vitesse-20250331

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q


x			QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended March 31, 2025


o			TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from ______ to ______

Commission file number 001-41546

Vitesse Energy, Inc.

(Exact name of registrant as specified in its charter)


Delaware			88-3617511
(State or other jurisdiction of incorporation or organization)			(I.R.S. Employer Identification No.)

5619 DTC Parkway, Suite 700 Greenwood Village, Colorado			80111
(Address of Principal Executive Offices)			(Zip Code)

(720) 361-2500

Registrant’s telephone number, including area code

N/A

(Former address)

Securities registered pursuant to Section 12(b) of the Act:


Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock, par value $0.01	VTS	New York Stock Exchange

Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports); and (2) has been subject to such filing requirements for the past 90 days. Yes x No o

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). Yes x No o

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act. (Check one):


Large accelerated filer	o	Accelerated filer	x
Non-accelerated filer	o	Smaller reporting company	o
		Emerging growth company	x


		Page
	Cautionary Statement Concerning Forward-Looking Statements	4
	Glossary and Presentation of Financial and Operating Data	6
PART I	FINANCIAL INFORMATION
Item 1.	Condensed Consolidated Financial Statements (Unaudited)	10
	Condensed Consolidated Balance Sheets	10
	Condensed Consolidated Statements of Operations	11
	Condensed Consolidated Statements of Equity	12
	Condensed Consolidated Statements of Cash Flows	13
	Notes to Condensed Consolidated Financial Statements	14

Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	27
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	36
Item 4.	Controls and Procedures	36

PART II	OTHER INFORMATION
Item 1.	Legal Proceedings	38
Item 1A.	Risk Factors	38
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	38
Item 3.	Defaults Upon Senior Securities	39
Item 4.	Mine Safety Disclosures	39
Item 5.	Other Information	39
Item 6.	Exhibits	39
	Signatures	41



	MARCH 31,		DECEMBER 31,
(in thousands, except shares)	2025		2024
Assets
Current Assets
Cash and cash equivalents	$	4,495	$	2,967
Revenue receivable	56,632		39,788
Commodity derivatives	2,861		3,842
Prepaid expenses and other current assets	6,460		4,314
Total current assets	70,448		50,911
Oil and Gas Properties-Using the successful efforts method of accounting
Proved oil and gas properties	1,485,193		1,315,566
Less accumulated DD&A and impairment	(589,949)		(563,590)
Total oil and gas properties	895,244		751,976
Other Property and Equipment—Net	167		182
Other Assets
Commodity derivatives	1,721		284
Other noncurrent assets	7,656		7,540
Total other assets	9,377		7,824
Total assets	$	975,236	$	810,893
Liabilities and Equity
Current Liabilities
Accounts payable	$	35,265	$	34,316
Accrued liabilities	59,654		65,714
Commodity derivatives	1,607		299
Other current liabilities	89		—
Total current liabilities	96,615		100,329
Long-term Liabilities
Revolving credit facility	117,000		117,000
Deferred tax liability	72,540		72,001
Asset retirement obligations	12,915		9,652
Commodity derivatives	254		94
Other noncurrent liabilities	8,222		11,483
Total liabilities	$	307,546	$	310,559
Commitments and Contingencies (Note 9)
Equity
Preferred stock, $0.01 par value, 5,000,000 shares authorized; 0 shares issued at March 31, 2025 and December 31, 2024, respectively	—		—
Common stock, $0.01 par value, 95,000,000 shares authorized; 40,625,638 and 32,650,889 shares issued at March 31, 2025 and December 31, 2024, respectively	406		326
Additional paid-in capital	669,741		505,133
Accumulated deficit	(2,457)		(5,125)
Total equity	667,690		500,334
Total liabilities and equity	$	975,236	$	810,893



