OKEA (OKEA) Q2 2025 earnings summary

Executive summary

• Achieved strong operational performance with production at 31,700 boe/d, at the high end of guidance, though down from 34,200 boe/d in Q1 2025 due to drilling delays at Statfjord.

• High production efficiency across all assets, reaching 93% in Q2 2025, with no serious incidents.

• Successful refinancing completed in June with a new $175 million bond, extending maturities and strengthening liquidity.

• New wells and development projects sanctioned, including Sognefjord East and Talisker, increasing 2026 production guidance.

• No dividend planned during high investment phase; board to revisit when conditions allow.

Financial highlights

• Petroleum revenues for Q2 2025 were $196 million, down from $266 million in Q1 2025.

• Operating income reached $206 million; EBITDA was $98 million, both down from Q1 2025.

• Net loss after tax of $21 million, driven by a $32 million technical goodwill impairment due to lower forward prices.

• Cash and cash equivalents at quarter-end were $423 million, with an additional $41 million in money market funds.

• Production expenses increased to $74 million ($23.5/boe), elevated due to maintenance and lower volumes.

Outlook and guidance

• 2025 production guidance narrowed to 30,000–32,000 boe/d (from 28,000–33,000); 2026 guidance raised to 31,000–35,000 boe/d (from 26,000–30,000) due to new well sanctions.

• 2025 CapEx guidance increased to $350–380 million (from $310–350 million); 2026 CapEx unchanged at $300–360 million.

• Dividend payments paused during intensive investment period; board to revisit when appropriate.