Kistos (KIST) H1 2026 earnings summary

Executive summary

• Achieved pro forma EBITDA of $205 million for H1 2026, with significant contribution from Oman assets and strong operational performance across all regions.

• Pro forma production averaged 20,800 boepd, including Oman, with high operational uptime and production rates in line with guidance.

• Completed acquisition of Oman Blocks 3 & 4 in September 2026, with Block 9 expected to close in H2 2026, more than doubling the Group's 2P reserves base year-over-year.

• Share price increased 22% over the last three months, and newly issued bond trades above par.

• Sanctioned the Balder Next New Wells project in Norway, supporting a reserves replacement ratio of 120% and extending production life beyond 2030.

Financial highlights

• Revenue for H1 2026 was $211.9 million, up from $87.9 million in H1 2025, driven by higher production and strong prices.

• Pro forma EBITDA reached $205 million, including a $51 million contribution from Oman assets; actual EBITDA was $154 million.

• Cash and near-cash equivalents totaled $259 million as of 30 June 2026, including $128 million unrestricted cash, $95 million in escrow for Oman, and a $36 million Norwegian tax rebate expected in December 2026.

• Adjusted net debt reduced to $23 million prior to Oman closing, down from $86 million at 30 June 2025.

• Unit opex fell to $17/boe from $42/boe in H1 2025, reflecting higher production and cost savings.

Outlook and guidance

• Full-year pro forma production guidance maintained at 19,000–21,000 boepd, supported by strong performance in Oman and Norway.

• Production expected to remain flat through the forecast period, with deleveraging leading to net cash by 2030.

• Balder Phase VI drilling underway in Norway, with first oil expected December 2026; Balder Next New Wells project to start by end 2027.

• Oman Block 9 acquisition expected to complete in H2 2026, with enhanced EPSA terms supporting future growth.

• Netherlands production expected to remain steady through H2 2026, with decommissioning contracts signed for 2028.