Natural resources company reports 39% production growth in Q3

Published 10/11/2025, 22:18
Natural resources company reports 39% production growth in Q3

MORGANTOWN - INR Natural Resources, Inc. (NYSE:INR) reported a 39% increase in total net daily production to 36.0 MBoe/d for the third quarter of 2025 compared to the same period last year, with natural gas production surging 70%. The company's stock currently trades at $11.67, near its 52-week low of $11.13, despite showing strong operational growth.

The company posted net income of $40.0 million for the quarter, delivering $60.0 million in Adjusted EBITDAX with an $18.12 per barrel of oil equivalent margin. During the quarter, INR placed ten wells into sales, including six oil-weighted wells in Ohio and four natural gas-weighted wells in Pennsylvania. According to InvestingPro data, the company's last twelve months EBITDA stands at $210.27 million, with a moderate P/E ratio of 9.55.

"We delivered exceptional operational performance in the third quarter," said Zack Arnold, President & CEO of null . "Our production growth was driven by bringing ten wells online during the quarter, the most in Company history."

The company generated $186.7 million in net cash from operating activities for the nine months ended September 30, while development capital expenditures totaled $83.2 million. Total net debt stood at approximately $70.8 million as of quarter-end. InvestingPro analysis indicates the company is "quickly burning through cash" with a negative free cash flow yield of -16%, though it operates with a moderate debt level of $35.67 million.

INR has narrowed its 2025 production guidance to 33.5-35 MBoe/d, focusing on the high end of its previous range. The company also tightened its development capital budget for 2025 to $270-292 million. With a market capitalization of $700.69 million, INR appears slightly undervalued based on InvestingPro Fair Value estimates.

Additionally, INR's Board of Directors approved a share repurchase program of up to $75 million. The company increased its borrowing base under its revolving credit facility to $375 million on October 1, bringing total liquidity to $304.3 million. This move comes as the stock has declined 45.37% year-to-date according to InvestingPro data, which also reveals that INR's next earnings report is expected on November 10, 2025.

The company's production mix for the quarter consisted of approximately 22% oil, 14% natural gas liquids, and 64% natural gas, according to the press release statement. Investors seeking deeper insights into INR's financial health and valuation can access the comprehensive Pro Research Report, available for this and over 1,400 other US equities through InvestingPro.

In other recent news, Null Natural Resources reported its second-quarter earnings for 2025, exceeding analysts' expectations with an earnings per share (EPS) of $1.18, compared to the projected $0.56. This marked a surprising increase of 110.71%. The company's revenue for the quarter was $74.47 million. Meanwhile, Inphi Natural Resources experienced a change in its price target, as Raymond James adjusted it from $29.00 to $23.00, while maintaining a Strong Buy rating. The adjustment was attributed to the current commodity strip, although the company's second-quarter production increased by approximately 28% year-over-year and 25% sequentially. KeyBanc reiterated its Overweight rating on INR Natural Resources, keeping a price target of $22.00. The firm made this decision after revising its modeling assumptions following discussions with the company's management. These developments highlight the recent financial activities and analyst perspectives surrounding these companies.

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