Gran Tierra Energy reports Q2 loss of $12.7 million, revenue of $152.5 million.

Gran Tierra Energy reported a Q2 loss of $12.7 million, or 36 cents per share, on revenue of $152.5 million. The Calgary-based oil and natural gas company's loss was attributed to the decline in global crude prices.

Gran Tierra Energy Inc. (NYSE American: GTE, TSX: GTE, LSE: GTE) reported a net loss of $12.7 million, or 36 cents per share, in the second quarter of 2025, according to its financial results. The Calgary-based oil and natural gas company generated revenue of $152.5 million during the period. The loss was primarily attributed to a decline in global crude prices.

The company's total average working interest (WI) production was 47,196 boepd, a 44% increase from the second quarter of 2024, driven by production from Canadian operations acquired on October 31, 2024, and positive exploration well drilling results in Ecuador. However, working interest sales decreased to 45,727 boepd due to the deferral of 143,730 barrels of Ecuador oil production held in inventory at the end of June and subsequently sold in July.

Adjusted EBITDA (1) for the quarter was $77 million, down from $85 million in the prior quarter and $103 million in the second quarter of 2024. The company's twelve-month trailing net debt to adjusted EBITDA ratio was 2.3 times, with a long-term target ratio of 1.0 times. Funds flow from operations (1) was $54 million, up 17% from the second quarter of 2024 but down 3% from the prior quarter.

Gran Tierra's net cash provided by operating activities was $35 million, down 53% from the prior quarter and down 53% from the second quarter of 2024. The company's cash balance as of June 30, 2025, was $61 million, with total debt of $807 million and net debt (1) of $746 million. The company drew $45 million on its credit facilities to fund capital expenditures during the quarter.

The company also reported that its Brent price decreased by 11% per bbl compared to the prior quarter, contributing to a 1% decrease in its cash netback (1). Gran Tierra's operating expenses on a per boe basis decreased by 17% compared to the second quarter of 2024 and 16% compared to the prior quarter, reaching the lowest level since the first quarter of 2022. The company's transportation expenses increased by 10% to $8 million.

In a message to shareholders, Gary Guidry, President and Chief Executive Officer of Gran Tierra, commented, "Gran Tierra delivered record-setting production this quarter, reflecting the strength of our diversified portfolio and consistent operational execution across Colombia, Ecuador, and Canada. In Ecuador, we are building on the momentum of our Iguana Block discoveries with the planned drilling of two high-impact exploration wells in the Charapa Block later this year. In Colombia, the successful development drilling at Costayaco and Cohembi, along with the strong early waterflood response in Cohembi’s north area, underscores the ongoing potential of our core assets and validates our disciplined approach to reservoir management."

References:
[1] https://finance.yahoo.com/news/gran-tierra-energy-inc-reports-215500833.html