Permian Resources Corporation · NYSE:PR
Permian Resources — Q4 2022 Earnings Presentation
20 slides from Permian Resources's earnings presentation, Feb 22, 2023
Slide 1: Q4'22 Earnings Presentation
FEBRUARY 22, 2023 Q4’22 Earnings Presentation
Slide 2: Important Information
Important Information Forward-Looking Statements The information in this presentation includes “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements, other than stat
Slide 3: Permian Resources – Company Overview
Permian Resources – Company Overview Largest pure-play Delaware Basin E&P company with ~180,000 net acres1, ~43,000 net royalty acres1 and PR Key Statistics Premier Delaware ~162 MBoe/d of FY’23E production2 Basin Pure-Play Scale and balance sheet strength provide flexibility to ~180,000 E&P Com
Slide 4: Permian Resources Q4'22 Highlights
Permian Resources Q4’22 Highlights Q4’22 Financial Summary Production Overview Actual Guidance Average Daily Production (Boe/d) 158,208 140,000 – 150,000 P Average Daily Oil Production (Bo/d) 81,378 73,000 – 77,000 P • Delivered oil production of 81.4 MBo/d, exceeding the mid-point % Oil 51% of prio
Slide 5: Initial Combined Quarter Delivered Strong Results
Initial Combined Quarter Delivered Strong Results Q4’22 Avg. New Mexico Well Performance Q4’22 Operating Performance Q4’22 Actual Drilling Efficiency Completion Efficiency Outlook1 Results 100 (ft/day) (ft/day) Cumulative Oil Production (MBo) +11% +17% P Actual Total 140 – 150 158 Production MBoe/d
Slide 6: Operational Excellence through the Winter Storm
Operational Excellence through the Winter Storm Preparation and Performance Estimated Weather Impact to Q4’22 Total Production (%)1 • Delivered strong performance during Winter Storm Elliott, ~3% with less than half of a day of equivalent downtime • Field remained operational and achieved quick reco
Slide 7: Executing on Portfolio Optimization to Drive Shareholder Value
Executing on Portfolio Optimization to Drive Shareholder Value PR New Mexico Acreage Map On January 17, 2023, Permian Resources announced a series of PR Rigs Drilling Offset Acquired Acreage portfolio management transactions: Legend: 1 $98mm Bolt-on Acquisition Adds High-Return Inventory Eddy Lea Op
Slide 8: 2023 Guidance Highlights
2023 Guidance Highlights Metric Guidance Range Commentary • Currently running 7 drilling rigs with plans to Total Production 155 – 168 reduce to 6 rigs during Q2’23 as a result of (MBoe/d) realized operational synergies Development program focused on high-return Oil Production 82 – 88 • locations wi
Slide 9: 2023 Plan Driven by Returns and Free Cash Flow Generation
2023 Plan Driven by Returns and Free Cash Flow Generation Oil Production (MBo/d) Cash Costs ($/Boe) 2023 Plan vs. Preliminary Outlook1 85 $8.00 • Increased FY’23E oil production target by 4% to ~85 MBo/d 82 • Strong oil trajectory translates into higher 2023 exit rate, driving $7.60 more long-term v
Slide 10: Recent Execution Setting Stage for Strong 2023
Recent Execution Setting Stage for Strong 2023 Building on Recent Momentum Q4’22 FY’23 • Strong well performance leading to significant Maintaining production beat +9% vs. mid-point of oil ~10% Q4 to Q4 • Maintaining robust production growth profile from production guidance oil production growth Q4’
Slide 11: Compelling Value Proposition with Premier Assets
Compelling Value Proposition with Premier Assets EV / 2023E EBITDAX1 12.5x Low Leverage Differentiated Growth Permian Pure-Play Peers 5.3x <1x ~10% Q4’23 over Q4’22 oil 2 4.6x Net Debt to LQA EBITDAX vs. Permian Peers of ~4% 4.1x 3.2x Strong Shareholder Returns Environmental Stewardship Flaring ≥50%
Slide 12: Appendix
Appendix
Slide 13: 2023 Guidance
2023 Guidance FY’23 Overview FY’23 Guidance Commentary Currently operating a 7-rig program, with plans to reduce to 6 rigs during Q2’23 as a result of realized operational synergies Production • Strong well performance resulting in Maintaining ~150 TILs provided in Preliminary Outlook improved p
Slide 14: Strong Balance Sheet Supports Business Plan and Shareholders
Strong Balance Sheet Supports Business Plan and Shareholders Overview PR Capital Structure Overview Actual Permian Resources is committed to maintaining a strong balance ($, millions) 12/31/22 sheet with significant financial flexibility Cash and cash equivalents $60 No near-term maturities with
Slide 15: Focus on ESG Excellence
Focus on ESG Excellence ENIVRONMENTAL SOCIAL GOVERNANCE REDUCING EMISSIONS BENEFITING COMMUNITIES SHAREHOLDER ALIGNMENT Continued focus on further reduction in GHG emissions We are dedicated to making positive impacts in the Our performance-focused compensation intensity through the elimination of r
Slide 16: Quarterly Financial Results
Quarterly Financial Results Financial Summary ($mm, unless otherwise noted)1 FY’22 ($ in millions, unless specified) FY’21 Q1 Q2 Q3 Q4 FY’22 Average Daily Production (Boe/d) 60,939 61,359 70,240 92,003 158,208 95,708 Average Daily Oil Production (Bo/d) 32,058 32,741 36,696 48,499 81,378 49,958 % Oil
Slide 17: Hedge Book Overview
Hedge Book Overview Hedge Position Detail FY’23 FY’24 Q1 Q2 Q3 Q4 2023 Q1 Q2 Q3 Q4 2024 WTI Fixed Price Swaps Total Volume (Bbl) 1,575,000 1,592,500 1,472,000 1,472,000 6,111,500 1,092,000 1,092,000 1,104,000 1,104,000 4,392,000 Daily Volume (Bbl/d) 17,500 17,500 16,000 16,000 16,744 12,000 12,000 1
Slide 18: Reconciliation of Adjusted EBITDAX to Net Income (Loss)
Reconciliation of Adjusted EBITDAX to Net Income (Loss) Adjusted EBITDAX Reconciliation ($ thousands)1 FY’22 ($ in thousands, unless specified) FY’21 Q1 Q2 Q3 Q4 FY’22 Net income (loss) attributable to Class A Common Stock $138,175 $15,802 $191,826 $224,359 $83,050 $515,037 Net income (loss) attribu
Slide 19: Reconciliation of Free Cash Flow
Reconciliation of Free Cash Flow Free Cash Flow Reconciliation ($ thousands)1 Three Months Ended December 31, ($ in thousands) 2022 2021 Net cash provided by operating activities $528,295 $192,487 Changes in working capital: Accounts receivable $60,071 ($21,523) Prepaid and other assets $1,713 ($1,1
Slide 20: Reconciliation of Net Debt-to-LQA EBITDAX
Reconciliation of Net Debt-to-LQA EBITDAX Net Debt-to-LQA EBITDAX Reconciliation ($ thousands)1 ($ in thousands) December 31, 2022 Long-term debt, net $2,140,798 Unamortized debt discount and debt issuance costs on senior notes 60,001 Long-term debt 2,200,799 Less: cash and cash equivalents (59,545)