Athabasca Oil (ATH) Q1 2025 earnings summary

Executive summary

• Achieved 13% year-over-year production growth to 37,714 boe/d (98% liquids), with 24% growth per share.

• Adjusted Funds Flow rose 63% per share year-over-year to $130 million ($0.25/share); Free Cash Flow from Thermal Oil was $71 million.

• Completed second annual share buyback, returning $289 million to shareholders and reducing share count by ~20% since March 2023.

• Maintained a net cash position of $115 million and liquidity of $438 million, with $305 million in cash.

• Advanced Leismer growth project and increased Hangingstone production, supporting robust operational execution.

Financial highlights

• Q1 2025 revenue was $367.8 million, up from $311.1 million in Q1 2024.

• Net income rose to $72.0 million ($0.14/share) from $38.6 million ($0.07/share) year-over-year.

• Operating income increased to $145.6 million from $105.1 million; operating netback improved to $44.07/boe from $35.78/boe.

• Cash flow from operating activities was $123.4 million, up from $76.6 million.

• Capital expenditures totaled $63.3 million, with $50.4 million in Thermal Oil and $13.0 million in Duvernay Energy.

Outlook and guidance

• 2025 consolidated production guidance: 37,500–39,500 boe/d; current production ~40,000 boe/d, expecting to exit year at ~41,000 boe/d.

• Thermal Oil production guidance: 33,500–35,500 bbl/d with ~$250 million capital budget.

• Forecasts Adjusted Funds Flow of $525–$550 million for 2025, with $475–$500 million from Thermal Oil.

• Leismer expansion to 40,000 bbl/d by end of 2027 remains on budget and schedule.

• Duvernay Energy expects to exit 2025 at ~6,000 boe/d; 2025 capital program trending ~$10 million below budget at ~$75 million.