0001944558FALSE00019445582023-07-312023-07-31
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
________________________
FORM 8-K
________________________
CURRENT REPORT
Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): November 1, 2023
________________________
Vitesse Energy, Inc.
(Exact name of registrant as specified in its charter)
________________________
| | | | | | | | | | | | | | |
Delaware | | 001-41546 | | 88-3617511 |
(State or other jurisdiction of incorporation or organization) | | (Commission File Number) | | (IRS. Employer Identification No.) |
| | | | | | | | |
9200 E. Mineral Avenue, Suite 200 Centennial, Colorado | | 80112 |
(Address of principal executive offices) | | (Zip Code) |
Registrant’s telephone number, including area code: (720) 361-2500
________________________
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2, below):
| | | | | |
o | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
| |
o | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
| |
o | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| |
o | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Securities registered pursuant to Section 12(b) of the Exchange Act:
| | | | | | | | | | | | | | |
Title of each class | | Trading Symbol(s) | | Name of each exchange on which registered |
Common Stock, par value $0.01 per share | | VTS | | New York Stock Exchange |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company x
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o
Item 2.02. Results of Operations and Financial Condition
On November 1, 2023, Vitesse Energy, Inc. (the “Company”) issued a press release announcing its operating and financial results for the quarter ended September 30, 2023. A copy of the press release is furnished as Exhibit 99.1 hereto and incorporated by reference herein.
The information in this Item 2.02 of this Current Report on Form 8-K, including the exhibit hereto, is being furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, (the “Securities Act”) or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing
Item 7.01 Regulation FD Disclosure
In connection with the Company’s press release announcing its operating and financial results for the quarter ended September 30, 2023 and related conference call, the Company posted an updated corporate slide presentation on its website, www.vitesse-vts.com, in the “Investor Relations” section of the site, under “News & Events,” sub-tab “Presentations.”
The information in this Item 7.01 of this Current Report on Form 8-K, including the exhibit hereto, is being furnished and shall not be deemed “filed” for purposes of Section 18 of the Exchange Act, or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.
Item 9.01 Financial Statements and Exhibits
(d)
| | | | | | | | |
Exhibit Number | | Description |
| | |
99.1 | | |
| | |
104 | | Cover Page Interactive Data File (embedded within the Inline XBRL document) |
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| | | | | |
Date: November 1, 2023 | VITESSE ENERGY, INC. |
| |
| /s/ Christopher I. Humber |
| Christopher I. Humber |
| General Counsel and Secretary |
VITESSE ENERGY ANNOUNCES THIRD QUARTER 2023 RESULTS AND DECLARES $0.50 QUARTERLY CASH DIVIDEND
CENTENNIAL, Colo. – November 1, 2023 – Vitesse Energy, Inc. (NYSE: VTS) (“we,” “our,” “Vitesse,” or the “Company”) today announced the Company’s third quarter 2023 financial and operating results and declared a quarterly cash dividend.
HIGHLIGHTS
•Declared a quarterly cash dividend of $0.50 per common share to be paid on December 29, 2023
•As previously announced, acquired additional oil and gas interests that will result in approximately $50.0 million of acquisition and related development capital expenditures primarily before year-end 2023
•Net loss of $1.5 million and Adjusted Net Income(1) of $11.1 million, with the difference primarily attributable to the non-cash unrealized mark-to-market loss from the Company’s hedging portfolio
•Adjusted EBITDA(1) of $34.7 million
•Cash flow from operations of $32.1 million and Free Cash Flow(1) of $17.2 million
•Production of 11,009 barrels of oil equivalent (“Boe”) per day (67% oil)
•Total cash development capital expenditures and acquisition costs of $34.1 million
•Total debt of $56.0 million and Net Debt to Adjusted EBITDA ratio(1) of 0.39
(1) Non-GAAP financial measure; see reconciliation schedules at the end of this release
MANAGEMENT COMMENTS
Bob Gerrity, Vitesse’s Chairman and Chief Executive Officer commented, “Vitesse continues to execute on our core business plan. We support our dividend and selectively grow production through the conversion of our undeveloped asset base and the acquisition of highly economic near-term development opportunities, while maintaining a conservative balance sheet. We continue to add hedges at prices deemed attractive to protect the dividend and enhance returns on our capital spending.”
STOCKHOLDER RETURNS
Vitesse’s Board of Directors declared its fourth quarter cash dividend for Vitesse’s common stock of $0.50 per share for stockholders of record as of December 15, 2023, which will be paid on December 29, 2023.
