InPlay Oil (IPO) Q4 2024 earnings summary

Executive summary

• Announced transformational Pembina Cardium asset acquisition, expected to close April 2025, expanding operational scale and drilling inventory.

• 2024 marked by disciplined execution, operational efficiency, and strong shareholder returns.

• Focused on financial discipline, maintaining a strong balance sheet, and sustainable production growth.

Financial highlights

• 2024 average annual production: 8,712 boe/d (58% light crude oil & NGLs); Q4: 9,376 boe/d.

• Adjusted funds flow: $68.5M ($0.76/share), down from $91.8M in 2023 due to lower natural gas prices.

• Net income: $9.5M ($0.11/share); operating income profit margin: 54%.

• Dividends distributed: $16.4M (10.4% yield); total since Nov 2022: $39.2M.

• Capital expenditures: $63M, 25% below 2023 and under budget.

• Net debt at year-end: $61M; net debt/EBITDA: 0.8x.

Outlook and guidance

• 2025 guidance (pre-acquisition): production 8,650–9,150 boe/d; AFF $69–$75M; FAFF $25–$34M.

• Pro-forma 2025 (post-acquisition): production 18,750 boe/d; AFF $204M; FAFF $94–$104M.

• FAFF yield expected to rise to 17–23% (pre-acquisition) and 42% (pro-forma).

• Updated development plans and revised 2025 guidance to follow asset acquisition closing.