Canada's Cavvy Energy Q4 net operating income rises

Cavvy Energy (Alberta)

18/03/2026 22:16

Overview

Canada energy producer's Q4 production rose 2% yr/yr to 23,003 boe/d

Q4 net operating income was C$20.8 mln, vs C$13.7 mln yr ago

Annual production fell 14% due to voluntary shut-ins at third-party gas facilities

Outlook

Cavvy sees 2026 production at 22,000-24,500 boe/d and sulphur output at 1,000-1,150 mt/d

Company expects 2026 net operating income of C$125 mln to C$140 mln

Cavvy targets year-end 2026 total debt of C$110 mln to C$125 mln

Result Drivers

THIRD-PARTY PROCESSING - Higher third-party raw gas processing volumes and new contracts drove a 135% increase in related revenue in Q4

NATURAL GAS PRODUCTION RESTARTS - Restarted 2,770 mcf/d of natural gas in Northeast BC as AECO pricing rose above break even

Company press release: ID:nGNX4ZT9x2

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Net Income
C$122,000
Q4 Operating Income
C$20.8 mln


Analyst Coverage

The one available analyst rating on the shares is "buy"

The average consensus recommendation for the integrated oil & gas peer group is "buy"

Wall Street's median 12-month price target for Cavvy Energy Ltd is C$1.50, about 20% above its March 18 closing price of C$1.25

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)