Wed, May 7, 8:36 PM (15 days ago)
**Civitas Resources, Inc. (CIVI) Q1 2025 Financial Summary** **Financial Health & Performance:** - **Revenue:** $1.2 billion, down 8% YoY due to lower sales volumes (28 MMBoe, -14% YoY) offset by higher prices (+7% YoY). - **Net Income:** $186 million, or $1.99 per diluted share, up from $176 million in Q1 2024. - **Operating Expenses:** $879 million, down 10% YoY, with notable decreases in gathering, transportation, and processing (-12%) and DD&A (-18%) expenses. - **Cash Flow:** $719 million from operating activities, with Adjusted Free Cash Flow at $171 million. - **Capital Expenditures:** $495 million, down 9% YoY, focusing on drilling, completions, and facilities. - **Debt:** $5.1 billion, with $1.5 billion in liquidity (cash + available borrowing capacity). - **Share Repurchases:** $71 million for 1.5 million shares. - **Dividends:** $50 million paid, with a base dividend of $0.50 per share. **Profit Margins & Cash Flow:** - **Operating Margin:** 20.7% (Income from operations / Total operating net revenues). - **Net Margin:** 15.6% (Net income / Total operating net revenues). - **Cash Flow Margin:** 59.9% (Cash provided by operating activities / Total operating net revenues). **Earnings Changes & Trends:** - **Earnings Growth:** Net income increased by 6% YoY. - **Sales Volumes:** Decreased by 14% YoY due to fewer days in Q1 and normal production decline. - **Prices:** Increased by 7% YoY, excluding derivatives, driven by higher crude oil and NGL prices. **Uncertainties & Future Operations:** - **Commodity Prices:** Volatile due to global economic conditions, inflation, and OPEC+ decisions. - **Capital Program:** May be revised based on market conditions and external factors. - **Liquidity:** Sufficient for near-term and long-term obligations, with a focus on debt reduction and shareholder returns. **Notable Items:** - **Derivatives:** Recorded a $52 million gain, driven by market price adjustments and cash settlements. - **Legal:** Facing a securities class action lawsuit; outcome uncertain. - **ESG:** Continues to prioritize emissions reduction and sustainable practices. **Ticker:** CIVI **Industry:** Oil & Gas Exploration and Production **Exchange:** New York Stock Exchange