Canada's Headwater Exploration Q4 net income slumps

Headwater Exploration

05/03/2026 22:56

Corrects currency in second bullet of Outlook to C$25, from $25

Overview

Canada oil producer's Q4 revenue fell 7% yr/yr

Net income for Q4 decreased 40% yr/yr

Company declared a quarterly dividend of C$0.11 per share

Outlook

Company plans to drill up to 15 additional Grand Rapids wells in 2026

Company plans to spend C$25 mln on exploration in 2026

Result Drivers

RECORD PRODUCTION - Headwater achieved record average production of 24,259 boe/d, a 13% increase over the previous year, driven by increased output from heavy crude oil and natural gas

SECONDARY RECOVERY - Secondary recovery efforts supported significant production levels, particularly in the Grand Rapids and Greater Pelican areas

Company press release: ID:nCNWLj39ba

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 EPS
C$0.12
Q4 Net Income
C$29.3 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the oil & gas exploration and production peer group is "buy"

Wall Street's median 12-month price target for Headwater Exploration Inc is C$11.00, about 11.9% below its March 5 closing price of C$12.48

The stock recently traded at 25 times the next 12-month earnings vs. a P/E of 12 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(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.)