.2 million or $1.53 per share in Q4 2024, representing a year-over-year increase of 4.7% in net income and 3.9% in earnings per share [4] - For the full fiscal year 2025, net income was $209.7 million or $4.14 per share, up from $195.5 million or $3.89 per share in the previous year, indicating a 7.2% increase in net income and a 6.4% increase in earnings per share [4] Business Line Data and Key Metrics Changes - Net sales for Q4 2025 increased by 5.3% to $399.1 million, compared to $379.2 million in Q4 2024, while full year sales rose 6.6% to $1.298 billion from $1.218 billion [5] - Comparable store sales for Q4 increased by 3.9% and for the full year by 5.6% [5] - Women's business saw a 12% increase in merchandise sales for Q4, representing 46% of total sales, up from 43% the previous year [13] - Men's merchandise sales decreased by 0.5%, accounting for 54% of total sales, down from 57% [15] - Kids business grew approximately 16% year-over-year, highlighting a key growth opportunity [17] Market Data and Key Metrics Changes - Online sales for Q4 increased by 6.4% to $74.2 million, while full year online sales rose by 9.8% to $217.1 million [5] - Average unit retail (AUR) for women's products increased by approximately 6.5% from $51.55 to $54.95, while men's AUR increased by about 4.5% from $56.30 to $58.80 [14][15] Company Strategy and Development Direction - The company plans to open 12-14 new stores and complete 12-14 full remodel projects in fiscal 2026, with a focus on relocating stores to outdoor shopping centers [11] - The strategy includes leveraging successful outlet locations and expanding in select markets based on previous successes [22] Management's Comments on Operating Environment and Future Outlook - Management noted strong demand in the denim category, driven by new fashion trends and a diverse selection of products [23][24] - The company is optimistic about the growth in the kids category and the overall performance of women's denim, which has been a significant driver of sales [17][13] Other Important Information - Inventory as of January 31, 2026, was $139.5 million, up 15.5% year-over-year, while total cash and investments were $306.6 million after paying $225.1 million in dividends [10] - The company ended the year with 440 retail stores, a slight decrease from 441 stores the previous year [12] Q&A Session Summary Question: Store expansion strategy - Management confirmed plans to open 12-14 new stores, focusing on premium outlets and select markets where previous successes have been noted [22] Question: Drivers of the denim category - Management highlighted the growth in women's denim due to new fashion trends and a strong selection of products, including private brands [23][24] Question: Youth product availability in stores - The majority of stores carry youth products, with a small percentage not offering them due to space constraints. The company has transitioned from dedicated youth stores to integrating youth products into regular stores [25][26]

Financial Data and Key Metrics Changes - In 2025, the company generated over $750 million in Adjusted EBITDAX and reported a net loss of $41.4 million due to a non-cash impairment charge of $67.2 million from the sale of Canadian assets [6][27][28] - Production for 2025 was 16,556 net revenue interest barrels of oil equivalent per day, exceeding guidance, while sales reached 17,452 barrels per day [27] - The company returned $26.5 million to shareholders through dividends in 2025, totaling over $150 million since Q4 2021 [9][34] Business Line Data and Key Metrics Changes - The company divested all Canadian assets and increased its position in Côte d'Ivoire, becoming the operator with a 60% working interest in the Kossipo field [7][10] - In Gabon, the company began a phase III drilling program in Q4 2025, with positive production results despite geological risks encountered [14][15] - In Egypt, the company drilled 20 wells in 2025, leading to production exceeding 11,000 barrels per day in Q1 2026 [17][18] Market Data and Key Metrics Changes - The company reported a decrease in SEC proved reserves by 5% to 43 million barrels of oil equivalent, but positive revisions and extensions replaced two-thirds of 2025 production [23] - The SEC proved reserve PV-10 increased by 8% from $379 million to $410 million despite lower average SEC pricing [24] - The 2P CPR NPV10 saw a 26% increase to $859 million at year-end 2025, indicating strong future potential [24] Company Strategy and Development Direction - The company aims to grow production to 50,000 barrels of oil equivalent per day, focusing on operational excellence and organic growth initiatives [8][43] - The strategy includes rationalizing the portfolio, enhancing value through acquisitions, and executing multiple drilling campaigns across various assets [44][47] - The company is exploring efficient development opportunities in Equatorial Guinea, with plans for subsea development to simplify operations [22][46] Management's Comments on Operating Environment and Future Outlook - Management highlighted 2025 as a transitional year, with significant production uplifts expected