U.S. Energy ( (USEG) ) has released its Q4 earnings. Here is a breakdown of the information U.S. Energy presented to its investors.
U.S. Energy Corp., a growth-focused energy company, operates a portfolio of high-quality producing assets, primarily in the oil and gas sector, with a commitment to reducing its carbon footprint. In its latest earnings report for the full year and fourth quarter of 2024, U.S. Energy highlighted significant financial and operational strides, including the divestment of non-core assets, which generated $13.5 million in net sales proceeds. The company reported total revenue of $20.6 million for 2024, with oil sales contributing $18.2 million and natural gas and liquids sales adding $2.5 million. Despite a decrease in production and revenue compared to the previous year, U.S. Energy managed to reduce its lease operating expenses by 27% and ended the year with $7.7 million in cash and no outstanding debt.
Key financial metrics from the report include an average daily production of 1,136 Boe/d for the year, with oil production averaging 702 Bbl/d. The company also reported an adjusted EBITDA of $3.6 million for 2024. Strategic moves included a successful public equity offering that raised approximately $12.1 million and the continuation of a $5.0 million share repurchase program, which saw the repurchase of 1.67 million shares. U.S. Energy also made significant investments in its industrial gas project in Montana, with capital expenditures totaling $3.9 million.
In the fourth quarter of 2024, U.S. Energy continued its asset divestment strategy, generating $7.7 million in sales proceeds. The quarter saw a total revenue of $4.2 million, with oil sales contributing $3.6 million. The company reported a lease operating expense of $1.8 million, marking a significant decrease from the previous quarter. Adjusted EBITDA for the quarter was $0.4 million. The company also focused on advancing its industrial gas project, with capital expenditures increasing by 48% compared to the third quarter.
Looking ahead, U.S. Energy’s management remains optimistic about the company’s future, emphasizing a focus on scaling operations, executing new drilling programs, and advancing carbon sequestration initiatives. With a strong balance sheet and a clear strategic roadmap, U.S. Energy aims to drive sustainable growth and generate long-term shareholder value, positioning itself as a leader in the industrial gas development space.