PEDEVCO Reports $17.5 Million Net Income and Significant Revenue Growth in Latest Quarter

PEDEVCO Corp. has reported significant financial performance improvements in its latest quarterly filing, with a net income of $17.5 million, or $1.31 per share, for the three months ended June 30, 2026. This marks a substantial turnaround from a net loss of $1.7 million, or $0.37 per share, during the same period in 2025. The increase in profitability is largely attributed to a $39.1 million rise in total revenues, which surged to $46.1 million from $6.97 million year-over-year, driven by a 561% increase in oil and gas sales volumes following the company's merger activities in October 2025.

In terms of operational metrics, PEDEVCO reported a dramatic increase in production volumes, with crude oil production rising to 450,607 barrels from 100,249 barrels, and natural gas production increasing to 512,805 Mcf from 119,493 Mcf. The company also noted a significant rise in average sales prices for crude oil, which increased by 53% to $94.07 per barrel. However, the average price for natural gas fell by 22% to $2.10 per Mcf, reflecting the volatility in commodity markets.

The company’s financial position has also improved, with total current assets increasing to $39.8 million as of June 30, 2026, compared to $37.8 million at the end of the previous fiscal year. This increase was accompanied by a reduction in current liabilities from $64.5 million to $50.7 million, resulting in a working capital deficit that decreased from $26.7 million to $10.9 million. The improvement in working capital is attributed to a decrease in capital payables and accrued expenses following the completion of certain drilling programs.

Strategically, PEDEVCO has focused on optimizing its existing assets and pursuing additional acreage in economically viable regions. The company has also engaged in a reverse stock split at a ratio of 1-for-20, effective March 13, 2026, which was aimed at enhancing its stock price and marketability. Looking ahead, PEDEVCO anticipates sufficient cash flow to support its operations and development programs, with projected capital expenditures for 2026 estimated between $16 million to $20 million, primarily allocated to its D-J Basin assets.

Overall, PEDEVCO's recent financial results reflect a significant recovery and strategic positioning following its merger activities, with a focus on enhancing production capabilities and optimizing operational efficiencies in the competitive oil and gas market.