W&T Offshore (WTI) Q1 2026 earnings summary

Executive summary

• Q1 2026 delivered strong operational and financial results, with production at 36,200 BOE/d, flat sequentially and up 19% year-over-year despite adverse weather impacts.

• Revenues rose to $150.0 million, up 23% sequentially and 16% year-over-year, driven by higher production and realized prices.

• Net loss narrowed to $22.5 million from $30.6 million in the prior year quarter, with EPS at $(0.15); Adjusted Net Loss was $0.7 million, a significant improvement from Q4 2025.

• Adjusted EBITDA reached $54.5 million, the highest since Q3 2023, and Free Cash Flow improved to $21.0 million.

• Declared a regular quarterly dividend of $0.01 per share for Q1 and Q2 2026, marking the eleventh consecutive quarterly dividend.

Financial highlights

• Lease operating expenses (LOE) fell to $66.1 million, 11% lower than Q4 2025 and below guidance midpoint, with LOE per Boe at $20.29.

• Average realized price per BOE was $45.08, up 26% from Q4 2025; March oil price reached $88.61/bbl.

• Net cash provided by operating activities was $2.6 million, up $5.7 million year-over-year.

• Unrestricted cash and cash equivalents stood at $130.9 million; total debt was $351.2 million, net debt at $220.3 million, and liquidity at $174.8 million at quarter-end.

• Capital expenditures were $7.2 million; asset retirement obligation settlements totaled $17.2 million.

Outlook and guidance

• Full-year 2026 production and cost guidance reiterated, with capital expenditures expected at $19.5–$25 million, excluding acquisitions.

• Q2 2026 production expected to decrease 5% to 34,300 BOE/d due to a planned facility turnaround, with normal operations resuming by mid-May.

• Q2 LOE forecasted at $71–$79 million, up from Q1 due to turnaround and maintenance; transportation and production taxes expected at $7–$8 million, down from Q1.

• Substantially all 2026 income taxes expected to be deferred.

• Management expects current liquidity and cash flows to cover operational and capital needs for at least the next 12 months.