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Jun 30
Gulfport Q2 2025 Earnings Report
Gulfport Energy reported its financial and operating results for the second quarter of 2025, highlighting increased production, significant stock repurchases, and strategic acreage acquisitions.
Key Takeaways
Gulfport Energy delivered strong second-quarter 2025 results with total net production increasing 8% over the first quarter, reaching 1,006.3 MMcfe per day. The company reported $184.5 million in net income and $212.3 million in adjusted EBITDA, while generating $64.6 million in adjusted free cash flow. Gulfport also expanded its stock repurchase authorization to $1.5 billion and announced the redemption of all outstanding Series A Convertible Preferred Stock, reinforcing its commitment to shareholder returns.
Total net production reached 1,006.3 MMcfe per day, an 8% increase from Q1 2025, despite midstream outages.
Net income was $184.5 million and adjusted EBITDA was $212.3 million for the quarter.
The company repurchased 338.9 thousand shares for $65.0 million and expanded its stock repurchase authorization to $1.5 billion.
Gulfport announced the redemption of all outstanding Series A Convertible Preferred Stock and allocated $75 million - $100 million for discretionary acreage acquisitions.
Gulfport
Gulfport
Forward Guidance
Gulfport Energy is targeting accelerated stockholder returns through the redemption of all outstanding shares of Series A Convertible Preferred Stock and continued common share repurchases, supported by an expanded stock repurchase authorization of $1.5 billion. The company also plans to allocate $75 million to $100 million towards discretionary acreage acquisitions to extend inventory runway by over two years. Full-year 2025 total net production is trending toward the low end of guidance due to ongoing midstream capacity enhancement projects.
Positive Outlook
- Expanded stock repurchase authorization by 50% to $1.5 billion, supporting preferred stock redemption and common share repurchases.
- Targeting accelerated stockholder returns through the redemption of all outstanding shares of Series A Convertible Preferred Stock.
- Allocating $75 million - $100 million toward discretionary acreage acquisitions, potentially extending inventory runway by more than two years.
- Continued strong well results across all five development areas, including the Kage development and a new Utica wet gas pad.
- Commitment to returning substantially all adjusted free cash flow (excluding discretionary acreage acquisitions) to shareholders through stock repurchases.
Challenges Ahead
- Full year 2025 total net production is trending toward the low end of guidance range.
- Production negatively impacted by approximately 40 MMcfe per day due to unplanned third-party midstream outages and constraints.
- Midstream capacity enhancement projects remain ongoing, indicating potential for continued, albeit mitigated, impacts.
- The total cash amount payable for preferred stock redemption will vary depending on conversions and common stock price.
- No specific negative forward guidance points were explicitly stated beyond the production trending towards the low end of guidance due to midstream issues.