On September 29, 2023, the Company paid its third quarter cash dividend of $0.50 per share to common stockholders of record as of September 15, 2023.
FINANCIAL AND OPERATING RESULTS
Third quarter net loss was $1.5 million and Adjusted Net Income was $11.1 million. Adjusted EBITDA was $34.7 million. See “Non-GAAP Financial Measures” below.
Oil and gas production for the third quarter of 2023 averaged 11,009 Boe per day. For the nine months ended September 30, 2023, oil and gas production averaged 11,295 Boe per day. Oil represented 67% of production and 97% of total revenue in the third quarter of 2023. Total revenue, including the effects of our realized hedges, for the third quarter of 2023 was $53.6 million.
Vitesse’s average realized oil and natural gas prices before hedging were $78.45 per Bbl and $0.88 per Mcf, respectively, during the third quarter of 2023. Vitesse hedges a portion of its oil production to reduce the impact of price volatility on its financial results, support its dividend, and increase returns on its capital spending. In the third quarter, the Company had hedges covering 52% of oil production and its realized oil price with hedging was $76.35 per Bbl.
Lease operating expenses in the third quarter of 2023 were $10.0 million, or $9.86 per Boe, an increase of 9% on a per unit basis compared to the second quarter of 2023. The higher lease operating expense is primarily related to increased workover operations.
General and administrative (“G&A”) expenses for the third quarter of 2023 totaled $3.8 million, or $3.77 per Boe, a decrease of 13% on a per unit basis compared to the second quarter of 2023. The decrease in G&A expense was primarily due to the absence this quarter of costs related to the spin-off from Jefferies Financial Group Inc. on January 13, 2023 (the “Spin-Off”).
LIQUIDITY AND CAPITAL EXPENDITURES
As of September 30, 2023, Vitesse had $1.7 million in cash and $56.0 million of borrowings outstanding on its revolving credit facility. Vitesse had total liquidity of $115.7 million as of September 30, 2023, consisting of cash and $114.0 million of committed borrowing availability under its revolving credit facility.
In November 2023, the Company expects to complete its semi-annual redetermination of its revolving credit facility. The borrowing base is anticipated to remain at $245 million with the elected commitment increasing to $180 million from $170 million.
During the quarter, Vitesse spent $16.5 million on development capital expenditures and $17.6 million on acquisitions of oil and gas properties.
OPERATIONS UPDATE
The Company owned a working interest in 263 gross (7.7 net) wells that were either drilling or in the completion phase, and another 389 gross (10.0 net) locations that had been permitted for development at the end of the quarter. In the third quarter, Vitesse agreed to participate in 119 gross (4.0 net) future wells through approved or acquired authorization for expenditures (“AFEs”).
2023 ANNUAL GUIDANCE AND PRELIMINARY 2024 OUTLOOK
Vitesse reaffirms its previously revised 2023 annual guidance and preliminary 2024 outlook, which are set forth below.
| | | | | | | | |
| Revised 2023 Guidance | Preliminary 2024 Outlook |
Annual Production (Boe per day) | 11,500 - 11,700 | 12,500 - 13,500 |
Oil as a Percentage of Annual Production | 66% - 68% | 67% - 71% |
Total Capital Expenditures ($ in millions) | $110 - $130 | $90 - $110 |
THIRD QUARTER 2023 RESULTS
Vitesse Energy, LLC is the “predecessor” of Vitesse for financial reporting purposes. As a result, unless otherwise indicated, the 2022 financial and operating data presented in this release are those of Vitesse Energy, LLC and do not include the financial and operating data of Vitesse Oil, LLC, which was acquired as part of the Spin-Off. The following table sets forth selected financial and operating data for the periods indicated.
| | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | |
| QUARTER ENDED SEPTEMBER 30, | | INCREASE (DECREASE) |
($ in thousands, except production and per unit data) | 2023 | | 2022 | | AMOUNT | | PERCENT |
Financial and Operating Results: | | | | | | | |
Revenue | | | | | | | |
Oil | $ | 53,293 | | | $ | 62,387 | | | $ | (9,094) | | | (15 | %) |
Natural gas | 1,761 | | | 14,711 | | | (12,950) | | | (88 | %) |
Total revenue | $ | 55,054 | | | $ | 77,098 | | | $ | (22,044) | | | (29 | %) |
Operating Expenses | | | | | | | |
Lease operating expense | $ | 9,985 | | | $ | 8,323 | | | $ | 1,662 | | | 20 | % |
Production taxes | 5,152 | | | 6,636 | | | (1,484) | | | (22 | %) |
General and administrative | 3,820 | | | 5,745 | | | (1,925) | | | (34 | %) |
Depletion, depreciation, amortization, and accretion | 19,013 | | | 17,777 | | | 1,236 | | | 7 | % |
Equity-based compensation | 1,146 | | | (17,329) | | | 18,475 | | | 107 | % |
Interest Expense | $ | 1,166 | | | $ | 1,250 | | | $ | (84) | | | (7 | %) |
Commodity Derivative Gain (Loss), Net | $ | (17,083) | | | $ | 31,037 | | | $ | (48,120) | | | (155 | %) |
Income Tax Benefit | $ | (796) | | | $ | — | | | $ | (796) | | | 100 | % |
Production Data: | | | | | | | |
Oil (MBbls) | 679 | | | 697 | | | (18) | | | (3 | %) |
Natural gas (MMcf) | 2,001 | | | 1,981 | | | 20 | | | 1 | % |
Combined volumes (MBoe) | 1,013 | | | 1,027 | | | (14) | | | (1 | %) |
Daily combined volumes (Boe/d) | 11,009 | | | 11,166 | | | (157) | | | (1 | %) |
Average Realized Prices before Hedging: | | | | | | | |
Oil (per Bbl) | $ | 78.45 | | | $ | 89.51 | | | $ | (11.06) | | | (12 | %) |
Natural gas (per Mcf) | 0.88 | | | 7.42 | | | (6.54) | | | (88 | %) |
Combined (per Boe) | 54.36 | | | 75.05 | | | (20.69) | | | (28 | %) |
Average Realized Prices with Hedging: | | | | | | | |
Oil (per Bbl) | $ | 76.35 | | | $ | 73.54 | | | $ | 2.81 | | | 4 | % |
Natural gas (per Mcf) | 0.88 | | | 7.42 | | | (6.54) | | | (88 | %) |
Combined (per Boe) | 52.95 | | | 64.22 | | | (11.27) | | | (18 | %) |
Average Costs (per Boe): | | | | | | | |
Lease operating | $ | 9.86 | | | $ | 8.10 | | | $ | 1.76 | | | 22 | % |
Production taxes | 5.09 | | | 6.46 | | | (1.37) | | | (21 | %) |
General and administrative | 3.77 | | | 5.59 | | | (1.82) | | | (33 | %) |
Depletion, depreciation, amortization, and accretion | 18.77 | | | 17.31 | | | 1.46 | | | 8 | % |
| | | | | | | |
COMMODITY HEDGING
Vitesse hedges a portion of its expected annual oil production volumes to increase the predictability and certainty of its cash flow and to help maintain a strong financial position. Vitesse does not currently have hedges in place on its expected natural gas production volumes. The following table summarizes Vitesse’s open oil commodity derivative swap contracts scheduled to settle after September 30, 2023, including those entered into in October 2023.
| | | | | | | | | | | |
| | | |
SETTLEMENT PERIOD | OIL (Bbls) | | WEIGHTED AVERAGE PRICE $ |
Swaps-Crude Oil | | | |
2023: | | | |
Q4 | 399,998 | | $ | 79.11 | |
2024: | | | |
Q1 | 402,498 | | $ | 79.03 | |
Q2 | 382,500 | | $ | 79.13 | |
Q3 | 327,500 | | $ | 78.50 | |
Q4 | 262,500 | | $ | 79.12 | |
2025: | | | |
Q1 | 90,000 | | $ | 75.30 | |
Q2 | 90,000 | | $ | 75.30 | |
| | | |
The following table presents Vitesse’s settlements on commodity derivative instruments and unsettled gains and losses on open commodity derivative instruments for the periods presented:
| | | | | | | | | | | |
| | | |
| QUARTER ENDED SEPTEMBER 30, |
(in thousands) | 2023 | | 2022 |
Realized (loss) on commodity derivatives | $ | (1,424) | | | $ | (11,128) | |
Unrealized (loss) gain on commodity derivatives | (15,659) | | | 42,165 | |
Total commodity derivative gain (loss) | $ | (17,083) | | | $ | 31,037 | |
| | | |
Q3 2023 EARNINGS RELEASE CONFERENCE CALL
In conjunction with Vitesse’s release of its financial and operating results, investors, analysts and other interested parties are invited to listen to a conference call with management on Thursday, November 2, 2023 at 9:00 a.m. Eastern Time.