	FOR THE THREE MONTHS ENDED MARCH 31,
(In thousands, except share data)	2025		2024
Revenue
Oil	$	58,925	$	57,364
Natural gas	7,246		3,829
Total revenue	66,171		61,193
Operating Expenses
Lease operating expense	13,854		11,791
Production taxes	5,773		5,799
General and administrative	12,132		5,374
Depletion, depreciation, amortization, and accretion	26,563		23,545
Equity-based compensation	2,469		1,605
Total operating expenses	60,791		48,114
Operating Income	5,380		13,079
Other (Expense) Income
Commodity derivative (loss), net	(172)		(13,824)
Interest expense	(2,905)		(2,203)
Other income	164		31
Total other (expense) income	(2,913)		(15,996)

Income (Loss) Before Income Taxes	$	2,467	$	(2,917)

Benefit from (Provision for) Income Taxes	201		731

Net Income (Loss)	$	2,668	$	(2,186)

Weighted average common shares – basic	33,074,904		29,933,962
Weighted average common shares – diluted	35,086,990		29,933,962
Net income (loss) per common share – basic	$	0.08	$	(0.07)
Net income (loss) per common share – diluted	$	0.08	$	(0.07)



	Common Stock			Preferred Stock
(In thousands, except share data)	Shares	Amount		Shares	Amount		Additional Paid-In Capital		Accumulated Deficit		Total Equity
Balance—January 1, 2025	32,650,889	$	326	—	$	—	$	505,133	$	(5,125)	$	500,334
Net income	—	—		—	—		—		2,668		2,668
Issuance of restricted stock units, net of forfeitures	150,165	1		—	—		87		—		88
Issuance of common stock to acquire Lucero	8,169,839	82		—	—		194,197		—		194,279
Equity-based compensation	—	—		—	—		2,469		—		2,469
Common stock dividends declared ($0.5625 per share)	—	—		—	—		(22,991)		—		(22,991)
Stock exchanged for tax withholding and retired	(345,255)	(3)		—	—		(9,154)		—		(9,157)
Balance—March 31, 2025	40,625,638	$	406	—	$	—	$	669,741	$	(2,457)	$	667,690


Balance—January 1, 2024	32,812,007	$	328	—	$	—	$	567,654	$	(21,576)	$	546,406
Net (loss)	—	—		—	—		—		(2,186)		(2,186)
Issuance of restricted stock units, net of forfeitures	19,403	—		—	—		(74)		—		(74)
Equity-based compensation	—	—		—	—		1,758		—		1,758
Common stock dividends declared ($0.50 per share)	—	—		—	—		(16,249)		—		(16,249)
Stock exchanged for tax withholding and retired	(332,840)	(3)		—	—		(6,936)		—		(6,939)
Balance—March 31, 2024	32,498,570	$	325	—	$	—	$	546,153	$	(23,762)	$	522,716



	FOR THE THREE MONTHS ENDED MARCH 31,
(in thousands)	2025		2024
Cash Flows from Operating Activities
Net income (loss)	$	2,668	$	(2,186)
Adjustments to reconcile net income (loss) to net cash from changes in operating activities:
Depletion, depreciation, amortization, and accretion	26,563		23,545
Unrealized loss on derivative instruments	855		14,656
Equity-based compensation	2,469		1,605
Deferred income taxes	539		(475)
Amortization of debt issuance costs	206		188
Changes in operating assets and liabilities that provided (used) cash:
Revenue receivable	(11,947)		3,630
Prepaid expenses and other current assets	(851)		(233)
Accounts payable	(218)		1,395
Accrued liabilities	(2,968)		(2,706)
Other	173		—
Net cash from changes in Operating Activities	$	17,489	$	39,419
Cash Flows From Investing Activities
Acquisition of oil and gas properties	(1,523)		(6,755)
Development of oil and gas properties	(28,849)		(25,432)
Purchase of property and equipment	(2)		(26)