from ongoing projects in 2026 and 2027 [9][25] - The company expressed confidence in its diversified portfolio and ability to generate operational cash flow while returning capital to shareholders [25][47] - Management noted that the stock price remains undervalued compared to the company's strong fundamentals and growth potential [24][47] Other Important Information - The FPSO refurbishment for the Baobab field is on track to return in Q2 2026, with significant development drilling planned thereafter [10][11] - The company has secured a new reserves-based lending facility with an initial commitment of $190 million, allowing for further capital program funding [33] - The company is actively working on exploration blocks in Gabon and Côte d'Ivoire, with seismic surveys completed and further evaluations underway [16][12] Q&A Session Summary Question: CapEx breakdown in Côte d'Ivoire - Management indicated that approximately 50% of Q1 CapEx is linked to the Gabon drilling program, with around $10 million allocated for Kossipo field development preparation [49][50] Question: Residual CapEx for Côte d'Ivoire in 2027 - The CapEx for the batch drilling program in Q4 2026 is expected to be between $30 million and $45 million [52] Question: Free cash flow usage - Management stated that excess free cash flow would primarily be used to reduce debt rather than enhance shareholder returns due to high capital commitments [80][81] Question: Equatorial Guinea first production timeline - Management remains confident that first production from Equatorial Guinea will be on track for the end of 2028, pending further technical evaluations [83] Question: Kossipo working interest and risk-sharing - Management is comfortable with the current 60% working interest in Kossipo and does not plan to farm down at this stage, focusing on the potential size of the resource [70][71]

Financial Data and Key Metrics Changes - Full year adjusted EBITDA increased by 3% year-over-year despite losses from sports betting income in Colorado and licensing disruptions in Poland [2][3] - Fourth quarter net operating revenue was flat, but adjusted EBITDA rose by 13% [3] - Across the U.S. portfolio, there was strong play from high-value and core customer segments, with double-digit EBITDA growth at several casinos [3] Business Line Data and Key Metrics Changes - Century Casino & Hotel Caruthersville saw Q4 EBITDA increase from $4.9 million to $6.1 million, with a full year increase from $19 million to $24.4 million, a 28% rise [5][6] - Century Casino Cape Girardeau experienced a decline in Q4 EBITDA from $6.8 million to $5.9 million and a full year decrease from $25.6 million to $24.7 million [8][9] - At Century Casino & Hotel Cripple Creek, Q4 EBITDA increased from $1.1 million to $1.5 million, but full year EBITDA decreased from $7.5 million to $6.3 million [10] - Mountaineer in West Virginia saw Q4 EBITDA rise from $2.6 million to $3 million, with full year EBITDA increasing from $13.1 million to $14.1 million [11][12] - Nugget Casino Resort in Reno Sparks had Q4 EBITDA increase from $1.1 million to $1.3 million, but full year EBITDA declined from $9.7 million to $9.1 million [14] Market Data and Key Metrics Changes - In Canada, slot coin-in was up 4%, net operating revenue increased by 2%, and EBITDA rose by 1% to $20.3 million in 2025 [15] - In Poland, net operating revenue increased by 4% and EBITDA surged by 245% to $0.9 million in Q4 [16] Company Strategy and Development Direction - The company is focused on harvesting investments made over the last couple of years, expecting higher EBITDA and cash flow for 2026 and beyond [17][18] - A comprehensive strategic review process is ongoing, which may lead to divestitures, but no final decisions have been made [20] Management's Comments on Operating Environment and Future Outlook - Management noted a strong start to 2026 with double-digit EBITDA growth across all U.S. properties, particularly highlighting performances in Colorado and the Nugget [19] - The company anticipates benefits from tax cuts in Alberta and decreasing CapEx, projecting a reduction from $18 million in 2025 to between $14 million and $15 million in 2026 [18] Other Important Information - Cash and cash equivalents as of December 31st were $69 million, with total debt outstanding at $338 million [17] - The net debt to EBITDA ratio remained unchanged at 6.9x [17] Q&A Session Summary Question: Where are the green shoots in retail players being seen? - Management indicated that retail customers are returning across the board, with increases in both casino and hotel performance [26] Question: Historical precedent of higher oil prices affecting properties? - Management stated that there has been no historical correlation between higher oil prices and business performance [27] Question: Guidance for Q1 and trends for the rest of the year? - Management confirmed double-digit growth at every U.S. property and expressed optimism that trends would continue [32] Question: Impact of weather on revenues and EBITDA during Q4? - Management acknowledged some impact from weather in December but did not quantify it, indicating it was not disastrous [53][56] Question: Capital allocation approach regarding share repurchases and debt pay down? - Management emphasized a focus on debt pay down over share repurchases, subject to cash flow and operational performance [60]