An updated corporate slide presentation that may be referenced on the conference call will be posted prior to the conference call on Vitesse’s website, www.vitesse-vts.com, in the “Investor Relations” section of the site, under “News & Events,” sub-tab “Presentations.”
Those wishing to listen to the conference call may do so via the Company’s website or by phone as follows:
Website: https://event.choruscall.com/mediaframe/webcast.html?webcastid=lzstGtPj
Dial-In Number: 877-407-0778 (US/Canada) and 201-689-8565 (International)
Conference ID: 13742191 - Vitesse Energy Third Quarter 2023 Earnings Call
Replay Dial-In Number: 877-660-6853 (US/Canada) 201-612-7415 (International)
Replay Access Code: 13742191 - Replay will be available through November 9, 2023
UPCOMING INVESTOR EVENTS
Vitesse management will be participating in the following upcoming investor events:
•Stephens Investment Conference - Nashville - November 14, 2023.
•Southwest IDEAS Conference - Dallas - November 16, 2023.
•Capital One Securities Energy Conference - Houston - December 4-5, 2023.
Any investor presentations to be used for such events will be posted prior to the events on Vitesse’s website, www.vitesse-vts.com, in the “Investor Relations” section of the site, under “News & Events,” sub-tab “Presentations.”
ABOUT VITESSE ENERGY, INC.
Vitesse Energy, Inc. is focused on returning capital to stockholders through owning financial interests as a non-operator in oil and gas wells drilled by leading US operators.
More information about Vitesse can be found at www.vitesse-vts.com.
FORWARD-LOOKING STATEMENTS
This press release contains forward-looking statements regarding future events and future results that are subject to the safe harbors created under the Securities Act of 1933 and the Securities Exchange Act of 1934. All statements other than statements of historical facts included in this release regarding Vitesse’s financial position, operating and financial performance, business strategy, dividend plans and practices, guidance, plans and objectives of management for future operations, and industry conditions are forward-looking statements. When used in this release, forward-looking statements are generally accompanied by terms or phrases such as “estimate,” “project,” “predict,” “believe,” “expect,” “continue,” “anticipate,” “target,” “could,” “plan,” “intend,” “seek,” “goal,” “will,” “should,” “may” or other words and similar expressions that convey the uncertainty of future events or outcomes. Items contemplating or making assumptions about actual or potential future production and sales, market size, collaborations, and trends or operating results also constitute such forward-looking statements.
Forward-looking statements involve inherent risks and uncertainties, and important factors (many of which are beyond Vitesse’s control) that could cause actual results to differ materially from those set forth in the forward-looking statements, including the following: changes in oil and natural gas prices; the pace of drilling and completions activity on Vitesse’s properties; Vitesse’s ability to acquire additional development opportunities; potential acquisition transactions; integration and benefits of property acquisitions, or the effects of such acquisitions on Vitesse’s cash position and levels of indebtedness; changes in Vitesse’s reserves estimates or the value thereof; disruptions to Vitesse’s business due to acquisitions and other significant transactions; infrastructure constraints and related factors affecting Vitesse’s properties; cost inflation or supply chain disruption; ongoing legal disputes over and potential shutdown of the Dakota Access Pipeline; the COVID-19 pandemic and its related economic repercussions and effect on the oil and natural gas industry; the impact of general economic or industry conditions, nationally and/or in the communities in which Vitesse conducts business, including central bank policy actions, bank failures and associated liquidity risks; changes in the interest rate environment, legislation or regulatory requirements; conditions of the securities markets; Vitesse’s ability to raise or access capital; cyber-related risks; changes in accounting principles, policies or guidelines; and financial or political instability, health-related epidemics, acts of war (including the armed conflict in Israel and Ukraine) or terrorism, and other economic, competitive, governmental, regulatory and technical factors affecting Vitesse’s operations, products and prices. Additional information concerning potential factors that could affect future results is included in the section entitled “Item 1A. Risk Factors” and other sections of Vitesse’s Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q, as updated from time to time in amendments and subsequent reports filed with the SEC, which describe factors that could cause Vitesse’s actual results to differ from those set forth in the forward looking statements.
Vitesse has based these forward-looking statements on its current expectations and assumptions about future events. While management considers these expectations and assumptions to be reasonable, they are inherently subject to significant business, economic, competitive, regulatory and other risks, contingencies and uncertainties, most of which are difficult to predict and many of which are beyond Vitesse’s control. Vitesse does not undertake any duty to update or revise any forward-looking statements, except as may be required by the federal securities laws.
