NYSE$EPM
Evolution Petroleum Corporation · Q1 2022 earnings
Q1 2022 earnings · · Investor relations
Briefing
Reported a solid performance with increased production and higher commodity prices, resulting in a net income increase of 135% from the prior quarter.
Evolution Petroleum reported a strong first quarter for fiscal year 2022, marked by increased production volumes and higher commodity prices. The company's net income rose significantly, and it continued to fund operations, development, and dividends from operating cash flow. The borrowing base on the Credit Facility increased by $20 million to a total borrowing base of $50 million with an elected commitment amount of $40 million.
- Production increased 33% from the prior quarter, reaching 5,843 net barrels of oil equivalent per day (BOEPD).
- Net income more than doubled to $5.2 million ($0.16 per diluted share) from $2.2 million ($0.07 per diluted share) in the prior quarter.
- Adjusted EBITDA increased more than 80% to $8.5 million from $4.7 million in the prior quarter.
- Cash balance grew to $8.0 million with no net debt.
Headline financials
Revenue & EPS history
Evolution Petroleum · Revenue · Quarterly
$18.9M
Revenue by segment
Evolution Petroleum · $10M total across 2 segments · Q1 2022
- Natural Gas$5.46M+2887904.8%54.5%
- Natural Gas Liquids$4.56M+2011.9%45.5%
Forward guidance
Evolution Petroleum expects to continue funding operations, capital expenditures, and cash dividends through cash generated from operations and its working capital position for the remainder of fiscal 2022. Conformance workover projects are expected to continue and will likely result in additional maintenance capital expenditures, primarily at the Delhi field, across all assets to be in the range of $1.0 million to $2.0 million for the balance of fiscal 2022.
Tailwinds
- Continued funding of operations, capital expenditures, and cash dividends through cash generated from operations.
- Strong working capital position.
- Increase in borrowing base on the Credit Facility by $20 million.
- Commitment to maintaining and growing the common stock dividend.
- Focus on ESG best practices to inform evaluations of accretive opportunities.
Headwinds
- Oil production continues to be adversely affected by the nine-month suspension of CO2 purchases during 2020 due to repairs of the third-party owned purchase supply line that lowered reservoir pressure.
- Resumption of purchases has yet to significantly restore reservoir pressure.
- During the current quarter, oil production was further impacted by the suspension of CO2 purchases from July 15, 2021 through August 20, 2021 for preventative maintenance on the CO2 purchase pipeline.
- Potential for additional maintenance capital expenditures due to conformance workover projects.
- The company must hedge certain percentages of future production based on certain utilization percentages of the Credit Facility.
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 19 quarterly earnings reports · overlaid with Q1 2022
-0.0%
Avg return
Earnings day
+1.4%
Avg return
5 days after
+4.7%
Avg return
30 days after
52%
33 / 64 earnings
Positive
+15.9%
Q4 2022
Best reaction
-22.0%
Q4 2023
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q3 2026 | -8.6% | -2.3% | -13.2% | |
| Q2 2026 | +5.5% | +9.2% | +17.3% | |
| Q1 2026 | -4.6% | -11.3% | -10.9% | |
| Q3 2025 | +2.7% | -0.4% | +11.9% | |
| Q2 2025 | -1.3% | -0.9% | -6.4% | |
| Q1 2025 | +3.2% | +5.2% | +2.0% | |
| Q4 2024 | +14.9% | +14.9% | +18.3% | |
| Q3 2024 | +1.8% | +0.2% | -3.1% | |
| Q2 2024 | +2.5% | +6.6% | +13.2% | |
| Q1 2024 | -7.0% | -7.5% | -3.7% | |
| Q4 2023 | -22.0% | -20.6% | -29.0% | |
| Q3 2023 | +9.9% | +8.7% | +31.3% | |
| Q2 2023 | +3.8% | +8.6% | +9.0% | |
| Q1 2023 | -10.2% | -5.6% | -19.4% | |
| Q4 2022 | +15.9% | +15.0% | +13.6% | |
| Q3 2022 | +0.5% | -1.3% | +12.5% | |
| Q2 2022 | +8.6% | +24.3% | +32.0% | |
| Q1 2022 | -3.4% | -5.5% | -15.3% | |
| Q4 2021 | -0.2% | +3.2% | +30.7% | |
| Q3 2021 | -3.9% | -4.7% | +26.6% | |
| Q2 2021 | +2.9% | +0.0% | +25.0% | |
| Q1 2021 | -1.8% | +8.2% | +35.6% | |
| Q4 2020 | -0.4% | -5.3% | -17.0% | |
| Q3 2020 | -12.6% | -8.7% | -3.5% | |
| Q2 2020 | -2.4% | -6.7% | -9.1% | |
| Q1 2020 | +0.2% | -0.2% | -8.4% | |
| Q4 2019 | +2.4% | -5.1% | -12.7% | |
| Q3 2019 | +1.4% | -1.0% | -9.9% | |
| Q2 2019 | -1.7% | +0.8% | -5.8% | |
| Q1 2019 | +1.4% | -4.1% | -16.6% | |
| Q4 2018 | -0.5% | +3.6% | +12.8% | |
| Q3 2018 | -0.5% | -3.3% | +6.0% | |
| Q2 2018 | +7.4% | +11.5% | +10.1% | |
| Q1 2018 | +5.0% | +4.3% | -2.9% | |
| Q4 2017 | +0.0% | -1.4% | +2.2% | |
| Q3 2017 | +1.4% | +9.7% | +2.8% | |
| Q2 2017 | -6.8% | -1.9% | +0.6% | |
| Q1 2017 | +6.2% | +15.9% | +29.0% | |
| Q4 2016 | +6.4% | +3.6% | +27.8% | |
| Q3 2016 | -2.3% | — | — | |
| Q2 2016 | +6.5% | — | — | |
| Q1 2016 | -3.6% | — | — | |
| Q4 2015 | +8.7% | — | — | |
| Q3 2015 | -4.3% | — | — | |
| Q2 2015 | -9.5% | — | — | |
| Q1 2015 | -1.0% | — | — | |
| Q4 2014 | +1.5% | — | — | |
| Q3 2014 | -5.1% | — | — | |
| Q2 2014 | -2.1% | — | — | |
| Q1 2014 | +3.5% | — | — | |
| Q4 2013 | +2.3% | — | — | |
| Q3 2013 | +1.6% | — | — | |
| Q2 2013 | +2.3% | — | — | |
| Q1 2013 | +0.2% | — | — | |
| Q4 2012 | +2.0% | — | — | |
| Q4 2010 | +2.0% | — | — | |
| Q3 2012 | +3.3% | — | — | |
| Q2 2012 | -3.2% | — | — | |
| Q2 2011 | -3.2% | — | — | |
| Q1 2011 | -4.7% | — | — | |
| Q4 2011 | -4.7% | — | — | |
| Q1 2012 | -4.7% | — | — | |
| Q3 2011 | +1.6% | — | — | |
| Q3 2010 | -3.9% | — | — |
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