Wed, Mar 5, 10:22 PM (46 days ago)
Ring Energy, Inc. (NYSE: REI) reported a robust financial performance for the fiscal year ended December 31, 2024, achieving record production of 19,648 Boepd, a 9% increase year-over-year. Total revenue reached $366.3 million, driven primarily by oil sales of $364 million. However, net income fell to $67.5 million from $104.9 million in 2023, influenced by rising operational costs and a shift in derivative gains to losses. Operating expenses increased to $233.4 million, with lease operating expenses rising to $78.3 million due to inflation and acquisition-related costs. Earnings per share stood at $0.34, reflecting the challenges faced in the volatile oil and gas market. The company maintained a strong balance sheet with total assets of $1.4 billion and a revolving credit facility of $600 million, of which $385 million was drawn. Strategic initiatives included the acquisition of assets in the Central Basin Platform and ongoing development of its properties, positioning Ring for future growth despite inherent market risks and fluctuating commodity prices. The outlook remains cautiously optimistic with continued focus on capital discipline and operational efficiency.