FINANCIAL INFORMATION
VITESSE ENERGY, INC.
Condensed Consolidated Statements of Operations (Unaudited)
| | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | |
| FOR THE THREE MONTHS ENDED | | FOR THE NINE MONTHS ENDED |
| SEPTEMBER 30, | | SEPTEMBER 30, |
(In thousands, except share and unit data) | 2023 | | 2022 | | 2023 | | 2022 |
Revenue | | | | | | | |
Oil | $ | 53,293 | | | $ | 62,387 | | | $ | 152,512 | | | $ | 179,508 | |
Natural gas | 1,761 | | | 14,711 | | | 12,090 | | | 41,366 | |
Total revenue | 55,054 | | | 77,098 | | | 164,602 | | | 220,874 | |
Operating Expenses | | | | | | | |
Lease operating expense | 9,985 | | | 8,323 | | | 28,384 | | | 22,483 | |
Production taxes | 5,152 | | | 6,636 | | | 15,325 | | | 18,612 | |
General and administrative | 3,820 | | | 5,745 | | | 19,143 | | | 12,252 | |
Depletion, depreciation, amortization, and accretion | 19,013 | | | 17,777 | | | 56,233 | | | 46,953 | |
Equity-based compensation | 1,146 | | | (17,329) | | | 30,545 | | | 4,911 | |
Total operating expenses | 39,116 | | | 21,152 | | | 149,630 | | | 105,211 | |
Operating Income | 15,938 | | | 55,946 | | | 14,972 | | | 115,663 | |
Other (Expense) Income | | | | | | | |
Commodity derivative gain (loss), net | (17,083) | | | 31,037 | | | (4,885) | | | (17,338) | |
Interest expense | (1,166) | | | (1,250) | | | (3,461) | | | (3,003) | |
Other income | 49 | | | 6 | | | 99 | | | 12 | |
Total other (expense) income | (18,200) | | | 29,793 | | | (8,247) | | | (20,329) | |
| | | | | | | |
Income (Loss) Before Income Taxes | $ | (2,262) | | | $ | 85,739 | | | $ | 6,725 | | | $ | 95,334 | |
| | | | | | | |
(Provision for) Benefit from Income Taxes | 796 | | | — | | | (46,386) | | | — | |
| | | | | | | |
Net Income (Loss) | $ | (1,466) | | | $ | 85,739 | | | $ | (39,661) | | | $ | 95,334 | |
Net income attributable to Predecessor common unit holders | — | | | 85,739 | | | 1,832 | | | 95,334 | |
Net Income (Loss) Attributable to Vitesse Energy, Inc. | $ | (1,466) | | | $ | — | | | $ | (41,493) | | | $ | — | |
| | | | | | | |
Weighted average common shares / Predecessor common unit outstanding – basic | 29,659,763 | | | 438,625,000 | | | 29,660,924 | | | 438,625,000 | |
Weighted average common shares / Predecessor common unit outstanding – diluted | 29,659,763 | | | 438,625,000 | | | 29,660,924 | | | 438,625,000 | |
Net income (loss) per common share / Predecessor common unit – basic | $ | (0.05) | | | $ | 0.19 | | | $ | (1.40) | | | $ | 0.21 | |
Net income (loss) per common share / Predecessor common unit – diluted | $ | (0.05) | | | $ | 0.19 | | | $ | (1.40) | | | $ | 0.21 | |
Net loss per Predecessor non-founder MIUs classified as temporary equity–basic and diluted | | | $ | — | | | | | $ | — | |
| | | | | | | |
VITESSE ENERGY, INC.
