GTE Earnings Prediction
The chart below shows how GTE performed 10 days before and after its earnings report, based on data from the past quarters. Typically, GTE sees a +5.22% change in stock price 10 days leading up to the earnings, and a -2.72% change 10 days following the report. On the earnings day itself, the stock moves by -1.72%. This data can give you a slight idea of what to expect for the next quarter's release.
GTE Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
147.29M
-4.94%
-2.70%
Gross Margin
12.79%
-60.93%
-57.76%
Operating Margin
4.64%
-80.41%
-82.21%
Net Margin
-23.23%
-566.47%
-3197.33%
EPS
-1.00
-534.78%
-2600.00%
No Data Available
GTE Earnings Analysis
Gran Tierra Energy Inc Corporation (GTE.A) Earnings Conference Call
Positive
Record Production and Reserves: Gran Tierra achieved record highs across all reserve categories and delivered its highest ever quarterly production in Q4 2024, setting a solid foundation for future growth.
Production Target Achievement: The company successfully met its average production guidance target for 2024, achieving an average working interest production of 34,710 BOE per day, a 6% increase from 2023.
Share Repurchase Confidence: Gran Tierra repurchased 6.7% of its outstanding shares, demonstrating confidence in the company's future prospects and commitment to long-term shareholder value creation.
Production Increase Projection: The company expects a significant production increase in 2025, projecting production of 47,000 to 53,000 BOE per day, driven by a robust development drilling program and successful integration of Canadian assets.
Net Income Turnaround: Gran Tierra reported a net income of $3 million for 2024, a turnaround from a net loss of $6.3 million in 2023, indicating improved financial performance.
Cash and Liquidity Growth: The company ended 2024 with $103 million in cash and cash equivalents, an increase from $62 million at the end of 2023, showcasing strong liquidity management.
Record Year-End Reserves: Gran Tierra achieved the highest year-end reserves in its history, with 167 million BOE of 1P reserves, 293 million BOE of 2P reserves, and 385 million BOE of 3P reserves, reflecting successful exploration and development efforts.
Reserves Replacement Success: The company reported excellent reserves replacement results of 702% for 1P, 1250% for 2P, and 1500% for 3P, marking the sixth consecutive year of 1P reserve growth.
Portfolio Diversification Strategy: Gran Tierra's entry into Canada has diversified its portfolio, with approximately 20% of its production and reserves now attributed to natural gas, enhancing its long-term commodity cycle positioning.
Undeveloped Well Locations Expansion: The company has identified 227 1P and 441 2P undeveloped well locations, positioning Gran Tierra to capitalize on emerging opportunities and deliver value to stakeholders.
Negative
Net Income Analysis: Gran Tierra reported a net income of only $3 million for 2024, a significant decrease from the previous year's net loss of $6.3 million, indicating ongoing financial challenges despite some operational successes.
EBITDA Decline Amid Oil Fluctuations: Adjusted EBITDA decreased by 8% to $367 million in 2024 from $399 million in 2023, reflecting a decline in profitability amid fluctuating oil prices.
Decline in Funds from Operations: Funds from operations fell to $223 million or $7.02 per share in 2024, down from $277 million in 2023, highlighting a decrease in cash flow generation.
Operating Cost Increase: Operating costs increased by 8% to $202 million in 2024 compared to $187 million in 2023, driven by higher workovers and increased energy costs, which could pressure margins going forward.
Production Challenges Impacting Output: The company faced production challenges in the Acordionero field due to downtime related to workovers and deferred production from blockades in Suroriente, which could impact future output.
Oil Sales Decline Impact: Despite a slight decrease in net oil sales by 2% to $622 million in 2024 compared to 2023, the company is still grappling with the effects of lower Brent prices on revenue.
Rising Operating Expenses Impact: The increase in operating expenses per BOE by 2% to $16.14 in 2024 suggests rising costs that may affect overall profitability and operational efficiency.
GTE FAQs
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Is Gran Tierra Energy Inc (GTE) Q4 2024 Earnings Call Summary positive or negative?
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GTE Earning Call Sentiment
Gran Tierra Energy Inc. (AMEX:GTE) Q4 2024 Earnings Call Transcript
GTE.A
1.01%Positive
The earnings call presents a mixed picture. Positive aspects include a share repurchase program, successful acquisition integration, and optimistic production guidance. However, there are concerns about increased operating costs, production challenges, and an 8% decrease in adjusted EBITDA. The Q&A highlights management's confidence but lacks detail on long-term impacts of LNG Canada Phase one. With no market cap data, the prediction remains neutral, considering both positive shareholder returns and operational risks.
