VITAL ENERGY Third Quarter Results
While VITAL ENERGY in Tulsa awaits a decision by shareholders on Crescent Energy‘s $3 billion all-stock transaction to acquire the Tulsa firm, Vital reported reported third-quarter 2025 financial and operating results showing a net loss of $353.5 million.
Additionally, Oklahoma Energy analysts continue to track valuation modeling against mid-cap shale convergence.
Vital stated the third quarter results were impacted by a non-cash pre-tax impairment charges loss on oil and gas properties of $420.0 million.
Therefore, macro pricing compression still drives unconventional shale mark-to-market downside.
The company had adjusted net income of $57.6 million and cash flow from operating activities of $286.6 million.
Also, investors continue to monitor EBITDA conversion pacing closely across quarterly earnings cycles.
It also generated consolidated EBITDAX of $308.5 million and adjusted free cash flow of $5.5 million.
However, capital discipline at scale remains critical heading into this pending merger transaction.
Merger Conditions and Timing With Crescent Energy
The merger was announced in August and Vital stated in the quarterly report that the U.S. government shutdown had temporarily halted the Securities and Exchange Commission’s review of all merger proxies.
Therefore, calendar drift risk remains in play due to regulatory procedure gating.
“—both the Company and Crescent continue to make substantial progress toward fulfilling closing conditions and remain committed to completing the Transaction. Currently, the Company expects to hold a special meeting of Vital Energy stockholders on December 12, 2025 to vote on the Transaction,” stated Vital in the report.
Meanwhile, merger arbitrage desks track relative pricing risk bands in real time.
Due to the Company’s pending merger (the “Transaction”) with Crescent Energy Company (“Crescent”), the Company will not be posting supplemental slides or hosting a conference call to discuss its quarterly results.
Also, sell-side analysts anticipate materially less direct management disclosure prior to vote execution.
2025 Outlook Withdrawn
Guidance Suspension Prior to Close
Due to the Transaction, the Company’s prior guidance should no longer be relied upon.
Additionally, management confirmed the freeze as a structural condition triggered by merger execution rules.
VITAL ENERGY will not be providing guidance at this time and does not expect to do so prior to the closing of the Transaction, including updates to any such information provided in the first or second quarter earnings releases, as those forward-looking statements were estimates of management only as of the date provided and were subject to the specific risks and uncertainties that accompanied such forward-looking statements.
Therefore, investment models remain dependent on historical sensitivity decks rather than forward scenario ranges.
CEO Commentary — Execution and Production
“Our third-quarter results reflect our focus on operational execution and cost discipline,” stated Jason Pigott, President and CEO. Additionally, Pigott reinforced the capital efficient development focus through the full quarter.
“We delivered on an ambitious development plan, turning-in-line 26 wells during the quarter, completing the 8-mile package of 12 horseshoe wells in mid-October and exceeding the top-end of our total production guidance. We are excited by the prospect of joining forces with Crescent to create a premier mid-cap operator and generate increased value for our shareholders.”
Finally, this tone continues the larger trend of mid-cap consolidation for shale scale efficiency.
Production Metrics + Capital Deployment
Oil production continued and totaled 136.2 thousand barrels of oil equivalent a day and 60.2 thousand barrels of oil per day.
Also, this oil production run rate remains a critical comparator versus regional shale independent benchmarks.
Vital still had capital investments of $257.5 million.
Therefore, internal capital deployment against multilateral pad sequencing remains a core strategic driver heading into year-end.