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Advantage Energy (AAV) investor relations material
Advantage Energy Q2 2025 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
Executive summary
Adjusted funds flow reached CAD 88.9 million ($0.53/share) in Q2 2025, with net income of $72.5 million, reversing a prior loss.
Net debt reduced by $33.4 million to $570 million during the quarter.
Production averaged 78,108 BOEs/day, up 18% year-over-year; liquids output rose 66% despite facility delays.
Operating costs fell to $4.90/BOE, outperforming expectations due to successful asset integration.
Integration of June 2024 asset acquisition drove significant productivity and cost improvements.
Financial highlights
Adjusted funds flow per share was $0.53, doubling year-over-year.
Operating costs were $4.9/BOE, outperforming expectations.
Operating netback improved to $15.23/BOE from $10.15 in Q2 2024.
Natural gas and liquids sales totaled $164.6 million, up from $104.1 million year-over-year.
Free cash flow surplus was $40.1 million for the quarter, up from $4.3 million in Q2 2024.
Outlook and guidance
On track to achieve annual production guidance of 80,000–83,000 BOEs/day.
Full-year operating cost guidance reduced to $4.95–$5.3/BOE, an 8% reduction from original guidance.
Expectation to generate over $500 million in free cash flow over the next three years, with 5–10% annual production growth.
Plan to resume aggressive share buybacks upon reaching $450 million net debt target by year-end.
Only 12% of unhedged natural gas volumes exposed to AECO cash prices for the remainder of summer 2025.
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