0001104659-26-033373
SEC filingBattalion Oil Corporation (BATL) reported total operating revenues of $166.0 million for FY 2025, driven by $165.0 million in oil, natural gas, and natural gas liquids sales plus $1.1 million in other revenue. Operating expenses totaled $172.7 million, including $52.1 million in depletion, depreciation, and accretion, $44.8 million in lease operating costs, and $43.7 million in gathering and other expenses, resulting in a $6.6 million loss from operations. A $45.3 million net gain on derivative contracts offset interest expense and other costs, yielding $11.9 million income before taxes and net income of $11.9 million. Preferred dividends of $48.7 million led to a $36.8 million net loss available to common stockholders, or $2 per basic and diluted share on 16.5 million shares. Proved reserves declined to 59,702 Mboe from 64,947 Mboe in 2024 due to 4,415 Mboe production and negative revisions, partially offset by extensions. Operating cash flow was $39.1 million, with $75.0 million used in investing (primarily $74.6 million oil/gas capex) and $44.1 million from financing. Total assets stood at $460.7 million, cash at $28.0 million, long-term debt at $181.0 million (total debt $208.1 million), and stockholders' deficit at $32.8 million. Investors should note liquidity risks, debt covenants, and Delaware Basin focus amid volatile prices ($66.01/bbl oil, $3.39/MMBtu gas).
Battalion Oil Corporation recorded $166.0 million in total operating revenues for FY 2025 ending December 31, 2025, comprising $165.0 million from oil, natural gas, and NGL sales and $1.1 million other. Operating expenses reached $172.7 million, yielding a $6.6 million loss from operations. Other income included $45.3 million net gain on derivatives, $26.7 million interest expense and other, and $7.5 million loss on debt extinguishment, for $18.5 million total other income and $11.9 million net income. After $48.7 million preferred dividends, net loss to common stockholders was $36.8 million, or $2 per basic/diluted share (16.5 million shares). Proved reserves fell to 59,702 Mboe from 64,947 Mboe in 2024, with production of 4,415 Mboe. No prior-year full financials provided for direct YoY comparison, but reserves declined ~8% amid revisions and production.
Revenues totaled $166.0 million, with $165.0 million from oil, natural gas, and NGL sales (individual breakdowns N/A). Oil prices used for reserves: $66.01/bbl (12-month average WTI); natural gas $3.39/MMBtu (Henry Hub). No geographic segments beyond U.S. (Delaware Basin focus). Production decline inferred from reserves table: ~4.4 Mboe in 2025 vs ~4.6 Mboe in 2024. No growth drivers quantified beyond sales volumes.
No gross profit disclosed; loss from operations implies negative operating margin (-4.0% on $166.0M revenue). High costs: depletion/depreciation/accretion $52.1M (31% of revenue), gathering/other $43.7M (26%), lease operating $44.8M (27%). Derivatives provided key profitability boost ($45.3M gain). Asset impairment $1.1M. Full cost pool net $390.1M after $548.0M accumulated depletion on $938.1M gross properties.
Net cash from operations $39.1M (net income $11.9M + $52.1M depletion + adjustments incl. $29.4M unrealized derivative gain). Investing used $75.0M (oil/gas capex $74.6M, offset by $7.0M asset sales). Financing provided $44.1M (borrowings $63.0M, preferred stock $38.8M, repayments $17.0M). Net cash increase $8.3M; ending cash/restricted $57.6M ($28.0M cash). Total assets $460.7M (net oil/gas properties $390.1M). Liabilities: current $63.6M, LT debt $181.0M (total $208.1M per text), preferred stock $226.2M, stockholders' deficit -$32.8M.
Management highlights Delaware Basin focus with 37,600 net acres (post West Quito divestiture ~31,500). Capex $61.7M developed PUDs in 2025 (vs $28.0M 2024). Recent: West Quito sale $60.1M (Feb 2026, repaid debt), Monument Draw acquisition (Mar 2026). Debt covenants tight (Asset Coverage 1.85x, Leverage <3.20x). Risks: commodity volatility, liquidity ($28.0M cash, no revolver capacity), H2S treating JV impairments ($1.1M), reserve replacement. Standardized measure $343.5M (down from $447.7M 2024). No explicit guidance; emphasis on drilling inventory, hedging.