Kolibri Global Energy (KEI) Q2 2025 earnings summary

Executive summary

• Q2 2025 average production rose 3% year-over-year to 3,220 BOE/day, driven by new wells, despite temporary shut-ins for completions.

• Four new Lobina wells brought online, with additional wells planned for the remainder of the year.

• Net income for Q2 2025 was $2.9 million ($0.08/share), down from $4.1 million ($0.11/share) in Q2 2024, mainly due to lower revenues from decreased prices and shut-in wells.

• Adjusted EBITDA for Q2 2025 was $7.7 million, a 23% decrease year-over-year, reflecting a 24% drop in average prices.

• Continued focus on shareholder value through share buybacks and operational growth, with over 207,000 shares repurchased in Q2 2025.

Financial highlights

• Q2 2025 revenue net of royalties was $10.8 million, down 22% year-over-year due to lower prices and oil production.

• Production and operating expense per BOE fell 16% to $7.15 in Q2 2025, mainly from lower water hauling and processing costs.

• General & administrative expenses decreased 9% year-over-year to $1.4 million, attributed to lower accounting fees post-NASDAQ listing.

• Year-to-date net income was $8.6 million ($0.24/share), up from $7.4 million ($0.21/share) in 2024, aided by gains on commodity contracts and lower expenses.

• Netback per BOE decreased to $29.66 in Q2 and $34.05 year-to-date, reflecting lower prices.

Outlook and guidance

• Nine new wells expected to start production in the second half of 2025, anticipated to significantly boost production and cash flow.

• Lovina wells began production in late July, with initial 4-day rates between 322 and 643 BOE/day per well, and higher oil content than previous wells.

• Drilling of additional Barnes and Velin wells is underway, with completions scheduled for the second half of 2025.

• No changes to original production guidance at this time; guidance will be updated if warranted by well performance or price changes.

• Current economics support continued drilling and completions even at $60 oil prices.