Peyto Exploration beats top-line and bottom-line estimates; reaffirms FY25 capex outlook

* Peyto Exploration press release [https://seekingalpha.com/pr/20198803-peyto-reports-second-quarter-2025-results] (OTCPK:PEYUF [https://seekingalpha.com/symbol/PEYUF]): Q2 GAAP EPS of $0.43 beats by $0.08.
* Revenue of $306.99M (+16.4% Y/Y) beats by $64.79M.
* Peyto reported $191.3 million in funds from operations, or $0.95/diluted share, and generated $83.7 million of free funds flow3 in the quarter.
* Net debt5 was reduced by $39.9 million in the quarter and by $105.6 million from December 31, 2024 to $1.24 billion at the end of the quarter.
* Second quarter production volumes averaged 131,754 boe/d (696.6 MMcf/d of natural gas, 15,650 bbls/d of NGLs), a 8% increase year over year (5% on a per-share basis), driven by the Company's capital program.
* Total capital expenditures6 of $104.6 million were recorded in the quarter. Peyto drilled 19 wells (17.7 net), completed 19 wells (16.9 net), and brought 21 wells (18.9 net) to production.
* Peyto delivered a solid operating margin_7_ of 70% and profit margin8 of 28%, resulting in a 10% return on capital employed9 ("ROCE") and a 12% return on equity9 ("ROE"), on a trailing 12-month basis.
* Production averaged 131.8 Mboe/d, up 8% year over year.
* PEYTO’S 2025 CAPITAL GUIDANCE OF $450 TO $500 MILLION REMAINS UNCHANGED with a steady drilling and completion program and greater spending on facilities in the second half of the year.

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* Historical earnings data for Peyto Exploration & Development [https://seekingalpha.com/symbol/PEY:CA/earnings]
* Dividend scorecard for Peyto Exploration & Development [https://seekingalpha.com/symbol/PEY:CA/dividends/scorecard]