Executive Summary

Q4 FY2025 delivered resilient results: revenue $21.11M and GAAP diluted EPS $0.10 as net income rebounded to $3.4M; Adjusted EBITDA rose to $8.57M, up 7% YoY and 16% QoQ, supported by stronger gas pricing and portfolio diversification .
Against S&P Global consensus, EPM posted a small revenue beat (~$21.11M vs. ~$21.07M estimate) and a more material Primary EPS beat ($0.03 vs. ~$0.013), implying upside on cost/hedge effects and mix; prior quarter (Q3) was roughly in line on EPS and a revenue beat, while Q4’24 had missed on revenue despite flat EPS outcome (context below) [Values retrieved from S&P Global].
Strategic/capital updates: amended and restated RBL to a $200M revolver with $65M initial borrowing base (maturing Jun-30-2028), declared $0.12/share dividend (48th consecutive), and highlighted continued M&A execution (TexMex) plus a minerals-only SCOOP/STACK acquisition closed in Aug-2025 .
Operationally, Q4 production averaged 7,198 BOEPD (flat YoY, +8% QoQ), with realized gas price +66% YoY offsetting lower oil/NGL prices; Jonah pipeline balancing is expected to benefit Q1 FY2026 volumes, and recently completed Chaveroo wells ran ahead of plan .
Potential stock catalysts: EPS beat vs consensus, dividend sustainability, improved liquidity (RBL) and minerals acquisition, and visibility into near-term volume tailwinds (Jonah make-up volumes; Chaveroo outperformance) .

What Went Well and What Went Wrong

What Went Well
- Adjusted EBITDA grew to $8.57M (+16% QoQ), aided by diversified commodity exposure and hedging gains; management emphasized durable cash generation through cycles .
- Portfolio momentum: four new Chaveroo wells (under budget) exceeding expectations, TexMex contribution, and largest minerals-only SCOOP/STACK deal adding ~5,500 net royalty acres and ~420 net BOE/d at the effective date (Aug’25 close) .
- Management quote: “Fiscal 2025 was a defining year… [we] continued to balance the portfolio—closing the largest minerals-only acquisition in our history and advancing high-return development at Chaveroo—positioning the Company to generate durable cash flow through future cycles.” — CEO Kelly Loyd .
What Went Wrong
- Pricing headwinds: realized oil (-20% YoY) and NGL (-12% YoY) prices pressured revenue; Q4 total revenue declined 6% sequentially to $21.11M .
- LOE drivers included TexMex integration costs, Chaveroo/Hamilton Dome workovers, and Delhi plant maintenance; LOE per BOE stayed elevated vs prior quarter despite YoY stability ($17.35 in Q4 vs $22.32 in Q3) .
- Operational downtime and allocation timing: Delhi safety upgrades and Jonah pipeline balancing weighed on reported volumes in Q4, though make-up volumes are expected to lift Q1 FY2026 .

Financial Results

Headline P&L vs prior periods and SPGI estimates

Metric	Q4 2024	Q3 2025	Q4 2025
Revenue (USD)	$21.227M	$22.561M	$21.108M
Revenue Consensus (SPGI)*	$23.722M	$21.845M	$21.067M
Δ vs Estimate (USD)*	-$2.495M	+$0.716M	+$0.041M
GAAP Diluted EPS	$0.04	-$0.07	$0.10
Primary EPS (SPGI actual)*	$0.03	$0.02	$0.03
Primary EPS Consensus (SPGI)*	$0.035	$0.02	$0.013

Asterisk indicates values retrieved from S&P Global.
Notes: SPGI “Primary EPS” allows consistent estimate comparisons; GAAP diluted EPS shown for completeness from company filings .

Commodity revenue mix (company-reported)

Revenue by Commodity	Q4 2024	Q3 2025	Q4 2025
Oil Revenue	$14.533M	$11.769M	$12.833M
Natural Gas Revenue	$3.582M	$7.790M	$5.648M
NGL Revenue	$3.112M	$3.002M	$2.627M
Total Revenue	$21.227M	$22.561M	$21.108M

Key KPIs and costs

KPI	Q4 2024	Q3 2025	Q4 2025
Avg Production (BOEPD)	7,209	6,667	7,198
Avg Realized Price ($/BOE)	$32.36	$37.60	$32.23
LOE ($/BOE)	$17.39	$22.32	$17.35
Adjusted EBITDA	$8.037M	$7.421M	$8.572M
Cash from Operations	$7.987M	$7.263M	$10.456M

Margins (calculated from reported figures)

Margin	Q4 2024	Q3 2025	Q4 2025
Net Income Margin %	5.8% (=$1.235M/$21.227M)	-9.7% (=-$2.179M/$22.561M)	16.2% (=$3.412M/$21.108M)
EBITDA Margin % (Adj.)	37.8% (=$8.037M/$21.227M)	32.9% (=$7.421M/$22.561M)	40.6% (=$8.572M/$21.108M)

Balance sheet/liquidity (quarter-end)

Metric	Q4 2024	Q3 2025	Q4 2025
Cash & Equivalents	$6.446M	$5.601M	$2.507M
Revolver Borrowings	$39.5M	$35.5M	$37.5M
Total Liquidity (cash + availability)	—	$20.1M	$30.0M

Guidance Changes

Metric	Period	Previous Guidance	Current Guidance	Change
Dividend per share	Fiscal Q1 2026	$0.12/share (run-rate maintained)	$0.12/share declared; payable Sep 30, 2025	Maintained
Credit facility borrowing base	Facility maturity/limits	Expected to reach $65M commitments with new lender; maturity to Apr 2028	Syndicated RBL amended/restated to $200M revolver; initial borrowing base $65M; matures Jun 30, 2028	Finalized/raised
Operational outlook (Jonah)	Near-term volumes	Not specified	Pipeline balancing/allocation timing expected to benefit Q1 FY2026 volumes	New qualitative update
Development pacing (Chaveroo)	FY2026	Not specified	Permitting underway; pacing further drilling to commodity prices	Added qualitative guardrails

No quantitative revenue/margin/OpEx/tax guidance provided. Dividend policy reaffirmed and liquidity enhanced via RBL amendment .