Financial Data and Key Metrics Changes - Net income for Q4 2025 was $80.8 million or $1.59 per share, compared to $77.2 million or $1.53 per share in Q4 2024, representing a year-over-year increase of 4.7% in net income and 3.9% in earnings per share [3] - For the full fiscal year 2025, net income was $209.7 million or $4.14 per share, up from $195.5 million or $3.89 per share in the previous year, indicating a 7.2% increase in net income and 6.4% in earnings per share [3] - Gross margin for Q4 was 52.6%, consistent with the previous year, while full-year gross margin increased to 49%, up 30 basis points from 48.7% [5][6] Business Line Data and Key Metrics Changes - Women's business saw a 12% increase in merchandise sales for Q4, representing approximately 46% of total sales, up from 43% last year [12] - Men's merchandise sales decreased by about 0.5%, accounting for approximately 54% of total sales, down from 57% a year ago [14] - Accessory sales increased by approximately 3.5%, while footwear sales decreased by about 3%, with both categories maintaining similar proportions of total sales as the previous year [15] Market Data and Key Metrics Changes - Comparable store sales for Q4 increased by 3.9%, while full-year comparable store sales rose by 5.6% [4] - Online sales for Q4 increased by 6.4% to $74.2 million, and for the full year, online sales grew by 9.8% to $217.1 million [4] Company Strategy and Development Direction - The company plans to open 12-14 new stores and complete 12-14 full remodel projects in fiscal 2026, with a focus on relocating to outdoor shopping centers [10] - The strategy includes expanding the women's denim category and enhancing the selection of products to meet consumer demand [12][22] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the denim category's growth, attributing it to new fashion trends and a strong selection of products [22] - The company is focused on leveraging successful markets to identify new store opportunities and improve existing locations [21] Other Important Information - Inventory as of January 31, 2026, was $139.5 million, up 15.5% from the previous year, while total cash and investments were $306.6 million after paying $225.1 million in dividends [9] - The company ended the year with 440 retail stores in 42 states, a slight decrease from 441 stores in the previous year [11] Q&A Session Summary Question: Store expansion strategy - Management confirmed plans to open 12-14 new stores, focusing on premium outlets and select markets, leveraging past successes [21] Question: Drivers of denim category growth - Management highlighted new fashion trends and expanded product offerings as key drivers of growth in the women's denim category [22] Question: Youth product availability in stores - Most stores carry youth products, with a small percentage lacking space for a full selection; only one dedicated youth store remains [24]

Financial Data and Key Metrics Changes - Year-end reserves for 2025 more than doubled from 337 million to 705 million barrels of oil equivalent [17] - Production for the quarter was 154,000 BOE per day, with a breakdown of 17% oil, 68% natural gas, and 15% NGLs [18] - Average realized prices were $58.14 per barrel of oil, $2.54 per Mcf of gas, and $21.28 per barrel of NGLs [18] - Total revenues for the quarter were $388 million, including $331 million from oil and gas revenues [19] - Adjusted EBITDA was $187 million, with operating cash flow of $169 million [19] Business Line Data and Key Metrics Changes - The company shifted focus from oil-dominated assets to dry gas locations in the Deep Anadarko and San Juan [9] - In 2025, the company achieved a rate of return of approximately 40% by transitioning to natural gas [12] - The company plans to drill 7-8 dry gas Mancos wells in the San Juan, with projected costs of $15 million per well [13] Market Data and Key Metrics Changes - The Bloomberg fair value price for West Texas Intermediate crude oil decreased from $71.72 in 2024 to $57.42 in 2025, while the price for Henry Hub Natural Gas improved from $3.43 in 2024 to $4.42 in 2025 [9] - The company anticipates a tightening of basis in the San Juan due to weather conditions affecting supply [53] Company Strategy and Development Direction - The company emphasizes delivering exceptional cash returns through distributions, having returned $1.3 billion to unitholders since 2018 [3] - The strategy includes disciplined execution in acquisitions, ensuring no asset is purchased above PDP PV-10 [4] - The company aims to maintain a debt-to-EBITDA ratio of 1x to ensure financial strength and flexibility for future acquisitions [14][15] Management's Comments on Operating Environment and Future Outlook - Management believes that the business will remain critical in the coming decades, with prices expected to rise faster than inflation [8] - The company is cautious about M&A activities until