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Civitas Q3 Earnings Beat Estimates, Revenues Miss, Both Fall Y/Y
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Key Takeaways
Civitas posted Q3 adjusted EPS of $1.93, beating estimates but down from last year's $1.99.
Revenues of $1.2B missed consensus as oil and gas sales volumes declined year over year.
Civitas and SM Energy agreed to merge in an all-stock deal valued at about $12.8B.
Civitas Resources, Inc. (CIVI - Free Report) reported third-quarter 2025 adjusted earnings per share of $1.93, which surpassed the Zacks Consensus Estimate of $1.34. The outperformance was driven by higher natural gas price realizations. However, the bottom line declined from the year-ago adjusted profit of $1.99 due to lower oil price realizations.
However, Civitas’ revenues of $1.2 billion dropped 8.2% from the year-ago figure of $1.3 billion and missed the Zacks Consensus Estimate by $13 million. This was primarily due to a decline in oil and natural gas sales volume.
Civitas Resources, Inc. Price, Consensus and EPS Surprise
On Nov. 3, 2025, SM Energy and Civitas Resources announced the merger agreement involving an all-stock deal, with Civitas shareholders receiving 1.45 SM Energy shares each. The combined company, valued at about $12.8 billion including debt, will hold roughly 823,000 net acres centered in the Permian Basin and is expected to generate over $1.4 billion in 2025 free cash flow, supporting strong returns and higher market liquidity.
During the quarter, Civitas reduced its net debt by $237 million while also repurchasing $250 million of Civitas' stock and closing the divestment of two previously announced non-core DJ Basin assets.
CIVI’s Q3 Production & Price Realizations
The average third-quarter sales volume (comprising 72% liquids) fell 3.5% from the year-ago level to 336 thousand barrels of oil equivalent per day (Mboe/d), but beat the Zacks Consensus Estimate of 332.2 Mboe/d. Oil volume for the period was 158 thousand barrels per day (MBbls/d), down marginally from the prior-year volume of 159 MBbls/d. The consensus mark was pegged at 157 MBbls/d of crude. CIVI’s natural gas production was 546 thousand cubic feet per day, while NGL output totaled 87 MBbls/d.
The average sales price for oil during the third quarter was $65.24 per barrel, down 13.3% from the prior-year realization of $75 and slightly above the consensus mark of $64. The average realized natural gas price was $1.29 per thousand cubic feet compared with 17 cents in the year-earlier period and the Zacks Consensus Estimate of $1.20. Meanwhile, the average realized NGL price fell to $18.21 per barrel from $19.38 in the third quarter of 2024.
Q3 Costs & Expenses of CIVI
Total operating expenses in the quarter reduced to $895 million from the year-ago quarter’s $926 million. This was mainly on account of lower taxes and depreciation outgo, as well as lower gathering, transportation, processing, and general and administrative expenses, even as lease operating expenses rose 7.5% year over year to $159 million. Unit cash operating cost was $9.67 per BOE.
CIVI’s Financial Position
Cash flow from operations totaled $860 million, while this Zacks Rank #3 (Hold) company’s capital expenditure totaled $491 million, leading to adjusted free cash flow of $254 million. CIVI approved a quarterly dividend of 50 cents per share, payable on Dec. 29 to its shareholders of record as of Dec. 15, 2025.
As of Sept. 30, the company had $56 million in cash and cash equivalents. Civitas had a long-term debt of $5.1 billion, reflecting a debt-to-capitalization of 43.5%.
While we have discussed CIVI’s third-quarter results in detail, let us take a look at three other key reports in this space.
Alberta-based integrated energy company Suncor Energy Inc. (SU - Free Report) reported third-quarter 2025 adjusted operating earnings of $1.07 per share, which beat the Zacks Consensus Estimate of 85 cents. This outperformance can be attributed to strong production growth in its upstream segment. However, the bottom line declined marginally from the year-ago quarter’s reported figure of $1.08 due to lower upstream price realizations.
Operating revenues of $9.2 billion beat the Zacks Consensus Estimate by 11.1%, primarily driven by increased sales volumes in both the upstream and downstream segments. However, the top line decreased approximately 3.9% year over year.
As of Sept. 30, 2025, Suncor Energy had cash and cash equivalents of C$2.9 billion and long-term debt of C$8.6 billion. Its debt-to-capitalization was 16%.
The Denver, CO-based oil and gas exploration and production company, Ovintiv Inc. (OVV - Free Report) , reported third-quarter 2025 adjusted earnings per share of $1.03, which beat the Zacks Consensus Estimate of 97 cents. The outperformance was driven by higher plant condensate production volumes and higher average realized natural gas prices. However, the bottom line decreased from the year-ago level of $1.85.
OVV’s total revenues of $2.1 billion decreased 11% from the year-ago quarter’s figure, driven by lower oil production volumes and lower average realized oil and plant condensate prices. However, the top line beat the Zacks Consensus Estimate by 6.1%.
As of Sept. 30, the company had cash and cash equivalents worth $25 million and long-term debt of $4.4 billion. Its debt-to-capitalization was 30%.
The Calgary-based integrated oil and gas company, Imperial Oil Limited (IMO - Free Report) , reported third-quarter 2025 adjusted earnings per share of $1.57, which beat the Zacks Consensus Estimate of $1.44. However, the bottom line decreased from the year-ago quarter’s $1.71. This decrease was due to lower upstream price realizations, partly offset by higher production volumes.
Revenues of $8.8 billion missed the Zacks Consensus Estimate of $11.1 billion. The top line also decreased from the year-ago quarter’s level of $9.7 billion due to weak performance in both the Upstream and Downstream segments.
As of Sept. 30, Imperial Oil had cash and cash equivalents of C$1.9 billion. Total debt of the company amounted to C$4 billion, with a debt-to-capitalization of 14.4%.
