TULSA, Okla.--(BUSINESS WIRE)--March 12, 2026--
On March 12, 2026, Unit Corporation (OTCQX: UNTC) (Company) filed consolidated financial statements for the twelve months ended December 31, 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/.
Fourth Quarter and Year End 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., a related party, for cash consideration of $119.7 million.
The sale of UDC will change our operations and financial results going forward. Accordingly, 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.
The sale of UDC resulted in a taxable gain of $106.5 million. The Company utilized NOLs of $104.5 million and Federal Tax Credits of $3.8 million to offset our total tax liability.
The Selected Financial Highlights should be read in conjunction with the Company's consolidated financial statements and the notes thereto.
Three Months Ended Twelve Months Ended
December 31, December 31,
------------------------- -----------------------
2025 2024 2025 2024
-------------- --------- ------------- --------
(In thousands except per share amounts)
Total revenues $ 24,724 $ 24,989 $ 102,283 $ 93,248
--- --------- -------- --------- -------
Net income from
continuing
operations 9,997 5,388 41,554 17,468
Net income from
discontinued
operations 41,356 5,295 56,738 29,777
--- --------- -------- --------- -------
Net income $ 51,353 $ 10,683 $ 98,292 $ 47,245
=== ========= ======== ========= =======
Diluted net
income per
common share
Continuing
operations $ 1.00 $ 0.54 $ 4.17 $ 1.75
Discontinued
operations 4.15 0.53 5.70 2.99
--- --------- -------- --------- -------
Total
diluted
earnings
per
common
share $ 5.15 $ 1.07 $ 9.87 $ 4.75
=== ========= ======== ========= =======
Operational highlights for the oil and natural gas segment during the three and twelve months ended December 31, 2025 and 2024 include:
Three Months Twelve Months
Ended December Ended December
31, 31,
---------------- ------ ------------------ ------
% %
2025 2024 Change 2025 2024 Change
------ -------- ------ ------- --------- ------
Average oil
price
($/Bbl) $60.28 $ 69.44 (13)% $ 64.25 $ 74.51 (14)%
Average oil
price
excluding
derivatives
($/Bbl) $58.11 $ 69.44 (16)% $ 63.40 $ 74.51 (15)%
Average NGLs
price
($/Bbl) $15.98 $ 20.88 (23)% $ 18.64 $ 19.71 (5)%
Average NGLs
price
excluding
derivatives
($/Bbl) $15.98 $ 20.88 (23)% $ 18.64 $ 19.71 (5)%
Average
natural gas
price
($/Mcf) $ 3.12 $ 1.99 57% $ 3.04 $ 1.58 92%
Average
natural gas
price
excluding
derivatives
($/Mcf) $ 2.52 $ 1.99 27% $ 2.49 $ 1.58 58%
Oil
production
(MBbls) 217 176 23% 811 693 17%
NGL
production
(MBbls) 267 245 9% 1,033 1,007 3%
Natural gas
production
(MMcf) 3,059 3,791 (19)% 12,484 13,563 (8)%
Total
production
(MBOE) 994 1,053 (6)% 3,925 3,961 (1)%
Derivatives
The following non-designated commodity hedges were outstanding as of December 31, 2025:
Remaining Commodity Contracted Weighted Contracted
Term Volume Average Market
Fixed Price
for Swaps
------------- ------------ ------------ ------------ -------------
Jan'26 - Natural gas 5,000 $4.22 IF - NYMEX
Dec'26 - swap MMBtu/day (HH)
Floating to
fixed
Jan'26 - Crude Oil - 12,000 $65.85 WTI - NYMEX
Dec'26 swap Bbl/month
Floating to
fixed
The following non-designated commodity hedges were entered into subsequent to December 31, 2025:
Remaining Commodity Contracted Weighted Contracted
Term Volume Average Market
Fixed Price
for Swaps
------------- ------------ ------------ ------------ -------------
Feb'26 - Natural gas 5,000 $4.22 IF - NYMEX
Oct'26 - swap MMBtu/day (HH)
Floating to
fixed
Feb'26 - Natural gas 5,000 $4.02 IF - NYMEX
Dec'26 - swap MMBtu/day (HH)
Floating to
fixed
Mar'26 - Crude Oil - 5,000 $64.40 WTI - NYMEX
Dec'26 swap Bbl/month
Floating to
fixed
Mar'26 - Crude Oil - 7,000 $69.10 WTI - NYMEX
Dec'26 swap Bbl/month
Floating to
fixed
Mar'26 - Crude Oil - 8,000 $70.50 WTI - NYMEX
Dec'26 swap Bbl/month
Floating to
fixed
Mar'26 - Crude Oil - 5,000 $73.75 WTI - NYMEX
Dec'26 swap Bbl/month
Floating to
fixed
Jan'27 - Crude Oil - 5,000 $65.00 WTI - NYMEX
Dec'27 swap Bbl/month
Floating to
fixed
Jan'27 - Crude Oil - 5,000 $63.90 WTI - NYMEX
Dec'27 swap Bbl/month
Floating to
fixed
Jan'27 - Crude Oil - 5,000 $62.10 WTI - NYMEX
Dec'27 swap Bbl/month
Floating to
fixed
Jan'27 - Crude Oil - 7,000 $64.70 WTI - NYMEX
Dec'27 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 (In thousands)
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
Fourth December December
quarter Quarterly $ 1.25 $ 12,185 17, 2024 27, 2024
Fourth December December
quarter Special $ 2.00 $ 19,495 17, 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
Fourth December December
quarter Quarterly $ 1.25 $ 12,375 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.