Condensed Consolidated Balance Sheets (Unaudited)
| | | | | | | | | | | |
| | | |
| SEPTEMBER 30, | | DECEMBER 31, |
(in thousands, except shares and units) | 2023 | | 2022 |
Assets | | | |
Current Assets | | | |
Cash | $ | 1,747 | | | $ | 10,007 | |
Revenue receivable | 38,198 | | | 41,393 | |
Commodity derivatives | — | | | 2,112 | |
Prepaid expenses and other current assets | 1,550 | | | 841 | |
Total current assets | 41,495 | | | 54,353 | |
Oil and Gas Properties-Using the successful efforts method of accounting | | | |
Proved oil and gas properties | 1,135,849 | | | 985,751 | |
Less accumulated DD&A and impairment | (438,714) | | | (382,974) | |
Total oil and gas properties | 697,135 | | | 602,777 | |
Other Property and Equipment—Net | 166 | | | 114 | |
Other Assets | | | |
Commodity derivatives | 325 | | | 1,155 | |
Other noncurrent assets | 1,845 | | | 2,085 | |
Total other assets | 2,170 | | | 3,240 | |
Total assets | $ | 740,966 | | | $ | 660,484 | |
Liabilities, Redeemable Units and Equity | | | |
Current Liabilities | | | |
Accounts payable | $ | 24,466 | | | $ | 7,207 | |
Accrued liabilities | 52,656 | | | 25,849 | |
Commodity derivatives | 6,296 | | | 3,439 | |
Other current liabilities | — | | | 184 | |
Total current liabilities | 83,418 | | | 36,679 | |
Long-term Liabilities | | | |
Revolving credit facility | 56,000 | | | 48,000 | |
Deferred tax liability | 48,456 | | | — | |
Asset retirement obligations | 7,633 | | | 6,823 | |
Other noncurrent liabilities | 4,252 | | | — | |
Total liabilities | $ | 199,759 | | | $ | 91,502 | |
Commitments and Contingencies | | | |
Predecessor Redeemable Management Incentive Units | — | | | 4,559 | |
Equity | | | |
Preferred stock, $0.01 par value, 5,000,000 shares authorized; 0 shares issued at September 30, 2023 | — | | | — | |
Common stock, $0.01 par value, 95,000,000 shares authorized; 32,812,025 shares issued at September 30, 2023 | 328 | | | — | |
Additional paid-in capital | 582,372 | | | — | |
Accumulated deficit | (41,493) | | | — | |
Predecessor members' equity-common units-450,000,000 units outstanding | — | | | 564,423 | |
Total equity | 541,207 | | | 564,423 | |
Total liabilities, redeemable units and equity | $ | 740,966 | | | $ | 660,484 | |
| | | |
NON-GAAP FINANCIAL MEASURES
Vitesse defines Adjusted Net Income as net income before (i) non-cash gains and losses on unsettled derivative instruments, and (ii) non-cash unit-based compensation; reduced by the estimated impact of income tax expense.
Net Debt is calculated by deducting cash on hand from the amount outstanding on our revolving credit facility as of the balance sheet or measurement date.
Adjusted EBITDA is defined as net income before expenses for interest, income taxes, depletion, depreciation, amortization and accretion, and excludes non-cash equity-based compensation and non-cash gains and losses on unsettled derivative instruments.
Net Debt to Adjusted EBITDA ratio is defined as Net Debt divided by annualized third quarter 2023 EBITDA.
Vitesse defines Free Cash Flow as cash flow from operations, adding back changes in operating assets and liabilities, less development of oil and gas properties.
Management believes the use of these non-GAAP financial measures provides useful information to investors to gain an overall understanding of financial performance. Specifically, management believes the non-GAAP financial measures included herein provide useful information to both management and investors by excluding certain items that management believes are not indicative of Vitesse’s core operating results. In addition, these non-GAAP financial measures are used by management for budgeting and forecasting as well as subsequently measuring Vitesse’s performance, and management believes it is providing investors with financial measures that most closely align to its internal measurement processes. A reconciliation of each of the non-GAAP financial measures to the most directly comparable GAAP measure is included below.
RECONCILIATION OF ADJUSTED NET INCOME
| | | | | |
| |
| FOR THE THREE MONTHS ENDED SEPTEMBER 30, |
(in thousands) | 2023 |
Income (Loss) Before Income Taxes | $ | (2,262) | |
Add: | |
Unrealized loss (gain) on derivative instruments | 15,659 | |
Equity-based compensation | 1,146 | |
Adjusted Income Before Adjusted Income Tax Expense | 14,543 | |
| |
Adjusted Income Tax Expense(1) | (3,403) | |
| |
Adjusted Net Income (non-GAAP) | $ | 11,140 | |
| |
(1)The Company determined the income tax impact on the “Adjusted Income Before Adjusted Income Tax Expense” using the relevant statutory tax rate of 23.4%.
