UK's Pharos Energy H1 oil and gas sales rise 30%, net loss narrows
UK's Pharos Energy H1 oil and gas sales rise 30%, net loss narrows
Overview
UK energy producer's H1 oil and gas sales rose 30% yr/yr, driven by higher prices and volumes
Net loss narrowed to $0.4 mln from $2.8 mln in prior year, reflecting higher commodity prices and volumes
Shareholders approved Ratio Petroleum's acquisition of Pharos; completion pending regulatory and court approvals
Outlook
Pharos narrows 2026 production guidance to 5,300-5,900 boepd from 5,200-6,400 boepd
Company expects to drill additional appraisal well TGT-20X in Vietnam in late September 2026
Group estimates 2026 cash capital expenditure at about $54 mln, including $4 mln for TGT-20X
Result Drivers
VIETNAM DRILLING CAMPAIGN - Completion of six-well programme contributed to production and reserves growth, supporting guidance and cash flow
HIGHER REALISED PRICES - Group benefitted from a 27% increase in realised commodity prices, especially in Vietnam and Egypt
EGYPT RECEIVABLES COLLECTION - Financial position strengthened by collection of all outstanding Egyptian receivables
Company press release: ID:nRSW8734Va
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
H1 Oil & Gas Sales |
| $85.50 mln |
|
H1 Gross Profit |
| $25.20 mln |
|
H1 Operating Profit |
| $17.40 mln |
|
Analyst Coverage
The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 2 "strong buy" or "buy", no "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 Pharos Energy PLC is GBp55.50, about 85% above its September 22 closing price of GBp30.00
The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 17 three months ago
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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.)