Permian Resources Corporation Reports 11% Revenue Growth to $1.376 Billion in Q1 2025

Permian Resources Corporation reported a significant increase in financial performance for the first quarter of 2025, with total operating revenues reaching $1.376 billion, up 11% from $1.243 billion in the same period of 2024. The company’s net income attributable to Class A Common Stock was $329.3 million, compared to $146.6 million a year earlier, reflecting a substantial increase in profitability. Basic earnings per share rose to $0.47 from $0.27, while diluted earnings per share increased to $0.44 from $0.25. The growth in revenue and profitability was primarily driven by higher production volumes and improved sales prices for natural gas and natural gas liquids (NGLs).

Operationally, Permian Resources saw a 16% increase in total net production, with oil production rising by 14% to 15.7 million barrels, natural gas production increasing by 17% to 60.6 million cubic feet, and NGL production also up by 17% to 7.7 million barrels. The company attributed these increases to the addition of new wells and acquisitions made since the previous year. However, the average realized price for oil decreased by 7% to $70.48 per barrel, influenced by lower NYMEX crude prices amid ongoing economic and geopolitical concerns.

In terms of expenses, total operating expenses increased to $872 million from $774 million, driven by higher lease operating expenses, severance and ad valorem taxes, and gathering, processing, and transportation costs. Notably, the company did not incur merger and integration expenses in the first quarter of 2025, a significant reduction from $11.1 million in the prior year. The increase in operating expenses was partially offset by a decrease in lease operating expenses per barrel of oil equivalent, which fell to $5.35 from $5.80.

Strategically, Permian Resources completed a bolt-on acquisition in September 2024, acquiring approximately 29,500 net leasehold acres and 9,900 net royalty acres, which contributed to the increase in production. The company also announced plans for a new acquisition in May 2025, entering into a purchase agreement with Apache Corporation for $608 million, which includes approximately 13,320 net leasehold acres. The company intends to fund this acquisition with cash on hand.

Looking ahead, Permian Resources expects to continue generating strong cash flows from operations, with anticipated capital expenditures for 2025 projected between $1.9 billion and $2.0 billion. The company plans to fund these expenditures primarily through cash flows from operations, reflecting confidence in its operational efficiency and market conditions. The company also declared a quarterly base dividend of $0.15 per share, totaling $121 million in cash dividends and distributions for the first quarter, underscoring its commitment to returning capital to shareholders.