GeoPark (GPRK) Q1 2025 earnings summary

Executive summary

• Proforma consolidated production averaged 36,279 barrels/day, surpassing guidance, driven by stable output in Colombia and record performance from new Argentina assets, though Argentina results are not yet consolidated pending regulatory approval.

• Delivered strong profitability and cash generation in 1Q2025, supported by disciplined capital allocation and cost efficiency.

• Portfolio streamlining continued with divestments in Llanos 32 and Manatee Gas Field, aligning with a strategy to focus on high-impact assets.

• Leadership transition announced, with Felipe Bayón set to become CEO.

Financial highlights

• Net income reached $13.1 million, despite one-time debt refinancing costs.

• Revenue was $137.3 million in 1Q2025, with Adjusted EBITDA of $87.9 million (64% margin), and operating profit of $50.4 million.

• Quarterly dividend of $0.147/share declared, targeting an annualized $30 million payout (approx. 9% yield).

• Operating costs decreased to $12.3 per barrel, in line with guidance.

• Cash position exceeded $308 million at quarter-end; net leverage ratio at 0.9x.

Outlook and guidance

• 2025 work program includes seven wells in Colombia and four in Argentina for Q2.

• Capital allocation and work program designed to be cash-positive at $60 Brent; 70% of 2025 production hedged at $68-$70 per barrel.

• No changes to capital allocation or guidance despite oil price volatility; plan remains robust.

• Annualized dividend expected to be approximately $30 million in 2025, representing a 9% yield.

• No principal debt maturities until January 2027; continued focus on capital efficiency and portfolio resilience.