RING ENERGY, INC.
For the period ended Mar 31, 2025. Filed May 7, 2025.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Mar 31, 2025 · Filed May 7, 2025
REI$1.13-0.9%Stored close · as of Nov 10, 2026
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Item 1. : Condensed Financial Statements
The following (a) condensed balance sheet as of December 31, 2024 which has been derived from our audited financial statements, and (b) the unaudited condensed financial statements included herein have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission ("SEC"). Accordingly, certain disclosures by accounting principles generally accepted in the United States ("GAAP") and normally included in Annual Reports on Form 10-K have been omitted. Although management believes that our disclosures are adequate to make the information presented not misleading, these unaudited interim condensed financial statements should be read in conjunction with the Company's audited financial statements and related notes included in its most recent Annual Report on Form 10-K.
CONDENSED BALANCE SHEETS
| March 31, 2025 | December 31, 2024 | |
|---|---|---|
| ASSETS | ||
| Current Assets | ||
| Cash and cash equivalents | $1,100,851 | $1,866,395 |
| Accounts receivable | 35,680,686 | 36,172,316 |
| Joint interest billing receivables, net | 2,121,035 | 1,083,164 |
| Derivative assets | 5,309,892 | 5,497,057 |
| Inventory | 3,300,755 | 4,047,819 |
| Prepaid expenses and other assets | 1,156,529 | 1,781,341 |
| Total Current Assets | 48,669,748 | 50,448,092 |
| Properties and Equipment | ||
| Oil and natural gas properties, full cost method | 1,932,616,777 | 1,809,309,848 |
| Financing lease asset subject to depreciation | 4,272,259 | 4,634,556 |
| Fixed assets subject to depreciation | 3,359,292 | 3,389,907 |
| Total Properties and Equipment | 1,940,248,328 | 1,817,334,311 |
| Accumulated depreciation, depletion and amortization | (496,993,139) | (475,212,325) |
| Net Properties and Equipment | 1,443,255,189 | 1,342,121,986 |
| Operating lease asset | 1,753,693 | 1,906,264 |
| Derivative assets | 5,020,380 | 5,473,375 |
| Deferred financing costs | 6,911,264 | 8,149,757 |
| Total Assets | $1,505,610,274 | $1,408,099,474 |
| LIABILITIES AND STOCKHOLDERS’ EQUITY | ||
| Current Liabilities | ||
| Accounts payable | $86,417,436 | $95,729,261 |
| Income tax liability | 537,591 | 328,985 |
| Financing lease liability | 846,380 | 906,119 |
| Operating lease liability | 661,487 | 648,204 |
| Derivative liabilities | 5,426,195 | 6,410,547 |
| Notes payable | — | 496,397 |
| Deferred cash payment | 9,415,066 | — |
| Asset retirement obligations | 441,611 | 517,674 |
| Total Current Liabilities | 103,745,766 | 105,037,187 |
| Non-current Liabilities | ||
| Deferred income taxes | 31,496,585 | 28,591,802 |
| Revolving line of credit | 460,000,000 | 385,000,000 |
| Financing lease liability, less current portion | 708,304 | 647,078 |
| Operating lease liability, less current portion | 1,234,690 | 1,405,837 |
| Derivative liabilities | 3,632,133 | 2,912,745 |
| Asset retirement obligations | 28,826,738 | 25,864,843 |
| Total Liabilities | 629,644,216 | 549,459,492 |
| Commitments and contingencies (See Note 12) | ||
| Stockholders' Equity | ||
| Preferred stock - $0.001 par value; 50,000,000 shares authorized; no shares issued or outstanding | — | — |
| Common stock - $0.001 par value; 450,000,000 shares authorized; 206,509,126 shares and 198,561,378 shares issued and outstanding, respectively | 206,509 | 198,561 |
| Additional paid-in capital | 808,627,109 | 800,419,719 |
| Retained earnings (Accumulated deficit) | 67,132,440 | 58,021,702 |
