Vista Energy (VISTAA) Q3 2024 earnings summary

Executive summary

• Achieved record Q3 2024 production of 72,825 BOE per day, up 47% year-over-year and 12% sequentially, driven by new well activity and 51 new wells tied in over the last 12 months.

• Oil production reached 63,500 barrels per day, 53% higher year-over-year and 11% above the previous quarter.

• Total revenues were $462.4 million, a 53% increase year-over-year, mainly due to higher oil production.

• Adjusted EBITDA was $310.2 million, up 37% year-over-year, with a margin of 65%, though 10 percentage points below Q3 2023.

• Free cash flow was negative $74.4 million due to accelerated capital expenditure for growth.

Financial highlights

• Capital expenditure reached $369 million, mainly for drilling and completing 12 new wells and development facilities.

• Adjusted net income was $53 million, with adjusted EPS of $0.6 per share; net income was $165 million, and reported EPS was $1.7 per share.

• Net leverage ratio at quarter end was 0.65x adjusted EBITDA, with gross debt at $975.2 million and net debt at $719.2 million.

• Lifting cost per BOE was $4.7, down 2% year-over-year but up 5% sequentially.

• Operating cash flow was $255 million, with $329 million used in investing activities.

Outlook and guidance

• On track to deliver 2024 guidance: 68,000–70,000 BOE per day average, likely at the upper end, with lifting cost guidance of $4.5 per BOE.

• Q4 2024 production forecasted to expand by double digits to 85,000 BOE per day.

• 2025 guidance updated: production of 95,000–100,000 BOE per day, 40%+ growth, with 52–60 new wells, $1.1–$1.3 billion CapEx, and adjusted EBITDA of $1.5–$1.65 billion.

• Estimated 2025 lifting cost at $4.3–$4.5 per BOE; secured midstream capacity and additional drilling resources.

• 2026 guidance withdrawn except for net zero ambition for scope 1 and 2 GHG emissions by 2026; new long-term plan to be presented in 2025.