Barnwell Industries (BRN) Q1 2025 earnings summary

Executive summary

• Q1 FY2025 revenue fell to $4.477M from $6.155M YoY; net loss attributable to shareholders widened to $1.917M from $664K, or $0.19 vs. $0.07 per share.

• Quarter-end cash was $1.957M, working capital $642K, and there was no debt; management expects liquidity for 12 months from filing, but longer-term funding remains uncertain.

Financial highlights

• Oil and gas revenue was $3.897M vs. $5.130M YoY; contract drilling revenue was $543K vs. $993K.

• Operating cash flow was negative $759K vs. positive $1.375M YoY; investing cash use was $1.662M, and cash declined $2.548M to $1.957M.

• G&A fell 9% to $1.281M; DD&A fell 39% to $928K, while a $613K non-cash impairment was recorded.

Outlook and guidance

• FY2025 oil and gas investment is estimated at $1.5M–$3.0M, subject to cash flows and management’s assessment of operating conditions and prospects.

• Three contract-drilling backlog jobs were expected to finish in March 2025 or soon after; the segment may be wound down if no sale of the business or assets with backlog is secured.

• Further wells from the Canadian pad depend on securing capital; Water Resources alternatives include a stock or asset sale, or an orderly wind-down and equipment liquidation.