TULSA, Okla.--(BUSINESS WIRE)--November 06, 2025--
On November 6, 2025, Unit Corporation (OTCQX: UNTC) (Company) filed unaudited condensed consolidated financial statements for the three and nine months ended September 30, 2025 with OTC Markets Group Inc. (OTC). The Company's current, quarterly and annual reports may be accessed on the OTC's website at https://www.otcmarkets.com/stock/UNTC/disclosure, as well as the Company's website at https://unitcorp.com/investor-relations/otc-sec-filings/.
Third Quarter and Year to Date Results
On October 1, 2025, we signed and simultaneously closed a definitive agreement to sell our wholly owned contract drilling subsidiary, Unit Drilling Company (UDC), to Cactus Drilling Company, L.L.C. for cash consideration of $120 million, subject to customary closing adjustments. The sale will impact our operations and financial results going forward, as such, the results of operations and cash flows for UDC have been classified as discontinued operations for all periods presented and prior periods have been retrospectively adjusted in the consolidated statements of operations and consolidated statements of cash flows.
Specific uses of the proceeds from the transaction will be determined by the Board in the future. The Company expects that its available tax attributes will substantially offset the gains from this transaction.
The Selected Financial Highlights should be read in conjunction with the Company's unaudited condensed consolidated financial statements and the notes thereto.
Three Months Ended Nine Months Ended
September 30, September 30,
---------------------------- ---------------------
2025 2024 2025 2024
-------------- ------------ ----------- --------
(In thousands except per share amounts)
Total revenues $ 23,550 $ 21,277 $ 77,559 $ 68,259
--- --------- -------- ------- -------
Net income from
continuing
operations 4,609 3,123 31,557 12,080
Net income from
discontinued
operations 2,292 5,826 15,382 24,482
--- --------- -------- ------- -------
Net income $ 6,901 $ 8,949 $ 46,939 $ 36,562
=== ========= ======== ======= =======
Diluted net
income per common
share
Continuing
operations $ 0.46 $ 0.31 $ 3.20 $ 1.21
Discontinued
operations 0.23 0.58 1.56 2.46
--- --------- -------- ------- -------
Total
diluted
earnings
per
common
share $ 0.69 $ 0.89 $ 4.76 $ 3.67
=== ========= ======== ======= =======
Operational highlights for the oil and natural gas segment during the three and nine months ended September 30, 2025 and 2024 include:
Three Months Nine Months
Ended September Ended September
30, 30,
---------------- ---- ---------------- ----
2025 2024 % Change 2025 2024 % Change
------ -------- ---------- ------ -------- ----------
Average oil
price
($/Bbl) $64.77 $ 74.18 (13)% $65.70 $ 76.24 (14)%
Average oil
price
excluding
derivatives
($/Bbl) $63.72 $ 74.18 (14)% $65.34 $ 76.24 (14)%
Average NGLs
price
($/Bbl) $16.75 $ 18.70 (10)% $19.57 $ 19.34 1%
Average NGLs
price
excluding
derivatives
($/Bbl) $16.75 $ 18.70 (10)% $19.57 $ 19.34 1%
Average
natural gas
price
($/Mcf) $ 2.97 $ 1.42 109% $ 3.01 $ 1.42 112%
Average
natural gas
price
excluding
derivatives
($/Mcf) $ 2.04 $ 1.42 44% $ 2.48 $ 1.42 74%
Oil
production
(MBbls) 203 160 27% 594 517 15%
NGL
production
(MBbls) 254 248 2% 766 763 --%
Natural gas
production
(MMcf) 3,060 3,288 (7)% 9,425 9,772 (4)%
Total
production
(MBOE) 967 956 1% 2,931 2,909 1%
Derivatives
The following non-designated commodity hedges were outstanding as of September 30, 2025:
Remaining Commodity Contracted Weighted Contracted
Term Volume Average Market
Fixed Price
for Swaps
------------- ------------ ------------ ------------ -------------
Oct'25 - Natural gas 10,000 $(0.30) IF - PEPL -
Dec'25 - basis swap MMBtu/day TX-OK
Floating to
fixed
Oct'25 - Natural gas 7,500 $(0.25) IF - PEPL -
Dec'25 - basis swap MMBtu/day TX-OK
Floating to
fixed
Oct'25 - Natural gas 5,000 $(0.25) IF - PEPL -
Dec'25 - basis swap MMBtu/day TX-OK
Floating to
fixed
Oct'25 - Natural gas 15,000 $4.69 IF - NYMEX
Dec'25 - swap MMBtu/day (HH)
Floating to
fixed
Jan'26 - Natural gas 5,000 $4.22 IF - NYMEX
Dec'26 - swap MMBtu/day (HH)
Floating to
fixed
Oct'25 - Crude Oil - 15,000 $69.65 WTI - NYMEX
Dec'25 swap Bbl/month
Floating to
fixed
Jan'26 - Crude Oil - 12,000 $65.85 WTI - NYMEX
Dec'26 swap Bbl/month
Floating to
fixed
Common Stock Dividends
The table below presents information about the dividends paid during the periods indicated:
Dividend
per Total Record Payment
Type share Amount Date Date
---------- --------- ------- --------- ---------
2024
First March 18, March 28,
quarter Quarterly $ 1.25 $12,269 2024 2024
Second June 17, June 27,
quarter Quarterly $ 1.25 $12,961 2024 2024
Third September September
quarter Quarterly $ 1.25 $12,248 16, 2024 27, 2024
2025
First March 18, March 28,
quarter Quarterly $ 1.25 $12,317 2025 2025
Second June 17, June 27,
quarter Quarterly $ 1.25 $12,317 2025 2025
Third September September
quarter Quarterly $ 1.25 $12,335 16, 2025 26, 2025
The declaration and payment of any future dividend, whether fixed, special, or variable, are at the sole discretion of the Company's Board of Directors. This decision will depend upon several factors, including the Company's financial position, results of operations, cash flows, capital requirements, business conditions, future expectations, legal requirements, and other relevant factors at the time of consideration. Future dividends are expected to be funded by cash on the Company's balance sheet.
