VAALCO Energy posts Q1 net loss as sales volumes drop

VAALCO Energy

07/05/2026 21:47

Overview

US oil and gas producer posted Q1 net loss as sales volumes and prices fell

Adjusted EBITDAX for Q1 fell sharply from prior quarters due to lower sales volumes

Company divested Canadian assets and raised 2026 production and sales guidance

Outlook

VAALCO sees Q2 2026 sales volumes at 16,800-18,300 NRI BOPD, up 44% from Q1

Company raises 2026 full-year production and sales NRI volume guidance by 8% and 12%

Company maintains 2026 capital budget guidance at $290-360 mln despite expanded drilling plans

Result Drivers

LOWER SALES VOLUMES - Co said Q1 sales volumes fell due to timing of Gabon liftings, Côte d’Ivoire FPSO shutdown and sale of Canadian assets

DERIVATIVE AND EXPLORATION LOSSES - Net loss driven by realized and unrealized hedging losses and higher exploration expense, including seismic and unsuccessful well costs

PRODUCTION GAINS IN GABON OFFSET - New Gabon wells increased production slightly, but impact was offset by lower sales volumes and inventory timing

Company press release: ID:nGNX7ml3vg

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Adjusted Net Income
-$47.20 mln
Q1 Net Income
-$93.80 mln
Q1 Adjusted EBITDAX
$11.60 mln


Analyst Coverage

The current average analyst rating on the shares is "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 VAALCO Energy Inc is $7.30, about 20.9% above its May 6 closing price of $6.04

The stock recently traded at 23 times the next 12-month earnings vs. a P/E of 9 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.)