Ring Energy Inc ( (REI) ) has released its Q4 earnings. Here is a breakdown of the information Ring Energy Inc presented to its investors.
Ring Energy, Inc. is an oil and gas exploration, development, and production company primarily focused on its assets in the Permian Basin.
In its latest earnings report, Ring Energy announced its financial and operational results for the fourth quarter and full year 2024, as well as its guidance for 2025. The company reported a net income of $5.7 million for Q4 2024 and $67.5 million for the full year, with sales volumes reaching a record 19,648 barrels of oil equivalent per day for the year.
Key highlights from the report include a 12% reduction in capital expenditures in Q4, maintaining cash flow positivity for 21 consecutive quarters, and a 3% organic growth in proved reserves to 134.2 million barrels of oil equivalent. Despite a decrease in realized prices, the company achieved an adjusted EBITDA of $233.3 million for the year. Ring Energy also reduced its debt by $40 million over the year, strengthening its balance sheet.
Looking ahead to 2025, Ring Energy plans to maintain its capital spending at $154 million, focusing on drilling and completing approximately 49 wells. The company aims to increase its sales volumes by 7% and 5% for oil and gas, respectively. Management remains committed to maximizing cash flow generation and reducing debt, with the potential benefits from the proposed acquisition of Lime Rock assets expected to enhance operations further.