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W&T Offshore Q1 Loss Narrower Than Expected, Revenues Decline Y/Y
WTIW&T Offshore(WTI) ZACKS·2025-05-07 13:45

Core Viewpoint - W&T Offshore Inc. reported a narrower loss in Q1 2025 compared to estimates, but the loss increased year-over-year, with total revenues beating estimates but declining from the previous year [1][2]. Financial Performance - The company reported a loss of 13 cents per share, better than the Zacks Consensus Estimate of a loss of 14 cents, but worse than the prior year's loss of 5 cents per share [1]. - Total quarterly revenues were 129.9million,exceedingtheZacksConsensusEstimateof129.9 million, exceeding the Zacks Consensus Estimate of 125 million, but down from 141millioninthesamequarterlastyear[1].ProductionStatistics−Averageproductionforthequarterwas30.5thousandbarrelsofoilequivalentperday(MBoe/d),downfrom35.1MBoe/dinQ12024,affectedbyfreezingconditions[3].−Oilproductiontotaled1,230thousandbarrels(MBbls),adecreasefrom1,400MBblsyear−over−year,missingtheestimateof1,236MBbls[3].−Naturalgasliquidsoutputwas200MBbls,downfrom343MBblsintheprioryear,missingtheestimateof224MBbls[4].−Naturalgasproductionwas7,884millioncubicfeet(MMcf),lowerthan8,733MMcfinthepreviousyearbutabovetheestimateof7,734MMcf[4].RealizedCommodityPrices−Theaveragerealizedpriceforoilwas141 million in the same quarter last year [1]. Production Statistics - Average production for the quarter was 30.5 thousand barrels of oil equivalent per day (MBoe/d), down from 35.1 MBoe/d in Q1 2024, affected by freezing conditions [3]. - Oil production totaled 1,230 thousand barrels (MBbls), a decrease from 1,400 MBbls year-over-year, missing the estimate of 1,236 MBbls [3]. - Natural gas liquids output was 200 MBbls, down from 343 MBbls in the prior year, missing the estimate of 224 MBbls [4]. - Natural gas production was 7,884 million cubic feet (MMcf), lower than 8,733 MMcf in the previous year but above the estimate of 7,734 MMcf [4]. Realized Commodity Prices - The average realized price for oil was 71.31 per barrel, down from 76.44year−over−year,butabovetheestimateof76.44 year-over-year, but above the estimate of 69.03 [5]. - The average realized price of natural gas increased to 4.45perthousandcubicfeetfrom4.45 per thousand cubic feet from 2.48 in the prior year, exceeding the estimate of 4.34[6].−Theaveragerealizedpriceforoil−equivalentoutputroseto4.34 [6]. - The average realized price for oil-equivalent output rose to 46.50 per barrel from 42.55ayearago,surpassingtheestimateof42.55 a year ago, surpassing the estimate of 44.91 [6]. Operating Expenses - Lease operating expenses increased to 25.88perBoefrom25.88 per Boe from 22.14 in the prior year, lower than the estimate of 26.40perBoe[7].−Generalandadministrativeexpensesroseto26.40 per Boe [7]. - General and administrative expenses rose to 7.35 per Boe from 6.41year−over−year,higherthantheestimateof6.41 year-over-year, higher than the estimate of 7.22 per Boe [7]. Cash Flow - Net cash used in operations was 3.2million,comparedto3.2 million, compared to 11.6 million net cash provided in the prior year [8]. - Free cash flow decreased to 10.5millionfrom10.5 million from 32.4 million in the same quarter last year [8]. Capital Spending & Balance Sheet - W&T Offshore spent 8.5milliononoilandgasresourcesandequipment[10].−AsofMarch31,2025,cashandcashequivalentstotaled8.5 million on oil and gas resources and equipment [10]. - As of March 31, 2025, cash and cash equivalents totaled 105.9 million, with net long-term debt at 349.5million[10].Guidance−ForQ22025,productionisexpectedtobebetween2,977−3,295Mboe,withfull−yearproductionanticipatedtoremainintherangeof11,983−13,257Mboe[11].−LeaseoperatingexpensesforQ2areprojectedtobebetween349.5 million [10]. Guidance - For Q2 2025, production is expected to be between 2,977-3,295 Mboe, with full-year production anticipated to remain in the range of 11,983-13,257 Mboe [11]. - Lease operating expenses for Q2 are projected to be between 71.3-78.9million,withfull−yearexpensesexpectedintherangeof78.9 million, with full-year expenses expected in the range of 280-310million[11].−Full−yearcapitalexpendituresareanticipatedtobebetween310 million [11]. - Full-year capital expenditures are anticipated to be between 34-$42 million [11].