Jadestone Energy (JSE) H2 2025 earnings summary

Executive summary

• Achieved record 2025 production of 19,829 boe/d, up 6% year-over-year, with underlying production up 14%.

• Strong operational and HSE performance, reaching over 12 million man-hours LTI-free.

• Major progress on Vietnam gas development: field development plan approved, gas sales agreement signed, farm-out process initiated, and 32 MMboe 2P reserves booked.

• Refinanced debt with a $200 million Nordic Bond, enhancing liquidity and financial flexibility.

• Focused on narrowing the share price discount to underlying asset value, with several near-term catalysts identified.

Financial highlights

• Revenue increased 3% year-over-year to $408 million, supported by a 23% increase in lifted volumes and a $2 million hedging gain.

• Adjusted EBITDAX rose 20% to $153 million; operating cash flow post-working capital was $124 million, up 75% year-over-year.

• Reported a net loss after tax of $110.7 million, mainly due to a non-cash impairment of $88.2 million on Montara and Stag assets.

• Net debt reduced to $89 million at year-end, with $61 million in cash and $150 million drawn RBL debt.

• Generated approximately $80 million of unlevered free cash flow in 2025, progressing toward a 2025–2027 target of $200–$240 million.

Outlook and guidance

• 2026 production guidance maintained at 18,000–21,000 boe/d, likely trending toward the lower half due to Stag downtime.

• Operating cost and capital expenditure guidance unchanged; full-year OpEx expected toward the lower end of the range.

• Free cash flow guidance for 2025–2027 remains $200–$240 million at $70/bbl Brent, with a $90 million sensitivity per $10/bbl change.

• Vietnam project FID targeted for Q4 2026; several near-term catalysts expected, including farm-out and contract awards.