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Civitas Q3 Earnings Beat Estimates, Revenues Miss, Both Fall Y/Y
Key Takeaways
Civitas Resources, Inc. (CIVI - Free Report) reported third-quarter 2025 adjusted earnings per share of $1.93, which surpassed the Zacks Consensus Estimate of $1.34. The outperformance was driven by higher natural gas price realizations. However, the bottom line declined from the year-ago adjusted profit of $1.99 due to lower oil price realizations.
However, Civitas’ revenues of $1.2 billion dropped 8.2% from the year-ago figure of $1.3 billion and missed the Zacks Consensus Estimate by $13 million. This was primarily due to a decline in oil and natural gas sales volume.
Civitas Resources, Inc. Price, Consensus and EPS Surprise
Civitas Resources, Inc. price-consensus-eps-surprise-chart | Civitas Resources, Inc. Quote
On Nov. 3, 2025, SM Energy and Civitas Resources announced the merger agreement involving an all-stock deal, with Civitas shareholders receiving 1.45 SM Energy shares each. The combined company, valued at about $12.8 billion including debt, will hold roughly 823,000 net acres centered in the Permian Basin and is expected to generate over $1.4 billion in 2025 free cash flow, supporting strong returns and higher market liquidity.
During the quarter, Civitas reduced its net debt by $237 million while also repurchasing $250 million of Civitas' stock and closing the divestment of two previously announced non-core DJ Basin assets.
CIVI’s Q3 Production & Price Realizations
The average third-quarter sales volume (comprising 72% liquids) fell 3.5% from the year-ago level to 336 thousand barrels of oil equivalent per day (Mboe/d), but beat the Zacks Consensus Estimate of 332.2 Mboe/d. Oil volume for the period was 158 thousand barrels per day (MBbls/d), down marginally from the prior-year volume of 159 MBbls/d. The consensus mark was pegged at 157 MBbls/d of crude. CIVI’s natural gas production was 546 thousand cubic feet per day, while NGL output totaled 87 MBbls/d.
The average sales price for oil during the third quarter was $65.24 per barrel, down 13.3% from the prior-year realization of $75 and slightly above the consensus mark of $64. The average realized natural gas price was $1.29 per thousand cubic feet compared with 17 cents in the year-earlier period and the Zacks Consensus Estimate of $1.20. Meanwhile, the average realized NGL price fell to $18.21 per barrel from $19.38 in the third quarter of 2024.
Q3 Costs & Expenses of CIVI
Total operating expenses in the quarter reduced to $895 million from the year-ago quarter’s $926 million. This was mainly on account of lower taxes and depreciation outgo, as well as lower gathering, transportation, processing, and general and administrative expenses, even as lease operating expenses rose 7.5% year over year to $159 million. Unit cash operating cost was $9.67 per BOE.
CIVI’s Financial Position
Cash flow from operations totaled $860 million, while this Zacks Rank #3 (Hold) company’s capital expenditure totaled $491 million, leading to adjusted free cash flow of $254 million. CIVI approved a quarterly dividend of 50 cents per share, payable on Dec. 29 to its shareholders of record as of Dec. 15, 2025.
As of Sept. 30, the company had $56 million in cash and cash equivalents. Civitas had a long-term debt of $5.1 billion, reflecting a debt-to-capitalization of 43.5%.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Important Earnings at a Glance
While we have discussed CIVI’s third-quarter results in detail, let us take a look at three other key reports in this space.
Alberta-based integrated energy company Suncor Energy Inc. (SU - Free Report) reported third-quarter 2025 adjusted operating earnings of $1.07 per share, which beat the Zacks Consensus Estimate of 85 cents. This outperformance can be attributed to strong production growth in its upstream segment. However, the bottom line declined marginally from the year-ago quarter’s reported figure of $1.08 due to lower upstream price realizations.
Operating revenues of $9.2 billion beat the Zacks Consensus Estimate by 11.1%, primarily driven by increased sales volumes in both the upstream and downstream segments. However, the top line decreased approximately 3.9% year over year.
As of Sept. 30, 2025, Suncor Energy had cash and cash equivalents of C$2.9 billion and long-term debt of C$8.6 billion. Its debt-to-capitalization was 16%.
The Denver, CO-based oil and gas exploration and production company, Ovintiv Inc. (OVV - Free Report) , reported third-quarter 2025 adjusted earnings per share of $1.03, which beat the Zacks Consensus Estimate of 97 cents. The outperformance was driven by higher plant condensate production volumes and higher average realized natural gas prices. However, the bottom line decreased from the year-ago level of $1.85.
OVV’s total revenues of $2.1 billion decreased 11% from the year-ago quarter’s figure, driven by lower oil production volumes and lower average realized oil and plant condensate prices. However, the top line beat the Zacks Consensus Estimate by 6.1%.
As of Sept. 30, the company had cash and cash equivalents worth $25 million and long-term debt of $4.4 billion. Its debt-to-capitalization was 30%.
The Calgary-based integrated oil and gas company, Imperial Oil Limited (IMO - Free Report) , reported third-quarter 2025 adjusted earnings per share of $1.57, which beat the Zacks Consensus Estimate of $1.44. However, the bottom line decreased from the year-ago quarter’s $1.71. This decrease was due to lower upstream price realizations, partly offset by higher production volumes.
Revenues of $8.8 billion missed the Zacks Consensus Estimate of $11.1 billion. The top line also decreased from the year-ago quarter’s level of $9.7 billion due to weak performance in both the Upstream and Downstream segments.
As of Sept. 30, Imperial Oil had cash and cash equivalents of C$1.9 billion. Total debt of the company amounted to C$4 billion, with a debt-to-capitalization of 14.4%.