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Sep 30
Permian Resources Q3 2025 Earnings Report
Permian Resources announced strong third quarter 2025 results and increased full year guidance.
Key Takeaways
Permian Resources reported strong third quarter 2025 financial and operational results, driven by increased production and significant cost reductions. The company achieved total average production of 410.2 MBoe/d and reduced total controllable cash costs by 6% quarter-over-quarter. Permian Resources also strengthened its balance sheet through debt reduction and increased its full-year production guidance.
Total average production reached 410,225 Boe/d, including 186,937 Bbls/d of oil, 105,822 Bbls/d of NGLs, and 704,795 Mcf/d of natural gas.
Cash capital expenditures for the quarter were $480 million, with adjusted free cash flow reported at $469 million.
Total controllable cash costs decreased by 6% quarter-over-quarter to $7.36 per Boe, primarily due to lower lease operating expenses.
The company reduced total debt by approximately $460 million during the quarter, strengthening its balance sheet and achieving a leverage of ~0.8x.
Permian Resources
Permian Resources
Permian Resources Revenue by Segment
Revenue by Segment
Oil Sales Revenue
CapyFin.comNGL Sales Revenue
CapyFin.comNatural Gas Sales Revenue
CapyFin.comPurchased Gas Sales, Net Revenue
CapyFin.com Forward Guidance
Permian Resources increased its full-year 2025 oil and total production targets and expects improved natural gas pricing due to new marketing agreements.
Positive Outlook
- Increased mid-point of full year oil production guidance by 3.0 MBbls/d to 181.5 MBbls/d.
- Increased mid-point of full year total production guidance by 9.0 MBoe/d to 394.0 MBoe/d.
- Expects approximately 75% of 2026 natural gas production to be priced at Gulf Coast and DFW markets or protected by hedges.
- New natural gas firm transportation and sales agreements are expected to improve all-in netbacks by approximately $1 per Mcf relative to Waha in 2026, representing over $100 million uplift to free cash flow.
- Long-term, the company is well-positioned to benefit from growing natural gas demand and higher realized prices due to these agreements.
Challenges Ahead
- No other changes to the company's guidance ranges were specified, implying other metrics remain as previously guided.
- The report does not explicitly state any negative forward-looking guidance points, focusing instead on positive outlooks and improvements.
- Potential volatility of oil, NGL, and natural gas prices remains a risk.
- Uncertainty inherent in estimating oil, NGL, and natural gas reserves.
- Geographic concentration of operations could pose risks.