RECONCILIATION OF ADJUSTED EBITDA AND NET DEBT TO ADJUSTED EBITDA RATIO
| | | | | |
| |
| FOR THE THREE MONTHS ENDED SEPTEMBER 30, |
(in thousands except for ratio) | 2023 |
Revolving credit facility | $ | 56,000 | |
Cash | 1,747 |
Net Debt | $ | 54,253 | |
| |
Net Income (Loss) | $ | (1,466) | |
Add: | |
Interest expense | 1,166 |
Benefit from income taxes | (796) |
Depletion, depreciation, amortization, and accretion | 19,013 | |
Equity-based compensation | 1,146 | |
Unrealized loss (gain) on commodity derivatives | 15,659 | |
Adjusted EBITDA | $ | 34,722 | |
| |
Annualized Adjusted EBITDA | 138,888 | |
Net Debt to Adjusted EBITDA ratio | 0.39 | |
| |
RECONCILIATION OF FREE CASH FLOW
| | | | | |
| |
| FOR THE THREE MONTHS ENDED SEPTEMBER 30, |
(in thousands) | 2023 |
Net cash provided by operating activities | $ | 32,060 | |
Add back: changes in operating assets and liabilities | 1,658 | |
Cash flow from operations before changes in operating assets and liabilities | 33,718 | |
Less: development of oil and gas properties | (16,477) | |
Free Cash Flow | $ | 17,241 | |
| |
INVESTOR AND MEDIA CONTACT
Ben Messier, CFA
Director – Investor Relations and Business Development
(720) 532-8232
benmessier@vitesse-vts.com
v3.23.3
Cover
|
Jul. 31, 2023 |
Cover [Abstract] |
|
Document Type |
8-K
|
Document Period End Date |
Nov. 01, 2023
|
Entity Registrant Name |
Vitesse Energy, Inc.
|
Entity Incorporation, State or Country Code |
DE
|
Entity File Number |
001-41546
|
Entity Tax Identification Number |
88-3617511
|
Entity Address, Address Line One |
9200 E. Mineral Avenue,
|
Entity Address, Address Line Two |
Suite 200
|
Entity Address, City or Town |
Centennial,
|
Entity Address, State or Province |
CO
|
Entity Address, Postal Zip Code |
80112
|
City Area Code |
(720)
|
Local Phone Number |
361-2500
|
Written Communications |
false
|
Pre-commencement Tender Offer |
false
|
Pre-commencement Issuer Tender Offer |
false
|
Soliciting Material |
false
|
Title of 12(b) Security |
Common Stock, par value $0.01 per share
|
Trading Symbol |
VTS
|
Security Exchange Name |
NYSE
|
Entity Emerging Growth Company |
true
|
Entity Ex Transition Period |
false
|
Entity Central Index Key |
0001944558
|
Amendment Flag |
false
|
X |
- DefinitionBoolean flag that is true when the XBRL content amends previously-filed or accepted submission.
+ References
+ Details
Name: |
dei_AmendmentFlag |
Namespace Prefix: |
dei_ |
Data Type: |
xbrli:booleanItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionFor the EDGAR submission types of Form 8-K: the date of the report, the date of the earliest event reported; for the EDGAR submission types of Form N-1A: the filing date; for all other submission types: the end of the reporting or transition period. The format of the date is YYYY-MM-DD.
+ References
+ Details
Name: |
dei_DocumentPeriodEndDate |
Namespace Prefix: |
dei_ |
Data Type: |
xbrli:dateItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionThe type of document being provided (such as 10-K, 10-Q, 485BPOS, etc). The document type is limited to the same value as the supporting SEC submission type, or the word 'Other'.
+ References
+ Details
Name: |
dei_DocumentType |
Namespace Prefix: |
dei_ |
Data Type: |
dei:submissionTypeItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionAddress Line 1 such as Attn, Building Name, Street Name
+ References
+ Details
Name: |
dei_EntityAddressAddressLine1 |
Namespace Prefix: |
dei_ |
Data Type: |
xbrli:normalizedStringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionAddress Line 2 such as Street or Suite number
+ References
+ Details
Name: |
dei_EntityAddressAddressLine2 |
Namespace Prefix: |
dei_ |
Data Type: |
xbrli:normalizedStringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- Definition
+ References
+ Details
Name: |
dei_EntityAddressCityOrTown |
Namespace Prefix: |
dei_ |
Data Type: |
xbrli:normalizedStringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionCode for the postal or zip code
+ References
+ Details
Name: |
dei_EntityAddressPostalZipCode |
Namespace Prefix: |
dei_ |
Data Type: |
xbrli:normalizedStringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionName of the state or province.