| Total Stockholders’ Equity | 875,966,058 | 858,639,982 |
| Total Liabilities and Stockholders' Equity | $1,505,610,274 | $1,408,099,474 |
CONDENSED STATEMENTS OF OPERATIONS
| For the Three Months Ended | ||
|---|---|---|
| March 31, 2025 | March 31, 2024 | |
| Oil, Natural Gas, and Natural Gas Liquids Revenues | $79,091,207 | $94,503,136 |
| Costs and Operating Expenses | ||
| Lease operating expenses | 19,677,552 | 18,360,434 |
| Gathering, transportation and processing costs | 203,612 | 166,054 |
| Ad valorem taxes | 1,532,108 | 2,145,631 |
| Oil and natural gas production taxes | 3,584,455 | 4,428,303 |
| Depreciation, depletion and amortization | 22,615,983 | 23,792,450 |
| Asset retirement obligation accretion | 326,549 | 350,834 |
| Operating lease expense | 175,091 | 175,091 |
| General and administrative expense | 8,619,976 | 7,469,222 |
| Total Costs and Operating Expenses | 56,735,326 | 56,888,019 |
| Income from Operations | 22,355,881 | 37,615,117 |
| Other Income (Expense) | ||
| Interest income | 90,058 | 78,544 |
| Interest (expense) | (9,498,786) | (11,498,944) |
| Gain (loss) on derivative contracts | (928,790) | (19,014,495) |
| Gain (loss) on disposal of assets | 124,610 | 38,355 |
| Other income | 8,942 | 25,686 |
| Net Other Income (Expense) | (10,203,966) | (30,370,854) |
| Income (Loss) Before Benefit from (Provision for) Income Taxes | 12,151,915 | 7,244,263 |
| Benefit from (Provision for) Income Taxes | (3,041,177) | (1,728,886) |
| Net Income (Loss) | $9,110,738 | $5,515,377 |
| Basic Earnings (Loss) per Share | $0.05 | $0.03 |
| Diluted Earnings (Loss) per Share | $0.05 | $0.03 |
CONDENSED STATEMENT OF STOCKHOLDERS’ EQUITY
| Common Stock · AdditionalPaid-inCapital · Retained Earnings(Accumulated Deficit) · TotalStockholders'Equity | |||||||||
|---|---|---|---|---|---|---|---|---|---|
| For the Three Months Ended March 31, 2025 · Shares · Amount | |||||||||
| Balance, December 31, 2024 | 198,561,378 | $198,561 | $800,419,719 | $58,021,702 | $858,639,982 | ||||
| Restricted stock vested | 1,983,465 | 1,983 | (1,983) | — | — | ||||
| Shares to cover tax withholdings for restricted stock vested | (488,596) | (488) | 488 | — | — | ||||
| Payments to cover tax withholdings for restricted stock vested, net | — | — | (896,431) | — | (896,431) | ||||
| Common stock issuance for Lime Rock Acquisition | 6,452,879 | 6,453 | 7,414,358 | — | 7,420,811 | ||||
| Share-based compensation | — | — | 1,690,958 | — | 1,690,958 | ||||
| Net income | — | — | — | 9,110,738 | 9,110,738 | ||||
| Balance, March 31, 2025 | 206,509,126 | $206,509 | $808,627,109 | $67,132,440 | $875,966,058 | ||||
| Balance, December 31, 2023 | 196,837,001 | $196,837 | $795,834,675 | $(9,448,612) | $786,582,900 | ||||
| Restricted stock vested | 1,342,112 | 1,342 | (1,342) | — | — | ||||
| Shares to cover tax withholdings for restricted stock vested | (244,911) | (245) | 245 | — | — | ||||
| Payments to cover tax withholdings for restricted stock vested, net | — | — | (814,985) | — | (814,985) | ||||
| Share-based compensation | — | — | 1,723,832 | — | 1,723,832 | ||||
| Net income | — | — | — | 5,515,377 | 5,515,377 | ||||
| Balance, March 31, 2024 | 197,934,202 | $197,934 | $796,742,425 | $(3,933,235) | $793,007,124 | ||||
CONDENSED STATEMENTS OF CASH FLOWS
| For the Three Months Ended | ||
|---|---|---|
| March 31, 2025 | March 31, 2024 | |
| Cash Flows From Operating Activities | ||
| Net income | $9,110,738 | $5,515,377 |
| Adjustments to reconcile net income to net cash provided by operating activities: | ||
| Depreciation, depletion and amortization | 22,615,983 | 23,792,450 |
| Asset retirement obligation accretion | 326,549 | 350,834 |