Net cash from changes in Investing Activities	(30,374)		(32,213)
Cash Flows From Financing Activities
Proceeds from revolving credit facility	40,000		17,000
Repayments of revolving credit facility	(40,000)		—
Dividends paid	(26,043)		(16,311)
Cash acquired associated with the Lucero Acquisition	49,846		—
Stock exchanged for tax withholding	(9,158)		(6,940)
Debt issuance costs	(232)		(130)
Net cash from changes in Financing Activities	14,413		(6,381)
Net Increase in Cash	1,528		825
Cash—Beginning of period	2,967		552
Cash—End of period	$	4,495	$	1,377
Supplemental Disclosure of Cash Flow Information
Cash paid for interest	$	2,869	$	1,998
Cash paid for income taxes	—		—
Supplemental Disclosure of Noncash Activity
Oil and gas properties included in accounts payable and accrued liabilities	$	66,512	$	34,948
Asset retirement obligations capitalized to oil and gas properties	3,075		—
Issuance of common stock to acquire Lucero	194,279		—



(in thousands except share and per share amounts)
Common stock issued to acquire Lucero	8,169,839
Vitesse closing stock price on March 6, 2025	$	23.78
Arrangement consideration	$	194,279

	Preliminary Purchase Price Allocation
Assets Acquired
Cash and cash equivalents	$	49,846
Revenue receivable	4,897
Prepaid expenses and other current assets	1,296
Proved oil and gas properties	150,395
Other noncurrent assets	160
Total assets acquired	$	206,594
Liabilities Assumed
Accounts payable	$	408
Accrued liabilities	8,674
Commodity derivatives	158
Asset retirement obligations	3,075
Total liabilities assumed	$	12,315

Net Assets Acquired	$	194,279



	FOR THE THREE MONTHS ENDED MARCH 31,
(in thousands)	2025		2024
Total revenue	$	77,899	$	92,436
Income before taxes	6,972		5,706



(in thousands)	GROSS RECOGNIZED FAIR VALUE ASSETS/ LIABILITIES		GROSS AMOUNTS OFFSET		NET RECOGNIZED FAIR VALUE ASSETS/ LIABILITIES
Commodity derivative assets:
Current derivative assets	$	4,501	$	(1,640)	$	2,861
Noncurrent derivative assets	1,821		(100)		1,721
Total	$	6,322	$	(1,740)	$	4,582
Commodity derivative liabilities:
Current derivative liabilities	$	3,247	$	(1,640)	$	1,607
Noncurrent derivative liabilities	354		(100)		254
Total	$	3,601	$	(1,740)	$	1,861



INDEX	SETTLEMENT PERIOD	VOLUME HEDGED (Bbls)	WEIGHTED AVERAGE FIXED PRICE
WTI-NYMEX	Q2 2025	649,503	$71.85
WTI-NYMEX	Q3 2025	586,503	$69.99
WTI-NYMEX	Q4 2025	541,497	$70.25
WTI-NYMEX	Q1 2026	353,997	$66.90
WTI-NYMEX	Q2 2026	329,997	$66.90
WTI-NYMEX	Q3 2026	119,997	$67.10
WTI-NYMEX	Q4 2026	114,003	$67.10



INDEX	SETTLEMENT PERIOD	VOLUME HEDGED (MMbtu)	WEIGHTED AVERAGE FIXED PRICE
Chicago City Gate to Henry Hub	Q3 2025	1,465,100	$(0.35)
Chicago City Gate to Henry Hub	Q4 2025	1,357,000	$(0.35)
Chicago City Gate to Henry Hub	Q1 2026	1,266,700	$(0.12)
Chicago City Gate to Henry Hub	Q2 2026	1,188,700	$(0.12)
Chicago City Gate to Henry Hub	Q3 2026	1,120,800	$(0.12)
Chicago City Gate to Henry Hub	Q4 2026	1,062,700	$(0.12)

SEC Form 10-Q filed by Vitesse Energy Inc.