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Mar 31, 2023

Vital Energy Q1 2023 Earnings Report

Vital Energy reported first-quarter 2023 financial and operating results, exceeding oil and total production guidance, investing below capital expenditure guidance, achieving 2025 greenhouse gas intensity and methane intensity targets, and closing an accretive acquisition.

Key Takeaways

Vital Energy reported strong first-quarter 2023 results, exceeding production guidance, investing below capital expenditure guidance, achieving emissions targets, and closing an accretive acquisition. Net income was $113.9 million, and cash flows from operating activities were $116.1 million.

Reported 1Q-23 oil and total production exceeded the high-end of Company guidance, producing 38.5 MBO/d and 80.4 MBOE/d.

Reported 1Q-23 incurred capital expenditures below the low-end of guidance, investing $188 million, excluding non-budgeted acquisitions and leasehold expenditures.

Reported 1Q-23 net income of $113.9 million and cash flows from operating activities of $116.1 million.

Generated 1Q-23 Consolidated EBITDAX of $214.2 million and Free Cash Flow of $(3.9) million.

Total Revenue
$333M
Previous year: $532M
-37.5%
EPS
$4.5
Previous year: $5.17
-13.0%
Average daily oil equivalent sales
80.42K
Previous year: 85.12K
-5.5%
Average daily oil sales
38.52K
Previous year: 40.3K
-4.4%
Gross Profit
$333M
Previous year: $532M
-37.5%
Cash and Equivalents
$27.7M
Previous year: $65.1M
-57.5%
Free Cash Flow
-$3.9M
Previous year: $23.2M
-116.8%
Total Assets
$2.94B
Previous year: $2.73B
+8.0%

Vital Energy

Vital Energy

Vital Energy Revenue by Segment

Forward Guidance

Vital Energy increased full-year 2023 production guidance and reiterated its full-year 2023 capital investment guidance of $625 - $675 million.

Positive Outlook

  • Total production (MBOE/d) is expected to be 85.5 - 88.5 for 2Q-23 and 76.0 - 80.0 for FY-23.
  • Oil production (MBO/d) is expected to be 40.0 - 43.0 for 2Q-23 and 36.3 - 39.3 for FY-23.
  • Incurred capital expenditures, excluding non-budgeted acquisitions ($ MM) are expected to be $155 - $175 for 2Q-23 and $625 - $675 for FY-23.
  • Oil (% of WTI) average sales price realizations (excluding derivatives) is expected to be 101% for 2Q-23.
  • NGL (% of WTI) average sales price realizations (excluding derivatives) is expected to be 18% for 2Q-23.

Revenue & Expenses

Visualization of income flow from segment revenue to net income