Mexco Energy Corporation Reports Financial Results for First Quarter

Rhea-AI Summary

Mexco Energy (NYSE American: MXC) reported financial results for its first quarter of fiscal 2025 ending June 30, 2024. The company achieved net income of $291,039, or $0.14 per diluted share. Operating revenues were $1,727,835, a slight decrease of 1% compared to the same quarter last year. This decline was primarily attributed to a 36% decrease in average natural gas sales prices and a 3.5% decrease in oil and natural gas production. However, these factors were partially offset by a 9% increase in average oil sales prices.

Oil contributed 87% of the company's operating revenues for the quarter. Mexco Energy plans to participate in the drilling of 30 and completion of 19 horizontal wells at an estimated cost of $2.2 million for the fiscal year ending March 31, 2025, with $320,000 already expended.

Positive

• Net income of $291,039 or $0.14 per diluted share
• 9% increase in average oil sales prices
• Oil contributed 87% of operating revenues
• Planned participation in drilling and completion of multiple horizontal wells

Negative

• 1% decrease in operating revenues compared to the previous year
• 36% decrease in average natural gas sales prices
• 3.5% decrease in oil and natural gas production

News Market Reaction

+2.27%

1 alert

+2.27% News Effect

On the day this news was published, MXC gained 2.27%, reflecting a moderate positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

MIDLAND, TX, Aug. 08, 2024 (GLOBE NEWSWIRE) -- Mexco Energy Corporation (NYSE American: MXC) today reported net income of $291,039, or $0.14 per diluted share, for the quarter ending June 30, 2024, the Company’s first quarter of fiscal 2025.

Operating revenues in the first quarter of fiscal 2025 were $1,727,835, a decrease of 1% from the first quarter of fiscal 2024. This was primarily due to a 36% decrease in the average sales price of natural gas and a 3.5% decrease in oil and natural gas production partially offset by a 9% increase in the average sales price of oil. Oil contributed 87% of our operating revenues for the first quarter of fiscal 2025.

The Company currently expects to participate in the drilling of 30 and completion of 19 horizontal wells at an estimated aggregate cost of approximately $2.2 million for the fiscal year ending March 31, 2025, of which approximately $320,000 has been expended to date. The Company is evaluating other prospects for participation during this fiscal year.

Mexco Energy Corporation, a Colorado corporation, is an independent oil and gas company located in Midland, Texas engaged in the acquisition, exploration and development of oil and gas properties primarily in the Permian Basin. For more information on Mexco Energy Corporation, go to www.mexcoenergy.com.

In accordance with the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995, Mexco Energy Corporation cautions that statements in this press release which are forward-looking and which provide other than historical information involve risks and uncertainties that may impact the Company's actual results of operations. These risks include, but are not limited to, production variance from expectations, volatility of oil and gas prices, the need to develop and replace reserves, exploration risks, uncertainties about estimates of reserves, competition, government regulation, and mechanical and other inherent risks associated with oil and gas production. A discussion of these and other factors, including risks and uncertainties, is set forth in the Company's Form 10-K for the fiscal year ended March 31, 2024. Mexco Energy Corporation disclaims any intention or obligation to revise any forward-looking statements.

For additional information, please contact: Tammy L. McComic, President and Chief Financial Officer of Mexco Energy Corporation, (432) 682-1119.

FAQ

What was Mexco Energy's (MXC) net income for Q1 fiscal 2025?

Mexco Energy (MXC) reported a net income of $291,039, or $0.14 per diluted share, for the first quarter of fiscal 2025 ending June 30, 2024.

How did Mexco Energy's (MXC) operating revenues change in Q1 fiscal 2025?

Mexco Energy's operating revenues for Q1 fiscal 2025 were $1,727,835, representing a 1% decrease compared to the same quarter in the previous fiscal year.

What factors affected Mexco Energy's (MXC) revenue in Q1 fiscal 2025?

Mexco Energy's revenue was affected by a 36% decrease in average natural gas sales prices, a 3.5% decrease in oil and natural gas production, and a 9% increase in average oil sales prices.

What are Mexco Energy's (MXC) drilling plans for fiscal year 2025?

Mexco Energy plans to participate in the drilling of 30 and completion of 19 horizontal wells at an estimated cost of $2.2 million for the fiscal year ending March 31, 2025.