debt levels are reduced, currently at 1.3 times leverage [25] - Management expressed confidence in the performance of the Mancos reservoir, expecting it to yield high rates of return once costs are lowered [36] Other Important Information - The company has distributed $5.67 per unit from the beginning of 2024, resulting in an annualized yield of 15% [3] - The company has a low corporate decline rate of 17%, allowing for stable production levels without the need for acquisitions [15] Q&A Session Summary Question: Are there other activities to take advantage of oil prices? - Management indicated that if cash flow increases, they may consider adding another rig to drill more oil wells [22] Question: Any insights on the M&A market? - Management is currently sidelined for M&A until debt is reduced, focusing on paying down debt before considering acquisitions [25] Question: Can midstream assets be monetized to reduce debt? - Management prefers to retain midstream assets for long-term cash flow rather than selling them off [27] Question: What oil price is needed to proceed with the Oswego rig? - Management stated that oil prices above $70 would yield rates of return well north of 50%, justifying the use of capital for the Oswego program [41] Question: What caused the change in midstream profit guidance? - The improvement was due to reclassification of midstream operating expenses, leading to better operating profit [62]

Financial Data and Key Metrics Changes - In 2025, the company generated over $750 million in adjusted EBITDAX and reported a net loss of $41.4 million due to a non-cash impairment charge of $67.2 million from the sale of Canadian assets [5][25][26] - The company reported production of 16,556 net revenue interest barrels of oil equivalent per day, exceeding guidance [25] - SEC proved reserves decreased by 5% year-over-year to 43 million barrels of oil equivalent, but the SEC proved reserve PV-10 increased by 8% to $410 million due to positive revisions [20][21] Business Line Data and Key Metrics Changes - The company divested all Canadian assets and expanded its Côte d'Ivoire position by becoming the operator with a 60% working interest in the Kossipo field [5][6] - In Gabon, the company began a phase three drilling program and successfully completed a full field maintenance shutdown [12][15] - The FPSO refurbishment in Côte d'Ivoire was completed ahead of schedule, with production expected to restart in Q2 2026 [8][9] Market Data and Key Metrics Changes - The company reported a favorable oil price adjustment in Gabon, contributing to an income tax benefit of $4.6 million in Q4 2025 [28] - The average SEC pricing was around $70 per barrel, impacting the company's financial results [21] Company Strategy and Development Direction - The company aims to achieve a production target of 50,000 barrels of oil equivalent per day and continues to focus on operational excellence and organic growth initiatives [5][6] - The company is exploring new development opportunities in Equatorial Guinea and evaluating alternative technical solutions for enhanced economic value [19][41] - The strategy includes maximizing asset value, rationalizing the portfolio, and pursuing accretive opportunities [40][42] Management's Comments on Operating Environment and Future Outlook - Management indicated that 2025 was a transitional year, with significant production uplifts expected from ongoing projects in 2026 and 2027 [7][25] - The company expressed confidence in its diversified portfolio and the potential for substantial increases in sales and adjusted EBITDAX in the future [38][39] Other Important Information - The company returned $26.5 million to shareholders through dividends in 2025 and has a strong cash position with unrestricted cash increasing to $58.9 million [7][30] - The company has a capital expenditure forecast for 2026 between $290 million and $360 million, focusing on drilling campaigns and FPSO refurbishment [37] Q&A Session All Questions and Answers Question: Can you provide more granularity on CapEx in Côte d'Ivoire? - The majority of Q1 CapEx is linked to the Gabon drilling program and FPSO finalization, with around $10 million for Kossipo preparation [46][48] Question: What is the expected residual CapEx for drilling in Côte d'Ivoire in 2027? - The CapEx for Q4 2026 drilling is projected to be between $30 million and $45 million [50] Question: Can you discuss the base Brent price forecast embedded in the NRI volume assumptions? - The underlying Brent assumption for 2026 is $65, with profit oil split benefiting from price rises [65][66] Question: Will VAALCO maintain its current working interest in Kossipo and CI-705? - The company is comfortable with its 60% working interest in Kossipo and is currently not planning to farm down its position [68] Question: What is the breakdown of the roughly $150 million CapEx in Côte d'Ivoire? - Approximately $50 million is allocated for the FPSO hookup and recommissioning, with the balance for drilling [74][78] Question: How will the company utilize any excess free cash flow generated? - Excess free cash flow will primarily be used to reduce debt rather than enhance shareholder returns due to high capital commitments [79]

