Crescent Energy (CRGY) Q1 2025 earnings summary

Executive summary

• Q1 2025 delivered robust financial and operational results, with all key metrics meeting or exceeding expectations, including record production, revenues of $950M, and levered free cash flow exceeding $240M, representing a 45% annualized yield.

• Adjusted EBITDAX rose 69% year-over-year to $529M, and net income improved to $6M, with adjusted net income of $143M.

• Closed and integrated the Ridgemar acquisition, scaling Eagle Ford position and adding high-margin, oil-weighted production; completed $90M in non-core divestitures.

• Simplified corporate structure by eliminating the Up-C structure, consolidating to a single class of common stock, and increasing trading liquidity.

• Repurchased $30M of shares YTD at an average price of $8.26, with $91M remaining under the buyback program as of April 2025.

Financial highlights

• Q1 2025 production averaged a record 258 Mboe/d (40% oil, 58% liquids); revenues totaled $950M, up 45% year-over-year.

• Adjusted EBITDAX was $529M, and levered free cash flow reached $242M, up 265% year-over-year.

• Net income for Q1 2025 was $6M, compared to a net loss of $32.4M in Q1 2024.

• Capital expenditures (excluding acquisitions) were $208M, below forecast due to timing and efficiencies.

• Operating expenses rose 33% to $403.5M, but per-Boe costs declined; adjusted recurring cash G&A was $32M.

Outlook and guidance

• 2025 full-year production guidance (divestiture adjusted): 251–261 Mboe/d, with 40–41% oil; capital expenditures projected at $925–$1,025M.

• 2025 outlook includes 11-month contribution from Ridgemar assets and a flexible 4–5 rig program.

• Ongoing focus on maximizing free cash flow and returns, with flexibility to adjust activity based on commodity prices.

• 2025E hedged free cash flow expected to exceed $700M at consensus prices, supporting dividends, debt paydown, and M&A.

• Management expects to maintain compliance with debt covenants and meet contractual obligations under current forecasts.