| Amortization of deferred financing costs | 1,238,493 | 1,221,607 |
| Share-based compensation | 1,690,958 | 1,723,832 |
| Credit loss expense | 17,917 | 163,840 |
| (Gain) loss on disposal of assets | (124,610) | — |
| Deferred income tax expense (benefit) | 2,805,346 | 1,585,445 |
| Excess tax expense (benefit) related to share-based compensation | 99,437 | 40,808 |
| (Gain) loss on derivative contracts | 928,790 | 19,014,495 |
| Cash received (paid) for derivative settlements, net | (553,594) | (1,461,515) |
| Changes in operating assets and liabilities: | ||
| Accounts receivable | (564,158) | (5,240,487) |
| Inventory | 747,064 | 171,416 |
| Prepaid expenses and other assets | 624,812 | 503,704 |
| Accounts payable | (10,385,137) | (1,601,276) |
| Settlement of asset retirement obligation | (207,580) | (591,361) |
| Net Cash Provided by Operating Activities | 28,371,008 | 45,189,169 |
| Cash Flows From Investing Activities | ||
| Payments for the Lime Rock Acquisition | (70,859,769) | — |
| Payments to purchase oil and natural gas properties | (647,106) | (475,858) |
| Payments to develop oil and natural gas properties | (31,083,507) | (38,904,808) |
| Payments to acquire or improve fixed assets subject to depreciation | (34,275) | (124,937) |
| Proceeds from sale of fixed assets subject to depreciation | 17,360 | — |
| Net Cash Used in Investing Activities | (102,607,297) | (39,505,603) |
| Cash Flows From Financing Activities | ||
| Proceeds from revolving line of credit | 114,000,000 | 51,500,000 |
| Payments on revolving line of credit | (39,000,000) | (54,500,000) |
| Payments for taxes withheld on vested restricted shares, net | (896,431) | (814,985) |
| Payments on notes payable | (496,397) | (533,734) |
| Reduction of financing lease liabilities | (136,427) | (255,156) |
| Net Cash Provided by (Used in) Financing Activities | 73,470,745 | (4,603,875) |
| Net Increase (Decrease) in Cash | (765,544) | 1,079,691 |
| Cash at Beginning of Period | 1,866,395 | 296,384 |
| Cash at End of Period | $1,100,851 | $1,376,075 |
CONDENSED STATEMENTS OF CASH FLOWS (CONTINUED)
| For the Three Months Ended | ||
|---|---|---|
| March 31, 2025 | March 31, 2024 | |
| Supplemental Cash Flow Information | ||
| Cash paid for interest | $8,356,963 | $9,926,520 |
| Cash paid (refunded) for income taxes | (72,213) | — |
| Noncash Investing and Financing Activities | ||
| Asset retirement obligation incurred during development | $16,867 | $168,848 |
| Asset retirement obligation acquired | 2,587,179 | — |
| Financing lease assets obtained in exchange for new financing lease liability, net (1) | 269,498 | 254,855 |
| Change in capitalized expenditures attributable to drilling projects financed through current liabilities | 714,648 | (3,120,789) |
| Lime Rock Acquisition Supplemental Schedule | ||
| Investing Activities - Cash Paid | ||
| Cash paid to Lime Rock on closing | $63,599,939 | $— |
| Escrow deposit released at closing | 5,000,000 | — |
| Direct transaction costs | 2,294,105 | — |
| Cash paid for fixed assets acquired | (34,275) | — |
| Payments for the Lime Rock Acquisition | $70,859,769 | $— |
| Investing Activities - Noncash | ||
| Assumption of suspense liability | $561,977 | $— |
| Assumption of asset retirement obligation | 2,587,179 | — |
| Deferred cash payment at fair value | 9,415,066 | — |
| Financing Activities - Noncash | ||
| Common stock issued for acquisition | $7,420,811 | $— |
(1) Included within the financing lease assets obtained in exchange for new financing lease liability, net is $37,381 of finance lease asset terminations for the three months ended March 31, 2025.
The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.