Earnings Call Themes & Trends

Topic	Previous Mentions (Q2 2025, Q3 2025)	Current Period (Q4 2025)	Trend
Capital returns/dividend	Maintained $0.12/share; 46th straight dividend (Q2); 47th in Q3	$0.12/share for Q1 FY26; 48th consecutive payment	Stable, continued priority
Hedging strategy	Flex toward gas hedging under facility covenants (Q3)	Diversified/hedged portfolio cited as cash flow stabilizer	Continued use; mix supports stability
Chaveroo development	Four wells in block 2 under budget/exceeding expectations (Q3)	Four wells brought online under budget; timing of further drilling paced to prices	Execution strong; pacing disciplined
Delhi EOR cost structure	Shift from purchased CO2 to water injection; ~$0.5M/month LOE savings discussed in Q3 Q&A	Q4 notes downtime for safety upgrades; continued recycled CO2 injection	Structural LOE benefits continue; temporary downtime addressed
M&A and minerals	Ongoing SCOOP/STACK activity; TexMex closed in Apr’25 (Q3) [16]	Largest minerals-only acquisition closed Aug’25 in SCOOP/STACK; ~420 net BOE/d at effective date	Accretive consolidation continues
Liquidity/RBL	Expected maturity extension and added lender to $65M commitments (Q3)	Amended/restated RBL to $200M revolver; $65M borrowing base, matures 2028	Enhanced capacity finalized

Management Commentary

“Fiscal 2025 was a defining year for Evolution. We approximated company records in total production and in liquids production… We also continued to balance the portfolio—closing the largest minerals-only acquisition in our history and advancing high-return development at Chaveroo—positioning the Company to generate durable cash flow through future cycles.” — Kelly Loyd, President & CEO .
“Looking ahead, we will remain selective and returns-focused… pacing development to market conditions and using hedges to provide a solid base of returns… [we are] well-positioned to continue executing, supporting our dividend policy, and compounding value for many years to come.” — Kelly Loyd .

Q&A Highlights

Themes covered around portfolio upgrades (TexMex and SCOOP/STACK minerals), balanced commodity mix, and dividend dependability; commentary emphasized low-decline additions and improved capital efficiency positioning for FY2026 .
Public transcript pages indicate the Q4 call highlighted steady production (7,198 BOE/d), Q4 net income $3.4M, Adjusted EBITDA $8.6M, and reiterated the $0.12 dividend as a core capital returns pillar .
Guidance clarifications centered on pacing Chaveroo drilling to commodity prices and leveraging hedges to underpin returns; liquidity flexibility improved through the amended RBL .

Estimates Context

Q4 FY2025 vs SPGI consensus: Revenue ~$21.11M vs ~$21.07M estimate (small beat); Primary EPS $0.03 vs ~~$0.013 estimate (beat). Prior quarter Q3 FY2025 was roughly in line on Primary EPS ($0.02 vs $0.02) and a revenue beat (~~$22.56M vs ~$21.85M). Q4 FY2024 had flat-to-slight EPS miss vs consensus ($0.03 vs ~$0.035) and a revenue miss ($21.23M vs ~$23.72M). Asterisked values from SPGI [Values retrieved from S&P Global].
Implications: The Q4’25 EPS outperformance despite mixed pricing suggests positive cost control, hedge impact, and mix (gas strength) vs modeled assumptions; consensus for small-caps in O&G often carries low estimate counts (3 for Q4), which can amplify realized beats/misses [Values retrieved from S&P Global].

Key Takeaways for Investors

EPS beat with resilient revenue underscores diversified commodity mix and hedging efficacy; Adjusted EBITDA margin expanded sequentially to ~41% (calc.) despite lower oil prices .
Dividend visibility remains high (48th consecutive payment at $0.12), backed by improved liquidity (RBL to $200M, $65M base) and portfolio additions (minerals, TexMex) supporting low-decline cash flows .
Near-term production catalysts include Jonah make-up volumes in Q1 FY2026 and early Chaveroo well outperformance; monitor timing/pace of further Chaveroo drilling tied to oil pricing .
Cost structure at Delhi continues to benefit from reduced purchased CO2 (shift to water injection discussed in prior quarter), helping LOE normalization vs Q3 spikes; watch LOE per BOE trend as integration and maintenance effects roll off .
Balance sheet flexibility plus active M&A pipeline (SCOOP/STACK minerals; TexMex) imply continued capital-light growth; expect management to prioritize returns-focused deals and hedged gas exposure .
Trading setup: Positive estimate surprise, sustained dividend, and liquidity uplift are supportive; sensitivity remains to oil price, but gas strength and hedging are partial offsets .

Asterisk note: All values marked with * are retrieved from S&P Global (Capital IQ) consensus/actuals feeds.

EVOLUTION PETROLEUM CORP (EPM)·Q4 2025 Earnings Summary