About Unit Corporation
Unit Corporation is a Tulsa-based, publicly held energy company engaged in oil and natural gas production through its wholly owned subsidiary, Unit Petroleum Company. For more information about Unit Corporation, visit its website at http://www.unitcorp.com.
Forward-Looking Statements
This news release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act. All statements, other than statements of historical facts, included in this release that address activities, events, or developments that the Company expects, believes, or anticipates will or may occur are forward-looking statements. Several risks and uncertainties could cause actual results to differ materially from these statements, including changes in commodity prices, the productive capabilities of the Company's wells, future demand for oil and natural gas, projected rate of the Company's oil and natural gas production, the amount available to the Company for borrowings, its anticipated borrowing needs under its credit agreement, the number of wells to be drilled, the potential productive capability of its prospective plays, and other factors described occasionally in the Company's publicly available OTC reports. The Company assumes no obligation to update publicly such forward-looking statements, whether because of new information, future events, or otherwise.
Unit Corporation
Selected Financial Highlights
Three Months Ended Nine Months Ended
September 30, September 30,
--------------------- --------------------
2025 2024 2025 2024
------- ------- ------- -------
(In thousands except per share amounts)
Revenues:
Total revenues $23,550 $21,277 $77,559 $68,259
------ ------ ------ ------
Expenses:
Operating costs 11,054 10,503 31,568 32,962
Depreciation,
depletion, and
amortization 2,493 2,104 7,151 5,966
General and
administrative 6,044 5,533 15,802 16,112
(Gain) loss on
disposition of
assets (33) -- 19 114
------ ------ ------ ------
Total
operating
expenses 19,558 18,140 54,540 55,154
------ ------ ------ ------
Income from
operations 3,992 3,137 23,019 13,105
------ ------ ------ ------
Other income
(expense):
Interest income 682 1,161 1,819 3,196
Interest expense (8) (8) (25) (46)
Gain (loss) on
derivatives,
net 1,654 (243) 8,183 (110)
Reorganization
items, net -- (34) -- (56)
Other, net 65 97 157 (409)
------ ------ ------ ------
Total other
income
(expense) 2,393 973 10,134 2,575
------ ------ ------ ------
Income from
continuing
operations before
income taxes 6,385 4,110 33,153 15,680
------ ------ ------ ------
Income tax expense
(benefit), net
Current 168 50 341 (24)
Deferred 1,608 937 1,255 3,624
------ ------ ------ ------
Total income
tax expense
(benefit),
net 1,776 987 1,596 3,600
------ ------ ------ ------
Income from
continuing
operations 4,609 3,123 31,557 12,080
Income from
discontinued
operations, net of
tax 2,292 5,826 15,382 24,482
------ ------ ------ ------
Net income $ 6,901 $ 8,949 $46,939 $36,562
====== ====== ====== ======
Basic net income per
common share
Continuing
operations $ 0.47 $ 0.32 $ 3.22 $ 1.23
Discontinued
operations 0.23 0.59 1.57 2.50
------ ------ ------ ------
Total
basic
earnings
per
common
share $ 0.70 $ 0.91 $ 4.79 $ 3.73
====== ====== ====== ======
Unit Corporation
Selected Financial Highlights -- Continued
September 30, December 31,
2025 2024
--------------- --------------
(In thousands)
Balance Sheet Data:
Cash and cash equivalents $ 62,933 $ 48,884
Assets held for sale $ 62,424 $ --
Current assets $ 157,639 $ 90,250
Total assets $ 309,462 $ 289,243
Liabilities held for sale $ 13,364 $ --
Current liabilities $ 44,464 $ 32,468
Long-term debt $ -- $ --
Other long-term liabilities $ 23,076 $ 22,665
Total shareholders' equity $ 241,843 $ 232,521
View source version on businesswire.com: https://www.businesswire.com/news/home/20251106303923/en/
CONTACT: Rene Punch
Investor Relations
(918) 493-7700
www.unitcorp.com
(END) Dow Jones Newswires
November 06, 2025 09:31 ET (14:31 GMT)
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