Sitio Royalties Q2 net income beats estimates

Reuters
Aug 05
<a href="https://laohu8.com/S/STR">Sitio Royalties</a> <a href="https://laohu8.com/S/QTWO">Q2</a> net income beats estimates

Overview

  • Sitio Royalties Q2 net income of $14.5 mln beats analyst expectations

  • Adjusted EBITDA for Q2 was $125.4 mln, exceeding analyst estimates

  • Company repurchased $8.9 mln in stock and declared $0.36 dividend per share

Outlook

  • Sitio discontinues guidance due to pending merger with Viper Energy

  • Merger with Viper expected to close in Q3 2025

Result Drivers

  • PRODUCTION MAINTENANCE - Maintained production levels with 19.3 MBbls/d oil and 41.9 MBoe/d total

  • ACQUISITIONS - Closed $6.0 mln of acquisitions in Delaware and DJ Basins, adding 430 net royalty acres

  • CAPITAL RETURN - Returned $0.42 per share through dividends and stock repurchases

Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q2 Net Income

Beat

$14.50 mln

$7.25 mln (4 Analysts)

Q2 Adjusted EBITDA

Beat

$125.40 mln

$117.30 mln (6 Analysts)

Q2 Dividend

$0.36

Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", 4 "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 Sitio Royalties Corp is $24.50, about 28% above its August 1 closing price of $17.64

  • The stock recently traded at 50 times the next 12-month earnings vs. a P/E of 62 three months ago

Press Release: ID:nBw7JB7Dya

(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.)

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