Financial Data and Key Metrics Changes - Net income for Q4 2025 was $80.8 million or $1.59 per share, compared to $77.2 million or $1.53 per share in Q4 2024, representing a year-over-year increase of 4.7% in net income and 3.9% in earnings per share [3] - For the full fiscal year 2025, net income was $209.7 million or $4.14 per share, up from $195.5 million or $3.89 per share in the previous year, indicating a 7.2% increase in net income and a 6.4% increase in earnings per share [3] - Gross margin for Q4 was 52.6%, consistent with the previous year, while full-year gross margin increased to 49%, up 30 basis points from 48.7% [5][6] Business Line Data and Key Metrics Changes - Women's business saw a 12% increase in merchandise sales for Q4, representing approximately 46% of total sales, up from 43% the previous year [11] - Men's merchandise sales decreased by about 0.5%, accounting for approximately 54% of total sales, down from 57% a year ago [13] - Accessory sales increased by approximately 3.5%, while footwear sales decreased by about 3%, with both categories maintaining similar proportions of total sales as the previous year [14] Market Data and Key Metrics Changes - Comparable store sales for Q4 increased by 3.9%, while online sales rose by 6.4% to $74.2 million [4] - For the full fiscal year, comparable store sales increased by 5.6%, and online sales grew by 9.8% to $217.1 million [4] Company Strategy and Development Direction - The company plans to open 12-14 new stores and complete 12-14 full remodel projects in fiscal 2026, with a focus on relocating to outdoor shopping centers [9] - The strategy includes expanding the women's denim category and enhancing the selection of youth products to capture a younger demographic [11][12] Management's Comments on Operating Environment and Future Outlook - Management highlighted the strong performance of the women's denim category, driven by new fashion trends and a diverse selection of products [11] - The company remains optimistic about growth opportunities in the youth category, which has shown strong performance [14] Other Important Information - Inventory increased by 15.5% year-over-year to $139.5 million, while total cash and investments amounted to $306.6 million after paying $225.1 million in dividends [8] - Capital expenditures for the quarter were $10.9 million, with full-year capital spending totaling $45.4 million [9] Q&A Session Summary Question: Can you tell us about the strategy behind the accelerated store expansion plan? - Management indicated that the store openings are based on opportunities, particularly in premium and outlet locations, and are driven by success in several markets [20] Question: What is driving the strong performance in the denim category? - Management noted that the growth in women's denim is attributed to new fashion trends and a diverse selection of products, including various styles and sizes [21] Question: Do all stores carry youth products? - The majority of stores have a good selection of youth products, with a small number not carrying them due to space constraints [22]

Financial Data and Key Metrics Changes - Year-end reserves for 2025 more than doubled from 337 million to 705 million barrels of oil equivalent [16] - Production for the quarter was 154,000 BOE per day, with 17% oil, 68% natural gas, and 15% NGLs [17] - Average realized prices were $58.14 per barrel of oil, $2.54 per Mcf of gas, and $21.28 per barrel of NGLs [17] - Total revenues for the quarter were $388 million, with adjusted EBITDA at $187 million and operating cash flow at $169 million [18] Business Line Data and Key Metrics Changes - The company shifted focus from oil-dominated assets to dry gas locations in the Deep Anadarko and San Juan, with a successful transition reflected in production rates [8][11] - Development costs for 2025 were $252 million, representing 47% of operating cash flow, while development CapEx for the quarter was $77 million, or 46% of operating cash flow [18] Market Data and Key Metrics Changes - The Bloomberg fair value price for West Texas Intermediate crude oil decreased from $71.72 in 2024 to $57.42 in 2025, while the price for Henry Hub Natural Gas improved from $3.43 to $4.42 [8] - The company anticipates a tightening of basis in the San Juan market due to weather conditions affecting supply dynamics [50] Company Strategy and Development Direction - The company emphasizes maximizing cash distributions to unitholders, with a target reinvestment rate of no more than 50% [10] - The strategy includes disciplined execution in acquisitions, ensuring assets are not overpaid for, and maintaining a low debt-to-EBITDA ratio of 1x [13] - The company plans to drill 7-8 dry gas Mancos wells in 2026, focusing on cost reduction and maximizing returns [12][68] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the long-term value of oil and natural gas, highlighting the importance of patience in acquisition strategies [15] - The company is currently focused on paying down debt before pursuing further acquisitions, with a preference