Peyto Exploration & Development Corp's Q2 EPS rises to C$0.43

Overview

• Peyto Q2 earnings rise, driven by low cash costs

• Production volumes increase 8% yr/yr, supported by capital program

• Net debt reduced by $39.9 mln in Q2, reflecting financial discipline

Outlook

• Peyto maintains 2025 capital guidance at C$450-C$500 mln

• Company plans to ramp up production in Q4 2025

Result Drivers

• LOW CASH COSTS - Peyto attributes strong funds from operations to industry-leading low cash costs

• HEDGING GAINS - Realized hedging gains of C$52.6 mln helped secure higher natural gas prices

• PRODUCTION INCREASE - 8% year-over-year production growth driven by capital program

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 5 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the oil & gas exploration and production peer group is "buy"

• Wall Street's median 12-month price target for Peyto Exploration & Development Corp is C$21.00, about 9.5% above its August 11 closing price of C$19.01

• The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 7 three months ago

Press Release: ID:nGNX95YZ8k