+ References
+ Details
Name: |
dei_EntityAddressStateOrProvince |
Namespace Prefix: |
dei_ |
Data Type: |
dei:stateOrProvinceItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionA unique 10-digit SEC-issued value to identify entities that have filed disclosures with the SEC. It is commonly abbreviated as CIK.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Exchange Act -Number 240 -Section 12 -Subsection b-2
+ Details
Name: |
dei_EntityCentralIndexKey |
Namespace Prefix: |
dei_ |
Data Type: |
dei:centralIndexKeyItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionIndicate if registrant meets the emerging growth company criteria.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Exchange Act -Number 240 -Section 12 -Subsection b-2
+ Details
Name: |
dei_EntityEmergingGrowthCompany |
Namespace Prefix: |
dei_ |
Data Type: |
xbrli:booleanItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionCommission file number. The field allows up to 17 characters. The prefix may contain 1-3 digits, the sequence number may contain 1-8 digits, the optional suffix may contain 1-4 characters, and the fields are separated with a hyphen.
+ References
+ Details
Name: |
dei_EntityFileNumber |
Namespace Prefix: |
dei_ |
Data Type: |
dei:fileNumberItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionTwo-character EDGAR code representing the state or country of incorporation.
+ References
+ Details
Name: |
dei_EntityIncorporationStateCountryCode |
Namespace Prefix: |
dei_ |
Data Type: |
dei:edgarStateCountryItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionThe exact name of the entity filing the report as specified in its charter, which is required by forms filed with the SEC.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Exchange Act -Number 240 -Section 12 -Subsection b-2
+ Details
Name: |
dei_EntityRegistrantName |
Namespace Prefix: |
dei_ |
Data Type: |
xbrli:normalizedStringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionThe Tax Identification Number (TIN), also known as an Employer Identification Number (EIN), is a unique 9-digit value assigned by the IRS.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Exchange Act -Number 240 -Section 12 -Subsection b-2
+ Details
Name: |
dei_EntityTaxIdentificationNumber |
Namespace Prefix: |
dei_ |
Data Type: |
dei:employerIdItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionLocal phone number for entity.
+ References
+ Details
Name: |
dei_LocalPhoneNumber |
Namespace Prefix: |
dei_ |
Data Type: |
xbrli:normalizedStringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionBoolean flag that is true when the Form 8-K filing is intended to satisfy the filing obligation of the registrant as pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Exchange Act -Number 240 -Section 13e -Subsection 4c
+ Details
Name: |
dei_PreCommencementIssuerTenderOffer |
Namespace Prefix: |
dei_ |
Data Type: |
xbrli:booleanItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionBoolean flag that is true when the Form 8-K filing is intended to satisfy the filing obligation of the registrant as pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Exchange Act -Number 240 -Section 14d -Subsection 2b
+ Details
Name: |
dei_PreCommencementTenderOffer |
Namespace Prefix: |
dei_ |
Data Type: |
xbrli:booleanItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionTitle of a 12(b) registered security.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Exchange Act -Number 240 -Section 12 -Subsection b
+ Details
Name: |
dei_Security12bTitle |
Namespace Prefix: |
dei_ |
Data Type: |
dei:securityTitleItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionName of the Exchange on which a security is registered.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Exchange Act -Number 240 -Section 12 -Subsection d1-1
+ Details
Name: |
dei_SecurityExchangeName |
Namespace Prefix: |
dei_ |
Data Type: |
dei:edgarExchangeCodeItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionBoolean flag that is true when the Form 8-K filing is intended to satisfy the filing obligation of the registrant as soliciting material pursuant to Rule 14a-12 under the Exchange Act.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Exchange Act -Section 14a -Number 240 -Subsection 12
+ Details
Name: |
dei_SolicitingMaterial |
Namespace Prefix: |
dei_ |
Data Type: |
xbrli:booleanItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionTrading symbol of an instrument as listed on an exchange.
+ References
+ Details
Name: |
dei_TradingSymbol |
Namespace Prefix: |
dei_ |
Data Type: |
dei:tradingSymbolItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionBoolean flag that is true when the Form 8-K filing is intended to satisfy the filing obligation of the registrant as written communications pursuant to Rule 425 under the Securities Act.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Securities Act -Number 230 -Section 425
+ Details
Name: |
dei_WrittenCommunications |
Namespace Prefix: |
dei_ |
Data Type: |
xbrli:booleanItemType |
Balance Type: |
na |
Period Type: |
duration |
|
Vitesse Energy (NYSE:VTS)
Historical Stock Chart
From Mar 2025 to Apr 2025
Vitesse Energy (NYSE:VTS)
Historical Stock Chart
From Apr 2024 to Apr 2025