Berry Corporation has announced financial and operating results for the fourth quarter and full year 2024, as well as a quarterly cash dividend of $0.03 per share.

Full Year 2024 Highlights

• Delivered results better than the midpoint of guidance on production, operational expenses, G&A and capital expenditures
• Reported net income of $19 million, or $0.25 per diluted share and Adjusted Net Income of $52 million, or $0.68 per diluted share
• Generated operating cash flow of $210 million, Adjusted EBITDA of $292 million and Free Cash Flow of $108 million
• Produced 25.4 MBoe/d (93% oil), in upper end of guidance and even to prior year
• Reduced LOE (net of hedges) by 12% year-over-year; lowered G&A compared to 2023 including 6% reduction in Adjusted G&A 
• Reduced methane emissions by over 80%, with execution completed ahead of plan
• Finalized year-end proved reserves of 107 MMBoe, up 4% over prior year, with a reserve replacement ratio of 147% and an SEC PV-10 value of $2.3 billion

Fourth Quarter 2024 Highlights

Reported a net loss of $2 million, or $(0.02) per diluted share, Adjusted Net Income of $17 million, or $0.21 per diluted share
Generated operating cash flow of $41 million, Adjusted EBITDA of $82 million and Free Cash Flow of $24 million
Produced 26.1 MBoe/d (93% oil), a 5% increase over third quarter and 1% increase year-over-year
Declared a fixed dividend of $0.03 per share, which represents a 3% yield on an annual basis

2025 Outlook

• Full year estimated production of 24.8 - 26.0 MBoe/d, with oil production expected to comprise ~93% of total
• Full year capital program of $110 - $120 million, with flexibility to adjust as commodity prices dictate
• Approximately 40% of Berry’s 2025 capital will be directed to Utah compared to 25% in 2024

Fernando Araujo, Berry’s Chief Executive Officer, said, 
“Our fourth quarter and year-end results highlight our continued success advancing our long-term strategy of generating sustainable free cash flow with high rate of return projects, while improving capital efficiency and our cost structure. Our thermal diatomite asset continues to deliver value enhancing results and provides a catalyst for future opportunities. In 2024, we successfully drilled 28 sidetracks with exceptional results and a rate of return exceeding 100%. These results have unlocked the potential to drill an additional 115 more sidetracks in this asset over the next few years, including up to 34 planned for 2025. Additionally, we expanded development of our 100,000 net acre position in the Uinta Basin. We executed two farm-ins/acreage exchanges providing critical technical data from 6 horizontal wells with peak rates up to 2,000 Boe/d. We closed the year with a refinancing to strengthen our balance sheet and entered 2025 with a disciplined plan designed to ensure capital for development and create value for shareholders.”

“It’s an exciting time to be at Berry. In addition to operating and developing our existing assets efficiently, we are actively pursuing scale and diversification and evaluating accretive deals both large and small. We have the roadmap and the options to enhance our cash flows and sustain production, while simultaneously expanding our inventory and strengthening our balance sheet. Our team has an established track record of delivering on key objectives through cycles and regulatory challenges, and we have a compelling pipeline of value enhancing opportunities.”

CAPITAL STRUCTURE

As of December 31, 2024, Berry had $450 million outstanding on our 2024 Term Loan (defined below) and no borrowings outstanding under the 2024 Revolver (defined below). As of December 31, 2024, the Company had $110 million of liquidity, consisting of $15 million of cash and cash equivalents, $63 million available for borrowings under the 2024 Revolver and $32 million available for delayed draw borrowings under the 2024 Term Loan. Based on current forward commodity prices, Berry expects to be able to fund its 2025 capital development program from cash flow from operations. As of December 31, 2024, the Company had a leverage ratio of 1.49x.

PROVED RESERVES

Berry’s year-end 2024 proved reserves totaled 107 MMBoe, of which 58% were proved developed and 96% were oil. The Company’s YE24 reserve report contains 548 PUD locations. Only 5% of Berry’s California PUD reserves are in areas where new drill permits are constrained and the Company is not currently pursuing alternative CEQA compliance. Berry’s proved reserves and PV-10 estimates as of December 31, 2024 were prepared by DeGolyer and MacNaughton in accordance with applicable rules and guidelines of the SEC. At year-end, The Company’s standardized measure of discounted future cash flows of proved reserves was $1.8 billion and PV-10, utilizing SEC pricing, was $2.3 billion.