The earnings call reflected a strong financial and operational performance for Topaz, with significant increases in royalty production, infrastructure revenue, and net income. While there are some challenges related to commodity prices and cautious hedging strategies, the overall growth and promising discoveries indicate a positive outlook.

Company Guidance

During the Topaz Energy Corp Second Quarter 2025 Results Conference Call, the company provided comprehensive guidance and updates on various metrics. Royalty production surged by 19% compared to the previous year, reaching 22,300 BOE per day, with crude and heavy oil production at 5,400 barrels per day (up 9%) and natural gas and liquids production at 16,900 barrels of oil equivalent per day (up 23%). Total quarterly revenue was reported at $81.2 million, with a 46% contribution from crude and heavy oil royalties, 26% from natural gas and NGL royalties, and 28% from infrastructure, with processing revenue and other income increasing by 25% to $22.8 million. The company achieved a free cash flow of $74 million, resulting in a 91% free cash flow margin, an improvement from the previous year's 89%. Net income was $28.2 million, or $0.18 per share, marking a 50% increase. The company distributed $52.3 million in quarterly dividends, reflecting a 5.5% trailing annualized dividend yield. Topaz also reconfirmed its 2025 guidance ranges, expecting to end the year with a net debt-to-EBITDA ratio of 1.2x and a payout ratio at the low end of the 60% to 90% target range, highlighting its financial flexibility for acquisition growth.

Significant Increase in Royalty Production

Topaz reported a 19% increase in royalty production to 22,300 BOE per day in Q2 2025, with crude and heavy oil production increasing by 9% and natural gas and liquids production increasing by 23% over Q2 2024.

Strong Financial Performance

Topaz generated total Q2 revenue of $81.2 million, with a 46% contribution from crude and heavy oil royalties. Free cash flow was $74 million, resulting in a 91% free cash flow margin, up from 89% last year. Net income was $28.2 million, a 50% increase from the prior year.

Infrastructure Revenue Growth

Quarterly infrastructure processing revenue increased by 37%, contributing to total processing revenue and other income of $22.8 million, a 25% increase over the prior year.

Successful Drilling Activity

Drilling activity was robust with 125 gross wells drilled, capturing 21% of total WCSB activity, up from 15% in Q2 last year.

Promising Discoveries

The Grand Rapids play discovery by Headwater, potentially extending into Tamarack acreage with an estimated 180 million barrels of oil in place, adds significant value to Topaz's portfolio.

Topaz Energy Corp (TSE:TPZ) Earnings, Revenues Date & History

The upcoming earnings date is based on a company’s previous reporting, and may be updated when the actual date is announced

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TSE:TPZ Earnings History

Report Date	Fiscal Quarter	Forecast / EPS	Last Year's EPS	EPS YoY Change	Slides	Play Transcript
Nov 03, 2025	2025 (Q3)	0.06 / -	0.12	―	―	―
Jul 28, 2025	2025 (Q2)	0.09 / 0.18	0.12	50.00% (+0.06)	―	―
May 05, 2025	2025 (Q1)	0.09 / 0.14	0.04	250.00% (+0.10)	―	―
Feb 24, 2025	2024 (Q4)	0.11 / 0.12	0.13	-7.69% (-0.01)	―	―
Nov 04, 2024	2024 (Q3)	0.07 / 0.12	0.07	71.43% (+0.05)	―	―
Jul 29, 2024	2024 (Q2)	0.06 / 0.12	0.06	100.00% (+0.06)	―	―
Apr 29, 2024	2024 (Q1)	0.06 / 0.04	0.05	-20.00% (-0.01)	―	―
Mar 04, 2024	2023 (Q4)	0.05 / 0.13	0.13	0.00% (0.00)	―	―
Oct 30, 2023	2023 (Q3)	0.09 / 0.07	0.13	-46.15% (-0.06)	―	―
Jul 31, 2023	2023 (Q2)	0.06 / 0.06	0.34	-82.35% (-0.28)	―	―

The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.

Beat

Missed

TSE:TPZ Earnings-Related Price Changes

Report Date	Price 1 Day Before	Price 1 Day After	Percentage Change
Jul 28, 2025	C$26.08	C$26.36	+1.07%
May 05, 2025	C$22.90	C$23.29	+1.70%
Feb 24, 2025	C$24.82	C$24.04	-3.14%
Nov 04, 2024	C$25.98	C$26.58	+2.31%

Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.

FAQ

When does Topaz Energy Corp (TSE:TPZ) report earnings?

Topaz Energy Corp (TSE:TPZ) is schdueled to report earning on Nov 03, 2025, Before Open (Confirmed).

What is Topaz Energy Corp (TSE:TPZ) earnings time?

Topaz Energy Corp (TSE:TPZ) earnings time is at Nov 03, 2025, Before Open (Confirmed).

Where can I see when companies are reporting earnings?

You can see which companies are reporting today on our designated earnings calendar.

What companies are reporting earnings today?

You can see a list of the companies which are reporting today on TipRanks earnings calendar.

What is TSE:TPZ EPS forecast?

TSE:TPZ EPS forecast for the fiscal quarter 2025 (Q3) is 0.06.

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