Birchcliff Energy (BIR) Q3 2026 earnings summary

Executive summary

• Q3 2026 production averaged 86,073 boe/d, up 7% YoY; adjusted funds flow was $103.6 million, up 19%, and net income was $10.4 million versus a $14.1 million loss.

• Nine-month net income rose to $93.2 million from $37.7 million; operating cash flow increased to $345.2 million from $314.2 million.

• 2026 production guidance increased to 84,000 boe/d, with Q4 guidance at 90,000 boe/d; F&D capital guidance was set at $370 million.

Financial highlights

• Q3 petroleum and natural gas revenue was $190.0 million, up 27% YoY; nine-month revenue was $588.3 million, up 14%.

• Q3 adjusted funds flow was $103.6 million, or $0.38/basic share; free funds flow was $16.2 million. Nine-month adjusted funds flow was $350.1 million, or $1.27/basic share, and free funds flow was $34.1 million.

• Q3 net income was $10.4 million, or $0.04/basic share, versus a $14.1 million loss; nine-month net income was $93.2 million, up 147%.

• Nine-month F&D capital expenditures were $316.0 million, up 23% YoY; Q3 spending was $87.4 million.

• Nine-month finance expense fell to $31.5 million from $38.5 million YoY.

Outlook and guidance

• 2026 guidance forecasts adjusted funds flow of $475 million, free funds flow of $105 million, year-end debt of $405 million and debt/adjusted funds flow of 0.85x.

• Preliminary 2027 production target is 87,000–90,000 boe/d; Greater Pouce F&D capital is budgeted at $280–$310 million, with 29–32 Montney wells planned to come on production.

• Subject to positive FID, 2027 Elmworth spending is expected at $150–$170 million; the proposed Goodfare plant’s first phase is planned for 100 MMcf/d, with commissioning targeted for Q4 2028.

• Firm transportation and fractionation commitments total $159.2 million for 2027 and $255.8 million for 2028–2030.

• 2026 guidance is based on assumptions including WTI of US$87.10/bbl, AECO of C$1.70/GJ and Dawn of US$3.00/MMBtu.