Aug 13, 2026, 4:06 PM ETEnergy

PEDEVCO — Second Quarter 2026 Earnings Summary

PEDPEDEVCO CORP

Financial Performance

Revenue increased 561% year-over-year to $46.1 million for Q2 2026, compared to $7.0 million in Q2 2025, driven by a 348% increase in production volumes and higher average realized oil prices.
Net income for Q2 2026 was $17.5 million ($1.31 per share), reversing a net loss of $1.7 million ($0.37 per share) in Q2 2025.
Adjusted EBITDA rose 516% year-over-year to $18.7 million in Q2 2026, compared to $3.0 million in Q2 2025.
Average daily production reached 6,801 Boe/d in Q2 2026, up 348% from 1,517 Boe/d in Q2 2025.
Lease operating expenses were $16.4 million in Q2 2026, compared to $2.8 million in Q2 2025, primarily due to the consolidation of acquired assets.
General and administrative expenses increased 101% to $3.4 million in Q2 2026, compared to $1.7 million in Q2 2025.
Depreciation, depletion, amortization, and accretion (DD&A) increased to $10.2 million in Q2 2026 from $3.9 million in Q2 2025.
Net income on derivative contracts was $5.0 million in Q2 2026, resulting from $8.1 million in realized settlement losses offset by a $13.1 million non-cash unrealized gain.
Interest expense was $2.0 million in Q2 2026, compared to $0 in Q2 2025.
Cash and restricted cash totaled $12.1 million as of June 30, 2026.
Net debt was approximately $73 million as of June 30, 2026, calculated as $85.0 million in revolver borrowings less $12.1 million in cash and restricted cash.

Management plans to execute a second-half 2026 development plan following the October 2025 merger.
The company expects to drill or participate in over 20 gross wells across its asset base over the next several months.
Production from the new well program is expected to add a material amount of production in late 2026 and continue into 2027.
The Hastings well in the DJ Basin is expected to begin contributing production in early August.
Production is expected to be lower in July before improving as affected wells return to service and the Hastings well begins contributing.
The company aims to maintain a focus on low leverage and balance sheet strength while growing production and cash flow.

DJ Basin: Holds approximately 88,605 net acres with interests in 74 gross operated wells and 110 gross non-operated wells. Completed participation in 10 non-operated wells during the quarter.
Powder River Basin (PRB): Holds approximately 202,100 net acres with interests in 156 gross wells (135.4 net). Permitting matters affecting Wyoming acreage were resolved, improving development capabilities.
Permian Basin: Holds approximately 14,505 net acres with interests in 38 gross operated wells. Focus remains on operating efficiency, lift conversions, and well interventions.
The Juniper Merger, closed October 31, 2025, consolidated assets from portfolio companies controlled by Juniper Capital Advisors, L.P., significantly expanding the asset base.
Production volumes in Q2 2026 included 450,607 Bbls of crude oil, 512,805 Mcf of natural gas, and 82,838 Bbls of NGLs.

Average realized crude oil price increased 53% to $94.07 per Bbl in Q2 2026, compared to $61.65 per Bbl in Q2 2025.
Average realized natural gas price decreased 22% to $2.10 per Mcf in Q2 2026, compared to $2.70 per Mcf in Q2 2025.
Average realized NGL price increased 22% to $31.98 per Bbl in Q2 2026, compared to $26.25 per Bbl in Q2 2025.
The company holds over 300,000 net acres across its principal assets in the Rocky Mountain region.

Forward-looking statements involve risks including volatility in oil and natural gas prices, the ability to successfully integrate acquired operations, and the ability to service credit facility obligations.
Risks include results of development and production activities, changes in operating costs, and regulatory developments affecting federal and state leases.
Availability and costs of services and materials, as well as permitting and other regulatory matters, could impact operations.

J. Douglas Schick, President and CEO, stated that results demonstrate the earnings power of the assembled platform, highlighting scale and a larger, more diversified asset base.
Management noted that the company reduced borrowings under its credit facility from $98 million at March 31, 2026, to $85 million at June 30, 2026.
The company cut its working capital deficit, excluding hedge mark-to-market, by approximately $25 million over the first half of the year.
Management described the development program as disciplined, built to grow production and cash flow while preserving a strong balance sheet.

The Juniper Merger closed on October 31, 2025, bringing significant new assets and production capacity into the company.
Preferred stock was converted into common stock during the period, with 17,013,637 shares of Series A preferred stock converted.
The company has $40.0 million of additional availability under its A&R Credit Agreement as of June 30, 2026.
Working capital deficit excluding derivative contract assets and liabilities improved to $8.6 million at June 30, 2026, from $34.1 million at December 31, 2025.
The company recognized a net loss on derivative contracts of $26.3 million for the six months ended June 30, 2026, comprising $11.5 million in realized settlement losses and $14.8 million in unrealized mark-to-market losses.
A conference call was held on August 13, 2026, to discuss results.