Mon, May 5, 7:28 PM (7 days ago)
**Ridgewood Energy A-1 Fund, LLC (Ticker: Not Provided)** **Q1 2025 Financial Summary** Ridgewood Energy A-1 Fund, LLC reported a mixed quarter with revenue and profit margins showing a decline, while cash flow remained positive. The company's financial health is stable, but it faces uncertainties due to market volatility and regulatory changes. **Key Financial Metrics:** - **Revenue:** Total revenue decreased to $436,000 from $512,000 in Q1 2024. Oil and gas revenue dropped to $381,000 from $493,000, while other revenue increased to $55,000 from $19,000. - **Profit Margins:** Net income fell to $68,000 from $139,000 in Q1 2024. Income from operations also declined to $46,000 from $113,000. - **Cash Flow:** Net cash provided by operating activities was $280,000, down from $452,000 in Q1 2024. The company used $49,000 in investing activities and $180,000 in financing activities. - **Earnings Changes:** Earnings per share decreased to $163 from $439 in Q1 2024. **Quarterly Performance Discussion:** - **Revenue:** The decrease in oil and gas revenue was primarily due to lower production volumes and softer oil prices. Other revenue increased due to higher production handling fees. - **Expenses:** Total expenses were relatively stable, with depletion and amortization decreasing slightly. Operating expenses increased due to higher production costs. - **Cash Flow:** The decrease in operating cash flow was mainly due to lower revenue. Investing and financing cash outflows were primarily related to distributions and investments in the salvage fund. **Trends and Uncertainties:** - **Market Conditions:** Oil prices were volatile due to geopolitical tensions and trade policies. The Fund expects continued volatility and uncertainty in oil and natural gas commodity prices. - **Regulatory Changes:** The Fund faces uncertainties due to potential changes in environmental regulations and supplemental financial assurance requirements. - **Future Operations:** The Fund plans to focus on its existing projects and expects to fund future capital expenditures from cash flows and existing cash on hand. **Impact on Future Operations:** - **Capital Expenditures:** The Fund has $3.5 million in estimated capital commitments, with $1.2 million expected to be spent in the next twelve months. Future cash flows will depend on oil and gas production and sales. - **Distributions:** Distributions may be impacted by capital requirements and fluctuations in commodity prices. The Manager has the discretion to waive management fees and determine the frequency and amount of distributions. **Conclusion:** Ridgewood Energy A-1 Fund, LLC's Q1 2025 financial performance reflects the challenges posed by market volatility and regulatory uncertainties. The company's focus on existing projects and prudent management of capital expenditures and distributions will be crucial in navigating these challenges.