Kistos (KIST) H1 2025 earnings summary

Executive summary

• Achieved transformational first half with Balder Future reaching peak production and first oil from Jotun FPSO in June 2025, supporting full-year production guidance of 8,000–9,000 boepd.

• Approved recommissioning of Hole House, increasing gas storage capacity by over 60% with third-party financing.

• Significant capital investment in Norway, especially Balder Future and Phase V, with ongoing drilling and ramp-up of new wells.

• Integration of business units and focus on operational excellence following years of M&A activity.

• Material EBITDA and cash flow generated following Balder first oil and peak production.

Financial highlights

• Revenue for H1 2025 was $87.9 million, down from $113.3 million in H1 2024 due to lower production and oil prices, partially offset by higher gas prices.

• Adjusted EBITDA decreased to $23.7 million from $48.6 million year-over-year.

• Adjusted net debt reduced by 3% to $86 million.

• Cash capital expenditure was $69.8 million, mainly for Balder Future project.

• Cash and restricted funds at period end were $104 million, including $20 million restricted.

Outlook and guidance

• FY25 production guidance set at 8.0–9.0 kboepd, with peak production exceeding 16.0 kboepd in September.

• Balder Phase VI achieved FID in June 2025, supporting reserve and production growth.

• Victory field in UK on track for first gas by end-2025, expected to deliver significant OPEX savings.

• Flush production from Q10-A in the Netherlands expected to partially offset H1 declines.

• Tax rebate of $74 million from Norwegian tax losses expected in December 2025.