Nostrum Oil & Gas (NOG) Q1 2026 earnings summary

Executive summary

• Revenue increased to $32.8 million for Q1 2026, up 9.3% year-over-year, driven by higher export sales, increased third-party feedstock, and stronger Brent oil prices.

• Net loss widened to $34.9 million from $26.4 million in Q1 2025, mainly due to higher finance costs and ongoing tax disputes.

• Operating cash flow reached $10.2 million, with unrestricted cash increasing to $151.3 million by quarter-end.

• The group reached an in-principle agreement to extend the maturity of its senior notes to December 2030, pending regulatory approvals.

• Focus remains on safe operations, financial resilience, and disciplined execution of strategic priorities.

Financial highlights

• Export sales revenue rose to $19.0 million (Q1 2025: $15.7 million); domestic sales and tolling fees were $13.7 million (Q1 2025: $14.4 million).

• Gross profit increased to $14.0 million from $10.8 million year-over-year.

• Cash and cash equivalents stood at $151.3 million as of 31 March 2026, up from $143.3 million at year-end 2025.

• EBITDA was $11.3 million, nearly flat year-over-year, with an EBITDA margin of 34.4% (down from 38.0%).

• Net debt increased to $576.2 million from $541.5 million at year-end 2025, mainly due to accrued interest and amortisation of fees.

Outlook and guidance

• Base case assumes Brent oil at $85/bbl for the rest of 2026 and $75/bbl for 2027 onward.

• Forecasts indicate a closing cash balance above $115 million by June 2027, assuming completion of the debt extension.

• Sensitivity analysis shows resilience to downside scenarios if the proposed debt restructuring is completed.

• Strategic focus on maintaining operational reliability, preserving liquidity, and evaluating development opportunities.

• Comprehensive reviews underway for future development of Chinarevskoye and Stepnoy Leopard fields.