Thu, Nov 14, 8:30 PM (19 days ago)
**Summary of Royale Energy, Inc. (ROYE) Q3 2024 Financial Report** For the quarter ended September 30, 2024, Royale Energy, Inc. reported revenues of $574.4K, up 23% from $467.0K in Q3 2023, primarily driven by increased oil production volumes. However, the company incurred a net loss of $1.2M compared to $470.7K the previous year, attributed to higher lease impairments, bad debts, and interest expenses. Total assets rose to $14.9M, with current liabilities increasing to $20.0M, resulting in a working capital deficit of $10.99M. Cash flow from operating activities was negative at $1.38M, reflecting increased operational expenses, while cash and cash equivalents decreased to $1.74M. The company reported deferred drilling obligations of $11.33M, indicating ongoing drilling commitments. Management expressed concerns about liquidity, emphasizing the need for additional financing or asset sales to sustain operations. Future strategies include participating in drilling projects to enhance revenue. The company has also restructured its capital by exchanging its Series B Preferred Stock for common stock and senior notes, aiming to improve its financial position.