Petrus Resources (PRQ) Q4 2025 earnings summary

Executive summary

• Drilled 13 operated wells in 2025, achieving lower well costs and strong productivity, with a focus on the oilier Belly River formation and disciplined development of Deep Basin assets in Alberta.

• Completed a strategic acquisition in early 2026, adding 2,000 BOE/d and expanding oil-weighted production and drilling opportunities, including the Cardium property in Harmattan.

• Q4 2025 funds flow rose 8% year-over-year to $13.5 million, with full-year funds flow up 2% to $51.2 million, and net income for 2025 at $10.6 million, reversing a loss in 2024.

• Operating expenses per boe fell 10% in Q4 2025, reflecting efficiency gains and disciplined capital allocation.

• Added undeveloped land, invested in infrastructure, and maintained high ownership and control of processing facilities and pipelines.

Financial highlights

• Q4 2025 average production was 9,568 boe/d; current production as of February 2026 is 11,130 boe/d post-acquisition.

• Q4 2025 annualized funds flow was $54MM ($0.41/share); 2026 funds flow guidance is $60–$65MM.

• Regular monthly dividend of $0.01/share, representing a 7% yield, with $15.5 million paid in 2025 and $10.9 million reinvested by shareholders.

• Net debt at December 31, 2025 was $62.5MM, with year-end 2026 net debt expected at $75–$80MM.

• Q4 2025 oil and natural gas sales were $22.7 million; full-year sales reached $87.6 million.

Outlook and guidance

• 2026 production guidance is 11,000–12,000 boe/d (40% liquids), with a capital budget of $50–$60MM and funds flow forecast at $60–$65MM.

• 50% of 2026 forecast production hedged at $3.02/mcf for gas and CAD $86.76/bbl for oil.

• Plans to begin drilling on newly acquired lands in summer 2026, with disciplined capital spending focused on Ferrier and Harmattan.

• Exit net debt forecasted at 1.2x–1.3x debt/funds flow.

• Continued monthly dividends and focus on high-return assets.