Riley Exploration Permian (REPX) Q1 2026 earnings summary

Executive summary

• Achieved total equivalent production of 35.6 MBoe/d in Q1 2026, up 46% year-over-year, with oil production at 20.2 MBbls/d, exceeding guidance and driven by acquisitions and new wells.

• Production growth plan targets 30% full-year growth at new midpoint guidance, with potential for 10% growth in 2027 on a 5% CapEx increase.

• Strong operational execution with safety performance (zero recordable incidents, 96% safe days), efficiency gains in drilling and completions, and robust cash flow generation.

• Net loss of $70 million for Q1 2026, primarily due to a $127 million derivative loss, despite strong operational performance.

• Returned $12 million to shareholders in Q1 2026 through dividends and share repurchases, and reduced debt by $8 million.

Financial highlights

• Revenues reached $114 million in Q1 2026, up from $102 million year-over-year, with unhedged revenue rising 17% quarter-over-quarter, driven by higher oil revenue.

• Adjusted EBITDAX was $61 million; total free cash flow was $24 million; operating cash flow was $47 million ($55 million before working capital changes).

• Accrual-based CapEx was $47 million, with cash CapEx at $31 million; $42 million upstream and $5 million infrastructure.

• Lease operating expense was $24 million ($7.51 per Boe), below guidance, aided by vendor realignment and chemical cost reductions.

• Debt reduced by $8 million in Q1; quarter-end debt-to-LTM Adjusted EBITDAX ratio at 1.0x.

Outlook and guidance

• Full-year 2026 production guidance: oil 22.0–23.0 MBbls/d, total equivalent 37.5–39.5 MBoe/d; CapEx guidance raised to $200–$220 million.

• Q2 2026 production guidance: oil 20.7–21.3 MBbls/d, total equivalent 35.0–37.0 MBoe/d; CapEx expected at $80 million.

• Lease operating expenses projected at $8.00–$9.00 per Boe for Q2 2026.

• Majority of excess free cash flow after dividends to be allocated to debt paydown, with flexibility for buybacks.

• Production growth expected to be back-end weighted, with largest gains in Q3 and Q4.