Arrow Exploration (AXL) Q3 2025 earnings summary

Executive summary

• Achieved average production of 4,214 boe/d in Q3 2025, up 12% sequentially from Q2 2025 and slightly higher year-over-year.

• Total oil and natural gas revenue, net of royalties, was $18.5 million for Q3 2025.

• Net income for Q3 2025 was $3.1 million, with year-to-date net income of $4.8 million.

• Drilled two development wells in Carrizales Norte and an exploration well in Mateguafa Oeste during the quarter.

• Cash position at quarter-end was $6.3 million, increasing to $8.2 million post-period end.

Financial highlights

• Adjusted EBITDA for Q3 2025 was $10.8 million, with year-to-date adjusted EBITDA of $28.6 million.

• Operating cashflows year-to-date reached $25 million.

• Capital expenditures in Q3 2025 totaled $9.3 million, primarily for drilling and infrastructure.

• Realized corporate oil operating netbacks were $38.21/bbl in Q3 2025, down from $52.00/bbl in Q3 2024.

• Cash and cash equivalents at quarter-end were $6.4 million.

Outlook and guidance

• Focus for the remainder of 2025 is on drilling low-risk wells at Mateguafa Attic and preparing for the first exploratory well at Icaco in Q1 2026.

• Production growth expected to continue as new wells come online and infrastructure investments pay off.

• Mateguafa Attic discovery and Icaco prospect are seen as near-term catalysts for growth.