Vista Energy, S.A.B. de C.V. (NYSE:VIST) Q3 2022 Results Conference Call October 27, 2022 9:00 AM ET

Company Participants

Alejandro Chernacov - IR

Miguel Galuccio - Founder, Chairman and CEO

Pablo Vera Pinto - Co-Founder and CFO

Juan Garoby - COO

Conference Call Participants

Andres Cardona - Citi

Walter Chiarvesio - Santander

Regis Cardoso - Creadit Suisse

Rodrigo Nistor - Latin Securities

Alejandro Demichelis - Nau Securities

Ezequiel Fernandez - Balanz

Operator

Good day, and thank you for standing by. Welcome to Vista's Third Quarter 2022 Results Conference Call. [Operator Instructions].

I would now like to hand the conference over to your speaker today, Alejandro Chernacov, Vista Strategic Planning and IR. Please go ahead.

Alejandro Chernacov

Thanks. Good morning, everyone. We are happy to welcome you to Vista's Third Quarter 2022 Results Conference Call. I am here with Miguel Galuccio, Vista's Chairman and CEO; Pablo Vera Pinto, Vista's CFO; and Juan Garoby, Vista's COO.

Before we begin, I would like to draw your attention to our cautionary statement on Slide 2. Please be advised that our remarks today, including the answers to your questions, may include forward-looking statements. These forward-looking statements are subject to risks and uncertainties that could cause actual results to be materially different from the expectations contemplated by these remarks.

Our financial figures are stated in U.S. dollars and in accordance with International Financial Reporting Standards, IFRS. However, during this call, we may discuss certain non-IFRS financial measures such as adjusted EBITDA and adjusted net income. Reconciliations of these measures to the closest IFRS measure can be found in the earnings release that we issued yesterday. Please check our website for further information. Our company, Vista Energy is a sociedad anonima bursatil de capital variable organized under the laws of Mexico, registered in the Bolsa Mexicana de Valores and the New York Stock Exchange. The tickers of our common stock are VISTAA in the Bolsa Mexicana de Valores and VIST in the New York Stock Exchange. The ticker of our warrant is VTW408A.

I will now turn the call over to Miguel.

Miguel Galuccio

Thanks, Ale. Good morning everyone and welcome to this earnings call. I'm pleased to share with you our results for the third quarter of 2022, during which we have continued to deliver strong operational and financial performance. Total production averaged 50.7 BOEs per day, a 26% increase year-over-year. Oil production was up 35% year-over-year, boosted by the timing of the last 3 pads in Bajada del Palo Oeste. Total revenue in Q3 2022 were $333.6 million, a 91% increase year-over-year, driven by higher production and stronger relapsed oil prices. Lifting costs per BOE was $7.5 for the quarter, reflecting our success in containing cost pressure as well as dilution of fixed costs through incremental production volumes. Capital expenditure was $162.8 million, including the drilling of 6 wells and the completion of 3 pads during the quarter. Production growth, coupled with the strong realization prices amid flat lifting costs, boosted adjusted EBITDA to $233.7 million for the quarter, more than doubling year-over-year.