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Sep 30
Amplify Energy Q3 2025 Earnings Report
Estimated Revenue:$73M
-5.0% YoY
Estimated EPS:$0.1
63.5% YoY
Key Takeaways
Amplify Energy reported a net loss of $21.0 million in Q3 2025, primarily due to a $34.0 million impairment charge related to asset divestitures. Despite the loss, the company saw a 7% increase in Adjusted EBITDA to $20.3 million, driven by higher production and reduced lease operating expenses. Average daily production increased to 19.7 Mboepd, and the company is progressing with strategic asset sales to reduce debt and accelerate development at Beta.
Amplify Energy reported a net loss of $21.0 million in Q3 2025, a decrease from $6.4 million net income in the prior quarter, mainly due to a $34.0 million impairment charge.
Adjusted EBITDA increased by 7% to $20.3 million in Q3 2025, primarily driven by lower lease operating expenses.
Average daily production rose to 19.7 Mboepd, an increase of 0.6 Mboepd from the prior quarter, largely due to new non-operated wells in East Texas.
The company is proceeding with the divestiture of Oklahoma and East Texas assets for $220.0 million, with proceeds intended for debt reduction and accelerated Beta development.
Amplify Energy
Amplify Energy
Forward Guidance
Amplify Energy expects to use proceeds from asset divestitures to pay down debt and accelerate development drilling at Beta. The company anticipates further decreases in lease operating expenses due to cost reduction initiatives at Bairoil and expects fourth-quarter capital expenditures to be between $8.0 million and $12.0 million, primarily focused on Beta development.
Positive Outlook
- Proceeds from asset divestitures will be used to pay down outstanding debt, strengthening the balance sheet.
- Accelerated development drilling program at Beta is expected to increase future production and cash flow.
- Meaningful cost savings at Bairoil are anticipated to further reduce lease operating expenses.
- New CO2 supply contract and facility project at Bairoil are expected to decrease run-rate lease operating expenses by approximately $10 million per year.
- Beta development program has exceeded expectations, with five wells significantly outperforming the previously disclosed Beta type curve and generating high IRRs.
Challenges Ahead
- Production at Beta is expected to be shut in for approximately 10 days in the fourth quarter due to a subsea flowline upgrade project.
- The company has invested approximately 85% of its 2025 capital in the first three quarters, indicating potentially lower investment capacity for the remainder of the year without divestiture proceeds.
- Lower commodity prices negatively impacted oil, natural gas, and NGL revenues in the third quarter, despite higher production.
- The company recognized a significant impairment charge of $34.0 million in Q3 2025, impacting net income.
- The remaining two asset transactions are expected to close in the fourth quarter of 2025, meaning the full financial benefits are not yet realized.
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Key Statistics
Market Cap
$196M
P/E Ratio
10.87
Sector
Energy Minerals
Industry
Integrated Oil
52-Week High
$6.51
52-Week Low
$2.29
Average Daily Production
19.7K
Adjusted EBITDA
$20.3M
Capital Expenditures
$17.5M
Lease Operating Expenses
$35.6M
Net Interest Expense
$3.9M