Civitas Resources Reports $186 Million Net Income and $1.194 Billion Revenues for Q1 2025

Civitas Resources, Inc. reported a net income of $186 million, or $1.99 per diluted share, for the first quarter of 2025, reflecting a slight increase from the $176 million, or $1.75 per diluted share, recorded in the same period last year. Total operating net revenues for the quarter were $1.194 billion, down 10% from $1.329 billion in the prior year, primarily due to a 14% decrease in total sales volumes, which amounted to 28 million barrels of oil equivalent (MMBoe). The company attributed this decline to the timing of wells turned in line and normal production declines from existing wells.

In terms of operational metrics, Civitas experienced a decrease in average sales volumes per day, which fell to 311 MMBoe/d from 352 MMBoe/d in the previous quarter. The company’s crude oil sales decreased by 14% to $901 million, while natural gas sales surged by 98% to $125 million, indicating a shift in revenue sources. The average sales price for crude oil rose slightly to $70.90 per barrel, while natural gas prices increased significantly to $2.48 per thousand cubic feet (Mcf), reflecting market dynamics and demand fluctuations.

Civitas has been active in its capital allocation strategy, with capital expenditures totaling $495 million during the quarter, primarily focused on drilling, completions, and midstream assets. The company also repurchased approximately 1.5 million shares of its common stock for $71 million and paid dividends totaling $50 million. The company’s liquidity position remains strong, with $20 million in cash and $1.4 billion available under its credit facility as of March 31, 2025.

Strategically, Civitas completed the acquisition of certain crude oil and natural gas assets from Vencer Energy, LLC, for approximately $2 billion, which has been integrated into its operations. The company continues to focus on maximizing stockholder returns through a disciplined approach to capital spending and a commitment to returning capital to shareholders. Looking ahead, Civitas anticipates that its capital program will be funded primarily through cash flows from operations, although it remains cautious about potential volatility in commodity prices and market conditions that could impact its financial performance.