for maintaining production levels through drilling [23][24] Other Important Information - The company has distributed a total of $1.3 billion to unitholders since its inception, showcasing a consistent cash return strategy [3] - The company has a strong belief that prices for oil and gas will rise faster than inflation over the coming decades [7] Q&A Session Summary Question: Plans for additional rig and secondary activities - Management indicated that if cash flow increases, they would consider adding a second rig to capitalize on higher oil prices, particularly in the $70 range [20][21] Question: M&A market opportunities - Management is currently sidelined for M&A until debt levels decrease, focusing on paying down existing debt before considering acquisitions [22][24] Question: Monetizing midstream assets - Management expressed reluctance to sell midstream assets, as they provide valuable long-term cash flow [25] Question: Guidance on natural gas differentials - Management noted widening basis in the Anadarko and San Juan markets but expects tightening as weather conditions normalize [50] Question: Performance of recent wells - Recent wells in the Deep Anadarko performed as expected, with the Mancos reservoir showing potential for high rates of return once costs are reduced [34][52]

Financial Data and Key Metrics Changes - Century Casinos reported a 3% year-over-year increase in full-year adjusted EBITDAR for 2025, despite challenges such as the loss of sports betting income in Colorado and licensing disruptions in Poland [2][3] - In Q4 2025, net operating revenue was flat, but adjusted EBITDAR increased by 13%, with double-digit EBITDAR growth at several casinos [3][4] Business Line Data and Key Metrics Changes - Century Casino & Hotel Caruthersville saw Q4 EBITDAR increase from $4.9 million to $6.1 million, and full-year EBITDAR grew from $19 million to $24.4 million, a 28% increase [5][6] - Century Casino Cape Girardeau experienced a decline in both Q4 and full-year EBITDAR, with Q4 EBITDAR decreasing from $6.8 million to $5.9 million and full-year EBITDAR from $25.6 million to $24.7 million [7][9] - In Colorado, Century Casino & Hotel Cripple Creek's Q4 EBITDAR increased from $1.1 million to $1.5 million, while full-year EBITDAR decreased from $7.5 million to $6.3 million [10] - Mountaineer in West Virginia reported Q4 EBITDAR growth from $2.6 million to $3 million, and full-year EBITDAR increased from $13.1 million to $14.1 million [11][12] - Rocky Gap's Q4 EBITDAR declined from $3.2 million to $2.9 million, and full-year EBITDAR decreased from $14 million to $13.2 million [13] - The Nugget Casino Resort in Reno Sparks saw Q4 EBITDAR increase from $1.1 million to $1.3 million, but full-year EBITDAR declined from $9.7 million to $9.1 million [14] Market Data and Key Metrics Changes - In Alberta, Canada, slot coin-in was up 4%, net operating revenue increased by 2%, and EBITDAR rose by 1% to $20.3 million for 2025 [15][16] - In Poland, Q4 net operating revenue increased by 4% and EBITDAR surged by 245% to $0.9 million, following the resolution of licensing issues [17] Company Strategy and Development Direction - The company is focused on leveraging investments made over the past few years to drive higher EBITDAR and cash flow in 2026 and beyond [18][19] - A comprehensive strategic review process is ongoing, which may lead to divestitures, although no final decisions have been made [21] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the growth trend across the entire portfolio in North America, with double-digit EBITDAR growth expected to continue [20] - The company anticipates benefits from tax cuts in Alberta and a decrease in capital expenditures, projecting a reduction from $18 million in 2025 to between $14 million and $15 million in 2026 [19] Other Important Information - As of December 31, the company had cash and cash equivalents of $69 million and total debt outstanding of $338 million, with a net debt to EBITDAR ratio of 6.9 times [18] Q&A Session Summary Question: Where are the green shoots in retail players being seen? - Management noted that retail customers are returning across the board, with increases in both casino and hotel performance [25][28] Question: How do oil and gas prices affect Canadian properties? - Management indicated that there is no direct correlation between oil prices and business performance, as employee salaries do not adjust immediately with oil price changes [29] Question: Is there double-digit growth expected at U.S. properties? - Management confirmed double-digit growth at every U.S. property and expressed confidence that these trends would continue throughout the year [33][34] Question: What initiatives are in place to drive visitation in Missouri? - Management highlighted that Caruthersville is a model property with high margins, and there is still room for revenue growth through marketing efforts [53][54] Question: What is the approach to capital allocation regarding share repurchases and debt pay down? - The focus for 2026 will be on debt pay down rather than share repurchases, with decisions on divestitures expected soon [62][63]