Amplitude Energy (AEL) H1 2025 earnings summary

Executive summary

• Achieved record H1 FY25 production, revenue, and underlying EBITDAX, driven by operational improvements, higher spot gas sales, and improved OGPP reliability.

• Completed major decommissioning projects, notably BMG wells, enabling a renewed focus on growth and supply to the tight East Coast gas market.

• Rebranded as Amplitude Energy in November 2024, reflecting a renewed growth focus and participation in Australia's energy future.

• Strategic priorities include maximizing cash flow, deleveraging, progressing the East Coast Supply Project (ECSP), and advancing continuous improvement programs.

• Maintained exemplary safety and environmental records, with no recordable injuries or environmental incidents in H1 FY25.

Financial highlights

• Sales revenue reached AUD 133.7 million for H1 FY25, up 26% year-over-year, with average realized gas price up 15% to AUD 9.69/GJ.

• Underlying EBITDAX rose 53% to AUD 93.2 million; underlying profit after tax up 57% to AUD 8.5 million.

• Operating cash flow increased 115% to AUD 45.4 million; adjusted cash from operations up 15% to AUD 81.5 million.

• Production expenses rose 7% to AUD 28.9 million, with unit costs down 12% to AUD 2.14/GJ.

• CapEx for the half was AUD 23.9 million, mainly for ECSP and long-lead items; restoration payments totaled AUD 32.9 million.

Outlook and guidance

• FY25 production guidance increased to 65–72 TJe/d, reflecting improved Orbost performance and ongoing OGPP improvements.

• CapEx guidance for FY25 is AUD 50–60 million; production expenses forecast at AUD 55–63 million.

• ECSP drilling phase expected to be sanctioned in FY25, with first well drilling anticipated in FY26.

• Focus remains on maximizing cash flow, reducing debt, and progressing growth investment in the Otway and ECSP.

• Anticipate continued margin expansion as more gas is sold into the spot market and contracts are indexed to CPI.