EON Resources Inc. (EONR) Q2 2025 Earnings Call Transcript
Production Production increased from a low of 800 barrels per day to an average of 920 barrels per day, with efforts to reach 1,000 barrels per day. This increase was due to asset stimulations, returning inactive wells to production, and addressing issues with water injection facilities.
South Justis Field Production Production increased from 88 barrels per day to 117 barrels per day after reactivating idle wells and addressing down wells. This was achieved by applying lessons learned from the Grayburg-Jackson field.
LOE (Lease Operating Expenses) LOE dropped to $665,000 per month in Q2 2025, down from $718,000 per month in 2024. This reduction was due to cost-cutting measures.
Interest Expense Interest expense dropped by $65,000 for the quarter, amounting to a $230,000 reduction compared to Q4 2024. This was due to note conversions and efforts to clean up the balance sheet.
Revenue Revenues remained flat despite a drop in the average oil price from $70 to $61 per barrel. Hedging mitigated the impact, resulting in $290,000 in cash and a $600,000 non-cash hedging pickup.
G&A Costs General and Administrative (G&A) costs decreased by $300,000 per quarter in Q1 and Q2 2025 compared to the second half of 2024. This was due to lower salaries, fees, and professional costs.
Senior Debt Senior debt was reduced from $28 million to $21 million. This reduction was part of ongoing efforts to improve the balance sheet.
Warrant Liability Warrant liability was reduced from $9.8 million to $5.6 million, a decrease of over $4 million, as part of debt restructuring efforts.
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Earnings Call Overview: EON Resources Inc. held its Q2 2025 earnings conference call on August 19, 2025, featuring key company executives including President and CEO Dante V. Caravaggio.
Forward-Looking Statements: The call included forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995, highlighting potential risks and uncertainties that may affect actual results.
Corporate Presentations: Two slide presentations were made available on the company's website prior to the call, one being the quarterly corporate update and the other specific to the earnings call.
Appreciation for Shareholders: CEO Dante V. Caravaggio expressed gratitude towards shareholders for their support in purchasing and holding the company's stock.
Stock Offering: EON Resources has filed to sell 17.5 million shares of Class A common stock for its holders.
Future Plans: The company plans to retire debt, conduct 45 workovers, and prepare for drilling by the end of 2025 while focusing on cost reductions.

Conflict and Retaliation: Following Israel's airstrikes on Iranian military sites, Iran launched missile attacks on Israel, marking the beginning of what they termed "The Hard Retaliation," resulting in significant casualties among Iranian military leadership.
Market Impact: The conflict has led to a notable decline in global financial markets, with the Dow Jones dropping over 700 points, while energy sector ETFs saw substantial inflows, indicating investor interest amidst rising oil prices and ongoing geopolitical tensions.

RH Earnings Report: RH shares surged 18.2% in pre-market trading after reporting first-quarter earnings that exceeded analyst expectations, despite a slight revenue miss. The company maintained its FY25 guidance and projected second-quarter revenue growth of 8% to 10%.
Pre-Market Stock Movements: Several stocks experienced significant pre-market trading fluctuations, with Houston American Energy Corp rising 140.3% and Sharplink Gaming Inc falling 64.4%, highlighting the volatility in the market following various earnings reports and announcements.
Real-time Trading Intelligence: Benzinga Pro offers the fastest and most accurate stock market news alerts to help traders succeed in their investments.
Community of Traders: Over 10,000 serious traders are part of the Benzinga Pro community, benefiting from exclusive stories and insights generated by Benzinga reporters.

Company Overview: EON Resources Inc. is an independent upstream energy company focused on oil and gas properties in the Permian Basin, having recently acquired LH Operating, LLC, which includes significant oil and gas reserves in New Mexico.
Production Potential: The acquisition provides EON with proven reserves of approximately 15.4 million barrels of oil and potential access to an additional 34 million barrels, ensuring a long-term revenue stream from its operations in the Grayburg-Jackson Oil Field.








