Rodrigo Sanhueza's questions to GRAN TIERRA ENERGY (GTE) leadership • Q1 2025
Question
Rodrigo Sanhueza of Santander Asset Management questioned the difference between reported CapEx and cash from investing activities. He also asked about the capital allocation balance between share buybacks and debt reduction, and whether buybacks were intended to offset equity-based compensation.
Answer
CFO Ryan Ellson clarified that the CapEx discrepancy is due to a non-cash working capital change, which is detailed in the financial statement notes. He stressed that debt reduction is a primary focus, with the majority of Q1 cash flow ($27 million) used to reduce gross debt. He also stated that share repurchases are based on the stock's value relative to NAV, not to offset compensation dilution.