The Company announced on March 6, 2026 that a quarterly cash dividend of $1.25 per share had been declared for the first quarter of 2026, to be paid on March 27, 2026 to shareholders of record as of the close of business on March 17, 2026.
Common Stock Repurchases
During the year ended December 31, 2025, the Company repurchased 4,500 shares under its share repurchase program at an average share price of $30.13 (unadjusted for dividends paid) for an aggregate purchase price of $0.1 million.
As of December 31, 2025, we had repurchased a total of 2,574,246 shares of common stock since emergence from bankruptcy at an average share price of $32.16 (unadjusted for dividends paid) for an aggregate purchase cost of $82.8 million.
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.
In conjunction with this release, the Company has posted a supplemental investor presentation on the Investor Relations section of its website at https://unitcorp.com/investor-relations/#presentations.
Unit Corporation
Selected Financial Highlights
Three Months Ended Twelve Months Ended
December 31, December 31,
--------------------- ---------------------
2025 2024 2025 2024
----------- -------- --------- ----------
(In thousands except per share amounts)
Revenues:
Total revenues $24,724 $24,989 $102,283 $93,248
------ ------ ------- ------
Expenses:
Operating costs 11,284 11,458 42,851 44,420
Depreciation,
depletion, and
amortization 2,375 2,254 9,525 8,221
General and
administrative 6,604 6,385 22,406 22,497
(Gain) loss on
disposition of
assets (33) -- (14) 114
------ ------ ------- ------
Total
operating
expenses 20,230 20,097 74,768 75,252
------ ------ ------- ------
Income from
operations 4,494 4,892 27,515 17,996
------ ------ ------- ------
Other income
(expense):
Interest income 1,800 908 3,619 4,104
Interest expense (9) (9) (34) (55)
Gain on
derivatives,
net 917 644 9,100 534
Reorganization
items, net -- (28) -- (84)
Other, net (618) 117 (463) (291)
------ ------ ------- ------
Total other
income 2,090 1,632 12,222 4,208
------ ------ ------- ------
Income from
continuing
operations before
income taxes 6,584 6,524 39,737 22,204
------ ------ ------- ------
Income tax expense
(benefit), net
Current (337) 25 4 --
Deferred (3,076) 1,111 (1,821) 4,736
------ ------ ------- ------
Total
income tax
expense
(benefit),
net (3,413) 1,136 (1,817) 4,736
------ ------ ------- ------
Income from
continuing
operations 9,997 5,388 41,554 17,468
Income from
discontinued
operations, net of
tax 41,356 5,295 56,738 29,777
------ ------ ------- ------
Net income $51,353 $10,683 $ 98,292 $47,245
====== ====== ======= ======
Basic net income per
common share
Continuing
operations $ 1.00 $ 0.55 $ 4.18 $ 1.78
Discontinued
operations 4.15 0.54 5.71 3.03
------ ------ ------- ------
Total basic
earnings
per common
share $ 5.15 $ 1.09 $ 9.89 $ 4.82
====== ====== ======= ======
Unit Corporation
Selected Financial Highlights -- Continued
As of December 31,
2025 2024
------------ --------
(In thousands)
Balance Sheet Data:
Cash and cash equivalents $ 181,713 $ 48,884
Current assets $ 200,470 $ 90,250
Total assets $ 330,742 $289,243
Current liabilities $ 28,416 $ 32,468
Long-term debt $ -- $ --
Other long-term liabilities $ 21,212 $ 22,665
Total shareholders' equity $ 281,074 $232,521
View source version on businesswire.com: https://www.businesswire.com/news/home/20260312001724/en/
CONTACT: Rene Punch
Investor Relations
(918) 493-7700
www.unitcorp.com
(END) Dow Jones Newswires
March 12, 2026 09:06 ET (13:06 GMT)
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