Arrow Exploration (AXL) Q1 2026 earnings summary

Executive summary

• Achieved average production of 4,715 boe/d in Q1 2026, up 15% year-over-year and 19% sequentially from Q4 2025, driven by increased output from the Mateguafa Attic field.

• Total oil and natural gas revenue net of royalties rose 21% to $23.5 million compared to Q1 2025.

• Adjusted EBITDA increased 22% year-over-year to $14.1 million.

• Net income reached $5.2 million for the quarter.

• Drilled three new development wells in the Mateguafa Attic field and made a post-period oil discovery at Icaco-1.

Financial highlights

• Operating cash flow for Q1 2026 was $13.6 million, with a cash position of $14.2 million at quarter-end and $24 million as of May 1, 2026.

• Realized corporate oil operating netbacks improved to $41.05/bbl, up from $38.66/bbl in Q1 2025.

• Realized prices averaged $63.77/boe, a 5% increase year-over-year.

• Capital expenditures totaled $7.8 million, primarily for drilling in the Tapir block.

Outlook and guidance

• Focus for the remainder of 2026 includes further drilling at Icaco, Alberta Llanos, and Carrizales Norte pads, plus recompletions to boost productivity.

• Ongoing engagement with authorities regarding Tapir block extension, with expectations of securing the extension.