Riley Exploration Permian (REPX) Q2 2026 earnings summary

Executive summary

• Achieved total equivalent production of 34.3 MBoe/d and oil production of 21.2 MBbls/d in Q2 2026, near the high end of guidance and up 40% year-over-year, with a June exit rate of 24.4 MBbls/d and 5% sequential oil growth.

• Net income for Q2 2026 was $87.4 million, up 187% year-over-year, driven by higher oil prices and increased production, notably from the Silverback Acquisition.

• Record development activity and focused drilling in Texas and New Mexico, with continued infrastructure expansion and strategic acquisitions supporting long-term growth.

• Maintained strong capital returns to shareholders through dividends and share repurchases.

• Overcame midstream constraints in New Mexico, which temporarily reduced oil production by ~2,000 barrels per day, but underlying growth plan remains on track.

Financial highlights

• Q2 2026 revenues totaled $166 million, operating cash flow was $64 million, and Adjusted EBITDAX reached $80 million.

• Free cash flow for Q2 2026 was $6 million; year-to-date free cash flow is $30 million.

• Cash CapEx and other investments increased 153% quarter-over-quarter to $73 million; total accrual capex was $87 million.

• Quarter-end principal debt balance increased by $26 million to $273 million, with a debt-to-Adjusted EBITDAX ratio of 1.0x.

• Paid $9 million in dividends and repurchased $1 million in stock during Q2 2026.

Outlook and guidance

• Full-year 2026 oil production guidance raised to 22.5–23.5 MBbls/d, implying ~30% year-over-year growth.

• Q3 2026 oil production guidance midpoint is 25.6 MBbls/d, >20% above Q2 average.

• Full-year 2026 capital expenditures forecasted at $230–$242 million, with significant investment in infrastructure and Power JV.

• Lease operating expenses for Q3 2026 guided at $8.50–$9.50 per Boe.

• Plans for steady development pace into 2027, focusing on spending within cash flow, reducing debt, and paying dividends.