EnQuest (ENQ) H1 2025 earnings summary

Executive summary

• Achieved strong operational performance in H1 2025, with group production at 43.4 Kboed (pro forma, including Vietnam) and production efficiency at 89% (94% excluding Magnus outage).

• Expanded Southeast Asia presence to four countries, completing five growth transactions, including a full corporate acquisition in Vietnam, and new PSCs in Indonesia and Brunei.

• Advanced decarbonisation, reducing UK Scope 1/2 emissions by 40% since 2018 and group emissions by 22% since 2020.

• Maintained robust balance sheet, reducing net debt to $376.6 million and net leverage to 0.7x as of June 30, 2025.

• Paid maiden dividend of $15.3 million in June 2025.

Financial highlights

• H1 2025 revenue was $549 million, down 6.3% year-over-year due to lower oil prices and volumes, partially offset by hedging gains.

• Adjusted EBITDA reached $235 million; free cash flow was $33 million after $83 million CapEx and $31 million decommissioning spend.

• Statutory net loss of $173.5 million, mainly due to a $123.9 million non-cash EPL tax charge.

• Unit operating cost was $27.8/BOE for H1 2025.

• Cash and available facilities at $578 million as of June 30, 2025.

Outlook and guidance

• 2025 production guidance reiterated at 40,000–45,000 BOE/d, including c.5 Kboed from Vietnam.

• Operating expenditure expected at $450 million, CapEx at $190 million, and decommissioning at $60 million.

• Focus for 2026 is organic growth, with projects like Kraken EOR, Magnus optimization, and decarbonisation initiatives.