$EGY

VAALCO ENERGY INC /DE/

CIK:0000894627|SEC Filings

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) (Unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025	Jun. 30, 2026	Jun. 30, 2025
Revenues:
Crude oil, natural gas and natural gas liquids sales	$ 135,166	$ 96,893	$ 197,765	$ 207,222
Operating costs and expenses:
Production expense	45,470	40,393	73,849	85,198
Exploration expense	65	2,520	22,459	2,520
Depreciation, depletion and amortization	34,272	28,273	52,484	58,578
Loss on sale of assets	0	0	1,202	0
General and administrative expense	11,194	8,496	19,470	17,548
Credit losses and other	573	29	844	2
Total operating costs and expenses	91,574	79,711	170,308	163,846
Operating income (loss)	43,592	17,182	27,457	43,376
Other income (expense):
Derivative gain (loss), net	18,720	400	(51,861)	326
Interest expense, net	(2,750)	(2,572)	(4,449)	(3,866)
Other income (expense), net	(325)	353	(1,359)	(659)
Total other income (expense), net	15,645	(1,819)	(57,669)	(4,199)
Income (loss) before income taxes	59,237	15,363	(30,212)	39,177
Income tax expense	16,792	6,983	21,107	23,066
Net income (loss)	42,445	8,380	(51,319)	16,111
Other comprehensive income
Currency translation adjustments	0	4,759	112	4,876
Comprehensive income (loss)	$ 42,445	$ 13,139	$ (51,207)	$ 20,987
Basic net income (loss) per share:
Net income (loss) per share (in dollars per share)	$ 0.39	$ 0.08	$ (0.49)	$ 0.15
Basic weighted average shares outstanding (in shares)	104,518	103,936	104,389	103,848
Diluted net income (loss) per share:
Net income (loss) per share (in dollars per share)	$ 0.39	$ 0.08	$ (0.49)	$ 0.15
Diluted weighted average shares outstanding (in shares)	104,643	103,958	104,389	103,872

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)	$ (51,319)	$ 16,111
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Depreciation, depletion and amortization	52,484	58,578
Loss on sale of assets	1,202	0
Amortization of deferred financing costs	851	461
Deferred tax benefit	(9,537)	(7,399)
Unrealized foreign exchange loss	432	305
Exploration Expense	13,378	0
Stock-based compensation expense	3,021	2,976
Derivative instruments (gain) loss, net	51,861	(326)
Cash settlements received (paid) on matured derivative contracts, net	(32,587)	214
Credit losses and other	844	2
Equipment and other expensed in operations	3,560	2,448
Change in operating assets and liabilities:
Trade receivables, net	16,697	(47,137)
Accounts with joint venture owners, net	(2,970)	(853)
Other receivables	158	31,200
Crude oil inventory	(3,331)	8,180
Premiums paid on commodity derivative contracts	(1,354)	0
Prepayments and other	(2,896)	(1,673)
Value added tax and other receivables	1,373	6,178
Accounts payable	(3,479)	11,212
Foreign income taxes payable	(11,867)	(20,118)
Accrued liabilities and other	7,954	(9,310)
Net cash provided by operating activities	34,475	51,049
CASH FLOWS FROM INVESTING ACTIVITIES:
Property and equipment expenditures, including exploration expense	(181,636)	(104,426)
Proceeds from the Canada Assets Divestment	25,474	0
Acquisition of oil and gas properties	0	(3,034)
Net cash used in investing activities	(156,162)	(107,460)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from borrowings	117,000	60,000
Dividend distribution	(13,435)	(13,127)
Payments for treasury shares	(1,985)	(709)
Deferred financing costs paid	(2,180)	(6,910)
Payments of finance leases	(6,211)	(6,332)
Net cash provided by financing activities	93,189	32,922
Effects of exchange rate changes on cash	(32)	96
NET CHANGE IN CASH, CASH EQUIVALENTS AND RESTRICTED CASH	(28,530)	(23,393)
CASH, CASH EQUIVALENTS AND RESTRICTED CASH AT BEGINNING OF PERIOD	66,963	97,726
CASH, CASH EQUIVALENTS AND RESTRICTED CASH AT END OF PERIOD	38,433	74,333
Supplemental disclosure of cash flow information:
Income taxes paid in-kind with crude oil	26,737	32,263
Interest paid, net of interest capitalized	2,834	3,160
Supplemental disclosure of non-cash investing and financing activities:
Property and equipment additions incurred but not paid at end of period	7,614	9,491
Recognition of right-of-use finance lease assets and liabilities	0	2,372
Recognition of right-of-use operating lease assets and liabilities	8,058	0
Changes in asset retirement obligation	$ 77	$ 126

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands	Jun. 30, 2026	Dec. 31, 2025
Current assets:
Cash and cash equivalents	$ 30,394	$ 58,900
Restricted cash	112	136
Receivables:
Trade	21,465	39,924
Accounts with joint venture owners, net of allowance for credit losses of $3.1 million and $2.7 million, respectively	7,302	5,420
Other, net of allowance for credit losses of $0.4 million and $— million, respectively	1,603	2,277
Crude oil inventory	5,106	1,774
Prepayments and other	22,910	24,370
Current assets held for sale	0	179
Total current assets	88,892	132,980
Crude oil, natural gas and NGLs properties and equipment, net	709,653	586,095
Other noncurrent assets:
Restricted cash	1,659	1,659
Value added tax and other receivables	8,056	7,149
Right of use operating lease assets	21,779	16,596
Right of use finance lease assets	62,704	68,615
Deferred tax assets	60,966	54,825
Abandonment funding	6,268	6,268
Other long-term assets	8,593	7,362
Noncurrent assets held for sale	0	31,826
Total assets	968,570	913,375
Current liabilities:
Accrued liabilities and other	135,824	106,444
Operating lease liabilities - current portion	6,987	5,744
Finance lease liabilities - current portion	12,337	12,119
Foreign income taxes payable	7,650	19,656
Current liabilities held for sale	0	183
Total current liabilities	203,910	192,000
Asset retirement obligations	81,635	78,406
Operating lease liabilities - net of current portion	14,631	11,183
Finance lease liabilities - net of current portion	50,825	57,256
Deferred tax liabilities	60,234	63,630
Long-term debt	177,000	60,000
Noncurrent liabilities held for sale	0	7,403
Total liabilities	588,235	469,878
Commitments and Contingencies (Note 9)
Shareholders’ equity:
Preferred stock, $25 par value; 500,000 shares authorized, none issued	0	0
Common stock, $0.10 par value; 160,000,000 shares authorized, 124,320,737 and 123,017,656 shares issued, and 105,191,778 and 104,258,253 shares outstanding, respectively	12,432	12,302
Additional paid-in capital	371,427	368,536
Accumulated other comprehensive loss	0	(498)
Less treasury stock, 19,128,959 and 18,759,403 shares, respectively, at cost	(80,718)	(78,733)
Retained earnings	77,194	141,890
Total shareholders’ equity	380,335	443,497
Total liabilities and shareholders’ equity	968,570	913,375
Nonrelated Party
Current liabilities:
Accounts payable	41,006	44,661
Related Party
Current liabilities:
Accounts payable	$ 106	$ 3,193